Realty Income Vs. NNN REIT: Look Past The Yield And Realty Income Becomes The Clear Winner
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Luuk Wierenga1.34K FollowersFollow5ShareSavePlay(27min)Comments(8)SummaryRealty Income and NNN REIT both offer reliable income backed by long dividend growth records, but their long-term return profiles diverge under closer analysis.Realty Income and NNN REIT follow similar net lease strategies, yet differ in portfolio construction, lease structure, and overall economic sensitivity.Balance sheet strength and cost of capital play an increasingly important role in today’s high-rate environment, subtly influencing future investment flexibility between the two.Realty Income has started to leverage its scale and platform in ways that may support additional, capital-light sources of growth over time. bo feng/iStock via Getty Images Introduction What is the price you are willing to pay for dividend safety? Generic valuation metrics alone cannot help you. Investors debate the "lack of total return" when talking about Realty Income (OThis article was written byLuuk Wierenga1.34K FollowersFollowI'm Luuk Wierenga, an economics teacher from the Netherlands with a strong passion for income investing. My investment journey began during the COVID-19 pandemic, and since then, I've specialized in identifying Real Estate Investment Trusts (REITs) that are temporarily out-of-favor with Mr. Market. As an educator, I use fundamental economic insights to assess the true intrinsic value of a stock. My investment horizon is long-term, and my strategy revolves around contrarian and deep-value opportunities.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in O over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.Recommended For You