2024-04-21 07:21:00 ET
Even though the S&P 500 and Dow Jones Industrial Average have pulled back from their all-time highs, many stocks are still much higher than they were a year ago. But that is not the case for most of the real estate sector.
Real estate investment trusts , or REITs, are particularly sensitive to rising interest rates because of the income-focused nature of the business and the reliance on borrowed money that is standard in the real estate industry. Many REITs that have rock-solid businesses have declined significantly, even though their business is doing just fine.
One great example is Realty Income (NYSE: O) , which is down 20% from its 52-week high despite solid results from its portfolio. With a dividend yield of more than 6%, it could be a fantastic time to add this reliable income machine with a track record of market-beating total returns to your portfolio.
For further details see:
Beat the Dow Jones With This Cash-Gushing Dividend Stock