2024-07-18 16:06:40 ET
Summary
- After we received decreasing CPI and PPI data points, the market has recalibrated the interest rate path.
- As the probabilities of first interest rate cuts have gone up, O's share price has increased accordingly.
- These dynamics clearly confirm that there is a huge price appreciation potential in O, stemming from the normalization in interest rate.
- On top of this, O has increased its FFO guidance, boosted the projected investment volume for 2024, and made two dividend hikes since the publication of Q1 data.
- In this article, I explain why investors should now seriously consider assuming or increasing positions in O.
Right after Realty Income Corporation ( O ) issued its Q1'24 earnings report, I wrote an article synthesizing the key fundamental dynamics. The bottom line was clear - while O managed to prove the bears wrong, the question was still open whether the FFO growth per share is sustainable against the backdrop of a weakening economy and higher for longer scenario....
Read the full article on Seeking Alpha
For further details see:
Realty Income: Getting Close To $60 Per Share, Time To Buy