This REIT can generate a steadily rising stream of passive dividend income. The old saying that it takes money to make money is true, at least when it comes to generating passive income. You need to make up-front investments, and those will eventually start throwing off income. On the plus side, it can be easy to get started. For example, anyone can open a brokerage account and buy dividend-paying stocks. One great option today for income-seeking investors is W.P. Carey (WPC 1.07%). That real estate investm ...

Core Thesis - W P Carey Inc (WPC) is undervalued with a P/FFO of 12 2x compared to the net lease retail REIT sector average of 13 5x and diversified REIT sector average [3] - The company's AFFO generation is primarily from industrial and warehouse properties which typically command higher multiples [3] - WPC has an investment grade balance sheet robust cash generation and a conservative AFFO payout ratio supporting growth [3] Valuation and Market Position - WPC's FWD P/FFO multiple is 13 1x lower than Realty Income (14 9x) and STAG Industrial (16 5x) [4] - The company should theoretically trade between Realty Income and STAG Industrial due to its heavy bias towards industrial/warehouse properties [4] Q2 2024 Performance - AFFO per share increased to $1 17 up $0 03 from the prior quarter driven by organic same store rent growth of 2 9% [5] - Positive rent recapture of 116% added 6 5 years of incremental weighted average leases with 50 basis points of incremental ABR [5] - Occupancy reached 98 8% [6] Asset Recycling and Growth Strategy - WPC has divested most office buildings reducing top-line generation but the asset recycling process is nearly complete [7] - The company has invested $641 million YTD at an initial weighted average cash cap rate of 7 7% focusing on industrial and warehouse properties [7] - 60% of investments are tied to CPI-linked rent escalators with an average cap of ~4 5% [7] Debt and Financing - WPC retired most of its 2024 debt reducing outstanding debt to $61 million with $700 million due in 2025 at a blended average interest rate of 4 2% [7] - The company issued $1 1 billion in unsecured notes with coupon rates of 4 25% and 5 375% minimizing future AFFO pressure [7] Future Outlook - WPC is expected to register continued AFFO growth as the asset recycling program concludes and liquidity is deployed at attractive cap rates [9] - Refinancing risk has been neutralized with future interest rate cuts likely to provide additional boosts to AFFO growth [9] - The company's P/FFO multiple remains below sector average despite its strong position in the industrial and warehouse segment [9]

In the middle of a transition year, W.P. Carey has a 5.7% dividend yield backed by a strong business and a cash pile that needs to be invested. Investors' first reaction to a dividend cut is often to hit the sell button. After that point, many on Wall Street won't even consider the dividend cutter again for years. That's the position that W.P. Carey (WPC 1.20%) finds itself in today as it looks to regain investor trust after a dividend cut. But there are some very good reasons to consider buying the net lea ...

DNY59/E+ via Getty Images Shares of W. P. Carey (NY SE:WPC) trade at a very attractive 6% yield, and the REIT seems primed to return to a period of growth in its key metrics after it strategically olatel of 14: 10 cm (17 Dach ar recy classerial corrent The REFT sompleted in Celes, and the best is a portuile of goven in Orgol and ins argentsion in trans, aggession in again, by $0.005/share. While the dividend nise is not that significant in absolute terms, it is good to see that management is applying a grow ...

With a yield of 5.8%, this dividend cutter is already trying to win back the confidence of investors. You should give it a second chance. When you let someone down, you have to build back trust. That's the position that W.P. Carey (WPC 1.24%) finds itself in today after announcing that it was cutting its dividend by roughly 20% at the end of 2023. A lot of investors simply won't touch a dividend cutter, but it is worth giving this large net lease real estate investment trust (REIT) a second chance. Here's w ...

filo W. P. Carey Inc. (NYSE:WPC) is a net-lease real estate investment trust that last year spun off its office properties from its commercial property portfolio. Despite the spinoff and a lower amount of adjusted funds from operations, W. P. Carey managed to cover its dividend with funds of operations easily in the second quarter and the REIT sustained its $0.87 per share per quarter dividend pay-out. In my view, W. P. Carey has a much more streamlined, better-positioned real estate portfolio after the spi ...

This REIT can produce lots of passive income. Investing in real estate can be an excellent way to start generating passive income. There are lots of paths to potentially make passive income from real estate. One of the easiest to take is investing in a real estate investment trust (REIT). W.P. Carey (WPC 1.33%) is a top REIT for those seeking a lucrative passive income stream. The diversified REIT currently has a dividend yield approaching 6%. At that rate, every $1,000 invested into its stock would produce ...

Investors are staying away from the REIT as it pivots its business, even though it still pays a high-yielding dividend. For the most part, investors prefer for real estate investment trusts (REITs) to operate steadily and predictably. The most popular REITs have been plugging away with business strategies that have remained more or less unchanged for years, even decades. That's not the case with storied REIT W.P. Carey (WPC 2.25%), which is nearing the end of a major transition. The uncertainty created by t ...

Although U.S. stocks closed lower on Tuesday, there were a few notable insider trades. When insiders purchase shares, it indicates their confidence in the company's prospects or that they view the stock as a bargain. Either way, this signals an opportunity to go long on the stock. Insider purchases should not be taken as the only indicator for making an investment or trading decision. At best, it can lend conviction to a buying decision. Below is a look at a few recent notable insider purchases. For more, c ...

Justin Paget The Federal Reserve's efforts to substantially increase interest rates over the last several years caused a major reset for valuations in the REIT industry. This was a logical reaction as increased financing costs can reduce returns and increase the hurdle rate for real estate assets, as investments such as bonds become more attractive at the higher yields. W. P. Carey (NYSE:WPC) is a diversified REIT with a stellar track record that has come under major fire from investors for surprising the m ...