Here's How Many Shares of Realty Income Stock You Should Own to Get $1,000 in Yearly Dividends

Core Viewpoint - Realty Income has established itself as a reliable dividend payer, consistently increasing its payouts since 1994, making it a notable player in the REIT sector [1] Dividend Performance - The current dividend yield of Realty Income is 5.9%, significantly higher than the S&P 500 average of 1.35%, allowing for the potential of generating $1,000 in sustainable dividend income with a relatively small investment [2] Investment Requirement - To achieve an annual return of $1,000, an investment of $16,950 in Realty Income stock is required, equating to 316 shares at current prices [3] Stock Performance and Market Conditions - Despite a 37% decline from its 2020 high due to higher interest rates, Realty Income has continued to grow its dividend and property portfolio [3] Property Portfolio and Revenue Stability - Realty Income owns over 15,600 single-tenant properties, with a high occupancy rate close to 99%, providing a stable revenue stream from tenants like Walmart and Dollar Tree [4] Financial Metrics - In 2024, Realty Income reported adjusted funds from operations (AFFO) of nearly $4.19 per share, with dividend costs at $3.13 per share, indicating sufficient cash flow to cover its payouts [5] - The company has projected AFFO between $4.22 and $4.28 per share, allowing for continued dividend growth [5] Growth Outlook - While Realty Income may not deliver rapid growth, it offers a steady and growing income stream for investors seeking reliable dividend income [6]