Realty Income Corp. (O) Laps the Stock Market: Here's Why

Core Viewpoint - Realty Income Corp. is preparing for its upcoming earnings release on November 3, 2025, with expectations of a modest increase in both EPS and revenue compared to the previous year [2][3]. Company Performance - Realty Income Corp. closed at $59.46, reflecting a gain of 1.05% from the previous trading session, outperforming the S&P 500's gain of 0.4% [1]. - Over the last month, the company's shares have decreased by 1.9%, underperforming the Finance sector's loss of 1.05% and the S&P 500's gain of 1.02% [1]. Earnings Estimates - The anticipated EPS for the upcoming quarter is $1.07, representing a 1.9% increase year-over-year [2]. - The revenue estimate for the same quarter is $1.42 billion, indicating a 6.65% increase compared to the previous year [2]. - For the annual period, the Zacks Consensus Estimates predict earnings of $4.27 per share and revenue of $5.62 billion, reflecting increases of 1.91% and 6.7% respectively from the last year [3]. Analyst Sentiment - Recent changes in analyst estimates for Realty Income Corp. suggest a favorable outlook on the company's business health and profitability [3]. - The Zacks Rank for Realty Income Corp. is currently 3 (Hold), with the consensus EPS estimate having increased by 0.03% in the past month [5]. Valuation Metrics - Realty Income Corp. has a Forward P/E ratio of 13.8, which is in line with the industry average [6]. - The company has a PEG ratio of 4.49, compared to the industry average of 2.85, indicating a higher valuation relative to expected earnings growth [7]. Industry Context - The REIT and Equity Trust - Retail industry, to which Realty Income Corp. belongs, has a Zacks Industry Rank of 72, placing it in the top 30% of over 250 industries [8].