Core Insights - Realty Income's tenant strategy is fundamental to its stability and income consistency, with 98% of assets structured as single-tenant, triple-net-lease properties, resulting in near-100% gross margin [1][9] - The company leases to over 1,600 clients across 91 industries, with the top 20 tenants contributing only about 35% of rent, reducing reliance on any single operator [2][9] - Approximately 73% of annualized base rent comes from tenants offering non-discretionary goods, with around 90% of rent resilient against recession and e-commerce pressures [3][9] - Retail accounts for nearly 80% of Realty Income's portfolio, which poses concentration risks due to potential store rationalization and margin compression [4] - The combination of essential retail exposure, diversified industries, and long-term triple-net structures supports stable adjusted funds from operations and consistent dividend growth [5] Company Performance - Realty Income's shares have increased by more than 11% year to date, contrasting with the industry's decline of 6.7% [8] - The company trades at a forward 12-month price-to-FFO of 13.68, which is below the industry average, and carries a Value Score of D [11] - The Zacks Consensus Estimate for Realty Income's earnings has been revised marginally downward over the past 30 days, with current estimates for the current year at 4.26 and next year at 4.41 [13][14]