Realty Income Corp Shows Mixed Signals in Guru Report

Realty Income Corp receives a 64% rating based on fundamentals. Despite a solid market cap and profit margins, EPS growth rate and return on equity are weak, indicating potential volatility for investors.

Date: 15-02-2025

AI Rating: 5

Earnings Per Share (EPS)
No data is provided regarding the EPS growth rate, indicating potential concerns about the company’s profitability trend. Failing to show growth can influence investor sentiment negatively.
Revenue Growth
No explicit information on revenue growth is provided in the report, leaving a gap in understanding the company's sales performance.
Net Income
No data related to net income is mentioned, which is crucial for assessing overall profitability.
Profit Margins
The report states that pre-tax profit margins are a passing indicator, showing that the company has some efficiency in its profit-making processes. However, the lack of data on net or operating profit margins presents a limited picture.
Free Cash Flow (FCF)
No information is provided on free cash flow, which is vital for understanding a company's financial health and ability to invest in growth, pay dividends, or reduce debt.
Return on Equity (ROE)
Return on equity is marked as a fail, suggesting that the company struggles to generate returns on shareholders' equity, which can raise serious concerns among investors regarding operational efficiency.
Overall, while Realty Income Corp passes some tests regarding market capitalization, pre-tax profit margins, and liquidity, the mixed results in EPS growth and ROE may lead to cautious investor sentiment, affecting stock prices negatively, as investors typically favor companies with stable returns and strong profit growth.

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