Realty Income (O) Dividend Increase

Realty Income

Realty Income (O) announced a 0.17% increase in its cash dividends for common stockholders. The monthly dividend increases from $0.1827917 to $0.1831042. The dividend is payable on Oct 15, 2014 to shareholders of record as of Oct 1, 2014. This is the 77th dividend increase since Realty Income went public in  1994.

Realty income - annual dividends

The new monthly dividend amount represents an annualized dividend amount of approx $2.197 per share, up from $2.194. My portfolio consists of 60 shares of Realty Income and the new increase bumps up my annual dividends from $131.16 to $131.82. My yield on cost rises to 5.89%.

8 thoughts on “Realty Income (O) Dividend Increase

  1. I have been following O for a long time now and I’m still waiting for a little dip in the current price. How do you feel about the current price? I would love to pull the trigger at 40/share. Thanks for sharing!

    • I feel the same, DM. I would like to add to my position, but I think its too expensive at current levels. I would wait as well…something under $40 would be a good price point. Im hoping to see some downward pressure when the hike in interest rates talk starts back up again. Will be looking to adding more to my position.


    • SAD, ARCP is a company that I havent very closely looked at. I looked at it briefly a while ago and the yield seemed a bit high for comfort (around 7%?) and Im not sure if they can keep up with the growth going forward. I own two REITs in commercial real estate – O and a Canadian company called RioCan (REI.UN.CA) – RioCan is very undervalued right now and I might pick some up this month or next. Since I already own 2 commercial REITs, I dont want to buy more in that sector – and when I was deciding, I picked O because they had the track record and I liked what I saw on their books.
      Have you looked at other types of REITs? Have a look at Healthcare REITs (OHI, HCP, VTR) – the future is bright with the aging population creating so much demand, but there has been some runup in those prices as well. Something to look at. Be mindful of SNH though – there were some red flags there, although I cant remember what it was.
      Another type of REIT that has intrigued me recently is Industrial/Warehouse REIT. Havent done my research yet on it. Hope that helps.

  2. R2R,
    The fact that O made it through 2007-2009 without cutting the dividend is really impressive. I own ARCP because I was able to get in at a better yield, but O seems to be the more established company. I must say, getting that monthly dividend is nice. I’d like to add another and O is the logical sidekick to ARCP. Need to check out the valuation.

    • Hi RBD,
      I started investing in O last year and have been happy with the monthly dividends. Havent had a close look at ARCP – except reading some opinions about it from other DGIs. You are right – O is a bit more of an established company, and thats what attracted me to invest in it.

      Best wishes

    • CZD,
      I wish I could get in at $39 again. I would be interested in buying more under $40 – the current valuation is too high. I would wait to see how the end of QE and talk of interest rate hikes play out. Going forward, I think we will see plenty of good investing opportunities, so stay patient and keep a close eye on it.


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