Realty Income Corp. (O - Free Report) closed the most recent trading day at $47.42, moving -1.37% from the previous trading session. This move was narrower than the S&P 500's daily loss of 4.34%. At the same time, the Dow lost 4.55%, and the tech-heavy Nasdaq lost 3.79%.
Coming into today, shares of the real estate investment trust had lost 41.3% in the past month. In that same time, the Finance sector lost 34.83%, while the S&P 500 lost 28.78%.
Investors will be hoping for strength from O as it approaches its next earnings release. In that report, analysts expect O to post earnings of $0.86 per share. This would mark year-over-year growth of 4.88%. Our most recent consensus estimate is calling for quarterly revenue of $410.32 million, up 15.79% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.50 per share and revenue of $1.69 billion, which would represent changes of +5.42% and +13.43%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for O. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.12% higher within the past month. O is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that O has a Forward P/E ratio of 13.73 right now. For comparison, its industry has an average Forward P/E of 6.83, which means O is trading at a premium to the group.
We can also see that O currently has a PEG ratio of 3.54. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. O's industry had an average PEG ratio of 2.84 as of yesterday's close.
The REIT and Equity Trust - Retail industry is part of the Finance sector. This group has a Zacks Industry Rank of 185, putting it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow O in the coming trading sessions, be sure to utilize Zacks.com.