Realty Income (NYSE: O) is often considered a stable long-term investment for conservative income investors. It's one of the world's largest real estate investment trusts (REITs), and its tenants include large retailers like Walgreens, 7-Eleven, Dollar General, Dollar Tree, and . Many of those retailers are resistant to recessions, and some of them even thrive during economic downturns.

As a REIT, Realty Income is obligated to pay out at least 90% of its taxable earnings as dividends to its investors. And as a net lease REIT, its tenants are responsible for covering most of their own expenses -- including maintenance costs, property taxes, and insurance fees. That simple business model enables the company to generate plenty of cash to cover its monthly dividend.

Despite all those strengths, Realty Income's stock has declined 23% over the past two years as investors fretted over rising interest rates and some challenges for its top tenants. Nevertheless, I believe that pullback is a buying opportunity for five simple reasons.

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Source Fool.com