As Crazy as the Market Gets, Here's One Stock I'm Never Selling
Realty Income (NYSE: O) is a bellwether name in the real estate investment trust (REIT) space. It has historically been afforded a premium price relative to its closest peers. That premium has been earned many times over at this point, which is why I intend to keep this name in my portfolio through bull and bear markets. Here's a closer look at why.
The core of Realty Income's business is the net lease structure. This means that it owns single-tenant properties and its tenants are responsible for most of the operating costs of the assets they occupy. While any single property is high-risk, given that there's only one tenant, across a large portfolio the net lease approach is very low-risk. Realty Income's portfolio is huge, at over 11,000 properties. On top of that, the REIT has an investment-grade-rated balance sheet, so it is fiscally conservative as well.
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Source Fool.com
