If You'd Invested $5,000 in Realty Income in 1994, This Is How Much You Would Have Today
Real estate investment trusts (REITs) can be a great way to balance out high dividend income and capital appreciation. These dividends can be used to pay bills or to turbocharge returns through dividend reinvestment.
The blue-chip REIT Realty Income (NYSE: O) has been a winning investment ever since going public in 1994. An investment of $5,000 in the stock made 29 years ago would now be worth a staggering $246,610 with dividends reinvested. For context, that is triple the $82,260 that the same investment amount in the S 500 index would be valued at today. Let's detail Realty Income's fundamentals to better understand what's behind these market-obliterating returns.
Sometimes businesses don't want to deal with financial institutions to have their capital needs met. When this is the case, sale-leaseback transactions offer an alternative way for a company to harness the equity stake they have in their real estate.
Source Fool.com
