Realty Income (NYSE: O) is one of the oldest real estate investment trusts, or REITs, and it is also one of the most reliable when it comes to dividends. Here's a look at how much Realty Income pays out, and why the current payout isn't the most important thing to know.

The short answer

As of October 2024, Realty Income pays dividends at an annualized rate of $3.16 per share, paid in monthly installments. (Fun fact: Realty Income has a trademark on the phrase "The Monthly Dividend Company.")

Based on the share price on Oct. 3, this translates to a dividend yield of about 5.1% annually. However, while this is an impressive dividend yield, it isn't the most impressive dividend-related statistic about the company.

Realty Income's remarkable dividend history

Realty Income's business model is not only designed to produce steady income, but to produce income that grows gradually and predictably over time. As a result, Realty Income has established one of the best dividend growth track records in the market, dating all the way back to its 1994 NYSE listing, and even before it.

In fact, Realty Income has paid 651 consecutive monthly dividends. I'll spare you the math -- that's more than 54 years. It has increased the dividend for 108 consecutive quarters, and at an annualized growth rate of 4.3%. With the long-term average inflation rate in the United States approximately 3% (depending on the exact time period you're looking at), this means that Realty Income investors have had an income stream that has outpaced inflation over the long term.

Not only is Realty Income an excellent dividend stock, its stock price has also grown nicely. In fact, since its 1994 public listing, Realty Income has generated annualized total returns (dividends plus stock gains) of 13.5%, handily beating the S&P 500. To put this into perspective, a $10,000 investment 30 years ago in Realty Income would be worth about $446,500 today, assuming you reinvested your dividends along the way.

Should you invest $1,000 in Realty Income right now?

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