What Is O Fair Value?
Realty Income (O) fair value estimate using multiple valuation models, updated daily.
As of October 14, 2026, Realty Income (O) has a composite fair value estimate of $100.10 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $54.99, suggesting the stock is undervalued by 82.0%.
Data as of October 14, 2026 (today)
Composite Fair Value
Undervalued4 of 4 models$100.10
vs. current price of $54.99(+82.0%)
How Is O Fair Value Calculated?
Four independent models estimate what O is worth. Each uses different inputs and assumptions. The composite blends them by weight.
O Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
35% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$77.86
+41.6%Undervalued
Inputs used
DDM (Dividend Discount Model)
15% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
$349.89
+536.3%Undervalued
Inputs used
O Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
25% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$37.70
-31.4%Overvalued
Inputs used
PEG (Price/Earnings to Growth)
25% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$24.52
-55.4%Overvalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $54.99 is 41.6% below this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $1.84B | $1.72B |
| Year 2 | $2.14B | $1.88B |
| Year 3 | $2.48B | $2.05B |
| Year 4 | $2.89B | $2.23B |
| Year 5 | $3.36B | $2.43B |
| Year 6 | $3.90B | $2.65B |
| Year 7 | $4.53B | $2.88B |
| Year 8 | $5.27B | $3.14B |
| Year 9 | $6.12B | $3.42B |
| Year 10 | $7.12B | $3.73B |
| Terminal Value | $174.39B | $91.32B |
What Are O's Key Financial Metrics?
Earnings & Growth
Current Price
$54.99
EPS (TTM)
$1.38
Forward P/E
35.4
Profit Margin
20.9%
Cash & Balance Sheet
Free Cash Flow
1.6B
EBITDA
5.4B
Book Value
$41.80
Total Debt
31.3B
What Do Analysts Say About O?
Low
$59.00
Average
$65.63
High
$74.00
Upside
+19.4%
O Fair Value FAQ
What is the fair value of O?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), O's estimated fair value is $100.10. The stock is currently trading at $54.99, which makes it undervalued by our analysis.
How is O's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is O overvalued or undervalued?
Based on our analysis, O is undervalued. The current price of $54.99 is 82.0% below our estimated fair value of $100.10.
What do Wall Street analysts say about O?
21 analysts cover Realty Income with a consensus rating of "Hold." The average price target is $65.63, ranging from $59.00 to $74.00. This implies 19.4% upside from the current price.