Realty Income (O) Stock

If you want to find stocks that can generate a lot of passive income, consider focusing on two struggling real estate investment trusts. W.P. Carey (WPC 1.03%) and Realty Income (O 1.29%) are both dependable dividend payers that are currently close to their lowest points in the past year.

If you have a few hundred dollars that you can invest without needing for bills or debt, there are some great companies with attractive dividend yields available now. Realty Income, Target, and Philip Morris International all offer dividend yields that are significantly higher than the S&P 500 average of 1.24%. According to Jennifer Saibil from Realty Income, this company is a top choice for dividends, and 2025 might be a crucial year for the real estate sector, potentially boosting Realty Income's performance.

Investing in successful companies when their stock prices provide good returns can be very beneficial in the long run. If you have a few hundred dollars that you can spare and don't need for paying off debt or everyday expenses, there are reliable companies with attractive dividend yields available at the moment.

Last year was tough for the commercial real estate industry. Although the Federal Reserve began to lower interest rates, the cuts were slower than the market had hoped because inflation remained high.

In the most recent trading session, Realty Income Corp. (O) finished at $53.28, which is an increase of 1.29% compared to the previous day.

Realty Income, a well-known triple net lease REIT, is not as great an investment as it used to be. It now faces various risks that can cause its stock price to fluctuate more. There are also other investments in the same sector that may offer better total returns.

Investing in dividend stocks can be a great way to increase your income annually. However, the difficulty lies in achieving a good return while minimizing your risk.

In 2024, the stock market didn't offer as many great deals as it did in 2022 and 2023, but there were still some appealing options, particularly in sectors like finance and real estate. While large-cap stocks did well, smaller companies generally struggled. For example, Ally Financial (NYSE: ALLY) had a significant drop of 12% in 2024, compared to a 30% increase in the Financial Select Sector SPDR ETF (NYSEMKT: XLF).

Three high-performing dividend stocks, with an average yield of 8.05%, have the competitive strengths needed to help income investors grow their wealth in 2025 and later.