Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, commercial retail REIT Realty Income (NYSE:O) has received a distressing two-star ranking.

With that in mind, let's take a closer look at Realty Income's business and see what CAPS investors are saying about the stock right now.

Realty Income facts

Headquarters (Founded)

Escondido, Calif. (1969)

Market Cap

$2.45 billion


Real estate investment trust (REIT)

Trailing-12-Month Revenue

$329 million


CEO Thomas Lewis Jr. (since 1997)

CFO Paul Meurer (since 2001)

Cash / Debt

$36 million / $1.35 billion

Dividend Yield



Simon Property Group (NYSE:SPG)

Weingarten Realty Investors (NYSE:WRI)

CAPS Members Bearish on O Also Bearish on

Bank of America (NYSE:BAC)

Citigroup (NYSE:C)

CAPS Members Bullish on O Also Bullish on

General Electric (NYSE:GE)

Procter & Gamble (NYSE:PG)

Sources: Capital IQ (a division of Standard & Poor's), Yahoo! Finance, and Motley Fool CAPS.

On CAPS, 24.4% of the 131 All-Star members who have rated Realty Income believe the stock will underperform the S&P 500 going forward. These bears include All-Stars TMFBuck and Entrepreneur58, both of whom are ranked in the top 20% of our community.

Late last week, TMFBuck followed the lead of high-profile hedge fund manager Bill Ackman and slapped an underperform call on the stock: "Poor player in commercial real estate that pays out 100% of cash to dividend. When commercial real estate market falls, I wouldn't want to be owning this."

In a pitch from two days earlier, Entrepreneur58 expands on the stock as a scary way to earn income:

Retail REIT that attracts small investors with dividends during a low rate environment. Its properties are rented to what management calls "less than investment grade" tenants. They call that JUNK in the bond market. When they eventually cut the dividend, the punters who bought it for the dividend will be in a panic to see who can get out the fastest.

What do you think about Realty Income, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Procter & Gamble is a Motley Fool Income Investor pick, and the Fool owns shares of it. The Fool's disclosure policy always gets a perfect score.