Investors need to use Funds From Operations when valuing REITs.
Realty Income finds itself on a lot of investors' radar because of its heft monthly dividend. But how should investors value Realty Income to determine if today's price is an attractive one.
In the following video, Motley Fool banking analyst David Hanson sits down with Fool contributor and Editor of the independent Intelligent REIT Investor newsletter Brad Thomas to discuss the differences investors must consider when evaluating REITs.
David Hanson has no position in any stocks mentioned. Robert Thomas owns shares of Realty Income. The Motley Fool has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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