Realty Income Corporation (O)vsStratus Properties Inc (STRS)
O
Realty Income Corporation
$64.43
-1.69%
REAL ESTATE · Cap: $60.64B
STRS
Stratus Properties Inc
$19.40
-0.92%
REAL ESTATE · Cap: $158.22M
Smart Verdict
WallStSmart Research — data-driven comparison
Realty Income Corporation generates 20587% more annual revenue ($5.93B vs $28.66M). STRS leads profitability with a 75.0% profit margin vs 18.9%. STRS appears more attractively valued with a PEG of 1.19. O earns a higher WallStSmart Score of 60/100 (C).
O
Buy60
out of 100
Grade: C
STRS
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-6.1%
Fair Value
$60.79
Current Price
$64.43
$3.64 premium
Margin of Safety
-66.8%
Fair Value
$17.99
Current Price
$19.40
$1.41 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 45.5%
Large-cap with strong market position
Reasonable price relative to book value
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 75 of every $100 in revenue as profit
Areas to Watch
ROE of 2.9% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
ROE of 6.2% — below average capital efficiency
Revenue declined 24.8%
Earnings declined 74.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : O
The strongest argument for O centers on Operating Margin, Market Cap, Price/Book. Profitability is solid with margins at 18.9% and operating margin at 45.5%. Revenue growth of 12.0% demonstrates continued momentum.
Bull Case : STRS
The strongest argument for STRS centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 75.0% and operating margin at -197.7%. PEG of 1.19 suggests the stock is reasonably priced for its growth.
Bear Case : O
The primary concerns for O are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 53.3x leaves little room for execution misses.
Bear Case : STRS
The primary concerns for STRS are Market Cap, Return on Equity, Revenue Growth.
Key Dynamics to Monitor
O profiles as a mature stock while STRS is a declining play — different risk/reward profiles.
STRS carries more volatility with a beta of 1.14 — expect wider price swings.
O is growing revenue faster at 12.0% — sustainability is the question.
O generates stronger free cash flow (848M), providing more financial flexibility.
Bottom Line
O scores higher overall (60/100 vs 45/100), backed by strong 18.9% margins and 12.0% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Realty Income Corporation
REAL ESTATE · REIT - RETAIL · USA
Realty Income Corporation is a real estate investment trust that invests in free-standing, single-tenant commercial properties in the United States, Puerto Rico, and the United Kingdom that are subject to NNN Leases. The company is organized in Maryland with its headquarters in San Diego, California.
Stratus Properties Inc
REAL ESTATE · REAL ESTATE - DIVERSIFIED · USA
Stratus Properties Inc., a real estate company, engages in the acquisition, licensing, development, management and sale of commercial residential and multi-family and single-family real estate primarily in Texas. The company is headquartered in Austin, Texas.
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