Want Something to Buy?

 | Mar 06, 2013 | 2:03 PM EST  | Comments
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You want a pullback? You want to buy something that's down that makes a ton of sense? Take a look at Realty Income (O), which just did a 15 million share secondary at $45.90 that broke the print price from the get-go.

Here's a very good real estate investment trust that gives you a MONTHLY dividend that currently yields 4.7%. I love a monthly dividend.

Realty Income is precisely the kind of stock for this environment. It's got an impeccable portfolio of real estate properties, 3550 of them in 49 states, so no one retailer can sink it. It pays a monthly dividend because the tenants pay it monthly. The company's paid out more than $2.38 billion in dividends for more than 44 years and, like so many other REITS, it has trumped the market giving you a 17% annual return since 1994.

It is using the proceeds to buy more properties to be able to increase the dividend, not unlike American Realty Capital, which just completed an acquisition that will allow it to increase its dividends even as that one already pays a 6.51% yield and I think can go to $15 pretty quickly.

We are always looking for price breaks in this red-hot market. Here's one that makes a ton of sense. I would use it to buy. (Check out the work of Brad Thomas for more great info on REITs.)

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