O vs. VTR: Realty Income vs. Ventas Stock Comparison

Company Profile

Realty Income (O) and Ventas (VTR) both fall under the Equity Real Estate Investment Trusts (REITs) industry group, but O is classified in Retail REITs while VTR is classified in Health Care REITs.

Both Realty Income (O) and Ventas (VTR) are REITs — read their payout ratios and P/E alongside FFO (funds from operations) rather than at face value.

Price Performance

Cumulative Growth

Trailing Returns

Calendar-Year Returns

Performance Metrics

Risk Profile

Drawdown History

Return Distribution

Risk Metrics

Risk-Adjusted Performance

Risk-Return Positioning

Risk-Adjusted Metrics

Profitability

Both Realty Income (O) at 3.48% and Ventas (VTR) at 1.87% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.

Neither Realty Income (O) in Equity Real Estate Investment Trusts (REITs) nor Ventas (VTR) in Equity Real Estate Investment Trusts (REITs) is well served by net margin: heavy depreciation makes net income a poor profitability proxy in their businesses, where FFO-based measures are the standard read.

Neither side reports a meaningful operating margin: for Realty Income (O) in Equity Real Estate Investment Trusts (REITs) and Ventas (VTR) in Equity Real Estate Investment Trusts (REITs), funding costs are part of the core business, so net margin and ROE are the cleaner profitability reads.

Profitability Metrics

Growth

Ventas (VTR) at 18.47% sits in the top revenue growth quartile, while Realty Income (O) at 9.07% is closer to the peer norm — faster top-line expansion for VTR.

EPS growth isn't a meaningful figure for either Realty Income (O) in Equity Real Estate Investment Trusts (REITs) or Ventas (VTR) in Equity Real Estate Investment Trusts (REITs) under our convention.

Growth Metrics

Financial Strength

Realty Income (O) at 2.17 carries current ratio above its industry’s typical mid-range, while Ventas (VTR) at 0.37 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.

Both Realty Income (O) at 0.75 and Ventas (VTR) at 0.77 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

Financial Strength Metrics

Dividends

Realty Income (O) at 5.45% pays a yield in its industry’s typical range, while Ventas (VTR) at 2.29% falls in the bottom quartile of its peers.

An earnings-based payout ratio fits neither Realty Income (O) in Equity Real Estate Investment Trusts (REITs) nor Ventas (VTR) in Equity Real Estate Investment Trusts (REITs): their distributions are mandated and conventionally measured against FFO, so the accounting-earnings ratio overstates both.

Dividend Metrics

Valuation

P/E ratio is not a meaningful valuation yardstick for either Realty Income (O) in Equity Real Estate Investment Trusts (REITs) or Ventas (VTR) in Equity Real Estate Investment Trusts (REITs): depreciation suppresses reported earnings in their businesses, and price-to-FFO is the conventional yardstick instead.

Ventas (VTR) at 6.96 is priced about in line with its industry on P/S ratio, while Realty Income (O) at 9.06 sits in the pricier quartile — O costs more per dollar of sales.

Realty Income (O) at 1.42 is valued about in line with its industry on P/B ratio, while Ventas (VTR) at 2.97 carries an above-peer premium to book — VTR is pricier on assets.

Valuation Metrics