Realty Income Corp (O) is undervalued and Simon Property Group Inc (SPG) is overvalued.
Against our estimates of intrinsic value, O trades at the wider discount: a margin of safety of +54%, against -70% for SPG.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.8% (average of 3 methods) values the shares at $123.83; the price of $56.53 is 54% below that value, and 78% of that value comes from beyond year five.
Leak Score 60/100 on 7 of 12 signals
Discounting its cash flows at 9.4% (average of 3 methods) values the shares at $121.27; the price of $205.95 is 70% above that value, and 75% of that value comes from beyond year five.
Leak Score 44/100 on 8 of 12 signals
| Metric | O | SPG |
|---|---|---|
| Verdict | Undervalued | Overvalued |
| Price | $56.53 | $205.95 |
| Intrinsic value | $123.83 | $121.27 |
| Margin of safety | +54% | -70% |
| Leak Score | 60/100 (7/12) | 44/100 (8/12) |
| Market cap | $53.5B | $66.6B |
| Revenue growth, 5 years | 27.8% | 6.7% |
| Operating margin | 45.6% | 47.4% |
| Net margin | 20.9% | 25.3% |
| Return on equity | 3.2% | 135.4% |
| Debt to equity | 0.83 | 6.64 |
| P/E | 41.4x | 39.1x |
| Forward P/E | 33.5x | 29.4x |
| P/B | 1.4x | 15.2x |
| Dividend yield | 5.8% | 4.4% |