Is Realty Income's Nearly 6% Yield a Bargain or a Trap?

Key Points Realty Income's stock price has declined by about $10 per share from its recent peak. That sell-off has driven up its dividend yield to almost 6%. The REIT has taken several steps to insulate its business from the impact of rising interest rates. 10 stocks we like better than Realty Income › Realty Income 's (NYSE:O) dividend yield has risen sharply over the past month. Its stock price has tumbled from over $65 a share to around $55 per share, pushing the yield up from about 5% to nearly 6%. That's significantly higher than the S&P 500 's low 1% current yield. With its yield on the rise, some investors might wonder whether the high-dividend REIT is a bargain or a yield trap. I think it's now a screaming bargain. Here's why.