Compare Realty Income Corporation (O) vs Four Corners Property Trust, Inc. (FCPT) Stock

Four Corners Property Trust, Inc. (FCPT) offers the better valuation at 23.4x trailing P/E (21.7x forward), making it the more compelling value choice. Analysts rate Realty Income Corporation (O) a "Hold" — based on 33 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Four Corners Property Trust, Inc. (FCPT) is the cheapest at 23.4x versus Realty Income Corporation at 57.3x. On forward P/E, Four Corners Property Trust, Inc. is actually cheaper at 21.7x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Realty Income Corporation wins at 80.25x versus Four Corners Property Trust, Inc.'s 117.82x.

Over the past 5 years, Realty Income Corporation (O) delivered a total return of +40.3%, compared to +18.7% for Four Corners Property Trust, Inc. (FCPT). A $10,000 investment in O five years ago would be worth approximately $14K today (assuming dividends reinvested). Over 10 years, the gap is even starker: FCPT returned +130.4% versus O's +67.6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Realty Income Corporation (O) is the lower-risk stock at 0.19β versus Four Corners Property Trust, Inc.'s 0.22β — meaning FCPT is approximately 14% more volatile than O relative to the S&P 500.

Four Corners Property Trust, Inc. (FCPT) is the more profitable company, earning 38.2% net margin versus 18.4% for Realty Income Corporation — meaning it keeps 38.2% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: FCPT leads at 55.7% versus 28.3% for O. At the gross margin level — before operating expenses — FCPT leads at 95.4%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential. By this metric, Realty Income Corporation (O) is the more undervalued stock at a PEG of 80.25x versus Four Corners Property Trust, Inc.'s 117.82x. Both stocks trade at elevated growth-adjusted valuations, so expected growth needs to materialise. On forward earnings alone, Four Corners Property Trust, Inc. (FCPT) trades at 21.7x forward P/E versus 41.8x for Realty Income Corporation — 20.1x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for FCPT: 5.8% to $27.00.

None of the stocks in this comparison currently pay a material dividend. All are effectively zero-yield and should be held for capital appreciation rather than income.

For long-horizon retirement investors, Four Corners Property Trust, Inc. (FCPT) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.22), +130.4% 10Y return). Both have compounded well over 10 years (FCPT: +130.4%, O: +67.6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Real Estate sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.