Canadian Halal Investor.

NYSE Shariah screener · October 2026

Is Realty Income Corporation (O) Halal?

FAIL

Realty Income Corporation · NYSE: O · Real Estate

The short answer

No - Realty Income Corporation (O) fails this Shariah stock screen. It is a net-lease REIT owning 15,588 freestanding commercial properties under triple-net leases, with no directly operated haram business (gaming tenants contribute 3.1% of annualized base rent; grocery/convenience tenants sell alcohol at the tenant level - disclosed factually). Total interest-bearing debt of $30,991M (Q2 2026) is about 59.4% of its ~$52.2B market cap ($53.53 latest quote, October 2, 2026) - far above the ~33% ceiling. Interest income of $308.2M for FY2025 is about 5.36% of $5,749.4M revenue - above the 5% ceiling. Note: Zoya previously flagged O as non-compliant (2021 thread, debt-to-market-cap basis); no Musaffa or ShariaPortfolio rating was found.

Gate 1 — Business activity: PASS

Realty Income Corporation (NYSE: O) is a net-lease real estate investment trust - 'The Monthly Dividend Company' - owning interests in 15,588 freestanding commercial properties leased to 1,798 clients in 92 industries under long-term triple-net leases (per the Q2 2026 filing). Haram flags checked (factual, from the filings): the REIT operates no retail, alcohol, tobacco, gambling, or finance business itself - revenue is rental revenue plus interest/dividends on a loan and preferred-equity portfolio. Tenant-mix facts: gaming tenants contribute 3.1% of annualized base rent (Wynn Resorts 1.9%, MGM/Bellagio JV 1.1%); grocery (11.0%) and convenience-store (9.6%) tenants, including 7-Eleven (3.3%) and EG Group (2.0%), sell alcohol/tobacco at the tenant level, not as a directly operated segment. The debt gate decides the overall result regardless. Facts only.

Gate 2 — Debt and cash: FAIL

Per Realty Income's Q2 2026 filing (quarter ended June 30, 2026), total interest-bearing debt was $30,991M on the consolidated balance sheet. Against a market cap of about $52.2B ($53.53 latest quote, October 2, 2026; Finnhub), debt / market cap is about 59.4% - nearly double the ~33% ceiling, and it fails even on senior unsecured notes alone (48.1%). Cash and cash equivalents of $553M are about 1.1% of market cap. Gate 2 fails. Facts only.

Gate 3 — Non-compliant income: FAIL

For full-year FY2025 (10-K), Realty Income discloses interest income of $308.2M ($128.774M + $179.388M, cleanly separated in MD&A) against total revenue of $5,749.4M - about 5.36% of revenue, above the 5% ceiling. (In H1 2026, the cleanly disclosed 'interest income on financing receivables' line was $64.154M, but a second line, 'interest and dividend income on loans and preferred equity investments' ($158.627M), mixes interest with dividends and cannot be separated from primary filings.) The verifiable full-year figure exceeds the ceiling; Gate 3 fails on that basis. Facts only.

Key figures used

Frequently asked questions

What does Realty Income do?

Realty Income Corporation (NYSE: O), 'The Monthly Dividend Company,' is a net-lease real estate investment trust. Per its Q2 2026 filing, it owns interests in 15,588 freestanding commercial properties leased to 1,798 clients in 92 industries under long-term triple-net leases. It operates no retail, alcohol, tobacco, gambling, or finance business itself - revenue is rental revenue plus interest/dividends on a loan and preferred-equity portfolio. Tenant mix by annualized base rent (FY2025 10-K): grocery 11.0%, convenience stores 9.6%, home improvement 6.4%, dollar stores 6.1%, quick-service restaurants 4.8%, and gaming 3.1% (two gaming properties: Wynn Resorts 1.9% and the MGM/Bellagio JV 1.1%). Grocery and convenience tenants sell alcohol/tobacco at the tenant level; that is tenant-level activity, not a directly operated segment.

Why does Realty Income fail this Shariah stock screen?

Realty Income fails this Shariah stock screen at the debt gate. Gate 1: the business is triple-net-lease real estate; the REIT operates no haram business itself, though gaming tenants contribute 3.1% of annualized base rent (Wynn Resorts 1.9%, MGM/Bellagio JV 1.1%) and grocery/convenience tenants (7-Eleven 3.3%, EG Group 2.0%) sell alcohol at the tenant level - disclosed factually, without a ruling. Gate 2: total interest-bearing debt of $30,991M is about 59.4% of its ~$52.2B market cap ($53.53 latest quote, October 2, 2026), well above the ~33% ceiling - FAIL. Gate 3: on the full-year FY2025 basis, interest income of $308.2M is about 5.36% of $5,749.4M revenue, above the 5% ceiling. Result: FAIL. This is a factual screen, not a religious ruling - consult a qualified scholar for personal rulings.

What is Realty Income's interest-bearing debt ratio?

Per Realty Income's Q2 2026 filing (quarter ended June 30, 2026), total interest-bearing debt was $30,991M on the consolidated balance sheet. Against a market cap of about $52.2B ($53.53 latest quote on October 2, 2026; Finnhub), debt / market cap is about 59.4% - nearly double the ~33% ceiling. Even using senior unsecured notes payable alone ($25,092M) the ratio is 48.1%. Cash and cash equivalents of $553M are about 1.1% of market cap. Gate 2 fails decisively.

What is Realty Income's non-compliant income ratio?

For full-year FY2025 (10-K), Realty Income discloses interest income of $308.2M ($128.774M + $179.388M, cleanly separated in MD&A) against total revenue of $5,749.4M - about 5.36% of revenue, above the 5% non-compliant income ceiling. In the first half of 2026, the cleanly disclosed 'interest income on financing receivables' line was $64.154M (about 2.07% of $3,096.4M revenue), but a second line - 'interest and dividend income on loans and preferred equity investments' ($158.627M) - mixes interest with dividends and cannot be separated from primary filings, so no clean H1 2026 total exists. The verifiable full-year figure exceeds the ceiling.

Do Zoya, Musaffa, or ShariaPortfolio cover Realty Income?

Zoya covered O and flagged it non-compliant - per a July 2021 Zoya community thread, a Zoya team reply stated it 'failed the debt-to-market cap ratio based on its latest quarterly financials'; its current in-app status could not be independently verified and is not stated here. No Musaffa stock page or rating for Realty Income was found - reported as absent, not invented. No ShariaPortfolio screening page or rating for O was found - reported as absent, not invented. This page applies the screen directly from Realty Income's own SEC filings.

Sources

Screened 2026-10-02 from published company figures and market data. Figures change; this page is educational, not financial advice and not a religious ruling.

Screened with our two-gate Shariah screening methodology (business-activity gate, then AAOIFI-style financial ratios).