3 Stocks That could EXPLODE Following a Rate Cut
- Mathieu Desfosses
- Apr 5, 2024
- 2 min read

1. Realty Income (NYSE: O)
Realty Income, a real estate investment trust (REIT), has faced headwinds due to rising interest rates. Investors have been cautious about REITs because of their substantial debt exposure. However, if interest rates come down, Realty Income could benefit significantly. Here’s why:
Solid Performance: Despite challenging macroeconomic conditions, Realty Income has generated over $3 billion in revenue year-to-date, a 22% increase from the previous year. Its funds from operations (FFO) per share have also improved.
Broad Portfolio: Realty Income’s diverse portfolio spans 1,300 clients across 85 industries. This diversity makes it a safer investment option compared to other REITs.
High Dividend Yield: The stock currently offers a high dividend yield of 5.7%. If interest rates decrease, investors may find the stock more attractive, driving its performance upward.
2. Upstart Holdings (NASDAQ: UPST)
Upstart Holdings, a lending platform, has experienced a decline in demand as borrowers remain cautious. However, if interest rates drop, here’s why Upstart could soar:
Innovative Lending Model: Upstart uses artificial intelligence and machine learning to assess borrowers’ creditworthiness. As interest rates decrease, more borrowers may seek loans through Upstart’s efficient platform.
Potential Expansion: Upstart’s growth potential lies in expanding its services beyond personal loans. A favorable interest rate environment could accelerate this expansion.
3. Ford Motor Company (NYSE: F)
Ford faces labor cost increases due to recent UAW strike settlements. However, if interest rates decline, Ford could benefit in several ways:
Lower Financing Costs: Lower interest rates reduce the cost of financing for automakers. Ford’s vehicle sales and profitability could improve.
Electric Vehicle Transition: Ford’s commitment to electric vehicles aligns with market trends. Favorable interest rates could boost investor confidence in Ford’s EV initiatives.
**Remember, investing involves risks, and market conditions can change rapidly. Conduct thorough research and consider your risk tolerance before making investment decisions. 📈🚀




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