Bullish Case: Stable dividends and potential interest rate cuts in 2025 bolster optimism, supported by high occupancy rates and strategic acquisitions that can provide long-term growth.

Bearish Case: High debt levels and recent mean reversion trends, combined with persistent economic pressures, pose risks to growth and may lead to a downturn in NNN's stock price.

Potential Outcomes:

1. Rate cuts in 2025 (60% chance) can enhance attractiveness.

2. Debt levels remain high, creating a 30% chance of negative sentiment.

3. Acquisition opportunities (10% chance) may strengthen returns.

Trading Oracle: Consider initiating a bullish call spread by buying 4 $45 calls (delta: 0.35) and selling 3 $50 calls (delta: 0.07) with an expiry around 49 days. Market odds are 30% for a price increase, leveraging low implied volatility while managing risks effectively, targeting upwards potential with a high probability of profit.

November 03, 2024