NNN REIT Stable Triple-Net Income with Decades of Dividend Growth

NNN REIT, Inc. (NYSE:NNN) is included among the Dividend Champions, Contenders, and Challengers List: 15 Highest Yielding Stocks.

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NNN REIT, Inc. (NYSE:NNN) is a retail-focused REIT built around freestanding properties that are leased on a triple-net basis to national and regional tenants. Its portfolio leans toward everyday, necessity-based uses such as auto service centers, convenience stores, restaurants, and family entertainment venues. Because tenants cover most property-level costs, those leases tend to generate stable and steadily rising rental income.

What really sets NNN apart is its dividend history. In 2025, the company delivered its 36th straight year of dividend growth. That puts it in a very small club, with only two other REITs and fewer than 80 publicly traded U.S. companies having managed to raise their dividends for 35 years or more.

That streak looks well supported going forward. NNN’s payout ratio sits below 70% of FFO, and its balance sheet remains conservative, with leverage around 5.6x. That gives the company plenty of room to keep growing while still rewarding shareholders. As the portfolio expands and cash flow continues to build, dividend growth should remain achievable.

NNN REIT, Inc. (NYSE:NNN) also stays active on the investment front. Last year, it was targeting $850 million to $950 million in new property acquisitions, partly funded by selling $170 million to $200 million of assets. Most purchases come from long-standing tenant relationships, often through sale-leaseback deals. Since 2010, about 72% of its investments have come through these repeat relationships, helping ensure a steady pipeline of income-producing properties.

While we acknowledge the potential of NNN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.