Josh Brown believes real estate should be reconsidered. Here are some names from his top stock picks.

The Best Stocks in the Market

Real estate stocks might be worth considering, especially for investors who haven’t yet tapped into that area. There’s something interesting about these stocks—probably because they seem to be somewhat insulated from the AI trend, at least for now. Also, with the next Federal Reserve Chairman having some specific instructions from the president, it could create a positive environment for this sector. They appear to be undervalued and, as mentioned, often perform better than expected. There are some notable options on our list of the best stocks; we’ll discuss those after we gather the necessary data.

Real Estate Stocks on the Rise

Last November, I highlighted Welltower (WELL) and Ventas (VTR), which focus on the healthcare side of real estate. Since then, VTR has increased by 14%, and WELL has risen by 13%. Both have outpaced the S&P 500 and the real estate sector’s modest gains of 2% and 8%, respectively. Although high interest rates created a challenging environment for real estate in 2022, there’s some optimism here. Recently, 16% of the real estate sector hit their highest marks in a year, which is impressive.

Spotlight on Key Stocks

Realty Income Corp. (O)

Realty Income manages over 15,500 properties across various sectors in the U.S. and Europe, offering monthly dividends that currently yield around 5%. They reported strong performance in Q3 2025, raising their earnings guidance and achieving nearly full occupancy at 98.7%. However, they might be a bit overbought right now, exhibiting an RSI of 78. For a better entry point, it might be wise to wait for a pullback or some consolidation at current levels. A stop loss at $60—previous resistance—is a good strategy here.

Iron Mountain, Inc. (IRM)

Iron Mountain has transitioned from mere records management to a comprehensive global service that includes both physical storage and data centers. With an annualized yield of 3.3%, they achieved an excellent Q4 2025, with revenue and adjusted funds from operations up 17% year-over-year. The data center segment played a crucial role with impressive growth. Their outlook for 2026 predicts a revenue increase of 12% and a 13% rise in adjusted EBITDA. The RSI stands at 77, which might indicate the stock is getting a bit too hot. It’s worth watching how it behaves around $103 to $104.

Prologis, Inc. (PLD)

Prologis leads in industrial real estate, operating 1.3 billion square feet of logistics space. They’ve ventured beyond traditional warehousing into data centers and renewable energy, with a healthy 3% dividend. Their leasing momentum remains strong, suggesting a good path ahead with positive guidance for 2026. The recent price movements show a solid uptrend, although the lack of thrilling growth keeps it steady rather than explosive. Initial support on a potential pullback would likely be around $135.

Simon Property Group, Inc. (SPG)

Simon Property Group manages luxury malls and mixed-use properties across North America. They reported $4.8 billion in FFO for Q4 2025, returning $3.5 billion to shareholders through dividends and buybacks. Their occupancy stands at 96.4%, with a 4.7% increase in base rent, resulting in a current dividend yield of 4.6%. This stock reflects a positive trend in the real estate aspect of consumer behavior.

This overview doesn’t serve as financial advice; it’s merely a collection of insights. Always consider consulting a financial or investment advisor to tailor strategies to your personal situation. Stay informed, but make well-thought-out choices based on comprehensive analysis.