Singapore Markets closed
  • Straits Times Index

    -6.36 (-0.20%)
  • Nikkei

    -34.36 (-0.13%)
  • Hang Seng

    -133.96 (-0.67%)
  • FTSE 100

    -94.15 (-1.26%)
  • Bitcoin USD

    -650.49 (-2.28%)
  • CMC Crypto 200

    -11.41 (-1.84%)
  • S&P 500

    -3.04 (-0.08%)
  • Dow

    -12.79 (-0.04%)
  • Nasdaq

    -52.17 (-0.44%)
  • Gold

    -6.60 (-0.33%)
  • Crude Oil

    -0.98 (-1.40%)
  • 10-Yr Bond

    -0.0260 (-0.76%)
  • FTSE Bursa Malaysia

    -11.28 (-0.80%)
  • Jakarta Composite Index

    +70.64 (+1.06%)
  • PSE Index

    +65.81 (+1.01%)

Simon Property (SPG) Dips More Than Broader Markets: What You Should Know

Simon Property (SPG) closed at $125.19 in the latest trading session, marking a -0.21% move from the prior day. This move lagged the S&P 500's daily loss of 0.02%. Meanwhile, the Dow gained 0.03%, and the Nasdaq, a tech-heavy index, added 5.44%.

Heading into today, shares of the shopping mall real estate investment trust had gained 6.22% over the past month, outpacing the Finance sector's gain of 6.01% and the S&P 500's gain of 4.57% in that time.

Investors will be hoping for strength from Simon Property as it approaches its next earnings release, which is expected to be February 6, 2023. The company is expected to report EPS of $3.14, up 1.62% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.37 billion, up 3.05% from the prior-year quarter.

Any recent changes to analyst estimates for Simon Property should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.08% higher within the past month. Simon Property currently has a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Simon Property has a Forward P/E ratio of 10.35 right now. Its industry sports an average Forward P/E of 13.78, so we one might conclude that Simon Property is trading at a discount comparatively.

Also, we should mention that SPG has a PEG ratio of 2.72. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The REIT and Equity Trust - Retail was holding an average PEG ratio of 2.35 at yesterday's closing price.

The REIT and Equity Trust - Retail industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 151, which puts it in the bottom 41% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow SPG in the coming trading sessions, be sure to utilize

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Simon Property Group, Inc. (SPG) : Free Stock Analysis Report

To read this article on click here.

Zacks Investment Research