Simon Property (SPG) Gains But Lags Market: What You Should Know
Simon Property (SPG) closed at $112.20 in the latest trading session, marking a +0.7% move from the prior day. This move lagged the S&P 500's daily gain of 1.68%. Elsewhere, the Dow gained 1.06%, while the tech-heavy Nasdaq lost 1.7%.
Coming into today, shares of the shopping mall real estate investment trust had lost 11.42% in the past month. In that same time, the Finance sector lost 10.86%, while the S&P 500 lost 6.68%.
Wall Street will be looking for positivity from Simon Property as it approaches its next earnings report date. The company is expected to report EPS of $2.81, up 1.08% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.32 billion, up 2.18% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.06 per share and revenue of $5.46 billion, which would represent changes of +1.6% and +3.14%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Simon Property. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.95% higher. Simon Property is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Simon Property currently has a Forward P/E ratio of 9.24. This valuation marks a discount compared to its industry's average Forward P/E of 12.1.
Also, we should mention that SPG has a PEG ratio of 2.62. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. REIT and Equity Trust - Retail stocks are, on average, holding a PEG ratio of 2.4 based on yesterday's closing prices.
The REIT and Equity Trust - Retail industry is part of the Finance sector. This group has a Zacks Industry Rank of 157, putting it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Simon Property Group, Inc. (SPG) : Free Stock Analysis Report
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