Simon Property (SPG) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Simon Property (SPG) closed at $128.61, marking a +1.8% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.25%. At the same time, the Dow added 0.08%, and the tech-heavy Nasdaq gained 7.26%.
Heading into today, shares of the shopping mall real estate investment trust had gained 7.68% over the past month, outpacing the Finance sector's gain of 7.22% and the S&P 500's gain of 5.73% in that time.
Simon Property will be looking to display strength as it nears 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.
Investors should also note any recent changes to analyst estimates for Simon Property. 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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.08% higher. Simon Property is currently a Zacks Rank #3 (Hold).
In terms of valuation, Simon Property is currently trading at a Forward P/E ratio of 10.42. This represents a discount compared to its industry's average Forward P/E of 13.76.
Also, we should mention that SPG has a PEG ratio of 2.74. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. REIT and Equity Trust - Retail stocks are, on average, holding a PEG ratio of 2.38 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 153, putting it in the bottom 40% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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 Zacks.com click here.