A Peek at Simon Property Group's Future Earnings

Simon Property Group SPG is preparing to release its quarterly earnings on Friday, 2024-11-01. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Simon Property Group to report an earnings per share (EPS) of $3.01.

The market awaits Simon Property Group's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Performance in Previous Earnings

In the previous earnings release, the company missed EPS by $0.02, leading to a 5.06% increase in the share price the following trading session.

Here's a look at Simon Property Group's past performance and the resulting price change:

Market Performance of Simon Property Group's Stock

Shares of Simon Property Group were trading at $172.08 as of October 30. Over the last 52-week period, shares are up 45.34%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Insights Shared by Analysts on Simon Property Group

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Simon Property Group.

The consensus rating for Simon Property Group is Neutral, based on 9 analyst ratings. With an average one-year price target of $162.61, there's a potential 5.5% downside.

Comparing Ratings with Competitors

The following analysis focuses on the analyst ratings and average 1-year price targets of Realty Income, Kimco Realty and Regency Centers, three prominent industry players, providing insights into their relative performance expectations and market positioning.

• Analysts currently favor an Neutral trajectory for Realty Income, with an average 1-year price target of $64.73, suggesting a potential 62.38% downside.
• The prevailing sentiment among analysts is an Neutral trajectory for Kimco Realty, with an average 1-year price target of $24.21, implying a potential 85.93% downside.
• Regency Centers is maintaining an Outperform status according to analysts, with an average 1-year price target of $76.55, indicating a potential 55.51% downside.

Insights: Peer Analysis

In the peer analysis summary, key metrics for Realty Income, Kimco Realty and Regency Centers are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Simon Property Group ranks in the middle among its peers for Consensus. It ranks at the bottom for Revenue Growth. It ranks at the top for Gross Profit. It ranks in the middle for Return on Equity.

Unveiling the Story Behind Simon Property Group

Simon Property Group is the second-largest real estate investment trust in the United States. Its portfolio includes an interest in 230 properties: 136 traditional malls, 69 premium outlets, 14 Mills centers (a combination of a traditional mall, outlet center, and big-box retailers), 6 lifestyle centers, and 5 other retail properties. Simon's portfolio averaged $743 in sales per square foot in 2023 compared with $693 in sales per square foot over the 12 months before the pandemic. The company also owns a 22% interest in Klépierre, a European retail company with investments in shopping centers in 14 countries, and joint-venture interests in 33 premium outlets across 11 countries.

Financial Milestones: Simon Property Group's Journey

Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.

Positive Revenue Trend: Examining Simon Property Group's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 6.47% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Real Estate sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 33.84%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Simon Property Group's ROE stands out, surpassing industry averages. With an impressive ROE of 16.54%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.47%, the company showcases effective utilization of assets.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 8.89, caution is advised due to increased financial risk.

To track all earnings releases for Simon Property Group visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.