SPG boosts leasing and expands mixed-use assets as it navigates e-commerce pressure and high interest rates.
SPG is set to gain from its portfolio of premium assets, focus on omnichannel retailing and strategic buyouts.
Simon Property (SPG) reported earnings 30 days ago. What's next for the stock?
Simon Property sees leasing momentum and dividend growth, but e-commerce and high rates weigh on investor sentiment.
The yield to call on SPG.PR.J is only 1.77%, it is trading above its par value and can be called back in 2027. Despite Simon Property Group's strong fundamentals and credit ratings, the preferred stock is overvalued relative to its potential return. I rate SPG.PR.J a strong sell, as its current valuation offers little upside and significant downside if called at par.
Simon Property Group has seen material stock price volatility this year as the market frets over the possibility of tariffs sparking downstream inflation. The Class A mall REIT is set to pay out 67.3% of its 2025 FFO guidance midpoint as a dividend. The dividend yield sits at 5.15%. Low fixed-rate debt has provided SPG with an incredible backdrop for back-to-back dividend raises since the pandemic. This should continue at a slower pace.
SPG's Q1 results reflect higher revenues supported by high occupancy and a rise in rent per square foot.
The Trump administration's elimination of the de minimis exemption will be great for American retailers, Simon Property Group Chairman, CEO and President David Simon said Monday (May 12). The de minimis exemption, which was a longstanding rule that allowed packages worth less than $800 to enter the U.S.
Simon Property Group, Inc. (NYSE:SPG ) Q1 2025 Earnings Conference Call May 12, 2025 5:00 PM ET Company Participants Thomas Ward - Senior Vice President, Investor Relations David Simon - Chairman, Chief Executive Officer and President Brian McDade - Executive Vice President and Chief Financial Officer Conference Call Participants Steve Sakwa - Evercore ISI Craig Mailman - Citi Samir Khanal - Bank of America Michael Goldsmith - UBS Alexander Goldfarb - Piper Sandler Caitlin Burrows - Goldman Sachs Greg McGinniss - Scotiabank Floris van Dijkum - Compass Point Vince Tibone - Green Street Michael Muller - JPMorgan Ronald Kamdem - Morgan Stanley Ravi Vaidya - Mizuho Securities Linda Tsai - Jefferies Omotayo Okusanya - Deutsche Bank Operator Greetings and welcome to the Simon Property Group First Quarter 2025 Earnings Conference Call. At this time, all participants are in a listen-only mode.
Although the revenue and EPS for Simon Property (SPG) give a sense of how its business performed in the quarter ended March 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Simon Property (SPG) came out with quarterly funds from operations (FFO) of $2.95 per share, beating the Zacks Consensus Estimate of $2.91 per share. This compares to FFO of $3.56 per share a year ago.
While SPG is poised to benefit from the healthy demand for retail assets, high interest expenses are likely to have acted as a spoilsport.