SIMON PROPERTY GROUP INC (SPG) Stock Fundamental Analysis
USA - NYSE:SPG - US8288061091 - REIT
182.59 USD
+5.92 (+3.35%)
183.092 USD
+0.5 (+0.27%)
Taking everything into account, SPG scores 5 out of 10 in our fundamental rating. SPG was compared to 127 industry peers in the Diversified REITs industry. SPG scores excellent on profitability, but there are concerns on its financial health. SPG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SPG had positive earnings in the past year.
In the past year SPG had a positive cash flow from operations.
Each year in the past 5 years SPG has been profitable.
In the past 5 years SPG always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of SPG (6.34%) is better than 98.43% of its industry peers.
Looking at the Return On Equity, with a value of 86.16%, SPG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.26%, SPG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for SPG is above the industry average of 3.07%.
The 3 year average ROIC (7.62%) for SPG is below the current ROIC(8.26%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.34% | ||
| ROE | 86.16% | ||
| ROIC | 8.26% |
ROA(3y)6.81%
ROA(5y)6.05%
ROE(3y)74.65%
ROE(5y)65.46%
ROIC(3y)7.62%
ROIC(5y)6.84%
1.3 Margins
The Profit Margin of SPG (35.00%) is better than 88.19% of its industry peers.
SPG's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 50.96%, SPG belongs to the best of the industry, outperforming 92.13% of the companies in the same industry.
SPG's Operating Margin has been stable in the last couple of years.
The Gross Margin of SPG (82.17%) is better than 81.89% of its industry peers.
SPG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 50.96% | ||
| PM (TTM) | 35% | ||
| GM | 82.17% |
OM growth 3Y3.22%
OM growth 5Y0.52%
PM growth 3Y-3.3%
PM growth 5Y1.72%
GM growth 3Y0.61%
GM growth 5Y0.06%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SPG is creating some value.
Compared to 1 year ago, SPG has about the same amount of shares outstanding.
SPG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for SPG has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.25, we must say that SPG is in the distress zone and has some risk of bankruptcy.
With an excellent Altman-Z score value of 1.25, SPG belongs to the best of the industry, outperforming 83.46% of the companies in the same industry.
SPG has a debt to FCF ratio of 8.08. This is a slightly negative value and a sign of low solvency as SPG would need 8.08 years to pay back of all of its debts.
SPG's Debt to FCF ratio of 8.08 is amongst the best of the industry. SPG outperforms 93.70% of its industry peers.
SPG has a Debt/Equity ratio of 10.36. This is a high value indicating a heavy dependency on external financing.
SPG's Debt to Equity ratio of 10.36 is on the low side compared to the rest of the industry. SPG is outperformed by 94.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 10.36 | ||
| Debt/FCF | 8.08 | ||
| Altman-Z | 1.25 |
ROIC/WACC1.18
WACC7.02%
2.3 Liquidity
SPG has a Current Ratio of 0.52. This is a bad value and indicates that SPG is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.52, SPG is not doing good in the industry: 80.31% of the companies in the same industry are doing better.
A Quick Ratio of 0.52 indicates that SPG may have some problems paying its short term obligations.
The Quick ratio of SPG (0.52) is worse than 77.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.59% over the past year.
The Earnings Per Share has been growing slightly by 1.29% on average over the past years.
Looking at the last year, SPG shows a small growth in Revenue. The Revenue has grown by 5.39% in the last year.
SPG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.71% yearly.
EPS 1Y (TTM)9.59%
EPS 3Y5.29%
EPS 5Y1.29%
EPS Q2Q%120.55%
Revenue 1Y (TTM)5.39%
Revenue growth 3Y5.24%
Revenue growth 5Y0.71%
Sales Q2Q%19.54%
3.2 Future
Based on estimates for the next years, SPG will show a decrease in Earnings Per Share. The EPS will decrease by -0.33% on average per year.
The Revenue is expected to grow by 4.16% on average over the next years.
EPS Next Y-10.06%
EPS Next 2Y-2.25%
EPS Next 3Y-0.35%
EPS Next 5Y-0.33%
Revenue Next Year5.8%
Revenue Next 2Y4.57%
Revenue Next 3Y4.29%
Revenue Next 5Y4.16%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 22.19, which indicates a rather expensive current valuation of SPG.
Based on the Price/Earnings ratio, SPG is valued a bit cheaper than 79.53% of the companies in the same industry.
SPG's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.03.
Based on the Price/Forward Earnings ratio of 26.32, the valuation of SPG can be described as expensive.
83.46% of the companies in the same industry are more expensive than SPG, based on the Price/Forward Earnings ratio.
SPG's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.19 | ||
| Fwd PE | 26.32 |
4.2 Price Multiples
81.89% of the companies in the same industry are cheaper than SPG, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SPG indicates a somewhat cheap valuation: SPG is cheaper than 77.17% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.97 | ||
| EV/EBITDA | 18.18 |
4.3 Compensation for Growth
The excellent profitability rating of SPG may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)17.23
EPS Next 2Y-2.25%
EPS Next 3Y-0.35%
5. Dividend
5.1 Amount
SPG has a Yearly Dividend Yield of 4.89%, which is a nice return.
Compared to an average industry Dividend Yield of 6.33, SPG has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, SPG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.89% |
5.2 History
The dividend of SPG decreases each year by -0.48%.
SPG has been paying a dividend for at least 10 years, so it has a reliable track record.
SPG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-0.48%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
SPG pays out 129.23% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of SPG has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP129.23%
EPS Next 2Y-2.25%
EPS Next 3Y-0.35%
182.59
+5.92 (+3.35%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners92.04%
Inst Owner Change-0.55%
Ins Owners0.15%
Ins Owner Change0.32%
Market Cap59.61B
Revenue(TTM)5.96B
Net Income(TTM)2.11B
Analysts74.62
Price Target193.85 (6.17%)
Short Float %1.6%
Short Ratio3.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.89% |
Yearly Dividend8.12
Dividend Growth(5Y)-0.48%
DP129.23%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.63%
Min EPS beat(2)-9.93%
Max EPS beat(2)4.67%
EPS beat(4)2
Avg EPS beat(4)-2.09%
Min EPS beat(4)-9.93%
Max EPS beat(4)4.92%
EPS beat(8)5
Avg EPS beat(8)11.3%
EPS beat(12)7
Avg EPS beat(12)9.82%
EPS beat(16)10
Avg EPS beat(16)11.77%
Revenue beat(2)0
Avg Revenue beat(2)-2.14%
Min Revenue beat(2)-3.94%
Max Revenue beat(2)-0.33%
Revenue beat(4)2
Avg Revenue beat(4)-0.71%
Min Revenue beat(4)-3.94%
Max Revenue beat(4)1.38%
Revenue beat(8)4
Avg Revenue beat(8)-0.28%
Revenue beat(12)6
Avg Revenue beat(12)0.97%
Revenue beat(16)10
Avg Revenue beat(16)2.57%
PT rev (1m)1.89%
PT rev (3m)3.73%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.94%
EPS NY rev (1m)0%
EPS NY rev (3m)0.54%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.05%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)-1.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.19 | ||
| Fwd PE | 26.32 | ||
| P/S | 9.88 | ||
| P/FCF | 18.97 | ||
| P/OCF | 14.83 | ||
| P/B | 24.32 | ||
| P/tB | 24.32 | ||
| EV/EBITDA | 18.18 |
EPS(TTM)8.23
EY4.51%
EPS(NY)6.94
Fwd EY3.8%
FCF(TTM)9.63
FCFY5.27%
OCF(TTM)12.32
OCFY6.75%
SpS18.48
BVpS7.51
TBVpS7.51
PEG (NY)N/A
PEG (5Y)17.23
Graham Number37.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.34% | ||
| ROE | 86.16% | ||
| ROCE | 10.46% | ||
| ROIC | 8.26% | ||
| ROICexc | 8.62% | ||
| ROICexgc | 9.05% | ||
| OM | 50.96% | ||
| PM (TTM) | 35% | ||
| GM | 82.17% | ||
| FCFM | 52.08% |
ROA(3y)6.81%
ROA(5y)6.05%
ROE(3y)74.65%
ROE(5y)65.46%
ROIC(3y)7.62%
ROIC(5y)6.84%
ROICexc(3y)7.91%
ROICexc(5y)7.07%
ROICexgc(3y)7.92%
ROICexgc(5y)7.08%
ROCE(3y)9.64%
ROCE(5y)8.65%
ROICexgc growth 3Y12.01%
ROICexgc growth 5Y1.19%
ROICexc growth 3Y12.04%
ROICexc growth 5Y1.24%
OM growth 3Y3.22%
OM growth 5Y0.52%
PM growth 3Y-3.3%
PM growth 5Y1.72%
GM growth 3Y0.61%
GM growth 5Y0.06%
F-Score5
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 10.36 | ||
| Debt/FCF | 8.08 | ||
| Debt/EBITDA | 5.64 | ||
| Cap/Depr | 61.61% | ||
| Cap/Sales | 14.56% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 89.33% | ||
| Profit Quality | 148.78% | ||
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 1.25 |
F-Score5
WACC7.02%
ROIC/WACC1.18
Cap/Depr(3y)55.12%
Cap/Depr(5y)48.18%
Cap/Sales(3y)12.99%
Cap/Sales(5y)11.96%
Profit Quality(3y)137.57%
Profit Quality(5y)143.45%
High Growth Momentum
Growth
EPS 1Y (TTM)9.59%
EPS 3Y5.29%
EPS 5Y1.29%
EPS Q2Q%120.55%
EPS Next Y-10.06%
EPS Next 2Y-2.25%
EPS Next 3Y-0.35%
EPS Next 5Y-0.33%
Revenue 1Y (TTM)5.39%
Revenue growth 3Y5.24%
Revenue growth 5Y0.71%
Sales Q2Q%19.54%
Revenue Next Year5.8%
Revenue Next 2Y4.57%
Revenue Next 3Y4.29%
Revenue Next 5Y4.16%
EBIT growth 1Y3.35%
EBIT growth 3Y8.62%
EBIT growth 5Y1.24%
EBIT Next Year59.25%
EBIT Next 3Y19.29%
EBIT Next 5Y13.34%
FCF growth 1Y1.24%
FCF growth 3Y-0.54%
FCF growth 5Y0.85%
OCF growth 1Y4.93%
OCF growth 3Y1.6%
OCF growth 5Y0.04%
SIMON PROPERTY GROUP INC / SPG FAQ
Can you provide the ChartMill fundamental rating for SIMON PROPERTY GROUP INC?
ChartMill assigns a fundamental rating of 5 / 10 to SPG.
What is the valuation status for SPG stock?
ChartMill assigns a valuation rating of 4 / 10 to SIMON PROPERTY GROUP INC (SPG). This can be considered as Fairly Valued.
What is the profitability of SPG stock?
SIMON PROPERTY GROUP INC (SPG) has a profitability rating of 9 / 10.
What are the PE and PB ratios of SIMON PROPERTY GROUP INC (SPG) stock?
The Price/Earnings (PE) ratio for SIMON PROPERTY GROUP INC (SPG) is 22.19 and the Price/Book (PB) ratio is 24.32.
Is the dividend of SIMON PROPERTY GROUP INC sustainable?
The dividend rating of SIMON PROPERTY GROUP INC (SPG) is 5 / 10 and the dividend payout ratio is 129.23%.