SIMON PROPERTY GROUP INC (SPG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SPG - US8288061091 - REIT
184.93 USD
-0.14 (-0.08%)
184.748 USD
-0.18 (-0.1%)
SPG gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 128 industry peers in the Diversified REITs industry. While SPG belongs to the best of the industry regarding profitability, there are concerns on its financial health. SPG is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
SPG had positive earnings in the past year.
SPG had a positive operating cash flow in the past year.
Each year in the past 5 years SPG has been profitable.
SPG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SPG has a Return On Assets of 6.68%. This is amongst the best in the industry. SPG outperforms 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 95.47%, SPG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
SPG has a better Return On Invested Capital (8.31%) than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SPG is above the industry average of 3.05%.
The last Return On Invested Capital (8.31%) for SPG is above the 3 year average (7.62%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.68% | ||
| ROE | 95.47% | ||
| ROIC | 8.31% |
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
Looking at the Profit Margin, with a value of 36.44%, SPG belongs to the top of the industry, outperforming 89.84% of the companies in the same industry.
SPG's Profit Margin has improved in the last couple of years.
SPG has a Operating Margin of 50.70%. This is amongst the best in the industry. SPG outperforms 92.19% of its industry peers.
In the last couple of years the Operating Margin of SPG has remained more or less at the same level.
The Gross Margin of SPG (81.99%) is better than 82.03% of its industry peers.
SPG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 50.7% | ||
| PM (TTM) | 36.44% | ||
| GM | 81.99% |
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.
The number of shares outstanding for SPG remains at a similar level compared to 1 year ago.
The number of shares outstanding for SPG has been increased compared to 5 years ago.
Compared to 1 year ago, SPG has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.30, we must say that SPG is in the distress zone and has some risk of bankruptcy.
SPG has a Altman-Z score of 1.30. This is amongst the best in the industry. SPG outperforms 85.94% of its industry peers.
The Debt to FCF ratio of SPG is 8.26, which is on the high side as it means it would take SPG, 8.26 years of fcf income to pay off all of its debts.
SPG has a better Debt to FCF ratio (8.26) than 94.53% of its industry peers.
SPG has a Debt/Equity ratio of 10.98. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of SPG (10.98) is worse than 94.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 10.98 | ||
| Debt/FCF | 8.26 | ||
| Altman-Z | 1.3 |
ROIC/WACC1.18
WACC7.05%
2.3 Liquidity
SPG has a Current Ratio of 0.60. This is a bad value and indicates that SPG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.60, SPG is doing worse than 76.56% of the companies in the same industry.
A Quick Ratio of 0.60 indicates that SPG may have some problems paying its short term obligations.
SPG has a worse Quick ratio (0.60) than 75.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
The earnings per share for SPG have decreased by -8.52% in the last year.
Measured over the past 5 years, SPG shows a small growth in Earnings Per Share. The EPS has been growing by 1.29% on average per year.
SPG shows a small growth in Revenue. In the last year, the Revenue has grown by 4.17%.
SPG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.71% yearly.
EPS 1Y (TTM)-8.52%
EPS 3Y5.29%
EPS 5Y1.29%
EPS Q2Q%27.4%
Revenue 1Y (TTM)4.17%
Revenue growth 3Y5.24%
Revenue growth 5Y0.71%
Sales Q2Q%8.44%
3.2 Future
SPG is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.33% yearly.
Based on estimates for the next years, SPG will show a small growth in Revenue. The Revenue will grow by 4.16% on average per year.
EPS Next Y-8.56%
EPS Next 2Y-1.48%
EPS Next 3Y0.15%
EPS Next 5Y-0.33%
Revenue Next Year6.35%
Revenue Next 2Y5.27%
Revenue Next 3Y4.86%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 26.92 indicates a quite expensive valuation of SPG.
SPG's Price/Earnings ratio is a bit cheaper when compared to the industry. SPG is cheaper than 67.19% of the companies in the same industry.
When comparing the Price/Earnings ratio of SPG to the average of the S&P500 Index (26.39), we can say SPG is valued inline with the index average.
SPG is valuated quite expensively with a Price/Forward Earnings ratio of 26.24.
Based on the Price/Forward Earnings ratio, SPG is valued cheaper than 82.81% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.84, SPG is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.92 | ||
| Fwd PE | 26.24 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SPG indicates a slightly more expensive valuation: SPG is more expensive than 79.69% of the companies listed in the same industry.
75.78% of the companies in the same industry are more expensive than SPG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.34 | ||
| EV/EBITDA | 18.48 |
4.3 Compensation for Growth
The excellent profitability rating of SPG may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)20.9
EPS Next 2Y-1.48%
EPS Next 3Y0.15%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.75%, SPG is a good candidate for dividend investing.
SPG's Dividend Yield is comparable with the industry average which is at 6.33.
SPG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.75% |
5.2 History
The dividend of SPG decreases each year by -0.48%.
SPG has paid a dividend for at least 10 years, which is 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
123.15% of the earnings are spent on dividend by SPG. 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.
DP123.15%
EPS Next 2Y-1.48%
EPS Next 3Y0.15%
184.93
-0.14 (-0.08%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners93.56%
Inst Owner Change1.83%
Ins Owners0.15%
Ins Owner Change-0.31%
Market Cap60.37B
Revenue(TTM)6.16B
Net Income(TTM)2.24B
Analysts74.62
Price Target198.7 (7.45%)
Short Float %1.41%
Short Ratio3.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.75% |
Yearly Dividend8.12
Dividend Growth(5Y)-0.48%
DP123.15%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.15%
Min EPS beat(2)4.67%
Max EPS beat(2)9.62%
EPS beat(4)3
Avg EPS beat(4)2.32%
Min EPS beat(4)-9.93%
Max EPS beat(4)9.62%
EPS beat(8)5
Avg EPS beat(8)10.44%
EPS beat(12)7
Avg EPS beat(12)9.49%
EPS beat(16)10
Avg EPS beat(16)8.55%
Revenue beat(2)1
Avg Revenue beat(2)-1.27%
Min Revenue beat(2)-3.94%
Max Revenue beat(2)1.39%
Revenue beat(4)2
Avg Revenue beat(4)-0.37%
Min Revenue beat(4)-3.94%
Max Revenue beat(4)1.39%
Revenue beat(8)4
Avg Revenue beat(8)-0.26%
Revenue beat(12)6
Avg Revenue beat(12)0.59%
Revenue beat(16)10
Avg Revenue beat(16)2%
PT rev (1m)2.5%
PT rev (3m)4.44%
EPS NQ rev (1m)0.1%
EPS NQ rev (3m)-0.1%
EPS NY rev (1m)1.66%
EPS NY rev (3m)1.74%
Revenue NQ rev (1m)0.66%
Revenue NQ rev (3m)0.8%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)0.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.92 | ||
| Fwd PE | 26.24 | ||
| P/S | 9.81 | ||
| P/FCF | 19.34 | ||
| P/OCF | 15.02 | ||
| P/B | 25.7 | ||
| P/tB | 25.7 | ||
| EV/EBITDA | 18.48 |
EPS(TTM)6.87
EY3.71%
EPS(NY)7.05
Fwd EY3.81%
FCF(TTM)9.56
FCFY5.17%
OCF(TTM)12.31
OCFY6.66%
SpS18.85
BVpS7.2
TBVpS7.2
PEG (NY)N/A
PEG (5Y)20.9
Graham Number33.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.68% | ||
| ROE | 95.47% | ||
| ROCE | 10.52% | ||
| ROIC | 8.31% | ||
| ROICexc | 8.77% | ||
| ROICexgc | 9.24% | ||
| OM | 50.7% | ||
| PM (TTM) | 36.44% | ||
| GM | 81.99% | ||
| FCFM | 50.71% |
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-Score4
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 10.98 | ||
| Debt/FCF | 8.26 | ||
| Debt/EBITDA | 5.63 | ||
| Cap/Depr | 61.52% | ||
| Cap/Sales | 14.58% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.75% | ||
| Profit Quality | 139.13% | ||
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 1.3 |
F-Score4
WACC7.05%
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)-8.52%
EPS 3Y5.29%
EPS 5Y1.29%
EPS Q2Q%27.4%
EPS Next Y-8.56%
EPS Next 2Y-1.48%
EPS Next 3Y0.15%
EPS Next 5Y-0.33%
Revenue 1Y (TTM)4.17%
Revenue growth 3Y5.24%
Revenue growth 5Y0.71%
Sales Q2Q%8.44%
Revenue Next Year6.35%
Revenue Next 2Y5.27%
Revenue Next 3Y4.86%
Revenue Next 5Y4.16%
EBIT growth 1Y2.34%
EBIT growth 3Y8.62%
EBIT growth 5Y1.24%
EBIT Next Year57.12%
EBIT Next 3Y19.79%
EBIT Next 5Y13.34%
FCF growth 1Y3.12%
FCF growth 3Y-0.54%
FCF growth 5Y0.85%
OCF growth 1Y5.02%
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 26.92 and the Price/Book (PB) ratio is 25.7.
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 123.15%.