SIMON PROPERTY GROUP INC (SPG) Stock Fundamental Analysis
NYSE:SPG - New York Stock Exchange, Inc. - US8288061091 - REIT
Taking everything into account, SPG scores 5 out of 10 in our fundamental rating. SPG was compared to 129 industry peers in the Diversified REITs industry. SPG has an excellent profitability rating, but there are concerns on its financial health. SPG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SPG was profitable.
SPG had a positive operating cash flow in the past year.
In the past 5 years SPG has always been profitable.
In the past 5 years SPG always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.36%, SPG belongs to the top of the industry, outperforming 98.41% of the companies in the same industry.
The Return On Equity of SPG (90.22%) is better than 100.00% of its industry peers.
The Return On Invested Capital of SPG (8.19%) is better than 99.21% of its industry peers.
SPG had an Average Return On Invested Capital over the past 3 years of 6.86%. This is above the industry average of 3.11%.
The 3 year average ROIC (6.86%) for SPG is below the current ROIC(8.19%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.36% | ||
| ROE | 90.22% | ||
| ROIC | 8.19% |
ROA(3y)6.59%
ROA(5y)5.94%
ROE(3y)70.1%
ROE(5y)65.97%
ROIC(3y)6.86%
ROIC(5y)6.78%
1.3 Margins
With an excellent Profit Margin value of 41.43%, SPG belongs to the best of the industry, outperforming 92.06% of the companies in the same industry.
In the last couple of years the Profit Margin of SPG has remained more or less at the same level.
SPG's Operating Margin of 51.60% is amongst the best of the industry. SPG outperforms 92.06% of its industry peers.
In the last couple of years the Operating Margin of SPG has remained more or less at the same level.
Looking at the Gross Margin, with a value of 82.62%, SPG belongs to the top of the industry, outperforming 82.54% of the companies in the same industry.
In the last couple of years the Gross Margin of SPG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 51.6% | ||
| PM (TTM) | 41.43% | ||
| GM | 82.62% |
OM growth 3Y5.04%
OM growth 5Y-0.88%
PM growth 3Y18.72%
PM growth 5Y-1.37%
GM growth 3Y0.44%
GM growth 5Y-0.08%
2. Health
2.1 Basic Checks
SPG has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for SPG has been reduced compared to 1 year ago.
Compared to 5 years ago, SPG has more shares outstanding
The debt/assets ratio for SPG is higher compared to a year ago.
2.2 Solvency
SPG has an Altman-Z score of 1.31. This is a bad value and indicates that SPG is not financially healthy and even has some risk of bankruptcy.
SPG's Altman-Z score of 1.31 is amongst the best of the industry. SPG outperforms 82.54% of its industry peers.
The Debt to FCF ratio of SPG is 8.33, which is on the high side as it means it would take SPG, 8.33 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.33, SPG belongs to the top of the industry, outperforming 92.06% of the companies in the same industry.
SPG has a Debt/Equity ratio of 9.37. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 9.37, SPG is not doing good in the industry: 94.44% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.37 | ||
| Debt/FCF | 8.33 | ||
| Altman-Z | 1.31 |
ROIC/WACC1.13
WACC7.22%
2.3 Liquidity
SPG has a Current Ratio of 0.76. This is a bad value and indicates that SPG is not financially healthy enough and could expect problems in meeting its short term obligations.
SPG has a worse Current ratio (0.76) than 73.81% of its industry peers.
A Quick Ratio of 0.76 indicates that SPG may have some problems paying its short term obligations.
SPG's Quick ratio of 0.76 is on the low side compared to the rest of the industry. SPG is outperformed by 70.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.26% over the past year.
Measured over the past years, SPG shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.40% on average per year.
The Revenue has been growing slightly by 6.83% in the past year.
SPG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.05% yearly.
EPS 1Y (TTM)11.26%
EPS 3Y21.83%
EPS 5Y-1.4%
EPS Q2Q%-19.78%
Revenue 1Y (TTM)6.83%
Revenue growth 3Y7.09%
Revenue growth 5Y0.05%
Sales Q2Q%3.16%
3.2 Future
The Earnings Per Share is expected to grow by 0.24% on average over the next years.
SPG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.88% yearly.
EPS Next Y-3.27%
EPS Next 2Y-4.13%
EPS Next 3Y-1.34%
EPS Next 5Y0.24%
Revenue Next Year4.28%
Revenue Next 2Y3.7%
Revenue Next 3Y3.62%
Revenue Next 5Y3.88%
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 accelerating.
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
Based on the Price/Earnings ratio of 23.43, the valuation of SPG can be described as rather expensive.
Based on the Price/Earnings ratio, SPG is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of SPG to the average of the S&P500 Index (28.29), we can say SPG is valued inline with the index average.
The Price/Forward Earnings ratio is 27.43, which means the current valuation is very expensive for SPG.
SPG's Price/Forward Earnings ratio is rather cheap when compared to the industry. SPG is cheaper than 80.16% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 24.44. SPG is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.43 | ||
| Fwd PE | 27.43 |
4.2 Price Multiples
SPG's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. SPG is more expensive than 79.37% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, SPG is valued a bit cheaper than 74.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.82 | ||
| EV/EBITDA | 18.39 |
4.3 Compensation for Growth
SPG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.13%
EPS Next 3Y-1.34%
5. Dividend
5.1 Amount
SPG has a Yearly Dividend Yield of 4.86%, which is a nice return.
SPG's Dividend Yield is comparable with the industry average which is at 18.51.
SPG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.86% |
5.2 History
The dividend of SPG decreases each year by -1.11%.
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)-1.11%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
SPG pays out 105.44% of its income as dividend. This is not a sustainable payout ratio.
DP105.44%
EPS Next 2Y-4.13%
EPS Next 3Y-1.34%
SIMON PROPERTY GROUP INC
NYSE:SPG (1/21/2025, 8:04:00 PM)
After market: 175.96 0 (0%)175.96
+1.82 (+1.05%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners89.08%
Inst Owner Change-0.05%
Ins Owners0.16%
Ins Owner Change4.02%
Market Cap57.41B
Analysts72.17
Price Target187.84 (6.75%)
Short Float %1.49%
Short Ratio3.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.86% |
Yearly Dividend7.48
Dividend Growth(5Y)-1.11%
DP105.44%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.39%
Min EPS beat(2)-8.04%
Max EPS beat(2)-0.73%
EPS beat(4)2
Avg EPS beat(4)18.56%
Min EPS beat(4)-8.04%
Max EPS beat(4)61.43%
EPS beat(8)4
Avg EPS beat(8)13.07%
EPS beat(12)7
Avg EPS beat(12)10.62%
EPS beat(16)10
Avg EPS beat(16)17.45%
Revenue beat(2)2
Avg Revenue beat(2)0.06%
Min Revenue beat(2)0.06%
Max Revenue beat(2)0.06%
Revenue beat(4)2
Avg Revenue beat(4)-0.15%
Min Revenue beat(4)-0.7%
Max Revenue beat(4)0.06%
Revenue beat(8)4
Avg Revenue beat(8)1.08%
Revenue beat(12)8
Avg Revenue beat(12)2.79%
Revenue beat(16)12
Avg Revenue beat(16)4.06%
PT rev (1m)4.1%
PT rev (3m)10.1%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.27%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.52%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.43 | ||
| Fwd PE | 27.43 | ||
| P/S | 9.72 | ||
| P/FCF | 18.82 | ||
| P/OCF | 15.25 | ||
| P/B | 21.16 | ||
| P/tB | 21.16 | ||
| EV/EBITDA | 18.39 |
EPS(TTM)7.51
EY4.27%
EPS(NY)6.42
Fwd EY3.65%
FCF(TTM)9.35
FCFY5.31%
OCF(TTM)11.54
OCFY6.56%
SpS18.11
BVpS8.32
TBVpS8.32
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.36% | ||
| ROE | 90.22% | ||
| ROCE | 10.37% | ||
| ROIC | 8.19% | ||
| ROICexc | 8.85% | ||
| ROICexgc | 8.85% | ||
| OM | 51.6% | ||
| PM (TTM) | 41.43% | ||
| GM | 82.62% | ||
| FCFM | 51.61% |
ROA(3y)6.59%
ROA(5y)5.94%
ROE(3y)70.1%
ROE(5y)65.97%
ROIC(3y)6.86%
ROIC(5y)6.78%
ROICexc(3y)7.04%
ROICexc(5y)6.96%
ROICexgc(3y)7.05%
ROICexgc(5y)6.98%
ROCE(3y)8.68%
ROCE(5y)8.58%
ROICexcg growth 3Y13.37%
ROICexcg growth 5Y-2.21%
ROICexc growth 3Y13.4%
ROICexc growth 5Y-2.12%
OM growth 3Y5.04%
OM growth 5Y-0.88%
PM growth 3Y18.72%
PM growth 5Y-1.37%
GM growth 3Y0.44%
GM growth 5Y-0.08%
F-Score8
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.37 | ||
| Debt/FCF | 8.33 | ||
| Debt/EBITDA | 5.79 | ||
| Cap/Depr | 53.51% | ||
| Cap/Sales | 12.12% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 85.84% | ||
| Profit Quality | 124.6% | ||
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 1.31 |
F-Score8
WACC7.22%
ROIC/WACC1.13
Cap/Depr(3y)49.87%
Cap/Depr(5y)49.63%
Cap/Sales(3y)12.21%
Cap/Sales(5y)12.47%
Profit Quality(3y)140.65%
Profit Quality(5y)145.56%
High Growth Momentum
Growth
EPS 1Y (TTM)11.26%
EPS 3Y21.83%
EPS 5Y-1.4%
EPS Q2Q%-19.78%
EPS Next Y-3.27%
EPS Next 2Y-4.13%
EPS Next 3Y-1.34%
EPS Next 5Y0.24%
Revenue 1Y (TTM)6.83%
Revenue growth 3Y7.09%
Revenue growth 5Y0.05%
Sales Q2Q%3.16%
Revenue Next Year4.28%
Revenue Next 2Y3.7%
Revenue Next 3Y3.62%
Revenue Next 5Y3.88%
EBIT growth 1Y12.97%
EBIT growth 3Y12.49%
EBIT growth 5Y-0.83%
EBIT Next Year77.28%
EBIT Next 3Y23.49%
EBIT Next 5Y15.9%
FCF growth 1Y-3.04%
FCF growth 3Y19.41%
FCF growth 5Y1.11%
OCF growth 1Y1.25%
OCF growth 3Y19.1%
OCF growth 5Y0.94%