SIMON PROPERTY GROUP INC (SPG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SPG - US8288061091 - REIT
185.13 USD
+2.47 (+1.35%)
185.13 USD
0 (0%)
Taking everything into account, SPG scores 5 out of 10 in our fundamental rating. SPG was compared to 128 industry peers in the Diversified REITs industry. SPG scores excellent on profitability, but 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.
In the past year SPG had a positive cash flow from operations.
In the past 5 years SPG has always been profitable.
SPG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.68%, SPG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
SPG's Return On Equity of 95.47% is amongst the best of the industry. SPG outperforms 100.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.31%, 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 3.06%.
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
SPG has a better Profit Margin (36.44%) than 89.84% of its industry peers.
In the last couple of years the Profit Margin of SPG has grown nicely.
Looking at the Operating Margin, with a value of 50.70%, SPG belongs to the top of the industry, outperforming 92.19% of the companies in the same industry.
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 81.25% of its industry peers.
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 | 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SPG is still creating some value.
The number of shares outstanding for SPG remains at a similar level compared to 1 year ago.
Compared to 5 years ago, SPG has more shares outstanding
The debt/assets ratio for SPG has been reduced 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 85.94% of its industry peers.
SPG has a debt to FCF ratio of 8.26. This is a slightly negative value and a sign of low solvency as SPG would need 8.26 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 8.26, SPG belongs to the best of the industry, outperforming 94.53% of the companies in the same industry.
A Debt/Equity ratio of 10.98 is on the high side and indicates that SPG has dependencies on debt financing.
SPG has a Debt to Equity ratio of 10.98. This is amonst the worse of the industry: SPG underperforms 94.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 10.98 | ||
| Debt/FCF | 8.26 | ||
| Altman-Z | 1.31 |
ROIC/WACC1.19
WACC6.97%
2.3 Liquidity
A Current Ratio of 0.60 indicates that SPG may have some problems paying its short term obligations.
SPG has a Current ratio of 0.60. This is in the lower half of the industry: SPG underperforms 77.34% of its industry peers.
A Quick Ratio of 0.60 indicates that SPG may have some problems paying its short term obligations.
SPG has a Quick ratio of 0.60. This is in the lower half of the industry: SPG underperforms 76.56% 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.
The Earnings Per Share has been growing slightly by 1.29% on average over the past years.
The Revenue has been growing slightly by 4.17% in the past year.
The Revenue has been growing slightly by 0.71% on average over the past years.
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
The Earnings Per Share is expected to decrease by -0.33% on average over the next years.
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 26.95, which means the current valuation is very expensive for SPG.
Based on the Price/Earnings ratio, SPG is valued a bit cheaper than the industry average as 71.88% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 25.98, SPG is valued at the same level.
Based on the Price/Forward Earnings ratio of 26.69, the valuation of SPG can be described as expensive.
Based on the Price/Forward Earnings ratio, SPG is valued cheaply inside the industry as 81.25% of the companies are valued more expensively.
SPG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 35.79.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.95 | ||
| Fwd PE | 26.69 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SPG is valued more expensive than 80.47% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, SPG is valued a bit cheaper than 77.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.37 | ||
| EV/EBITDA | 18.49 |
4.3 Compensation for Growth
The excellent profitability rating of SPG may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)20.92
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 6.59, SPG has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, 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 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
SPG pays out 123.15% 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.
DP123.15%
EPS Next 2Y-2.25%
EPS Next 3Y-0.35%
185.13
+2.47 (+1.35%)
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 Change1.82%
Ins Owners0.15%
Ins Owner Change-0.34%
Market Cap60.44B
Revenue(TTM)6.16B
Net Income(TTM)2.24B
Analysts74.62
Price Target197.22 (6.53%)
Short Float %1.48%
Short Ratio3.05
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.89% |
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)2.16%
PT rev (3m)4.28%
EPS NQ rev (1m)-0.2%
EPS NQ rev (3m)-1.6%
EPS NY rev (1m)0%
EPS NY rev (3m)0.08%
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)-2.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.95 | ||
| Fwd PE | 26.69 | ||
| P/S | 9.82 | ||
| P/FCF | 19.37 | ||
| P/OCF | 15.04 | ||
| P/B | 25.72 | ||
| P/tB | 25.72 | ||
| EV/EBITDA | 18.49 |
EPS(TTM)6.87
EY3.71%
EPS(NY)6.94
Fwd EY3.75%
FCF(TTM)9.56
FCFY5.16%
OCF(TTM)12.31
OCFY6.65%
SpS18.85
BVpS7.2
TBVpS7.2
PEG (NY)N/A
PEG (5Y)20.92
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 | 1.31 |
F-Score4
WACC6.97%
ROIC/WACC1.19
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-10.06%
EPS Next 2Y-2.25%
EPS Next 3Y-0.35%
EPS Next 5Y-0.33%
Revenue 1Y (TTM)4.17%
Revenue growth 3Y5.24%
Revenue growth 5Y0.71%
Sales Q2Q%8.44%
Revenue Next Year5.8%
Revenue Next 2Y4.57%
Revenue Next 3Y4.29%
Revenue Next 5Y4.16%
EBIT growth 1Y2.34%
EBIT growth 3Y8.62%
EBIT growth 5Y1.24%
EBIT Next Year59.25%
EBIT Next 3Y19.29%
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 26.95 and the Price/Book (PB) ratio is 25.72.
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%.