On the fundamentals, this company delivered an excellent quarter. They saw growth in sales for tenants, growth in rent, beat on FFO, raised guidance, and raised dividends. Its success is contrary to the narrative surrounding retail. I rarely share my top ideas for free.
Simon Property Group (SPG) delivered an excellent third quarter. Q3 FFO comes in at $2.89 per share. That’s up from $2.70 per share a year ago and beats estimates of $2.87. New guidance for the year comes in at “$11.17 to $11.22”. The old guidance was "$11.14 to $11.22”. Simon’s guidance for FFO includes negative non-recurring impacts of $.36 for the extinguishment of debt in Q2 2017 which would be stripped out in AFFO. The dividend goes up to $1.85 from $1.80 in the prior quarter. The market reacts by dropping SPG about 3.8% (as of writing). SPG’s performance should be a huge positive factor for the sector since it is the largest mall REIT by a substantial margin. On the earnings call, transcripts not yet available, SPG’s management referenced retail sales figures stating “…absolutely an underreporting going on”. They are arguing that the transition to online sales is not as fast as it seems because tenants have an incentive to report their transactions as online sales.
Source: Seeking Alpha
Related Articles:
- The Magnificent Marvelous Money Machine
- 5 Five-Star Dividend Stocks
- My Top 3 Investing Mistakes
- 6 Stocks Currently Trading Below their Fair Value
- The Wit and Wisdom of Warren Buffett
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
So, stocks are the place to go. But which stocks? While the market is clearly the place to go for strong returns, investors have different p...
-
Strange but true: seniors fear death less than running out of money in retirement. So what's a retiree to do? You could cut your expense...
-
Over the past few years, dozens of companies have recognized this cash flow conundrum. So in an effort to support their shareholders, some b...
-
If you're anticipating a long retirement, you'll want to remain invested in stocks to give your money a chance of outpacing inflatio...
-
One way to identify suitable candidates is to look for stocks with an average dividend yield of 3%, and positive average annual dividend gro...
-
Exxon Mobil Corporation (NYSE:XOM) stock is trading at the same level as it was during the beginning of 2019. Even with company-specific pos...
-
When writing this article, I was looking for an ideal list of dividend-paying stocks that consistently raise their dividends each year. In a...
-
A different approach is to focus on the payout. However, it’s important not to simply invest in companies that offer the largest payout. Tha...
-
As a new decade approaches, it's a good time to think about putting a few stocks in your portfolio that can stand the test of time, pote...
-
One of the Best Dividend Stocks of the Past Decade. If you ask most people to name the best dividend stocks, they’ll rattle off a similar li...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.