Headquartered in Indianapolis, Indiana, Simon Property Group, Inc. (SPG) is a real estate company valued at a market cap of $56.8 billion. It specializes in premier shopping, dining, and entertainment destinations. The company will release its Q4 earnings report after the market closes on Tuesday, Feb. 3.
Ahead of the event, analysts expect SPG to report an FFO of $3.40 per share, down 7.9% from $3.69 per share in the year-ago quarter. The company has surpassed Wall Street's earnings estimates in two of the last four quarters while missing on two other occasions.
For fiscal 2024, analysts expect SPG to report an FFO of $12.74, up 1.8% from $12.51 in fiscal 2023.
Over the past year, SPG has climbed 22.8%, slightly underperforming the broader S&P 500 Index's ($SPX) 24.2% gains. However, the stock has outperformed the Real Estate Select Sector SPDR Fund’s (XLRE) marginal gain over the same time frame.
SPG shares rose 2.7% on Nov. 1 after it released its fiscal Q3 earnings. Revenue increased 4.9% year-over-year to $1.48 billion, surpassing analyst expectations. Real Estate FFO grew 4.8% annually to $1.14 billion, or $3.05 per diluted share. Looking ahead, the company forecasts its 2024 net income to be between $7.18 and $7.28 per and anticipates FFO in the range of $12.80 to $12.90 per share.
The consensus opinion on SPG stock is moderately optimistic, with an overall “Moderate Buy” rating. Of 18 analysts covering the stock, seven advise a “Strong Buy” rating, and 11 indicate a “Hold.”
SPG’s mean target price of $186.58 suggests a potential upside of 6.8% from the current market prices.
