Simon Property Stock in Brief

By Ken Smith • Saturday, December 31 12:00 • Permanent Link

As of Friday, Simon Property is trading at a price of $117.48 per share. The S&P 500 index moved -0.3% and the Nasdaq posted a -0.1% change. SPG's trading volume is 1,205,247 compared to the stock's average volume of 1,822,423.

Simon Property shares moved -26.7% over the last 52 weeks, with a high of $165.83 and a low of $86.02. During this time, the stock lagged the S&P 500 index by -6.8%. As of January 2022, the company's 50-day average price is $115.2674. Simon is a real estate investment trust engaged in the ownership of premier shopping, dining, entertainment and mixed-use destinations and an S&P 100 company (Simon Property Group, NYSE: SPG). The large-cap Real Estate company has 2,400 full time employees and is based in Indianapolis, IN. Simon Property has returned a 5.8% dividend yield over the last 12 months.

Simon Property Is Overvalued:

Compared to the Real Estate sector's average of 27.16, Simon Property has a trailing twelve month price to earnings (P/E) ratio of 19.6 and, based on its EPS guidance of 6.38, an expected P/E ratio of 18.4.

The firm's price to earnings growth (PEG) is 2.2, which indicates that it is overvalued in terms of its expected rate of earnings growth.

Simon Property's price to book (P/B) ratio is 12.9 compared to its sector average of 2.39. The company is likley overvalued in terms of its net tangible assets. As of the date of publication, the company's shares are trading 234.9% above their fair value as expressed by Benjamin Graham's formula:

√(22.5 * TTM earnings per share * book value per share) = √(22.5 * 6 * 9.114) = $35.08

Simon Property Is the Subject of Mixed Market Indicators:

15 analysts are following Simon Property and have set target prices ranging from $98 to $160 per share. On average, they have given the company a rating of buy. At the current price of $117.48, SPG is trading -5.87% away from its average analyst target price of $124.8 per share, implying an analyst consensus of some upside potential for the stock.

The company has an average amount of shares sold short since 3.0% of the company's shares are tied to short positions. Institutions own 83.0% of Simon Property's shares, while the insider ownership rate stands at 0.46%. The biggest shareholder is the Vanguard Group, Inc. with a 15% stake in the company worth approximately $5,699,247,488.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.