Simon Property: Earnings Scorecard – Analyst Blog

Filed in earnings, Gold Investing, lead, recession, shares, silver, ubs by on May 21, 2010 0 Comments

Simon Property Group Inc. ( SPG ), a leading real estate investment trust (REIT), reported fiscal 2010 first quarter recurring FFO (funds from operations) of $1.41 per share that well exceeded the Zacks Consensus Estimate of $0.83. Funds from operations, a widely used metric to gauge the performance of REITs, is obtained after adding depreciation and amortization and other non-cash expenses to net income. Below we will cover the results of the recent earnings announcement, subsequent analyst estimate revisions and Zacks ratings for the short term and long term outlook for the stock. Earnings Report Review During first quarter 2010, total revenue of the company increased to $925.1 million from $918.5 million in the year-earlier quarter. Occupancy in the regional malls and premium outlet centers combined portfolio was 92.2% at quarter end, compared to 92.1% in the year-ago period. Comparable sales in the combined portfolio remained unchanged during the quarter at $467 per square foot, compared to the prior year. Average rent per square feet in the combined portfolio increased marginally to $38.72, compared to $37.51 in the year-ago period. (Read our full coverage on this earnings report: Simon Property Revenue Rises ) Earnings Estimate Revisions – Overview Estimates haven’t budged for Simon Property since the earnings release, meaning that analysts were generally unmoved by this information. One could say that’s not bad news. But then again, why own a stock that is not benefiting from good news that gives it better odds to rise in the future? Let’s dig into the earnings estimate details. Agreement of Analysts Analysts in general, are in consensus about the future outlook for Simon Property’s earnings, as is visible below. Seven analysts have increased their estimates for fiscal 2010, while only 3 have reduced them. For fiscal 2011, the picture is relatively bleak, with 8 analysts raising their earnings estimates and 5 lowering them. Magnitude of Estimate Revisions Earnings estimates …

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Simon Property: Earnings Scorecard – Analyst Blog

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