Simon Property (SPG) closed the most recent trading day at $110.16, moving +0.55% from the previous trading session. At the same time, the Dow added 0.29%, and the tech-heavy Nasdaq gained 1.92%.
Coming into today, shares of the shopping mall real estate investment trust had lost 1.67% in the past month. In that same time, the Finance sector gained 0.25%, while the S&P 500 gained 6.51%.
Simon Property will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.80, up 0.72% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.34 billion, up 3.12% from the year-ago period.
SPG's full-year Zacks Consensus Estimates are calling for earnings of $12.03 per share and revenue of $5.49 billion. These results would represent year-over-year changes of +1.35% and +3.76%, respectively.
Any recent changes to analyst estimates for Simon Property should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.22% lower. Simon Property currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Simon Property is currently trading at a Forward P/E ratio of 9.1. For comparison, its industry has an average Forward P/E of 12.53, which means Simon Property is trading at a discount to the group.
We can also see that SPG currently has a PEG ratio of 2.58. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The REIT and Equity Trust - Retail was holding an average PEG ratio of 2.55 at yesterday's closing price.
The REIT and Equity Trust - Retail industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 97, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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