Simon Property Receives a Hold from MLV & Co.

By George MacDonald

MLV & Co. analyst Paul Morgan reiterated a Hold rating on Simon Property (NYSE: SPG) today and set a price target of $207. The company’s shares opened today at $198.66, close to its 52-week high of $206.31.

Morgan observed, “Simon Property posted a solidly in-line Q4 FFO/sh of $2.47, despite a 4c/sh negative currency and debt tender impact. Occupancy hit another record at 97.1% occupancy (+20bps q/q), though lease spreads dipped modestly to +16.6%, the lowest level since 3Q13. Strong ss-NOI growth and accretive refinancing activity support today’s 8% dividend increase, which management suggested could rise again in 2015. FFO guidance for 2015 of $9.60-$9.70/sh is light relative to the Street’s $9.81, though this should be unsurprising given management’s track record of boosting guidance throughout the year.”

Simon Property has an analyst consensus of Strong Buy, with a price target consensus of $206.

The company has a one year high of $206.31 and a one year low of $150.41. Currently, Simon Property has an average volume of 1.41M.

According to TipRanks, Morgan is a 4-star analyst with an average return of 15.2% and a 100.0% success rate. Morgan covers the Financial sector, focusing on stocks such as Rouse Properties Inc. Common S, Sabra Healthcare REIT, and American Assets Trust.

Simon Property Group Inc is real estate investment trust. It owns, develops and manages retail real estate properties such as malls, outlets and community and lifestyle centers.