2024-03-24 07:49:08 ET
Summary
- Simon Property Group has reached a valuation of over 13.5x P/AFFO at $150/share or above.
- The company's growth estimates for the next few years suggest lower-than-average rates of return.
- I now believe that SPG should be considered a target for divesting if you want a conservative growth rate in excess of double digits on a forward basis.
Dear readers/followers,
Last time around when I wrote about Simon Property Group ( SPG ) stock, I considered the company a "BUY". I've also invested in the company and hold a stake for over a year now, with a very good annualized RoR.
Now, however, the company has reached a bit of a "level" where we will want to see if there's further upside to be had. And as you can tell from the title here, I consider that not to be the case, necessarily. In this article, we'll look at what sort of returns you can expect for the next few years if the valuations hold and are not outperformed....
Read the full article on Seeking Alpha
For further details see:
Simon Property Group: I'd Be Careful Here Due To Valuation (Rating Downgrade)