Groupe la Francaise has significantly increased its investment in Simon Property Group, Inc. (NYSE: SPG) by acquiring an additional 9,658 shares during the second quarter of 2023. This move raises its total ownership to 43,658 shares, marking a 28.4% boost in its stake. According to the company’s latest filing with the Securities and Exchange Commission, these holdings are valued at approximately $6,990,000.
A number of other institutional investors have also made strategic moves regarding Simon Property Group. Highland Capital Management LLC purchased a new stake in the company during the second quarter, valued at about $1,196,000. Meanwhile, Capital Advisors Inc. increased its position by 0.5%, now owning 393,756 shares worth $63,300,000 after acquiring an additional 2,064 shares. Similarly, Nordea Investment Management AB enhanced its holdings by 5.7%, bringing its total to 29,781 shares, valued at $4,731,000.
Geode Capital Management LLC also raised its stake by 1.3%, now owning 9,592,471 shares worth an impressive $1,536,565,000. Additionally, MinichMacGregor Wealth Management LLC entered the market with a new position valued at approximately $283,000. Collectively, institutional investors and hedge funds now control 93.01% of Simon Property Group’s stock.
Insider Activity and Financial Performance
In related news, insider transactions indicate that directors are optimistic about the company’s future. On September 30, 2023, Director Reuben S. Leibowitz purchased 464 shares for an average price of $185.95 each, totaling $86,280.80. Following this transaction, his ownership increased to 58,659 shares, valued at approximately $10,907,641.05. Another director, Larry C. Glasscock, also acquired 351 shares at the same average price, worth $65,268.45, increasing his holdings to 43,536 shares valued at around $8,095,519.20. In the last 90 days, insiders purchased a total of 2,121 shares valued at $394,400, with corporate insiders now owning 8.66% of the company’s stock.
Simon Property Group has recently reported robust financial performance. The company announced its earnings results on November 3, 2023, revealing an earnings per share (EPS) of $3.22 for the quarter, exceeding analyst expectations of $3.09 by $0.13. The firm achieved a net margin of 36.78% and a return on equity of 72.38%, with total revenue reaching $1.60 billion, significantly surpassing the consensus estimate of $1.41 billion. This represents an 8.2% increase in revenue compared to the same quarter last year.
Dividend Increase and Future Outlook
In a show of confidence in its ongoing financial health, Simon Property Group has announced an increase in its quarterly dividend. Shareholders of record on December 10, 2023, will receive a dividend of $2.20 per share, an increase from the previous $2.15. This translates to an annualized dividend of $8.80, yielding approximately 4.8%. The ex-dividend date is also set for December 10, 2023, and the company’s dividend payout ratio stands at 128.09%.
Looking ahead, Simon Property Group has provided guidance for fiscal year 2025, projecting an EPS range of 12.600–12.700. Analysts forecast that the company will post an EPS of 12.54 for the current year.
Simon Property Group, Inc. operates as a self-administered and self-managed real estate investment trust (REIT). Its majority-owned subsidiary, Simon Property Group, L.P., owns and manages its extensive portfolio of real estate assets. With a market capitalization of $59.45 billion, Simon Property Group continues to play a pivotal role in the real estate investment sector.
