A month has gone by since the last earnings report for Taubman Centers, Inc. . Shares have lost about 3.1% in that time frame, underperforming the market.
Will the recent negative trend continue leading up to the stock's next earnings release, or is it due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Taubman's Q1 FFO & Revenues Beat Estimates, Up Y/Y
Taubman Centers’ first-quarter 2017 adjusted FFO per share of $0.92 surpassed the Zacks Consensus Estimate of $0.89. The FFO per share figure also came in 9.5% higher than the prior-year quarter figure.
The quarter experienced higher rents and recoveries from the tenants.
Revenues came in at $149.1 million, beating the Zacks Consensus Estimate of $142.1 million and improving 6.9% from around $139.5 million in the prior-year quarter.
Quarter in Detail
Comparable center NOI, excluding lease cancellation income, was up 2.8% year over year, while average rent per square foot was $60.60, up 1% year over year. For the period ended Mar 31, 2017, the trailing 12-month releasing spreads per square foot were 16.3%.
For the first quarter, mall tenant sales per square foot were up 1.2%. Further, trailing 12-month mall tenant sales per square foot of $776 denoted growth of about 0.9% and reflected solid growth in the first quarter.
However, as of Mar 31, 2017, the comparable centers’ portfolio was 93.9% leased, denoting a 1.5% fall from Mar 31, 2016, mainly on account of bankruptcies and closures of Sports Authority and The Limited.
Liquidity
Taubman Centers exited first-quarter 2017 with cash and cash equivalents of $51.1 million, up from $40.6 million recorded at the end of 2016.
Guidance
Taubman Centers expects 2017 adjusted FFO per share in the range of $3.67–$3.82. Also, it expects FFO per share in the range of $3.60–$3.75.
The full-year FFO per share guidance is backed by assumptions of comparable center NOI growth, excluding lease cancellation income, of about 3.5% for the year.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimate flatlined during the past month. There has been one revision higher for the current quarter compared to one lower.
VGM Scores
At this time, Taubman's stock has an average Growth Score of 'C', though it is lagging a bit on the momentum front with an 'D'. Charting an exact same path, the stock was allocated a grade of 'D' on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of 'D'. If you aren't focused on one strategy, this score is the one you should be interested in.
The company's stock is suitable solely for growth based on our styles scores.
Outlook
The stock has a Zacks Rank #3 (Hold). We are looking for an inline return from the stock in the next few months.
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Taubman (TCO) Down 3.1% Since Earnings Report: Can It Rebound?
A month has gone by since the last earnings report for Taubman Centers, Inc. . Shares have lost about 3.1% in that time frame, underperforming the market.
Will the recent negative trend continue leading up to the stock's next earnings release, or is it due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Taubman's Q1 FFO & Revenues Beat Estimates, Up Y/Y
Taubman Centers’ first-quarter 2017 adjusted FFO per share of $0.92 surpassed the Zacks Consensus Estimate of $0.89. The FFO per share figure also came in 9.5% higher than the prior-year quarter figure.
The quarter experienced higher rents and recoveries from the tenants.
Revenues came in at $149.1 million, beating the Zacks Consensus Estimate of $142.1 million and improving 6.9% from around $139.5 million in the prior-year quarter.
Quarter in Detail
Comparable center NOI, excluding lease cancellation income, was up 2.8% year over year, while average rent per square foot was $60.60, up 1% year over year. For the period ended Mar 31, 2017, the trailing 12-month releasing spreads per square foot were 16.3%.
For the first quarter, mall tenant sales per square foot were up 1.2%. Further, trailing 12-month mall tenant sales per square foot of $776 denoted growth of about 0.9% and reflected solid growth in the first quarter.
However, as of Mar 31, 2017, the comparable centers’ portfolio was 93.9% leased, denoting a 1.5% fall from Mar 31, 2016, mainly on account of bankruptcies and closures of Sports Authority and The Limited.
Liquidity
Taubman Centers exited first-quarter 2017 with cash and cash equivalents of $51.1 million, up from $40.6 million recorded at the end of 2016.
Guidance
Taubman Centers expects 2017 adjusted FFO per share in the range of $3.67–$3.82. Also, it expects FFO per share in the range of $3.60–$3.75.
The full-year FFO per share guidance is backed by assumptions of comparable center NOI growth, excluding lease cancellation income, of about 3.5% for the year.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimate flatlined during the past month. There has been one revision higher for the current quarter compared to one lower.
Taubman Centers, Inc. Price and Consensus
Taubman Centers, Inc. Price and Consensus | Taubman Centers, Inc. Quote
VGM Scores
At this time, Taubman's stock has an average Growth Score of 'C', though it is lagging a bit on the momentum front with an 'D'. Charting an exact same path, the stock was allocated a grade of 'D' on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of 'D'. If you aren't focused on one strategy, this score is the one you should be interested in.
The company's stock is suitable solely for growth based on our styles scores.
Outlook
The stock has a Zacks Rank #3 (Hold). We are looking for an inline return from the stock in the next few months.