A month has gone by since the last earnings report for SITE CENTERS CORP. (SITC Quick QuoteSITC - Free Report) . Shares have added about 1.9% in that time frame, underperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is SITE Centers Corp. due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.

SITE Centers Q1 OFFO Beat Estimates, Revenues Fall Y/Y

SITE Centers reported first-quarter 2024 operating funds from operations (OFFO) per share of 28 cents, which beat the Zacks Consensus Estimate of 24 cents.

Results reflected better-than-anticipated revenues on a rise in base rent per square foot.

SITE Centers generated revenues of $120.6 million in the reported quarter, outpacing the Zacks Consensus Estimate of $119.6 million.

However, on a year-over-year basis, the top line declined 11.8% and OFFO per share fell 6.7%.

Per David R. Lukes, president and CEO of SITE Centers, “SITE Centers made additional progress on the announced planned spin-off of the Company’s Convenience assets in the first quarter highlighted by $189 million of year-to-date transaction activity and remains on track to form and scale what is expected to be the first public real estate company focused exclusively on Convenience properties.”

Quarter in Detail

SITE Centers reported a leased rate of 94.2% on a pro-rata basis as of Mar 31, 2024, down from 94.5% as of Dec 31, 2023. The figure compared unfavorably with the prior-year quarter’s tally of 95.9%.

The base rent per square foot was $20.69 as of Mar 31, 2024, improving from $19.65 recorded a year ago.

SITE Centers, on a pro-rata basis, generated cash new and cash renewal leasing spreads of 11.5% and 8%, respectively, in the first quarter.

Moreover, the same-store NOI improved 1.5% on a pro-rata basis in the reported quarter from the prior-year quarter.

SITE Centers exited the first quarter of 2024 with $551.3 million of cash, down from $552 million as of Dec 31, 2023.

Portfolio Activity

In the first quarter, SITE Centers acquired two convenience shopping centers for $19.1 million. These included Grove at Harper's Preserve in Houston, TX, for $10.6 million and Shops at Gilbert Crossroads in Phoenix, AX, for $8.5 million.

The company disposed of three wholly-owned shopping centers during the quarter for $119.4 million.

How Have Estimates Been Moving Since Then?

It turns out, estimates review flatlined during the past month.

VGM Scores

Currently, SITE Centers Corp. has a poor Growth Score of F, a grade with the same score on the momentum front. Charting a somewhat similar 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 F. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

SITE Centers Corp. has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.