REIT - Retail · NYSE
Current Price
$200.09
Intrinsic Value
Use the calculator below to estimate
Run a full DCF analysis on Simon Property Group, Inc. with auto-filled fundamentals, adjustable assumptions, and sensitivity heatmap.
Simon is a real estate investment trust engaged in the ownership of premier shopping, dining, entertainment and mixed-use destinations and an S&P 100 company (Simon Property Group, NYSE: SPG). Our properties across North America, Europe and Asia provide community gathering places for millions of people every day and generate billions in annual sales.
ROIC (TTM)
8.5%
ROE (TTM)
146.3%
FCF Yield
4.98%
Based on trailing twelve-month data, SPG shows a free cash flow per share of N/A and a ROIC of 8.5%, key inputs for stock valuation using the DCF method. The P/FCF ratio of N/A and FCF yield of 4.98% are important context metrics when evaluating SPG's stock valuation relative to peers.
The intrinsic value of SPG depends on assumptions about future growth rate, discount rate (WACC), and terminal value. A DCF model discounts projected free cash flows back to present value — small changes in WACC can shift the estimate by 20% or more, which is why sensitivity analysis is essential.
Whether SPG is undervalued depends on comparing the DCF-derived intrinsic value to the current market price of $200.09. A positive margin of safety (intrinsic value above market price) suggests potential undervaluation, but the degree of confidence depends on the reliability of your growth and discount rate assumptions.
To perform a DCF valuation on Simon Property Group, Inc.: (1) Start with the trailing free cash flow per share as the base, (2) project future FCF growth over 5-10 years based on REIT - Retail industry trends and company fundamentals, (3) apply a discount rate (WACC) reflecting SPG's risk profile, and (4) add a terminal value for cash flows beyond the projection period.
DCF (Discounted Cash Flow) estimates what a company is worth today based on its future cash generation. For Simon Property Group, Inc., this means projecting how much free cash flow the REIT - Retail will produce over the next 5-10 years, then discounting those amounts to today's dollars. SPG's ROIC of 8.5% shows moderate capital returns.
WACC (Weighted Average Cost of Capital) is the discount rate in a DCF model — it reflects the minimum return investors require. For SPG, the capital structure and equity risk premium determine WACC. A 1% increase in WACC typically reduces the intrinsic value by 10-15%.
