Macerich (NYSE:MAC) Announces Earnings Results

Macerich (NYSE:MAC) released its earnings results on Wednesday. The real estate investment trust reported ($0.06) earnings per share for the quarter, missing analysts’ consensus estimates of $0.36 by ($0.42), Zacks reports. Macerich had a negative return on equity of 3.68% and a negative net margin of 9.76%. The business had revenue of $260.07 million during the quarter, compared to analysts’ expectations of $251.31 million. During the same period last year, the business earned $0.35 earnings per share. The company’s revenue for the quarter was up 2.7% compared to the same quarter last year.

Here are the key takeaways from Macerich’s conference call:

• Third-quarter FFO as adjusted was $0.37 per diluted share, while Go-Forward Portfolio NOI increased 4.7%; nine-month NOI growth was 3.3%, ahead of the company’s initial full-year expectations. Macerich expects meaningful acceleration in 2027–2028 as signed-but-not-open tenants commence rent, with estimated annual SNO contributions of $40–$45 million in 2027 and $45–$50 million in 2028.
• Leasing and occupancy continued to improve: Go-Forward leased occupancy reached 96.1%, up 180 basis points year over year, and the company has completed or approved 91% of its five-year leasing plan. Portfolio sales also reached a record $972 per square foot in the Go-Forward Portfolio.
• New anchor and experiential openings are generating traffic gains, which management said are supporting inline leasing and sales. Examples included Freehold Raceway Mall traffic rising 9% over the year following DICK’S House of Sport’s opening, and Annapolis Mall traffic increasing 20% over the first month after its opening.
• Macerich is under contract to acquire another mall, expects to close by year-end, and said the deal should be accretive to 2027 and 2028 FFO per share, with a targeted stabilized yield of 9%–11%. The company plans to fund it with unsettled forward equity and said its acquisition pipeline remains robust, while emphasizing disciplined deal selection.
• Despite balance-sheet progress, net debt to adjusted EBITDA was 7.3x at quarter-end, and loans on Twenty Ninth Street, Fashion Outlets of Niagara Falls, and Fresno Fashion Fair are in default as the company negotiates with lenders. Macerich is pursuing asset sales, refinancings, loan modifications, or potential property givebacks to address debt and meet its leverage goals.

Macerich Price Performance

MAC stock opened at $24.92 on Monday. The business has a fifty day moving average of $23.22 and a two-hundred day moving average of $22.37. The company has a quick ratio of 1.40, a current ratio of 1.40 and a debt-to-equity ratio of 1.85. The stock has a market cap of $7.07 billion, a price-to-earnings ratio of -67.34, a price-to-earnings-growth ratio of 1.80 and a beta of 2.11. Macerich has a 52-week low of $16.03 and a 52-week high of $26.67.

Macerich Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, December 28th. Shareholders of record on Monday, December 14th will be paid a dividend of $0.17 per share. The ex-dividend date of this dividend is Monday, December 14th. This represents a $0.68 annualized dividend and a yield of 2.7%. Macerich’s dividend payout ratio (DPR) is -183.78%.

Insider Buying and Selling

In related news, CAO Christopher Zecchini sold 2,740 shares of the business’s stock in a transaction dated Wednesday, September 9th. The shares were sold at an average price of $23.28, for a total value of $63,787.20. Following the sale, the chief accounting officer directly owned 847 shares in the company, valued at approximately $19,718.16. The trade was a 76.39% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. 0.21% of the stock is owned by corporate insiders.

Analyst Ratings Changes

Several research analysts have recently commented on the company. Weiss Ratings upgraded Macerich from a “hold (c-)” rating to a “hold (c)” rating in a report on Wednesday, August 12th. Griffin Securities set a $26.00 price target on shares of Macerich in a research report on Tuesday, August 18th. BNP Paribas Exane started coverage on shares of Macerich in a report on Friday, October 9th. They issued an “outperform” rating and a $28.00 price objective for the company. Evercore upgraded shares of Macerich from an “in-line” rating to an “outperform” rating and set a $26.00 price objective for the company in a research report on Monday, September 21st. Finally, Citigroup lifted their target price on shares of Macerich from $28.00 to $29.00 and gave the stock a “buy” rating in a research note on Tuesday, August 11th. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $26.19.

Macerich Company Profile

The Macerich Company is a real estate investment trust (REIT) that owns, operates, leases and redevelops shopping centers in major U.S. markets. Its properties are primarily regional malls and other retail destinations, with a significant presence in the western United States.

Macerich’s business includes managing its properties and attracting a mix of retailers, restaurants, entertainment venues and service providers. The company also invests in property upgrades and redevelopment to adapt its centers to changing customer and tenant needs.

The company’s roots date to 1964.