Scentre Group
Market Cap
AU$14.1b
Last Updated
2021/05/11 08:08 UTC
Data Sources
Company Financials +
Executive Summary
Scentre Group (ASX Code: SCG) is the owner and operator of Westfield in Australia and New Zealand with interests in 42 Westfield Living Centres, encompassing approximately 12,000 outlets. More Details
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential and fair value.
Similar Companies
Share Price & News
How has Scentre Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SCG is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: SCG's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-0.4%
SCG
0.6%
AU REITs
1.7%
AU Market
1 Year Return
23.2%
SCG
27.7%
AU REITs
36.6%
AU Market
Return vs Industry: SCG underperformed the Australian REITs industry which returned 27.7% over the past year.
Return vs Market: SCG underperformed the Australian Market which returned 36.6% over the past year.
Shareholder returns
| SCG | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.4% | 0.6% | 1.7% |
| 30 Day | -5.6% | 1.7% | 2.2% |
| 90 Day | -2.9% | 8.7% | 4.6% |
| 1 Year | 26.4%23.2% | 32.8%27.7% | 40.6%36.6% |
| 3 Year | -24.6%-34.2% | 31.2%13.9% | 32.0%16.3% |
| 5 Year | -27.0%-42.3% | 44.6%12.9% | 64.1%33.2% |
Long-Term Price Volatility Vs. Market
How volatile is Scentre Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall St
Scentre Group's(ASX:SCG) Share Price Is Down 39% Over The Past Five Years.1 month ago | Simply Wall St
Trade Alert: The Independent Non-Executive Director Of Scentre Group (ASX:SCG), Andrew Harmos, Has Sold Some Shares Recently2 months ago | Simply Wall St
Scentre Group (ASX:SCG) Just Reported Annual Earnings: Have Analysts Changed Their Mind On The Stock?Valuation
Is Scentre Group undervalued compared to its fair value and its price relative to the market?
21.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SCG (A$2.71) is trading below our estimate of fair value (A$3.44)
Significantly Below Fair Value: SCG is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SCG is unprofitable, so we can't compare its PE Ratio to the Australian REITs industry average.
PE vs Market: SCG is unprofitable, so we can't compare its PE Ratio to the Australian market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate SCG's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SCG is good value based on its PB Ratio (0.7x) compared to the AU REITs industry average (1.1x).
Future Growth
How is Scentre Group forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
47.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SCG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).
Earnings vs Market: SCG is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: SCG's is expected to become profitable in the next 3 years.
Revenue vs Market: SCG's revenue (5.3% per year) is forecast to grow faster than the Australian market (5% per year).
High Growth Revenue: SCG's revenue (5.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SCG's Return on Equity is forecast to be low in 3 years time (6.8%).
Past Performance
How has Scentre Group performed over the past 5 years?
-42.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SCG is currently unprofitable.
Growing Profit Margin: SCG is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: SCG is unprofitable, and losses have increased over the past 5 years at a rate of 42.2% per year.
Accelerating Growth: Unable to compare SCG's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: SCG is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (-1.2%).
Return on Equity
High ROE: SCG has a negative Return on Equity (-19.86%), as it is currently unprofitable.
Financial Health
How is Scentre Group's financial position?
Financial Position Analysis
Short Term Liabilities: SCG's short term assets (A$3.0B) exceed its short term liabilities (A$2.9B).
Long Term Liabilities: SCG's short term assets (A$3.0B) do not cover its long term liabilities (A$16.2B).
Debt to Equity History and Analysis
Debt Level: SCG's debt to equity ratio (90.2%) is considered high.
Reducing Debt: SCG's debt to equity ratio has increased from 69.7% to 90.2% over the past 5 years.
Debt Coverage: SCG's debt is not well covered by operating cash flow (4%).
Interest Coverage: SCG is unprofitable, therefore interest payments are not well covered by earnings.
Balance Sheet
Dividend
What is Scentre Group current dividend yield, its reliability and sustainability?
5.17%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SCG's dividend (5.17%) is higher than the bottom 25% of dividend payers in the Australian market (2.08%).
High Dividend: SCG's dividend (5.17%) is low compared to the top 25% of dividend payers in the Australian market (5.21%).
Stability and Growth of Payments
Stable Dividend: SCG has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: SCG has only been paying a dividend for 7 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (77.1%), SCG's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SCG's dividends in 3 years are forecast to be covered by earnings (74.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.9yrs
Average management tenure
CEO
Peter Allen (58 yo)
7.33yrs
Tenure
AU$1,805,053
Compensation
Mr. Peter Kenneth Allen has been the Chief Executive Officer and Executive Director of Scentre Group since 2010 and May 25, 2011 respectively and serves as its Managing Director. Mr. Allen has been Chief E...
CEO Compensation Analysis
Compensation vs Market: Peter's total compensation ($USD1.42M) is below average for companies of similar size in the Australian market ($USD3.50M).
Compensation vs Earnings: Peter's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: SCG's management team is seasoned and experienced (6.9 years average tenure).
Board Members
Experienced Board: SCG's board of directors are considered experienced (5.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SCG insiders have bought and sold the same number of shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Scentre Group's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Scentre Group
- Ticker: SCG
- Exchange: ASX
- Founded: 2014
- Industry: Retail REITs
- Sector: Real Estate
- Market Cap: AU$14.101b
- Shares outstanding: 5.18b
- Website: https://www.scentregroup.com
Number of Employees
Location
- Scentre Group
- 85 Castlereagh Street
- Sydney
- New South Wales
- 2000
- Australia
Listings
Biography
Scentre Group (ASX Code: SCG) is the owner and operator of Westfield in Australia and New Zealand with interests in 42 Westfield Living Centres, encompassing approximately 12,000 outlets.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/11 08:08 |
| End of Day Share Price | 2021/05/11 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.