| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 1/6 |
| Past Performance | 1/6 |
| Financial Health | 0/6 |
| Dividends | 3/6 |
SCG Stock Overview
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.
Scentre Group Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | AU$2.95 |
| 52 Week High | AU$3.30 |
| 52 Week Low | AU$2.46 |
| Beta | 1.56 |
| 1 Month Change | -4.22% |
| 3 Month Change | -5.15% |
| 1 Year Change | 3.15% |
| 3 Year Change | -26.07% |
| 5 Year Change | -33.71% |
| Change since IPO | -4.22% |
Recent News & Updates
Trade Alert: The Independent Non-Executive Director Of Scentre Group (ASX:SCG), Andrew Harmos, Has Sold Some Shares Recently
We'd be surprised if Scentre Group ( ASX:SCG ) shareholders haven't noticed that the Independent Non-Executive...
Scentre Group (ASX:SCG) Just Reported Annual Earnings: Have Analysts Changed Their Mind On The Stock?
It's been a good week for Scentre Group ( ASX:SCG ) shareholders, because the company has just released its latest...
Shareholder Returns
| SCG | AU REITs | AU Market | |
|---|---|---|---|
| 7D | -3.6% | -1.6% | -0.5% |
| 1Y | 3.1% | 16.7% | 8.4% |
Return vs Industry: SCG underperformed the Australian REITs industry which returned 16.7% over the past year.
Return vs Market: SCG underperformed the Australian Market which returned 8.4% over the past year.
Price Volatility
| SCG volatility | |
|---|---|
| SCG Average Weekly Movement | 3.3% |
| REITs Industry Average Movement | 3.1% |
| Market Average Movement | 8.6% |
| 10% most volatile stocks in AU Market | 15.5% |
| 10% least volatile stocks in AU Market | 3.6% |
Stable Share Price: SCG is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: SCG's weekly volatility (3%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2014 | 2,427 | Peter Allen | https://www.scentregroup.com |
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.
Scentre Group Fundamentals Summary
| SCG fundamental statistics | |
|---|---|
| Market Cap | AU$15.29b |
| Earnings (TTM) | AU$281.90m |
| Revenue (TTM) | AU$2.15b |
54.3x
P/E Ratio7.1x
P/S RatioIs SCG overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| SCG income statement (TTM) | |
|---|---|
| Revenue | AU$2.15b |
| Cost of Revenue | AU$574.20m |
| Gross Profit | AU$1.58b |
| Expenses | AU$1.29b |
| Earnings | AU$281.90m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.054 |
| Gross Margin | 73.29% |
| Net Profit Margin | 13.11% |
| Debt/Equity Ratio | 80.1% |
How did SCG perform over the long term?
See historical performance and comparisonDividends
4.7%
Current Dividend Yield42%
Payout RatioValuation
Is Scentre Group undervalued compared to its fair value and its price relative to the market?
37.5%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SCG (A$2.95) is trading below our estimate of fair value (A$4.72)
Significantly Below Fair Value: SCG is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SCG is poor value based on its PE Ratio (54.3x) compared to the Australian REITs industry average (9.7x).
PE vs Market: SCG is poor value based on its PE Ratio (54.3x) compared to the Australian market (18.8x).
Price to Earnings Growth Ratio
PEG Ratio: SCG is poor value based on its PEG Ratio (5.4x)
Price to Book Ratio
PB vs Industry: SCG is good value based on its PB Ratio (0.8x) compared to the AU REITs industry average (1.2x).
Future Growth
How is Scentre Group forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
10.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SCG's forecast earnings growth (10% per year) is above the savings rate (1.9%).
Earnings vs Market: SCG's earnings (10% per year) are forecast to grow slower than the Australian market (11.1% per year).
High Growth Earnings: SCG's earnings are forecast to grow, but not significantly.
Revenue vs Market: SCG's revenue (4.8% per year) is forecast to grow slower than the Australian market (4.8% per year).
High Growth Revenue: SCG's revenue (4.8% 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 (5.8%).
Past Performance
How has Scentre Group performed over the past 5 years?
-49.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SCG has a large one-off loss of A$221.6M impacting its June 30 2021 financial results.
Growing Profit Margin: SCG became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: SCG's earnings have declined by 49.5% per year over the past 5 years.
Accelerating Growth: SCG has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: SCG has become profitable in the last year, making it difficult to compare its past year earnings growth to the REITs industry (106.4%).
Return on Equity
High ROE: SCG's Return on Equity (1.6%) is considered low.
Financial Health
How is Scentre Group's financial position?
Financial Position Analysis
Short Term Liabilities: SCG's short term assets (A$1.6B) do not cover its short term liabilities (A$2.2B).
Long Term Liabilities: SCG's short term assets (A$1.6B) do not cover its long term liabilities (A$15.4B).
Debt to Equity History and Analysis
Debt Level: SCG's net debt to equity ratio (77.9%) is considered high.
Reducing Debt: SCG's debt to equity ratio has increased from 69.4% to 80.1% over the past 5 years.
Debt Coverage: SCG's debt is not well covered by operating cash flow (6.2%).
Interest Coverage: SCG's interest payments on its debt are not well covered by EBIT (2.4x coverage).
Balance Sheet
Dividend
What is Scentre Group current dividend yield, its reliability and sustainability?
4.75%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SCG's dividend (4.75%) is higher than the bottom 25% of dividend payers in the Australian market (2.23%).
High Dividend: SCG's dividend (4.75%) is low compared to the top 25% of dividend payers in the Australian market (5.48%).
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: With its reasonably low payout ratio (41.8%), SCG's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SCG's dividends in 3 years are forecast to be covered by earnings (78% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
7.6yrs
Average management tenure
CEO
Peter Allen (59 yo)
8yrs
Tenure
AU$1,805,053
Compensation
Mr. Peter Kenneth Allen has been the Chief Executive Officer and Executive Director of Scentre Group since 2010 and May 25, 2011 respectively and serves as its Managing Director. Mr. Allen has been Chief E...
CEO Compensation Analysis
Compensation vs Market: Peter's total compensation ($USD1.31M) is below average for companies of similar size in the Australian market ($USD3.57M).
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 (7.6 years average tenure).
Board Members
Experienced Board: SCG's board of directors are considered experienced (5.9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold 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 employee growth, exchange listings and data sources
Key Information
- Name: Scentre Group
- Ticker: SCG
- Exchange: ASX
- Founded: 2014
- Industry: Retail REITs
- Sector: Real Estate
- Implied Market Cap: AU$15.293b
- 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
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/21 15:51 |
| End of Day Share Price | 2022/01/21 00:00 |
| Earnings | 2021/06/30 |
| 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.