NasdaqGS:REG

Stock Analysis Report

Executive Summary

Regency Centers is the preeminent national owner, operator, and developer of shopping centers located in affluent and densely populated trade areas.

Rewards

Trading at 31.7% below its fair value

Earnings are forecast to grow 6.64% per year

Pays a high and reliable dividend of 3.74%

Risk Analysis

No risks detected for REG from our risk checks.


Snowflake Analysis

6 star dividend payer and fair value.


Similar Companies

Share Price & News

How has Regency Centers's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: REG has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.5%

REG

-0.07%

US REITs

-1.1%

US Market


1 Year Return

-3.3%

REG

16.0%

US REITs

17.9%

US Market

Return vs Industry: REG underperformed the US REITs industry which returned 16% over the past year.

Return vs Market: REG underperformed the US Market which returned 17.9% over the past year.


Shareholder returns

REGIndustryMarket
7 Day-0.5%-0.07%-1.1%
30 Day-0.1%3.6%1.4%
90 Day-1.0%7.8%6.9%
1 Year0.3%-3.3%20.7%16.0%20.3%17.9%
3 Year-0.4%-10.5%37.9%20.6%47.8%38.3%
5 Year14.3%-2.9%60.3%27.3%71.9%53.0%

Price Volatility Vs. Market

How volatile is Regency Centers's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Regency Centers undervalued compared to its fair value and its price relative to the market?

31.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: REG ($63.7) is trading below our estimate of fair value ($93.26)

Significantly Below Fair Value: REG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: REG is poor value based on its PE Ratio (44.6x) compared to the REITs industry average (37.2x).

PE vs Market: REG is poor value based on its PE Ratio (44.6x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: REG is poor value based on its PEG Ratio (6.7x)


Price to Book Ratio

PB vs Industry: REG is good value based on its PB Ratio (1.7x) compared to the US REITs industry average (2.1x).


Next Steps

Future Growth

How is Regency Centers forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

6.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: REG's forecast earnings growth (6.6% per year) is above the savings rate (1.7%).

Earnings vs Market: REG's earnings (6.6% per year) are forecast to grow slower than the US market (14.1% per year).

High Growth Earnings: REG's earnings are forecast to grow, but not significantly.

Revenue vs Market: REG's revenue is expected to decline over the next 3 years (-0.9% per year).

High Growth Revenue: REG's revenue is forecast to decline over the next 3 years (-0.9% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: REG's Return on Equity is forecast to be low in 3 years time (4.8%).


Next Steps

Past Performance

How has Regency Centers performed over the past 5 years?

15.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: REG has high quality earnings.

Growing Profit Margin: REG's current net profit margins (20.6%) are lower than last year (21.5%).


Past Earnings Growth Analysis

Earnings Trend: REG's earnings have grown by 15.1% per year over the past 5 years.

Accelerating Growth: REG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: REG had negative earnings growth (-3.9%) over the past year, making it difficult to compare to the REITs industry average (7.6%).


Return on Equity

High ROE: REG's Return on Equity (3.9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Regency Centers's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: REG has a high level of physical assets or inventory.

Debt Coverage by Assets: REG's debt is not covered by short term assets (assets are 0.1x debt).


Financial Institutions Analysis

Asset Level: REG's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if REG has a sufficient allowance for bad loans.

Low Risk Liabilities: REG reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if REG has an acceptable proportion of non-loan assets held.

Low Risk Deposits: REG has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if REG has an appropriate level of bad loans.


Next Steps

Dividend

What is Regency Centers's current dividend yield, its reliability and sustainability?

3.74%

Current Dividend Yield


Dividend Yield vs Market

company3.7%marketbottom25%1.4%markettop25%3.7%industryaverage3.5%forecastin3Years3.9%

Current dividend yield vs market & industry

Notable Dividend: REG's dividend (3.74%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: REG's dividend (3.74%) is in the top 25% of dividend payers in the US market (3.73%)


Stability and Growth of Payments

Stable Dividend: REG's dividends per share have been stable in the past 10 years.

Growing Dividend: REG's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (59.7%), REG's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: REG's dividends in 3 years are forecast to be thoroughly covered by earnings (0.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.1yrs

Average management tenure


CEO

Lisa Palmer (51yo)

0.08yrs

Tenure

US$2,884,423

Compensation

Ms. Lisa Palmer has been Chief Executive Officer of Regency Centers Corporation since January 1, 2020 and its President since January 1, 2016. She served as Chief Financial Officer of of Regency Centers Co ...


CEO Compensation Analysis

Compensation vs Market: Lisa's total compensation ($USD2.88M) is below average for companies of similar size in the US market ($USD10.81M).

Compensation vs Earnings: Lisa's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Martin Stein
Executive Chairman of the Board22.1yrsUS$5.42m0.79% $85.2m
Lisa Palmer
President0.08yrsUS$2.88m0.036% $3.8m
James Thompson
Executive VP & COO4.1yrsUS$2.02m0.049% $5.2m
Dan Chandler
Executive VP & Chief Investment Officer10.5yrsUS$2.01m0.027% $2.9m
Michael Mas
Executive VP & CFO0.5yrsno data0.0073% $782.4k
Dale Johnston
Chief Information Officer & Senior VP0yrsno datano data
Laura Clark
Senior Vice President of Capital Markets0yrsno datano data
Barbara Johnston
Senior VP0yrsno data0.015% $1.6m
Jan Hanak
Vice President of Marketing & Communications4.5yrsno datano data
Amy D'Olimpio
Senior Vice President of Human Resources0yrsno datano data

4.1yrs

Average Tenure

57.5yo

Average Age

Experienced Management: REG's management team is considered experienced (4.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Martin Stein
Executive Chairman of the Board22.1yrsUS$5.42m0.79% $85.2m
Lisa Palmer
President0.08yrsUS$2.88m0.036% $3.8m
Bryce Blair
Independent Director5.3yrsUS$205.25k0.010% $1.1m
C. Blankenship
Lead Director1.1yrsUS$224.50k0.039% $4.2m
Thomas Wattles
Independent Director19.1yrsUS$222.00k0.028% $3.0m
Joseph Azrack
Independent Director2.9yrsUS$193.25k0.0057% $613.1k
Thomas Furphy
Independent Director0.8yrsno datano data
Peter Linneman
Independent Director2.9yrsUS$194.50k0.018% $1.9m
David O'Connor
Independent Director8.5yrsUS$192.00k0.0096% $1.0m
Deirdre Evens
Independent Director1.8yrsUS$169.91k0.0012% $132.9k

2.9yrs

Average Tenure

66yo

Average Age

Experienced Board: REG's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: REG insiders have only sold 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

Regency Centers Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Regency Centers Corporation
  • Ticker: REG
  • Exchange: NasdaqGS
  • Founded: 1963
  • Industry: Retail REITs
  • Sector: Real Estate
  • Implied Market Cap: US$10.718b
  • Market Cap: US$10.671b
  • Shares outstanding: 168.32m
  • Website: https://www.regencycenters.com

Number of Employees


Location

  • Regency Centers Corporation
  • One Independent Drive
  • Suite 114
  • Jacksonville
  • Florida
  • 32202
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
REGNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDOct 1993
RRCDB (Deutsche Boerse AG)YesCommon SharesDEEUROct 1993
0KUTLSE (London Stock Exchange)YesCommon SharesGBUSDOct 1993
R1EG34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REPR 1 COMBRBRLJan 2020

Biography

Regency Centers is the preeminent national owner, operator, and developer of shopping centers located in affluent and densely populated trade areas. Our portfolio includes thriving properties merchandised with highly productive grocers, restaurants, service providers, and best-in-class retailers that connect to our neighborhoods, communities, and customers. Operating as a fully integrated real estate company, Regency Centers is a qualified real estate investment trust (REIT) that is self-administered, self-managed, and an S&P 500 Index member. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 01:15
End of Day Share Price2020/02/21 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.