SITC Stock Overview
SITE Centers is an owner and manager of open-air shopping centers that provide a highly-compelling shopping experience and merchandise mix for retail partners and consumers.
SITE Centers Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$10.71|
|52 Week High||US$17.61|
|52 Week Low||US$10.42|
|1 Month Change||-16.39%|
|3 Month Change||-21.48%|
|1 Year Change||-33.64%|
|3 Year Change||-27.59%|
|5 Year Change||-39.49%|
|Change since IPO||-56.06%|
Recent News & Updates
SITE Centers declares $0.13 dividend
SITE Centers (NYSE:SITC) declares $0.13/share quarterly dividend, in line with previous. Forward yield 3.96% Payable Oct. 7; for shareholders of record Sept. 20; ex-div Sept. 19. See SITC Dividend Scorecard, Yield Chart, & Dividend Growth.
SITE Centers: Not Differentiated Enough For Selective Investors
Summary SITE Centers Corp. owns a portfolio of open-air shopping centers that are concentrated in affluent suburbs within the Sunbelt Region of the U.S. Their total portfolio is smaller than several of their peers, but they share common tenants and their properties are generally of better quality, supported in part by higher household incomes. While their balance sheet is more opportunistically positioned than their peer set, the market for external growth is likely to slow. Similar to others, they have a large pipeline of pending lease commencements, which should drive earnings in later periods. But this may not be enough to materially alter the stock's trajectory. Though further dividend hikes are likely, that, alone, is not compelling enough to justify new initiation. SITE Centers Corp. (SITC) is a real estate investment trust (“REIT”) that owns a portfolio of open-air shopping centers in well-positioned locations in the suburbs of top metropolitan statistical areas (“MSAs”). YTD, shares are down over 10%, which is significantly worse than similar peers, Brixmor Property Group (BRX) and Kite Realty Group Trust (KRG), which are both positive. YCharts - Total 1-YR Returns of SITC Compared To Competitors Despite current period underperformance, shares still have performed strongly since their lows reached in early 2020. At present, SITC trades at about 11.7x forward funds from operations (“FFO”). This is slightly higher than their 11x multiple commanded at the end of 2019. But at that time, SITE’s implied cap rate was approximately 6%. That has since expanded to about 7.3%, which is in-line with BRX, but arguably a bit high. YCharts - Recent Share Price History of SITC Similar to other shopping center REITs, SITC has a significant pipeline of signed but not yet commenced (“SNO”) leases. This should drive multi-year cash flow growth. In addition, demand for their properties will remain supported by favorable fundamentals that includes high household incomes and convenient access in top suburban communities, where companies are increasingly relying on physical store locations to improve the efficiency of fulfillment of online purchases. Current supply/demand dynamics also continue to favor SITE in driving rents in future periods. Though opportunities for further growth exist, it may not be enough to materially change the direction of the stock price in the near-medium term. While SITC remains a quality portfolio holding, it is not differentiated enough from peers to justify newly initiated positioning. Well-Positioned Portfolio In Affluent Suburban Communities SITC’s portfolio of open-air shopping centers includes 99 wholly-owned properties that are concentrated in the Sunbelt region of the U.S. in affluent suburban communities. This is a smaller and more geographically concentrated portfolio than BRX, who owns over 350 properties throughout the U.S. But SITC’s portfolio makes up for that by their quality, which is supported in part by average household incomes of $110K versus $100K for BRX. Q2FY22 Investor Fact Sheet - Map of Geographic Concentration Among their top 20 MSAs is the Miami-Fort Lauderdale-West Palm Beach sections of Florida, which is their second largest market by annualized base rents (“ABR”) and a region that is experiencing significant interest, particularly in Miami, where rental growth continues to outpace the national average. While moderation is likely in the coming periods, SITC should continue to benefit from the region’s increasing popularity with households and businesses. Large Base of Credited National Tenants Anchoring SITC’s portfolio are a large group of credited national tenants that provide day-to-day consumer necessities with a focus on value and convenience as opposed to discretionary items. This enables many of their tenants to operate with stability through a variety of economic conditions. Similar to BRX, SITC’s top tenant is The TJX Companies, Inc (TJX). Other top tenants include DICK’s Sporting Goods, Inc (DKS), Petsmart, The Michaels Companies, Inc (MIK), and Ross Stores, Inc (ROST), who are all well-capitalized companies that have historically provided a stable revenue base. Though the overall tenant base is highly diversified, SITC does have elevated concentration to TJX, which is the only company to account for over 5% of ABR. This is in contrast to BRX, where no single tenant, including TJX, accounted for more than 5% of ABR. In addition, SITC’s portfolio is more themed on value, service, and convenience as opposed to essential operations. This does result in slightly elevated risk. The affluence of their operating markets, however, serves as an adequate hedge against this risk. Q2FY22 Investor Supplement - Partial Summary of Top Tenants Strong Growth In Occupancy Levels At the end of June 30, 2022, the overall portfolio leased rate stood at 94.4%. This is up 120 basis points (“bps”) on a sequential basis and 260bps YOY. In addition, the rate is now above the company’s pre-COVID high of 94.3% back in 2017. From a historical perspective, occupancy has generally ranged from 89% to 96% since the company’s IPO in 1993. As such, SITC does have 160bps of opportunity in attaining the top end of their historical averages. In addition, there is a spread of 340bps in their commenced and leased rates. While this is lower than the 350bps reported by BRX, it is up 40bps from Q1, whereas it remained flat for BRX. This pipeline of opportunity is expected to contribute meaningfully to future cash flow growth and is projected to represent approximately 5% of ABR. Q2FY22 Investor Supplement - Summary of Occupancy Figures For The Last Five Quarters From an anchor/non-anchor standpoint, the leased rate for those occupying over 10k/sqft was essentially topped out at 96.9%. But at 87.3%, there is still some upside to be had in their smaller shops, though they do represent a smaller share of the company’s net operating income (“NOI”). Still, the gains in this segment have been impressive. Last year, for example, occupancy at their small shops was 82.9%. And just last quarter it stood at 86%. This is notable because base rents/psf for these spaces are nearly double the anchor spaces. Healthy Spreads But Declining Effective Rents Similar to their peers, SITC is benefitting from rental growth on robust leasing demand. In the current quarter, SITC posted record volume compared to the last six years. This is likely to continue as another 250k square feet is under negotiation for subsequent periods. New leasing spreads came in strong at 20%, while renewals held up at 4.2% over a trailing twelve-month period. For the quarter, blended spreads were 8.2%, aided by a 31.6% spread on new leases. For the total pool, the average portfolio rent/psf now stands at nearly $19/psf, with a weighted average lease term (“WALT”) of 6.7 years. Continued leasing strength should drive revenues in the coming periods and should offset some of the hit to earnings that is expected from the waning effects of rental recoveries relating to the COVID-19 pandemic. Already, these reversals weighed on current period same-store NOI, which was down 2.4% due a +$6.7M headwind relating to prior period reversals in the second quarter of 2021. On an adjusted basis, however, same-store NOI would have increased 4.8%. Q2FY22 Investor Supplement - Breakout of Rental Income Though rents have increased on a gross basis, net effective rents, which account for the CAPEX put into a property, on new leases actually declined during the quarter, coming in over $3/psf lower than Q1FY22. This was due to the greater work spent on anchor properties over 10k square feet, which inherently have greater CAPEX requirements, especially on large national tenants, whose base rents are already lower than their small shop counterparts. And in the current quarter, they accounted for over 60% of gross leasable area (“GLA”), which is on the high end of historical averages. Q2FY22 Investor Supplement - Summary of Net Effective Rents On New Leases Moving forward, SITC does expect to expend additional capital on these spaces. That can, thus, tie up funds that would otherwise be used for acquisitions or debt paydown. A More Opportunistically Positioned Balance Sheet Relative to their peer set, SITC is less levered. This positions them strongly to capitalize on new opportunities. With over +$850M in available liquidity, they have ample funds to satisfy their reoccurring obligations, which includes interest expense and their dividend payments, among others. As a multiple of EBITDA, net debt stood at 5.4x at quarter end. This is several notches below the mid-6x reported by BRX. They do, however, have greater exposure to variable-rate debt, which exposes them to higher interest rate risk. Still, they have sufficient room to weather higher rates, as evidenced by their fixed charge coverage ratio, which stood at 4.3x, up from 4.1x at the end of 2021 and 3.5x at the end of 2020.
|SITC||US REITs||US Market|
Return vs Industry: SITC underperformed the US REITs industry which returned -20.4% over the past year.
Return vs Market: SITC underperformed the US Market which returned -23.2% over the past year.
|SITC Average Weekly Movement||4.6%|
|REITs Industry Average Movement||4.2%|
|Market Average Movement||6.8%|
|10% most volatile stocks in US Market||15.5%|
|10% least volatile stocks in US Market||2.8%|
Stable Share Price: SITC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: SITC's weekly volatility (5%) has been stable over the past year.
About the Company
SITE Centers is an owner and manager of open-air shopping centers that provide a highly-compelling shopping experience and merchandise mix for retail partners and consumers. The Company is a self-administered and self-managed REIT operating as a fully integrated real estate company, and is publicly traded on the New York Stock Exchange under the ticker symbol SITC.
SITE Centers Fundamentals Summary
|SITC fundamental statistics|
Is SITC overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|SITC income statement (TTM)|
|Cost of Revenue||US$158.97m|
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
|Earnings per share (EPS)||0.70|
|Net Profit Margin||25.55%|
How did SITC perform over the long term?See historical performance and comparison
4.9%Current Dividend Yield
Is SITC undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 6/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for SITC?
Other financial metrics that can be useful for relative valuation.
|What is SITC's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does SITC's PE Ratio compare to its peers?
|SITC PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
ROIC Retail Opportunity Investments
UE Urban Edge Properties
PECO Phillips Edison
SITC SITE Centers
Price-To-Earnings vs Peers: SITC is good value based on its Price-To-Earnings Ratio (15.3x) compared to the peer average (49x).
Price to Earnings Ratio vs Industry
How does SITC's PE Ratio compare vs other companies in the US REITs Industry?
Price-To-Earnings vs Industry: SITC is good value based on its Price-To-Earnings Ratio (15.3x) compared to the US REITs industry average (25.8x)
Price to Earnings Ratio vs Fair Ratio
What is SITC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
|Current PE Ratio||15.3x|
|Fair PE Ratio||20.9x|
Price-To-Earnings vs Fair Ratio: SITC is good value based on its Price-To-Earnings Ratio (15.3x) compared to the estimated Fair Price-To-Earnings Ratio (20.9x).
Share Price vs Fair Value
What is the Fair Price of SITC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: SITC ($10.71) is trading below our estimate of fair value ($31.75)
Significantly Below Fair Value: SITC is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.
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How is SITE Centers forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
Future Growth Score0/6
Future Growth Score 0/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SITC's earnings are forecast to decline over the next 3 years (-21.5% per year).
Earnings vs Market: SITC's earnings are forecast to decline over the next 3 years (-21.5% per year).
High Growth Earnings: SITC's earnings are forecast to decline over the next 3 years.
Revenue vs Market: SITC's revenue (4.3% per year) is forecast to grow slower than the US market (7.7% per year).
High Growth Revenue: SITC's revenue (4.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SITC's Return on Equity is forecast to be low in 3 years time (3.1%).
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How has SITE Centers performed over the past 5 years?
Past Performance Score4/6
Past Performance Score 4/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SITC has a large one-off gain of $55.2M impacting its June 30 2022 financial results.
Growing Profit Margin: SITC's current net profit margins (25.5%) are higher than last year (4%).
Past Earnings Growth Analysis
Earnings Trend: SITC has become profitable over the past 5 years, growing earnings by 46.7% per year.
Accelerating Growth: SITC's earnings growth over the past year (647.6%) exceeds its 5-year average (46.7% per year).
Earnings vs Industry: SITC earnings growth over the past year (647.6%) exceeded the REITs industry 45.8%.
Return on Equity
High ROE: SITC's Return on Equity (7.7%) is considered low.
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How is SITE Centers's financial position?
Financial Health Score1/6
Financial Health Score 1/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: SITC's short term assets ($107.9M) do not cover its short term liabilities ($182.3M).
Long Term Liabilities: SITC's short term assets ($107.9M) do not cover its long term liabilities ($1.9B).
Debt to Equity History and Analysis
Debt Level: SITC's net debt to equity ratio (87.5%) is considered high.
Reducing Debt: SITC's debt to equity ratio has reduced from 140% to 89.3% over the past 5 years.
Debt Coverage: SITC's debt is not well covered by operating cash flow (14.5%).
Interest Coverage: SITC's interest payments on its debt are not well covered by EBIT (2.5x coverage).
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What is SITE Centers's current dividend yield, its reliability and sustainability?
Dividend Score 4/6
Cash Flow Coverage
Current Dividend Yield
Dividend Yield vs Market
|SITE Centers Dividend Yield vs Market|
|Company (SITE Centers)||4.9%|
|Market Bottom 25% (US)||1.7%|
|Market Top 25% (US)||4.7%|
|Industry Average (REITs)||4.1%|
|Analyst forecast in 3 Years (SITE Centers)||5.3%|
Notable Dividend: SITC's dividend (4.86%) is higher than the bottom 25% of dividend payers in the US market (1.67%).
High Dividend: SITC's dividend (4.86%) is in the top 25% of dividend payers in the US market (4.73%)
Stability and Growth of Payments
Stable Dividend: SITC's dividend payments have been volatile in the past 10 years.
Growing Dividend: SITC's dividend payments have fallen over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonably low payout ratio (44.4%), SITC's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonably low cash payout ratio (41.3%), SITC's dividend payments are well covered by cash flows.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
David Lukes (52 yo)
Mr. David R. Lukes has been the Chief Executive Officer and President of SITE Centers Corp. since March 2, 2017. Mr. Lukes has been Chief Executive Officer and President of Retail Value Inc. since February...
CEO Compensation Analysis
|David Lukes's Compensation vs SITE Centers Earnings|
|Date||Total Comp.||Salary||Company Earnings|
|Jun 30 2022||n/a||n/a|
|Mar 31 2022||n/a||n/a|
|Dec 31 2021||US$7m||US$900k|
|Sep 30 2021||n/a||n/a|
|Jun 30 2021||n/a||n/a|
|Mar 31 2021||n/a||n/a|
|Dec 31 2020||US$9m||US$865k|
|Sep 30 2020||n/a||n/a|
|Jun 30 2020||n/a||n/a|
|Mar 31 2020||n/a||n/a|
|Dec 31 2019||US$7m||US$850k|
|Sep 30 2019||n/a||n/a|
|Jun 30 2019||n/a||n/a|
|Mar 31 2019||n/a||n/a|
|Dec 31 2018||US$6m||US$850k|
|Sep 30 2018||n/a||n/a|
|Jun 30 2018||n/a||n/a|
|Mar 31 2018||n/a||n/a|
|Dec 31 2017||US$8m||US$705k|
Compensation vs Market: David's total compensation ($USD6.91M) is about average for companies of similar size in the US market ($USD5.58M).
Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.
Experienced Management: SITC's management team is seasoned and experienced (5.5 years average tenure).
Experienced Board: SITC's board of directors are considered experienced (5.7 years average tenure).
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
|28 Apr 22||SellUS$5,155,283||David Lukes||Individual||310,797||US$16.59|
|29 Mar 22||SellUS$590,765||Christa Vesy||Individual||35,000||US$16.88|
|22 Mar 22||SellUS$153,710||Conor Fennerty||Individual||9,500||US$16.18|
|16 Nov 21||SellUS$34,723,130||Alexander Otto||Individual||2,100,000||US$16.54|
|Owner Type||Number of Shares||Ownership Percentage|
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
|Ownership||Name||Shares||Current Value||Change %||Portfolio %|
SITE Centers Corp.'s employee growth, exchange listings and data sources
- Name: SITE Centers Corp.
- Ticker: SITC
- Exchange: NYSE
- Founded: NaN
- Industry: Retail REITs
- Sector: Real Estate
- Implied Market Cap: US$2.294b
- Market Cap: US$2.292b
- Shares outstanding: 214.18m
- Website: https://www.sitecenters.com
Number of Employees
- SITE Centers Corp.
- 3300 Enterprise Parkway
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|SITC||NYSE (New York Stock Exchange)||Yes||Common Shares||US||USD||Feb 1993|
|DDR2||DB (Deutsche Boerse AG)||Yes||Common Shares||DE||EUR||Feb 1993|
|SITC.PRA||NYSE (New York Stock Exchange)||DEP SH CUM PFD A||US||USD||May 2017|
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/10/02 00:00|
|End of Day Share Price||2022/09/30 00:00|
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.