NYSE:SLG

Stock Analysis Report

Executive Summary

SL Green Realty Corp., an S&P 500 company and New York City's largest office landlord, is a fully integrated real estate investment trust, or REIT, that is focused primarily on acquiring, managing and maximizing value of Manhattan commercial properties.

Snowflake

Fundamentals

Established dividend payer and fair value.


Similar Companies

Share Price & News

How has SL Green Realty's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.7%

SLG

0.5%

US REITs

-0.5%

US Market


1 Year Return

-16.6%

SLG

14.8%

US REITs

0.9%

US Market

SLG underperformed the REITs industry which returned 13.4% over the past year.

SLG underperformed the Market in United States of America which returned 0.7% over the past year.


Share holder returns

SLGIndustryMarket
7 Day-0.7%0.5%-0.5%
30 Day6.0%2.8%4.8%
90 Day-1.0%6.0%2.3%
1 Year-13.3%-16.6%20.0%14.8%3.1%0.9%
3 Year-19.8%-27.5%27.2%10.8%45.5%36.0%
5 Year-8.4%-20.5%71.2%35.4%62.5%44.7%

Price Volatility Vs. Market

How volatile is SL Green Realty's share price compared to the market and industry in the last 5 years?


Simply Wall St News

1 month ago | Simply Wall St

How To Look At SL Green Realty Corp. (NYSE:SLG)

Valuation

Is SL Green Realty undervalued based on future cash flows and its price relative to the stock market?

22%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

SL Green Realty's share price is below the future cash flow value, and at a moderate discount (> 20%).

SL Green Realty's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

SL Green Realty is good value based on earnings compared to the US REITs industry average.

SL Green Realty is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

SL Green Realty earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

SL Green Realty is good value based on assets compared to the US REITs industry average.


Next Steps

Future Growth

How is SL Green Realty expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

-8.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

SL Green Realty's revenue is expected to grow by 0.7% yearly, however this is not considered high growth (20% yearly).

SL Green Realty's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

SL Green Realty's revenue growth is positive but not above the United States of America market average.

SL Green Realty's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.

SL Green Realty's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

SL Green Realty is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has SL Green Realty performed over the past 5 years?

-5.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

SL Green Realty's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

SL Green Realty's 1-year earnings growth is negative, it can't be compared to the 5-year average.

SL Green Realty's 1-year earnings growth is negative, it can't be compared to the US REITs industry average.


Return on Equity

SL Green Realty has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

SL Green Realty used its assets less efficiently than the US REITs industry average last year based on Return on Assets.


Return on Capital Employed

SL Green Realty has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is SL Green Realty's financial position?


Financial Position Analysis

SL Green Realty is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

SL Green Realty's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

SL Green Realty's level of debt (93.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (106.3% vs 93.1% today).

Debt is not well covered by operating cash flow (6.8%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 1.9x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.1x debt.


Next Steps

Dividend

What is SL Green Realty's current dividend yield, its reliability and sustainability?

4.34%

Expected Dividend Yield


Dividend Yield and Payments Analysis

SL Green Realty's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

SL Green Realty's dividend is above the markets top 25% of dividend payers in United States of America (3.71%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be thoroughly covered by earnings (176.4x coverage).


Next Steps

Management

What is the CEO of SL Green Realty's salary, the management and board of directors tenure and is there insider trading?

8.7yrs

Average management tenure


CEO

Marc Holliday (53yo)

15.7yrs

Tenure

US$13,355,778

Compensation

Mr. Marc Holliday has been the Chief Executive Officer at SL Green Realty Corp. since January 5, 2004 and serves as Chairman of the Board since January 2019. He serves as a Chairman and Chief Executive Off ...


CEO Compensation Analysis

Marc's remuneration is higher than average for companies of similar size in United States of America.

Marc's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

8.7yrs

Average Tenure

53yo

Average Age

The average tenure for the SL Green Realty management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

5.3yrs

Average Tenure

66yo

Average Age

The tenure for the SL Green Realty board of directors is about average.


Insider Trading

SL Green Realty individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$567,00025 Jul 19
Edwin Burton
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares7,000
Max PriceUS$81.00
SellUS$556,93808 May 19
Betsy Atkins
EntityIndividual
Role
Member of the Board of Directors
Director
Shares6,470
Max PriceUS$86.08
SellUS$230,60006 Feb 19
Craig Hatkoff
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,500
Max PriceUS$92.24

Ownership Breakdown


Management Team

  • Marc Holliday (53yo)

    Chairman & CEO

    • Tenure: 15.7yrs
    • Compensation: US$13.36m
  • Andrew Levine (60yo)

    Chief Legal Officer

    • Tenure: 18.8yrs
    • Compensation: US$1.61m
  • Andrew Mathias (45yo)

    President & Director

    • Tenure: 5.3yrs
    • Compensation: US$10.41m
  • David Schonbraun (41yo)

    Co-Chief Investment Officer

    • Tenure: 8.7yrs
  • Ed Piccinich (56yo)

    Chief Operating Officer

    • Tenure: 1.7yrs
  • Chris Gulden

    Senior Vice President of Leasing

    • Tenure: 0yrs
  • Steven Durels (60yo)

    Executive VP & Director of Leasing & Real Property

    • Tenure: 4.1yrs
  • Isaac Zion (48yo)

    Co-Chief Investment Officer

    • Tenure: 8.7yrs
  • Matt DiLiberto (45yo)

    Chief Financial Officer

    • Tenure: 4.7yrs
    • Compensation: US$5.24m
  • Maggie Hui (55yo)

    Chief Accounting Officer

    • Tenure: 4.7yrs

Board Members

  • Craig Hatkoff (65yo)

    Director

    • Tenure: 8.7yrs
    • Compensation: US$383.93k
  • Stephen Green (81yo)

    Chairman Emeritus

    • Tenure: 0.7yrs
    • Compensation: US$2.06m
  • Marc Holliday (53yo)

    Chairman & CEO

    • Tenure: 15.7yrs
    • Compensation: US$13.36m
  • Betsy Atkins (66yo)

    Director

    • Tenure: 4.4yrs
    • Compensation: US$372.50k
  • John Alschuler (71yo)

    Lead Independent Director

    • Tenure: 9.7yrs
    • Compensation: US$470.67k
  • Edwin Burton (76yo)

    Independent Director

    • Tenure: 22.7yrs
    • Compensation: US$406.50k
  • John Levy (83yo)

    Independent Director

    • Tenure: 22.7yrs
    • Compensation: US$363.07k
  • Andrew Mathias (45yo)

    President & Director

    • Tenure: 5.3yrs
    • Compensation: US$10.41m
  • Lauren Dillard (43yo)

    Director

    • Tenure: 2.8yrs
    • Compensation: US$418.33k

Company Information

SL Green Realty Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SL Green Realty Corp.
  • Ticker: SLG
  • Exchange: NYSE
  • Founded: 1997
  • Industry: Office REITs
  • Sector: Real Estate
  • Implied Market Cap: US$7.053b
  • Market Cap: US$6.711b
  • Shares outstanding: 86.68m
  • Website: https://www.slgreen.com

Number of Employees


Location

  • SL Green Realty Corp.
  • 420 Lexington Avenue
  • New York
  • New York
  • 10170
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SLGNYSE (New York Stock Exchange)YesCommon StockUSUSDAug 1997
GEIDB (Deutsche Boerse AG)YesCommon StockDEEURAug 1997
0KZ6LSE (London Stock Exchange)YesCommon StockGBUSDAug 1997
SLG.PRINYSE (New York Stock Exchange)PFD SER IUSUSDAug 2012

Biography

SL Green Realty Corp., an S&P 500 company and New York City's largest office landlord, is a fully integrated real estate investment trust, or REIT, that is focused primarily on acquiring, managing and maxi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/23 23:38
End of Day Share Price2019/09/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.