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 Analysis

6 star dividend payer and good 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

Stable Share Price: SLG's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-18.7%

SLG

-8.3%

US REITs

-2.8%

US Market


1 Year Return

-58.3%

SLG

-27.1%

US REITs

-15.9%

US Market

Return vs Industry: SLG underperformed the US REITs industry which returned -27.1% over the past year.

Return vs Market: SLG underperformed the US Market which returned -15.9% over the past year.


Shareholder returns

SLGIndustryMarket
7 Day-18.7%-8.3%-2.8%
30 Day-52.0%-29.7%-18.8%
90 Day-57.4%-30.4%-24.0%
1 Year-56.7%-58.3%-24.0%-27.1%-14.2%-15.9%
3 Year-60.1%-64.1%-9.2%-20.6%9.9%2.8%
5 Year-64.6%-69.8%6.9%-15.3%27.2%13.3%

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

Valuation

Is SL Green Realty undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SLG ($38.64) is trading below our estimate of fair value ($125.05)

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


Price To Earnings Ratio

PE vs Industry: SLG is good value based on its PE Ratio (12.4x) compared to the REITs industry average (22.5x).

PE vs Market: SLG is poor value based on its PE Ratio (12.4x) compared to the US market (12.2x).


Price to Earnings Growth Ratio

PEG Ratio: SLG's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: SLG is good value based on its PB Ratio (0.6x) compared to the US REITs industry average (1.1x).


Next Steps

Future Growth

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

-16.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SLG's earnings are forecast to decline over the next 3 years (-16.6% per year).

Earnings vs Market: SLG's earnings are forecast to decline over the next 3 years (-16.6% per year).

High Growth Earnings: SLG's earnings are forecast to decline over the next 3 years.

Revenue vs Market: SLG's revenue is expected to decline over the next 3 years (-1.7% per year).

High Growth Revenue: SLG's revenue is forecast to decline over the next 3 years (-1.7% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SLG's Return on Equity is forecast to be low in 3 years time (3.6%).


Next Steps

Past Performance

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

-1.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SLG has a large one-off gain of $112.6M impacting its December 31 2019 financial results.

Growing Profit Margin: SLG's current net profit margins (21%) are higher than last year (18.8%).


Past Earnings Growth Analysis

Earnings Trend: SLG's earnings have declined by -1.9% per year over the past 5 years.

Accelerating Growth: SLG's earnings growth over the past year (9.5%) exceeds its 5-year average (-1.9% per year).

Earnings vs Industry: SLG earnings growth over the past year (9.5%) exceeded the REITs industry 4.3%.


Return on Equity

High ROE: SLG's Return on Equity (4.7%) is considered low.


Next Steps

Financial Health

How is SL Green Realty'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: SLG has a high level of physical assets or inventory.

Debt Coverage by Assets: SLG's debt is not covered by short term assets (assets are 0.2x debt).


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

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

9.16%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SLG's dividend (9.16%) is higher than the bottom 25% of dividend payers in the US market (2.07%).

High Dividend: SLG's dividend (9.16%) is in the top 25% of dividend payers in the US market (5.82%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.6%), SLG's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SLG's dividends in 3 years are forecast to be thoroughly covered by earnings (0.7% payout ratio).


Next Steps

Management

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

9.3yrs

Average management tenure


CEO

Marc Holliday (53yo)

16.25s

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

Compensation vs Market: Marc's total compensation ($USD13.36M) is above average for companies of similar size in the US market ($USD5.71M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Marc Holliday
Chairman & CEO16.25yrsUS$13.36m0.013% $403.7k
Andrew Mathias
President & Director5.83yrsUS$10.41m0.37% $11.8m
Matthew DiLiberto
Chief Financial Officer5.25yrsUS$5.24m0.0023% $73.3k
Andrew Levine
Chief Legal Officer19.42yrsUS$1.61m0.018% $563.3k
Edward Piccinich
Chief Operating Officer2.25yrsno datano data
David Schonbraun
Co-Chief Investment Officer9.25yrsno datano data
Isaac Zion
Co-Chief Investment Officer9.25yrsno datano data
Maggie Hui
Chief Accounting Officer5.25yrsno datano data
Christopher Gulden
Senior Vice President of Leasingno datano datano data
Steven Durels
Executive VP & Director of Leasing & Real Property4.67yrsno datano data

9.3yrs

Average Tenure

53yo

Average Age

Experienced Management: SLG's management team is seasoned and experienced (9.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Marc Holliday
Chairman & CEO16.25yrsUS$13.36m0.013% $403.7k
Andrew Mathias
President & Director5.83yrsUS$10.41m0.37% $11.8m
Craig Hatkoff
Independent Director9.25yrsUS$383.93k0.0068% $215.5k
Stephen Green
Chairman Emeritus1.25yrsUS$2.06mno data
Betsy Atkins
Independent Director5yrsUS$372.50k0.0075% $238.7k
John Alschuler
Lead Independent Director10.25yrsUS$470.67k0.0010% $32.1k
Edwin Burton
Independent Director23.25yrsUS$406.50k0.0038% $119.6k
John Levy
Independent Director23.25yrsUS$363.07k0.018% $570.0k
Lauren Dillard
Independent Director3.33yrsUS$418.33kno data

5.8yrs

Average Tenure

66yo

Average Age

Experienced Board: SLG's board of directors are considered experienced (5.8 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

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$3.174b
  • Market Cap: US$3.011b
  • Shares outstanding: 82.13m
  • 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
GEIBRSE (Berne Stock Exchange)YesCommon StockCHCHFAug 1997
SLG.PRINYSE (New York Stock Exchange)PFD SER IUSUSDAug 2012
S1LG34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REPR 1 COMBRBRLJan 2020

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 maximizing value of Manhattan commercial properties. As of December 31, 2019, SL Green held interests in 97 buildings totaling 44.0 million square feet. This included ownership interests in 26.5 million square feet of Manhattan buildings and 16.4 million square feet securing debt and preferred equity investments. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/05 09:51
End of Day Share Price2020/04/03 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.