NYSE:WPG

Stock Analysis Report

Executive Summary

Washington Prime Group Inc. is a retail REIT and a recognized leader in the ownership, management, acquisition and development of retail properties.

Snowflake

Fundamentals

Good value average dividend payer.


Similar Companies

Share Price & News

How has Washington Prime Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

7.1%

WPG

0.9%

US REITs

0.07%

US Market


1 Year Return

-28.5%

WPG

21.8%

US REITs

8.9%

US Market

Return vs Industry: WPG underperformed the US REITs industry which returned 21.8% over the past year.

Return vs Market: WPG underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

WPGIndustryMarket
7 Day7.1%0.9%0.07%
30 Day9.2%2.2%-0.3%
90 Day24.0%7.9%-1.6%
1 Year-11.2%-28.5%27.0%21.8%11.3%8.9%
3 Year-36.5%-60.3%37.5%20.2%46.3%36.8%
5 Year-54.1%-75.5%65.5%30.4%62.1%44.3%

Price Volatility Vs. Market

How volatile is Washington Prime Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Washington Prime Group undervalued compared to its fair value and its price relative to the market?

45.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WPG ($4.39) is trading below our estimate of fair value ($8.01)

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


Price To Earnings Ratio

PE vs Industry: WPG is good value based on its PE Ratio (25x) compared to the REITs industry average (37.3x).

PE vs Market: WPG is poor value based on its PE Ratio (25x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: WPG is good value based on its PB Ratio (1.2x) compared to the US REITs industry average (2.1x).


Next Steps

Future Growth

How is Washington Prime Group forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

-36.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WPG's earnings are forecast to decline over the next 3 years (-36.9% per year).

Earnings vs Market: WPG's earnings are forecast to decline over the next 3 years (-36.9% per year).

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

Revenue vs Market: WPG's revenue is expected to decline over the next 3 years (-0.1% per year).

High Growth Revenue: WPG's revenue is forecast to decline over the next 3 years (-0.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if WPG's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Washington Prime Group performed over the past 5 years?

-1.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: WPG's earnings have declined by -1.6% per year over the past 5 years.

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

Earnings vs Industry: WPG had negative earnings growth (-47%) over the past year, making it difficult to compare to the REITs industry average (16.9%).


Return on Equity

High ROE: WPG's Return on Equity (5.3%) is considered low.


Return on Assets

ROA vs Industry: WPG's Return on Assets is below or equal to the REITs industry average last year.


Return on Capital Employed

ROCE Improving: WPG's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Washington Prime Group'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: WPG has a high level of physical assets or inventory.

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


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

What is Washington Prime Group's current dividend yield, its reliability and sustainability?

22.78%

Current Dividend Yield


Dividend Yield vs Market

company22.8%marketbottom25%1.4%markettop25%3.7%industryaverage3.6%forecastin3Years22.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: WPG's dividend (22.78%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: WPG's dividend (22.78%) is in the top 25% of dividend payers in the US market (3.68%)

Stable Dividend: Whilst dividend payments have been stable, WPG has been paying a dividend for less than 10 years.

Growing Dividend: WPG has only been paying a dividend for 5 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (58.1%), WPG's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WPG's dividends in 3 years are forecast to be thoroughly covered by earnings (0.4% payout ratio).


Next Steps

Management

What is the CEO of Washington Prime Group's salary, the management and board of directors tenure and is there insider trading?

3.1yrs

Average management tenure


CEO

Lou Conforti (54yo)

3.1yrs

Tenure

US$4,826,966

Compensation

Mr. Louis G. Conforti, also known as Lou, serves as the Chief Executive Officer of Washington Prime Group Inc. since October 6, 2016 and has been its Director since May 27, 2014 and previously served as an ...


CEO Compensation Analysis

Compensation vs. Market: Lou's total compensation ($USD4.83M) is about average for companies of similar size in the US market ($USD2.67M).

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


Management Age and Tenure

3.1yrs

Average Tenure

53yo

Average Age

Experienced Management: WPG's management team is considered experienced (3.1 years average tenure).


Board Age and Tenure

3.3yrs

Average Tenure

56yo

Average Age

Experienced Board: WPG's board of directors are considered experienced (3.3 years average tenure).


Insider Trading

Insider Buying: WPG insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$49,72709 Sep 19
Jonathan Levy
EntityIndividual
Shares14,800
Max PriceUS$3.36
BuyUS$99,89928 Jun 19
J. Birge
EntityIndividual
Role
Member of the Board of Directors
Director
Shares28,300
Max PriceUS$3.53
BuyUS$98,29828 Jun 19
Louis Conforti
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares28,250
Max PriceUS$3.48
BuyUS$102,44702 May 19
Louis Conforti
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares22,500
Max PriceUS$4.56
SellUS$1,16502 May 19
Stephan Gerber
EntityIndividual
Shares266
Max PriceUS$4.38
SellUS$29,41528 Feb 19
Joshua Lindimore
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Leasing
Shares5,116
Max PriceUS$5.80
SellUS$67,45828 Feb 19
Robert Demchak
EntityIndividual
Role
Chief Legal Officer
Executive VP
Shares11,747
Max PriceUS$5.80
BuyUS$120,87521 Dec 18
Sheryl von Blucher
EntityIndividual
Role
Member of the Board of Directors
Director
Shares25,000
Max PriceUS$4.84
BuyUS$99,80821 Dec 18
Louis Conforti
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares20,747
Max PriceUS$4.82
BuyUS$299,66712 Dec 18
Robert Laikin
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman of the Board
Shares49,200
Max PriceUS$6.12
BuyUS$99,98516 Nov 18
Louis Conforti
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares16,286
Max PriceUS$6.14

Ownership Breakdown


Management Team

  • Mark Yale (53yo)

    Executive VP & CFO

    • Tenure: 4.8yrs
    • Compensation: US$1.66m
  • Lisa Indest (55yo)

    Executive VP of Finance & Chief Accounting Officer

    • Tenure: 4.8yrs
    • Compensation: US$682.39k
  • Josh Lindimore (45yo)

    Executive VP & Head of Leasing

    • Tenure: 2yrs
  • Lou Conforti (54yo)

    CEO & Director

    • Tenure: 3.1yrs
    • Compensation: US$4.83m
  • Robert Demchak (48yo)

    Executive VP

    • Tenure: 3.3yrs
    • Compensation: US$1.40m
  • Kimberly A. Green

    Vice President of Investor Relations & Corporate Communications

    • Tenure: 0yrs
  • Cheryl VanPatten

    Senior VP & Chief Information Officer

    • Tenure: 4yrs
  • Pagle Helterbrand

    Senior VP & Chief Human Resource Officer

    • Tenure: 3.1yrs
  • Lauren Kelly

    Senior Vice President

    • Tenure: 2yrs
  • Jennifer Moretti

    Senior Vice President of Marketing

    • Tenure: 2yrs

Board Members

  • John Dillon (59yo)

    Director

    • Tenure: 3.3yrs
    • Compensation: US$230.01k
  • Robert Laikin (56yo)

    Non-Executive Chairman of the Board

    • Tenure: 3.3yrs
    • Compensation: US$505.01k
  • Sheryl von Blucher (57yo)

    Director

    • Tenure: 3.2yrs
    • Compensation: US$230.01k
  • Tag Birge (48yo)

    Director

    • Tenure: 2.4yrs
    • Compensation: US$285.01k
  • Lou Conforti (54yo)

    CEO & Director

    • Tenure: 3.1yrs
    • Compensation: US$4.83m
  • Jacquelyn Soffer (53yo)

    Independent Director

    • Tenure: 5.4yrs
    • Compensation: US$230.01k
  • John Levy (63yo)

    Director

    • Tenure: 3.3yrs
    • Compensation: US$230.01k

Company Information

Washington Prime Group Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Washington Prime Group Inc.
  • Ticker: WPG
  • Exchange: NYSE
  • Founded: 2014
  • Industry: Retail REITs
  • Sector: Real Estate
  • Implied Market Cap: US$938.494m
  • Market Cap: US$819.118m
  • Shares outstanding: 221.34m
  • Website: https://www.washingtonprime.com

Number of Employees


Location

  • Washington Prime Group Inc.
  • 180 East Broad Street
  • Columbus
  • Ohio
  • 43215
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WPGNYSE (New York Stock Exchange)YesCommon StockUSUSDMay 2014
W02DB (Deutsche Boerse AG)YesCommon StockDEEURMay 2014
0LTALSE (London Stock Exchange)YesCommon StockGBUSDMay 2014
WPG.PRHNYSE (New York Stock Exchange)REDEEMABLE PFD HUSUSDJan 2015
WPG.PRINYSE (New York Stock Exchange)REDEEMABLE PFD IUSUSDJan 2015

Biography

Washington Prime Group Inc. is a retail REIT and a recognized leader in the ownership, management, acquisition and development of retail properties. The Company combines a national real estate portfolio wi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 00:20
End of Day Share Price2019/10/22 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.