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.

Risks

  • Washington Prime Group is covered by less than 3 analysts.

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

-10.2%

NYSE:WPG

1.3%

US REITs

0.8%

US Market


1 Year Return

-44.1%

NYSE:WPG

12.8%

US REITs

1.9%

US Market

WPG underperformed the REITs industry which returned 10.8% over the past year.

WPG underperformed the Market in United States of America which returned 2.1% over the past year.


Share holder returns

WPGIndustryMarket
7 Day-10.2%1.3%0.8%
30 Day17.2%1.8%3.4%
90 Day-2.0%1.9%2.1%
1 Year-30.6%-44.1%17.9%12.8%4.2%1.9%
3 Year-47.9%-67.4%30.5%13.5%46.7%37.2%
5 Year-56.9%-77.0%71.6%35.4%62.3%44.5%

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 based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Washington Prime Group's share price is below the future cash flow value, and at a moderate discount (> 20%).

Washington Prime Group's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Washington Prime Group is good value based on earnings compared to the US REITs industry average.

Washington Prime Group is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Washington Prime Group earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Washington Prime Group is good value based on assets compared to the US REITs industry average.


Next Steps

Future Growth

How is Washington Prime Group expected 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 Estimates


Future Annual Growth Analysis

Washington Prime Group's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Washington Prime Group's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Washington Prime Group's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

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

Washington Prime Group'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

Unable to establish if Washington Prime Group will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


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

Washington Prime Group's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Washington Prime Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Washington Prime Group's 1-year earnings growth is negative, it can't be compared to the US REITs industry average.


Return on Equity

Washington Prime Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Washington Prime Group used its assets less efficiently than the US REITs industry average last year based on Return on Assets.


Return on Capital Employed

Washington Prime Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Washington Prime Group's financial position?


Financial Position Analysis

Washington Prime Group's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Washington Prime Group's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Washington Prime Group's level of debt (303.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (241.3% vs 303.4% today).

Debt is not well covered by operating cash flow (8.4%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 0.9x 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 Washington Prime Group's current dividend yield, its reliability and sustainability?

25.32%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Washington Prime Group's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.43%).

Washington Prime Group's dividend is above the markets top 25% of dividend payers in United States of America (3.67%).

Whilst dividend payments have been stable, Washington Prime Group has been paying a dividend for less than 10 years.

Washington Prime Group has only been paying a dividend for 5 years, and since then there has been no growth.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.7x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be thoroughly covered by earnings (232.6x coverage).


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?

3.0yrs

Average management tenure


CEO

Lou Conforti (54yo)

3yrs

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

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

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


Management Age and Tenure

3.0yrs

Average Tenure

53yo

Average Age

The tenure for the Washington Prime Group management team is about average.


Board Age and Tenure

3.3yrs

Average Tenure

56yo

Average Age

The tenure for the Washington Prime Group board of directors is about average.


Insider Trading

More shares have been bought than sold by Washington Prime Group individual insiders 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$67,45828 Feb 19
Robert Demchak
EntityIndividual
Role
Chief Legal Officer
Executive VP
Shares11,747
Max PriceUS$5.80
SellUS$29,41528 Feb 19
Joshua Lindimore
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Leasing
Shares5,116
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
BuyUS$99,98720 Sep 18
Louis Conforti
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares13,857
Max PriceUS$7.22

Ownership Breakdown


Management Team

  • Mark Yale (53yo)

    Executive VP & CFO

    • Tenure: 4.7yrs
    • Compensation: US$1.66m
  • Lisa Indest (55yo)

    Executive VP of Finance & Chief Accounting Officer

    • Tenure: 4.7yrs
    • Compensation: US$682.39k
  • Josh Lindimore (45yo)

    Executive VP & Head of Leasing

    • Tenure: 1.9yrs
  • Lou Conforti (54yo)

    CEO & Director

    • Tenure: 3yrs
    • 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: 3.9yrs
  • Pagle Helterbrand

    Senior VP & Chief Human Resource Officer

    • Tenure: 3yrs
  • Lauren Kelly

    Senior Vice President

    • Tenure: 1.9yrs
  • Jennifer Moretti

    Senior Vice President of Marketing

    • Tenure: 1.9yrs

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: 3.1yrs
    • Compensation: US$230.01k
  • Tag Birge (48yo)

    Director

    • Tenure: 2.3yrs
    • Compensation: US$285.01k
  • Lou Conforti (54yo)

    CEO & Director

    • Tenure: 3yrs
    • Compensation: US$4.83m
  • Jacquelyn Soffer (53yo)

    Director

    • Tenure: 5.3yrs
    • 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$892.012m
  • Market Cap: US$737.020m
  • 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 Analysis2019/09/18 00:26
End of Day Share Price2019/09/17 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.