What to Expect From Simon Property's Q1 2025 Earnings Report

With a market cap of $48 billion, Simon Property Group, Inc. (SPG) is a leading publicly-traded real estate investment trust in the United States. The Indiana-based company is engaged in acquiring, owning, and leasing shopping, dining, entertainment, and mixed-use destinations. It is expected to report its Q1 earnings on Monday, May 12, after the market closes.

Ahead of the event, analysts expect SPG to report an AFFO of $2.91 per share, down 18.3% from an AFFO of $3.56 per share reported in the year-ago quarter. It has exceeded analysts' earnings estimates in two of the past four quarters, while missing on two other occasions. 

For the current year, analysts expect SPG to report an AFFO of $12.54, down 3.5% from $12.99 in fiscal 2024. Looking ahead, analysts expect its earnings to surge 3% year-over-year to $12.91 per share in fiscal 2026.

Over the past year, SPG shares have surged 5.8%, outperforming the S&P 500 Index’s ($SPX) 5.5% gains but underperforming the Real Estate Select Sector SPDR Fund’s (XLRE) 11.8% rally over the same time frame.

Simon Property Group’s stock prices declined marginally following the release of its Q4 results on Feb. 4. Driven by solid growth in lease income, SPG’s overall revenues increased 3.6% year-over-year to approximately $1.6 billion, exceeding the Street’s expectations. Moreover, the company delivered a marginal growth in funds from operations compared to the year-ago quarter to $1.4 billion.

Moreover, analysts remain moderately bullish about SPG stock’s future prospects, with a "Moderate Buy" rating overall. Among 18 analysts covering the stock, nine recommend a “Strong Buy” and nine suggest a “Hold.” SPG's mean price of $188.36 implies a premium of 25% from its prevailing price level.