Macerich (NYSE:MAC) Releases Earnings Results, Beats Expectations By $0.01 EPS

Macerich (NYSE:MAC) released its quarterly earnings data on Wednesday. The real estate investment trust reported $0.37 earnings per share for the quarter, topping analysts’ consensus estimates of $0.36 by $0.01, Zacks reports. The business had revenue of $260.07 million for the quarter, compared to analysts’ expectations of $251.31 million. Macerich had a negative net margin of 16.85% and a negative return on equity of 6.26%. The company’s revenue for the quarter was up 2.7% compared to the same quarter last year. During the same quarter last year, the company earned $0.35 EPS.

Here are the key takeaways from Macerich’s conference call:

• Third-quarter FFO as adjusted was $0.37 per diluted share, while Go-Forward Portfolio NOI increased 4.7%; nine-month NOI growth was 3.3%, ahead of the company’s initial full-year expectations. Macerich expects meaningful acceleration in 2027–2028 as signed-but-not-open tenants commence rent, with estimated annual SNO contributions of $40–$45 million in 2027 and $45–$50 million in 2028.
• Leasing and occupancy continued to improve: Go-Forward leased occupancy reached 96.1%, up 180 basis points year over year, and the company has completed or approved 91% of its five-year leasing plan. Portfolio sales also reached a record $972 per square foot in the Go-Forward Portfolio.
• New anchor and experiential openings are generating traffic gains, which management said are supporting inline leasing and sales. Examples included Freehold Raceway Mall traffic rising 9% over the year following DICK’S House of Sport’s opening, and Annapolis Mall traffic increasing 20% over the first month after its opening.
• Macerich is under contract to acquire another mall, expects to close by year-end, and said the deal should be accretive to 2027 and 2028 FFO per share, with a targeted stabilized yield of 9%–11%. The company plans to fund it with unsettled forward equity and said its acquisition pipeline remains robust, while emphasizing disciplined deal selection.
• Despite balance-sheet progress, net debt to adjusted EBITDA was 7.3x at quarter-end, and loans on Twenty Ninth Street, Fashion Outlets of Niagara Falls, and Fresno Fashion Fair are in default as the company negotiates with lenders. Macerich is pursuing asset sales, refinancings, loan modifications, or potential property givebacks to address debt and meet its leverage goals.

Macerich Price Performance

MAC stock traded up $1.07 during trading on Wednesday, hitting $25.81. The company had a trading volume of 4,127,869 shares, compared to its average volume of 2,953,946. The business has a 50 day moving average of $23.15 and a 200 day moving average of $22.27. The firm has a market capitalization of $7.32 billion, a price-to-earnings ratio of -39.71, a P/E/G ratio of 1.79 and a beta of 2.11. The company has a current ratio of 0.88, a quick ratio of 0.88 and a debt-to-equity ratio of 1.67. Macerich has a fifty-two week low of $16.03 and a fifty-two week high of $26.67.

Macerich Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, December 28th. Investors of record on Monday, December 14th will be issued a $0.17 dividend. The ex-dividend date of this dividend is Monday, December 14th. This represents a $0.68 annualized dividend and a yield of 2.6%. Macerich’s dividend payout ratio is presently -104.62%.

Analyst Ratings Changes

Several research analysts have commented on the stock. Mizuho set a $28.00 target price on shares of Macerich in a research report on Wednesday, August 5th. JPMorgan Chase & Co. raised Macerich from a “neutral” rating to an “overweight” rating and set a $26.00 price target on the stock in a report on Thursday, September 24th. Piper Sandler reduced their price objective on Macerich from $30.00 to $26.00 and set an “overweight” rating for the company in a research report on Monday, October 12th. Citigroup boosted their price objective on Macerich from $28.00 to $29.00 and gave the stock a “buy” rating in a research report on Tuesday, August 11th. Finally, Griffin Securities set a $26.00 price objective on Macerich in a report on Tuesday, August 18th. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, three have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Macerich currently has a consensus rating of “Moderate Buy” and a consensus target price of $26.19.

Insider Buying and Selling

In other Macerich news, CAO Christopher Zecchini sold 2,740 shares of the business’s stock in a transaction dated Wednesday, September 9th. The shares were sold at an average price of $23.28, for a total transaction of $63,787.20. Following the sale, the chief accounting officer directly owned 847 shares in the company, valued at approximately $19,718.16. The trade was a 76.39% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 0.21% of the company’s stock.

About Macerich

Macerich (NYSE: MAC) is a self-managed and self-administered real estate investment trust that owns, operates and develops retail and mixed-use properties in the United States. The company’s portfolio primarily consists of regional shopping centers and high-quality malls located in major markets, with a concentration in the Western and Sun Belt regions.

Macerich generates revenue primarily through leasing retail, dining, entertainment and other commercial space to tenants. Its activities also include property management, marketing, redevelopment and the development of mixed-use projects designed to combine retail with residential, office, hotel and other uses.

The company traces its roots to the 1960s and has expanded through the acquisition, development and redevelopment of retail real estate.