SITE Centers (formerly DDR Corp.) is an equity real estate investment trust. It invests in the real estate markets of the United States and Puerto Rico. The firm is in the business of acquiring, owning, developing, redeveloping, expanding, leasing and managing shopping centers. It formerly known as Developers Diversified Realty Corp. The company is based in Beachwood, Ohio.
SITC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for SITE Centers Corp. To summarize, we found that SITE Centers Corp ranked in the 28th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. In terms of the factors that were most noteworthy in this DCF analysis for SITC, they are:
The company's compound free cash flow growth rate over the past 5.68 years comes in at -0.04%; that's greater than only 20.03% of US stocks we're applying DCF forecasting to.
SITE Centers Corp's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than just 0% of US stocks with positive free cash flow.
The weighted average cost of capital for the company is 9. This value is greater than 59.92% stocks in the Real Estate sector that generate free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Real Estate that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as SITC, try SBAC, CBLAQ, PSA, BXP, and OHI.
Investment Thesis We believe that the uncertainty linked to the COVID-19 crisis is far from over. Although numerous businesses have reopened, cases are still rising uncontrolled and additional lockdown measures are not beyond the realms of possibility. This represents a significant risk especially for shopping center REITs whose revenue often...
SITE Centers Corp. (SITC) Q2 2020 Results Earnings Conference Call July 28, 2020 08:00 AM ET Company Participants Brandon Day - IR David Lukes - CEO Michael Makinen - COO Conor Fennerty - CFO Conference Call Participants Christy McElroy - Citigroup Samir Khanal - Evercore Todd Thomas - KeyBanc Capital...