Macerich kept its winning streak alive by reporting another
impressive quarterly result. The company's third-quarter 2013
adjusted FFO per share surpassed the Zacks Consensus Estimate and
was higher than the year-ago figure. Strong growth in revenue,
overall portfolio occupancy and re-leasing spreads drove the
results. The guidance and dividend hike also raise investors'
confidence in the stock. Going forward, we believe that the
company's portfolio of high quality malls positioned across the
thriving U.S. markets will boost its top line. Moreover, portfolio
restructuring activities enhance its long-term growth prospects. In
addition, the recent deal with Deliv bodes well. However,
Macerich's substantial development and redevelopment pipeline
increases its operational risks. Also, rise in online purchases
continue to remain a headwind for the demand of its properties.
The Macerich Company, which is headquartered in Santa Monica,
California, is a retail real estate investment trust (REIT) that
owns, acquires, leases, manages, develops and redevelops regional
and community shopping centers in high barrier-to-entry markets of
the U.S. The company operates through its limited partnership, The
Macerich Partnership, L.P., in which it holds a majority stake.
Macerich primarily focuses on the attractive, densely populated
markets of the U.S. Currently, it has a substantial number of
retail properties in California, Arizona, Chicago and Greater New
York Metro. As of Sep 30, 2013, the company owned or had an
ownership interest in 58 regional shopping centers and 9
community/power shopping centers aggregating approximately 61
million square feet of gross leasable area.
The Macerich Company (MAC): Read the Full Research
MACERICH CO (MAC): Free Stock Analysis Report
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