Buy Rating on Simon Property Group Driven by Conservative 2026 FFO Guidance, Robust Leasing Momentum, and High-Return Redevelopment Pipeline

In a report released yesterday, Samir Khanal from Bank of America Securities maintained a Buy rating on Simon Property, with a price target of $208.00.

Samir Khanal has given his Buy rating due to a combination of factors tied to Simon Property’s strong operating and financial performance. He highlights that the company’s latest quarterly results exceeded both his and the market’s expectations, driven by robust leasing momentum and solid demand at its top-tier retail centers. He also sees management’s 2026 FFO guidance as conservative, particularly on assumed net operating income growth, leaving room for potential upside as Simon has a track record of delivering higher growth and may realize additional benefits from Taubman-related synergies.

In addition, Khanal underscores the attractiveness of Simon’s redevelopment and densification pipeline, which carries compelling expected returns and is anticipated to add meaningful NOI as projects are completed. He notes that concerns about tenant bankruptcies and redevelopment-related income drag appear manageable based on management commentary, with limited expected impact on 2026 results. The company’s platform initiatives, including its Simon+ program and differentiated customer data capabilities, further support traffic and sales, reinforcing its competitive edge. Finally, the continued dividend growth, evidenced by a year-over-year increase, strengthens the total return profile and supports his Buy recommendation.

In another report released today, TipRanks – Google also reiterated a Buy rating on the stock with a $215.00 price target.

Based on the recent corporate insider activity of 80 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of SPG in relation to earlier this year.