Macerich (MAC) AI Stock Analysis

• Market Cap: $4.52B
• Dividend Yield: 3.95%
• Average Volume (3M): 1.73M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.48
• Revenue Growth: 4.53%
• EPS Growth: 40.88%
• Country: US
• Employees: 615
• Sector: Real Estate
• Sector Strength: 48
• Industry: REIT - Retail
• EPS (TTM): -0.16
• Shares Outstanding: 252,751,310
• 10 Day Avg. Volume: 1,914,699
• 30 Day Avg. Volume: 1,726,193
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.30
• Enterprise Value/Revenue: 10.46
• Enterprise Value/Gross Profit: 19.36
• Enterprise Value/Ebitda: 21.32
• 1Y Price Target: $17.98
• Price Target Upside: 4.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 55 Neutral
• Price Target: $17.50 ▲(1.74% Upside)

Macerich's overall stock score reflects a company with significant challenges but also some positive developments. The most significant factor is the financial performance, which is weighed down by profitability issues and high leverage. However, the earnings call provided a more optimistic outlook with strong leasing activity and strategic acquisitions. Technical analysis and valuation present mixed signals, contributing to a moderate overall score.

Positive Factors

Acquisition Impact

Macerich Company's acquisition of Crabtree Valley Mall, a market-dominant mall, is expected to enhance the company's asset portfolio and leasing opportunities.

Operational Performance

The leasing momentum showcased continued progress with 1.7 million square feet leased year-to-date, surpassing the full-year plan.

Revenue Stability

The property is approximately 94% occupied with strong tenant diversity, which suggests stable revenue generation.

Negative Factors

Earnings Forecast

FFO/share is expected to decline by 9.1% in 2025 and 1.9% in 2026 due to asset sales and deleveraging, before growing by 11% in 2027.

Interest Costs

The interest cost target may be harder to achieve, despite recent encouraging debt issuance.

Market Uncertainty

Prolonged macro uncertainty, a deterioration of consumer health, and/or a higher for longer interest rate environment could present headwinds to achieving targets.

Macerich Business Overview & Revenue Model

Company Description

Macerich is a fully integrated, self-managed and self-administered real estate investment trust, which focuses on the acquisition, leasing, management, development and redevelopment of regional malls throughout the United States. Macerich currently owns 51 million square feet of real estate consisting primarily of interests in 47 regional shopping centers. Macerich specializes in successful retail properties in many of the country's most attractive, densely populated markets with significant presence in the West Coast, Arizona, Chicago and the Metro New York to Washington, DC corridor. A recognized leader in sustainability, Macerich has achieved the #1 GRESB ranking in the North American Retail Sector for five straight years (2015 - 2019).

How the Company Makes Money

Macerich generates revenue primarily through leasing retail space to tenants in its shopping centers. The company's revenue streams include base rental income, which is derived from long-term leases with tenants, and percentage rent, which is a share of the tenant's sales volume above a certain threshold. Additionally, Macerich earns income from property management and development services, as well as through ancillary sources such as advertising and sponsorship opportunities within its properties. Key partnerships with national retailers and a strong focus on tenant mix and experience further enhance its revenue potential. The company also benefits from a solid portfolio of prime locations, which helps maintain high occupancy rates and rental pricing power.

Macerich Financial Statement Overview

Summary

Macerich shows stable revenue growth, but profitability challenges persist with ongoing net losses. High leverage poses financial risks, though cash flow management supports operations.

Income Statement

The company's revenue growth shows a positive trend from 2020 to TTM 2025, with a notable increase in total revenue. However, profitability is a concern as net income remains negative, impacting the net profit margin. Gross profit margin has been relatively stable, but the EBIT margin fluctuates, indicating operational challenges.

Balance Sheet

The company maintains a high debt-to-equity ratio, reflecting high leverage, which poses a risk. However, the equity ratio remains healthy, indicating that a significant portion of assets is financed by equity. Return on equity is negative due to net losses, which impacts overall balance sheet health.

Cash Flow

Operating cash flow is positive and growing, supporting the company's ability to manage day-to-day operations. The free cash flow to net income ratio indicates effective cash flow management despite net losses. However, free cash flow growth is limited, suggesting restrained investment capacity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	992.92M	918.20M	881.37M	859.16M	847.44M	786.03M
Gross Profit	536.54M	487.94M	486.48M	468.81M	466.55M	438.05M
EBITDA	487.23M	326.90M	190.72M	454.96M	470.30M	547.23M
Net Income	-410.43M	-194.12M	-274.06M	-66.07M	14.26M	-230.20M
Balance Sheet
Total Assets	8.73B	8.57B	7.51B	8.09B	8.35B	9.18B
Cash, Cash Equivalents and Short-Term Investments	131.09M	89.86M	94.94M	100.32M	112.45M	465.30M
Total Debt	5.39B	5.06B	4.31B	4.50B	4.61B	6.13B
Total Liabilities	6.07B	5.72B	4.99B	5.14B	5.17B	6.74B
Stockholders Equity	2.59B	2.76B	2.45B	2.87B	3.05B	2.26B
Cash Flow
Free Cash Flow	313.93M	283.44M	295.50M	337.51M	286.37M	124.84M
Operating Cash Flow	313.93M	283.44M	295.50M	337.51M	286.37M	124.84M
Investing Cash Flow	-211.52M	19.79M	52.54M	-1.40M	234.97M	-202.85M
Financing Cash Flow	-58.59M	-316.05M	-338.89M	-321.94M	-837.02M	446.45M

Macerich Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MAC, the sentiment is Positive. The current price of 17.2 is above the 20-day moving average (MA) of 17.07, above the 50-day MA of 16.64, and below the 200-day MA of 17.57, indicating a neutral trend. The MACD of 0.19 indicates Negative momentum. The RSI at 53.29 is Neutral, neither overbought nor oversold. The STOCH value of 55.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MAC.

Macerich Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KIM	76 Outperform	$14.30B	25.47	5.63%	4.58%	10.46%	56.11%
FRT	74 Outperform	$8.40B	24.53	11.04%	4.56%	6.00%	15.77%
KRG	73 Outperform	$4.87B	28.24	5.53%	4.86%	4.03%	―
PECO	66 Neutral	$4.72B	64.78	3.01%	3.59%	10.31%	14.39%
Sector *	63 Neutral	$6.93B	13.52	-0.57%	7.16%	3.62%	-22.63%
MAC	55 Neutral	$4.52B	―	-19.00%	3.95%	4.53%	40.88%
WHLR	52 Neutral	$3.58M	―	8.94%	―	0.14%	99.35%

Macerich Corporate Events

Macerich Sells Valley Mall for $22.1 Million

On August 18, 2025, Macerich completed the sale of Lakewood Center in California for $332.1 million, with the buyer assuming a $317.1 million loan. The company plans to use the $5 million net proceeds for general corporate purposes. Additionally, on August 20, 2025, Macerich sold Valley Mall in Virginia for $22.1 million, with net proceeds of $20.9 million also intended for general corporate purposes. These transactions are part of the company’s strategy to optimize its portfolio and strengthen its financial position.

Macerich Announces Quarterly Dividend Amid Net Loss

In the second quarter of 2025, Macerich reported a net loss of $40.9 million, a significant decrease from the $252.0 million net income in the same period of 2024, primarily due to a previous gain on asset sale. Despite this, the company saw a 2.4% increase in net operating income for its Go-Forward Portfolio Centers and a 137% increase in leased square footage compared to the previous year. The company also engaged in several transactions, including the acquisition of Crabtree Mall and the sale of SouthPark and Atlas Park, resulting in a robust liquidity position of approximately $915 million. Macerich announced a quarterly cash dividend of $0.17 per share, payable on September 23, 2025.

Macerich Acquires Crabtree Mall for $290 Million

On June 24, 2025, Macerich announced its acquisition of Crabtree Mall, a 1.3 million square foot Class A retail center in Raleigh, NC, for $290 million. The acquisition, funded through cash and borrowings, is part of Macerich’s strategic plan to enhance its portfolio and drive shareholder value. The company aims to implement a $60 million redevelopment plan to maximize net operating income growth and improve occupancy rates, positioning itself strongly in the high-growth Southeastern U.S. market.

Macerich Holds Annual Stockholders Meeting, Key Decisions Made

On June 2, 2025, Macerich held its annual meeting of stockholders where key decisions were made. Stockholders elected eight directors, approved executive compensation, and ratified KPMG LLP as the independent auditor for the fiscal year ending December 31, 2025, indicating continued confidence in the company’s leadership and financial oversight.

Macerich Updates Path Forward Plan for Class A Malls

On May 29, 2025, Macerich made available an investor presentation detailing its Path Forward Plan update, emphasizing its strategic focus on Class A malls. The company is well-positioned in the top-performing retail real estate segment, with 92% of its net operating income derived from A or higher-tier properties, highlighting its resilience and growth potential in the evolving retail landscape.