Macerich (NYSE:MAC) Issues Earnings Results, Misses Estimates By $0.05 EPS

by · The Cerbat Gem

Macerich (NYSE:MAC – Get Free Report) posted its quarterly earnings results on Tuesday. The real estate investment trust reported ($0.10) earnings per share for the quarter, missing the consensus estimate of ($0.05) by ($0.05), FiscalAI reports. Macerich had a negative return on equity of 6.49% and a negative net margin of 16.85%.The business had revenue of $249.71 million during the quarter, compared to the consensus estimate of $239.77 million. During the same period in the prior year, the firm earned $0.33 earnings per share. The business’s revenue for the quarter was up .0% on a year-over-year basis.

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

  • Go-forward NOI grew 3.8% year over year in Q2, with management maintaining its expectation for at least 3% growth in 2026 and projecting growth above 8% in 2027 and 2028 as signed-but-not-open tenants begin paying rent. The SNO pipeline reached $124 million of a targeted $140 million.
  • Leasing and occupancy continued to improve, with portfolio occupancy reaching 94% and the go-forward portfolio reaching 95.5%. Management said 88% of its five-year leasing plan is complete, while demand is strong enough that teams are already leasing into 2029 and 2030.
  • Macerich reported meaningful balance-sheet progress: net debt to adjusted EBITDA fell to 7.3x, or below 7x including unsettled forward equity proceeds, and total dispositions reached approximately $1.3 billion. The company expects to complete another $300 million-$400 million of asset, outparcel, and land dispositions by year-end.
  • The company described its acquisition pipeline as the most robust since the Path Forward plan began, with targeted stabilized yields of 9%-11% and approximately $372 million of forward equity proceeds available for future purchases. Management expects acquisitions to be accretive while helping reduce leverage toward the high-five-times range.
  • A $76 million loan tied to the 29th Street property remains in default after its February maturity, and Macerich is still addressing its remaining 2026 debt maturities through potential asset sales, refinancing, loan modifications, or property give-backs. Management also noted higher management-company expenses from expanded staffing, technology, and AI investments.

Macerich Trading Down 4.0%

Shares of MAC traded down $1.00 during mid-day trading on Thursday, hitting $24.39. 4,810,599 shares of the company’s stock traded hands, compared to its average volume of 2,714,230. The company has a quick ratio of 0.83, a current ratio of 0.83 and a debt-to-equity ratio of 1.96. The firm has a market capitalization of $6.91 billion, a P/E ratio of -37.41, a PEG ratio of 1.80 and a beta of 2.07. The business’s 50-day moving average price is $24.79 and its 200-day moving average price is $21.74. Macerich has a 1 year low of $16.03 and a 1 year high of $26.67.

Macerich Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 28th. Stockholders of record on Monday, September 14th will be given a $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date is Monday, September 14th. Macerich’s dividend payout ratio (DPR) is currently -104.62%.

Institutional Trading of Macerich

Large investors have recently bought and sold shares of the company. Royal Bank of Canada lifted its stake in shares of Macerich by 20.1% in the 1st quarter. Royal Bank of Canada now owns 77,872 shares of the real estate investment trust’s stock valued at $1,338,000 after purchasing an additional 13,018 shares during the period. AQR Capital Management LLC increased its stake in shares of Macerich by 2.2% during the first quarter. AQR Capital Management LLC now owns 37,808 shares of the real estate investment trust’s stock valued at $640,000 after purchasing an additional 813 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Macerich by 10.2% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 148,592 shares of the real estate investment trust’s stock valued at $2,551,000 after purchasing an additional 13,782 shares during the last quarter. Millennium Management LLC lifted its holdings in shares of Macerich by 376.2% during the first quarter. Millennium Management LLC now owns 906,843 shares of the real estate investment trust’s stock valued at $15,570,000 after purchasing an additional 716,394 shares during the last quarter. Finally, Empowered Funds LLC boosted its position in shares of Macerich by 12.8% in the 1st quarter. Empowered Funds LLC now owns 26,361 shares of the real estate investment trust’s stock worth $453,000 after purchasing an additional 2,983 shares in the last quarter. 87.38% of the stock is owned by institutional investors.

Key Headlines Impacting Macerich

Here are the key news stories impacting Macerich this week:

  • Positive Sentiment: Operating performance improved: Macerich reported second-quarter FFO of $0.35 per share, above the $0.33 consensus and up from $0.32 a year earlier. Revenue of $249.71 million also exceeded estimates of $239.77 million, supported by stronger portfolio net operating income, higher occupancy, rising leasing activity and lower expenses. Macerich’s Q2 FFO & Revenues Beat Estimates
  • Positive Sentiment: Management provided constructive outlook commentary: Macerich expects at least 3% growth in 2026 go-forward NOI and is targeting $300 million to $400 million of additional asset dispositions by year-end. Successful leasing and asset sales could support cash flow and balance-sheet management. Macerich Expects NOI Growth and More Dispositions
  • Neutral Sentiment: Dividend maintained: The REIT declared a quarterly dividend of $0.17 per share, payable September 28 to shareholders of record September 14. The distribution supports income-focused investors, although the announcement itself does not change the payout.
  • Negative Sentiment: New capital raising pressured sentiment: Macerich announced a proposed offering of exchangeable senior notes through its operating partnership. The transaction may increase financing obligations, while exchangeable securities can create potential future equity dilution. Macerich Announces Proposed Offering of Exchangeable Senior Notes
  • Negative Sentiment: Additional dilution risk: Macerich updated its shelf registration and expanded the syndicate for its at-the-market equity program, preserving the ability to issue shares. Investors may view that flexibility negatively because future issuance could dilute existing ownership. Macerich Updates Shelf Registration and ATM Program
  • Negative Sentiment: GAAP earnings missed: Macerich posted a second-quarter loss of $0.10 per share versus the $0.05 loss expected, compared with $0.33 of EPS a year earlier. Negative net margin and return on equity remain concerns despite the FFO beat. Macerich Second-Quarter Earnings Report

Analysts Set New Price Targets

MAC has been the subject of a number of recent research reports. Morgan Stanley boosted their target price on Macerich from $20.00 to $25.00 and gave the company an “equal weight” rating in a research note on Thursday, June 18th. Deutsche Bank Aktiengesellschaft upgraded Macerich from a “hold” rating to a “buy” rating and raised their price target for the stock from $20.00 to $27.00 in a research report on Tuesday, June 2nd. JPMorgan Chase & Co. upgraded Macerich from an “underweight” rating to a “neutral” rating and boosted their price objective for the company from $23.00 to $25.00 in a research report on Wednesday, June 17th. Mizuho set a $28.00 price objective on Macerich in a research note on Wednesday. Finally, Compass Point restated a “neutral” rating and issued a $26.00 target price (up from $23.00) on shares of Macerich in a report on Friday, June 26th. One investment analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, six have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $25.67.

View Our Latest Report on Macerich

Macerich Company Profile

(Get Free Report)

The Macerich Company (NYSE: MAC) is a real estate investment trust (REIT) that specializes in the acquisition, development, ownership and management of regional shopping centers in the United States. Headquartered in Santa Monica, California, the company focuses on high-quality retail properties, including enclosed malls, open-air centers and mixed-use lifestyle destinations. Since its establishment as a REIT in 1994, Macerich has pursued a disciplined strategy of investing in properties that serve strong consumer demographics and offer long-term growth potential.

Macerich’s core activities encompass property and asset management, leasing, marketing and redevelopment services.

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