Largest U.S. Mall Owner Sues Gap for $65.9M

SPG is down over 50% for 2020

Digital Content Manager
Jun 4, 2020 at 11:17 AM
facebook X logo linkedin


The shares of Simon Property Group Inc. (NYSE: SPG) are up 2.4% at $74.57 this morning, after the biggest mall owner in the country sued apparel retailer Gap (GPS) for more than $65.9 million in missed rent payments and overdue charges, according to a lawsuit filed Tuesday in Delaware state court. Gap is not the only major retailer skipping rent -- many others have stopped making payments after the coronavirus pandemic forced them to shut down stores, sparking tension with landlords.

On the charts, SPG has been struggling to recover from the steep selloff it suffered to the $42 level in mid-March, when most states implemented stay-at-home orders and closed nonessential businesses. Earlier in January, before the pandemic hit the U.S., that shares were pushing against the $150 level. And although SPG was able to find support at the round $50 level in early April, the equity remains down over 50% year-to-date.

Ahead of the lawsuit, analysts were hesitant toward SPG. Coming into today, 10 of the 13 in coverage sport a lukewarm "hold" recommendation, while the remaining three carry a "buy" or better. However, the stock's 12-month consensus price target of $78.21 is a healthy 5% premium to current levels.

In the option pits, the appetite for calls is unusually high as of late. In the last 10 days, 4.61 calls were bought for every put at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). This ratio sits higher than all readings from the past year, meaning calls are being picked up at a faster-than-usual clip. 

 

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI