Simon Property, Afterpay Team Up as Holiday Season Approaches

Simon Property Group, Inc. SPG recently announced its collaboration with Afterpay to offer payment solutions to customers ahead of the busy holiday season. The nationwide collaboration is aimed at helping its retail tenants attract new customers and boost sales.

Afterpay, a leader in the "Buy Now, Pay Later" payment method, will offer a unique payment solution to the customers who shop from any of the Simon Property malls. The customers will now be able to make secure payments in four installments without any additional interest or upfront fees. Further, the service is free for customers, who pay their dues on time, and is also contactless.

To avail the service, customers can initiate the purchase in stores by tapping the card icon in the Afterpay app. This will activate the Afterpay wallet and customers can then buy with Apple Pay or Google Pay. Further, there are no merchant-integration costs as payments are made with the existing payment terminals of the retailers.

With the pandemic wreaking havoc through most of the year, retail REITs have been particularly hit hard. The industry has already been battling store closures and bankruptcy woes for some time. In addition, the social-distancing measures have resulted in dwindling footfalls in the company’s properties as more and more people prefer shopping online, thus, aggravating rent-collection woes.

However, Simon Property and its tenants would benefit from the latest tie up as the attractive payment solutions offered by Afterpay is likely to lure customers to retail properties again. The company has also been leveraging on the omni-channel strategy in a bid to navigate through the current turbulent environment.

Shares of this Zacks Rank #5 (Strong Sell) company have depreciated 49.6% over the past year compared with the industry's decline of 19.1%.

Stocks to Consider

Sabra Healthcare REIT, Inc.’s SBRA funds from operations (FFO) per share estimate for 2020 has been revised 6.1% upward to $1.74 over the past two months. The company carries a Zacks Rank of 2 (Buy), currently. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.

City Office REIT, Inc.’s CIO Zacks Consensus Estimate for 2020 FFO per share has been revised 4.6% upward to $1.14 over the past two months. The company currently carries a Zacks Rank of 2.

Duke Realty Corporation’s DRE Zacks Consensus Estimate for 2020 FFO per share has moved2.8% north to $1.49 in two months’ time. The company holds a Zacks Rank of 2, at present.

Note: Anything related to earnings presented in this write-up represent funds from operations (FFO) — a widely used metric to gauge the performance of REITs.

Biggest Tech Breakthrough in a Generation

Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.

A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 8 stocks to watch. The report is only available for a limited time.

See 8 breakthrough stocks now>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Duke Realty Corporation (DRE) : Free Stock Analysis Report
Simon Property Group, Inc. (SPG) : Free Stock Analysis Report
Sabra Healthcare REIT, Inc. (SBRA) : Free Stock Analysis Report
City Office REIT, Inc. (CIO) : Free Stock Analysis Report
To read this article on click here.
Zacks Investment Research