STOCKS TELEGRAPH

Tag: KRG

  • Kite Realty Group Trust (KRG) stock is gaining in after-hours. Here’s why

    The stock price of Kite Realty Group Trust (KRG) closed the recent trading session at $21.37, 1.34% less than the previous trading session. The stock gained 2.95% to $22, during the after-hours. KRG announced the financial results for the fourth quarter of the financial year 2021. The company also filed form 8-K with the SEC on February 14, 2022, to report a major event.

    Financials

    On February 14, 2022, Kite Realty Group announced the financial results for Q4 of the fiscal year 2021, that ended on December 31, 2021. The main highlight for the fourth quarter of FY21 are

    • The total revenue of KRG increased from $68.3 million in Q4 of FY20 to $162.9 in the fourth quarter of FY21.
    • Loss per share of the company was $0.52 in the Q4 of fiscal year 2021 as compared to the loss per share of $0.08 in the same quarter of fiscal year 2020.
    • Net loss attributable to the common shareholders of KRG was reported to be $98.1 million in the fourth quarter of FY21 against the net loss of $6.7 million in Q4 of FY20.
    • Adjusted EBITDA for the Q4 of FY21 was $120.2 million.

    CEO Remarks

    The Chief Executive Officer (CEO) of KRG, John A. Kite, said that 2021 was an exceptional year for KRG, due to their fine operations and a merger with RPAI. He added that due to the merger there was a 33% increase in KRG’s FFO (Funds from operations) per share.

    Mr Kite concluded that with the high calibre portfolio, balance sheet, and an exceptional team of KRG, they are in the start of making a long-term value.

    About KRG

    Kite Realty Group Trust (KRG) is a real estate investment trust (REIT) that is one of the biggest public proprietors and administrators of open-air malls and mixed-use assets. The company was founded in 1968 and is headquartered in Indianapolis, Indiana, United States of America (USA).

  • Kite Realty Group Trust (KRG) Stock Trends Lower Despite Merger Announcement with RPAI

    Kite Realty Group Trust (KRG) Stock Trends Lower Despite Merger Announcement with RPAI

    Kite Realty Group Trust (KRG) stock prices were down 9.84% shortly after market trading commenced on July 19th, 2021, bringing the price per share down to USD$18.78 early on in the trading day.

    Merger Agreement with RPAI

    July 19th, 2021 saw the company announce having entered into a definitive merger agreement with Retail Properties of America, which would see the conversion of RPAI into a subsidiary of KRG, with the latter continuing forth as the sole surviving public company. The strategic transaction facilitates the merging of two stellar product portfolios and complementary geographic footprints, thereby facilitating the creation of a top-five shopping REIT, according to enterprise value.

    Combined Scope

    The merged company is expected to have a massive market cap of almost USD$4.6 billion, with a total enterprise value of roughly USD$7.5 billion, following the closing of the transaction. These forecasts are based on the closing price of KRG shares as of the end of July 16th, 2021, which saw each share have a price of USD$20.83. The combination of the accretive transaction with a strong balance sheet and a vast scope of value creation opportunities is expected to result in sustained increases in shareholder value over the long term.

    Details of the Merger

    As per the agreement, each common share of the partnering company will be converted into 0.623 newly issued shares of KRG common stock as a part of the 100% stock-for-stock transaction. As of the closing price of KRG stock on July 16th, 2021, the conversion rate represents a 13% premium to the closing price of RPAI at the same time. Shareholders of KRG are expected to retain ownership of roughly 40% of the combined company’s equity, while the other 60% will be held by RPAI shareholders.

    Assuming RPAI’s Debt

    The company will assume the entirety of RPAI’s debt and has accordingly secured a financing commitment that will give it access to USD$1.1 billion in a term loan bridge facility, in the case of debt consents failing to be obtained prior to the closing of the transaction. The closing of the transaction is expected for the fourth quarter of fiscal 2021.

    Future Outlook for KRG

    Armed with a massive strategic acquisition in the works, KRG is poised to capitalize on the significantly expanded scope of the resources it finds at its disposal. Current and potential investors are hopeful that management will continue to leverage the resources at their disposal and will facilitate a smooth transition through to the closing of the merger agreement.

  • Early Morning Vibes: 4 Hot Stocks You Might Consider For Thursday

    Early Morning Vibes: 4 Hot Stocks You Might Consider For Thursday

    The American stock markets plummeted again yesterday. The S&P 500 fell 1.31% and the Nasdaq even lost 2.70% and closed at 12,997 points.  On balance, it is not too bad, because the Nasdaq is still stabilizing just above the support zone at 12,985 points. However, it is increasingly likely that this support will break. A small head & shoulder pattern appears to have formed on the graph. If the neckline / support line is broken, we get a technical price target of approximately 12,000 points. So there seems to be even more decline in the pipeline.

    Just like the past few weeks, tech was again the most bitten dog. The turmoil in the bond markets continues to affect the equity market. The fee on 10-year US Treasury notes increased 6 basis points to 1.46%. Because technology stocks are relatively expensive, they are particularly affected. A higher interest rate usually results in lower profit expectations. Individual losses rose sharply. Amazon lost more than 3%, Netflix fell by more than 5% and Baidu even saw 9.23% of stock market value evaporate. Remarkably, there was still room for speculation; GameStop was raised 5% and Uber was also up 2.67%.

    Investors were also not satisfied with the job report that pay slip processor ADP published. The figures showed that only 117,000 new jobs were created in the month of February. Analysts had anticipated an increase of 175,000 jobs. This may indicate that the recovery of the US labor market is slower than expected. On Friday, the US government will release the official figures.

    Today Top Movers

    Allied Esports Entertainment Inc. (AESE) stock soared 44.0% to $3.6 in the pre-market trading.

    Lipocine Inc. (NASDAQ: LPCN) shares are trading up 25.87% at $1.8 at the time of writing. The company will present clinical data for lead candidate TLANDO™ at the ENDO 2021 Conference.

    Super League Gaming Inc. (SLGG) grew over 26.49% at $6.59 in pre-market trading today.

    Severn Bancorp Inc. (SVBI), a savings and loan holding company, rose about 21.84% at $10.21 in pre-market trading Thursday.

    Top Upgrades & Downgrades

    Jefferies turned bullish on Cummins Inc. (CMI), upgrading the stock to “Buy” and assigning a $325.0 price target, representing a potential upside of 24.07% from Wednesday’s close. 

    SITE Centers Corp. (SITC) has won the favor of KeyBanc’s equity research team. The firm upgraded the shares from Sector Weight to Overweight and moved their price target to $15.0, suggesting 16.32% additional upside for the stock. 

    Kite Realty Group Trust (KRG) received an upgrade from analysts at KeyBanc, who also set their one-year price target on the stock to $22.0. They changed their rating on KRG to Overweight from Sector Weight in a recently issued research note.

    Earlier Thursday HC Wainwright & Co. reduced its rating on KemPharm Inc. (KMPH) stock to Neutral from Buy and assigned the price target to $12.0.

    Barclays analysts reduced their investment ratings, saying in research reports covered by the media that it’s rating for Banco Bilbao Vizcaya Argentaria S.A. (BBVA) has been changed to Equal-Weight from Overweight. 

    Analysts at KeyBanc downgraded Retail Properties of America Inc. (RPAI)’s stock to Sector Weight from Overweight Thursday.

    Latest Insider Activity

    Palantir Technologies Inc. (PLTR) Director Moore Alexander D. announced the sale of shares taking place on Mar 01 at $24.97 for some 12,000 shares. The total came to more than $0.3 million. 

    Tesla Inc. (TSLA) SVP Powertrain and Energy Eng. Baglino Andrew D sold on Mar 01 a total of 18,726 shares at $690.11 on average. The insider’s sale generated proceeds of almost $1.04 million. 

    Lowe’s Companies Inc. (LOW) Director BATCHELDER DAVID H declared the purchase of shares taking place on Feb 26 at $159.48 for some 6,250 shares. The transaction amount was around $1.0 million. 

    Hanesbrands Inc. (HBI) Group Pres., Global Innerwear Cavaliere Joseph W bought on Mar 01 a total of 64,209 shares at $17.98 on average. The purchase cost the insider an estimated $299,367.

    Important Earnings

    Top US earnings releases scheduled for today include SmileDirectClub Inc. (NASDAQ: SDC). It will announce its Dec 2020 financial results. The company is expected to report earnings of -$0.1 per share from revenues of $181.1M in the three-month period. 

    Analysts expect Opendoor Technologies Inc. (NASDAQ: OPEN) to report a net income (adjusted) of -$0.1 per share when the company releases its quarterly results shortly. Revenue for the fiscal quarter ended Dec 2020 is predicted to come in at $243.94M. 

    The Gap, Inc. (GPS), due to announce earnings after the market closes today, is expected to report earnings of $0.18 per share from revenues of $4.66B recently concluded three-month period.