Why Tanger Factory Outlet Centers Stock Fell 10% Today
Shares of real estate investment trust (REIT) Tanger Factory Outlet Centers (NYSE: SKT) trended lower throughout the early part of the day on May 6, eventually falling by 10% at around lunchtime. Although the factory outlet specialist was getting hit harder than its mall peers, it wasn't the only name in the mall niche seeing a notable drop. Simon Property Group (NYSE: SPG), Macerich (NYSE: MAC), and Pennsylvania REIT (NYSE: PEI) were all down by high single digits by midday.
The big news in the mall space was Taubman Centers' (NYSE: TCO) earnings release, which occurred after the close of trading on May 5. Taubman is set to be acquired by Simon Property Group, so its shares are anchored to the acquisition price and didn't really make a material move on the news. Because of the pending transaction, it isn't going to hold a conference call and it didn't reveal all that much in its release, since first-quarter rents were largely collected before malls around the country were shut down because of COVID-19. Notably, Taubman made no mention of how much of its April rent roll it was able to collect or about any discussions it might be having with tenants around rent adjustments, which is the information most investors would like to know about.
Image source: Getty Images.
Source Fool.com
