Macerich up 2% after President buys 60K shares

• Macerich (MAC) gained 1.5% in after hours trade last Friday after the company reported that the President Edward Coppola buys 60,000 common shares at an average price of $8.75 per share.
• Earlier, President Edward Coppola bought 40K shares at $10.284.
• President Edward Coppola now hold 575,739 common shares.
• A quick look at the company's ownership structure:

Comments

[OverTheHorizon]

Mall tenants continue to struggle and close stores:

www.retaildive.com/...

[theMEtraders]

@OverTheHorizon fear mongering much? gtfo

Dick's Sporting Goods tops Q2 estimates and raises full-year guidance

www.marketwatch.com/...

[ayaskanti]

@bladeli Buy Dick's and Big 5 then.

[theMEtraders]

@ayaskanti I just might, thanks for the useless comment though, please give me back 45 seconds of my life.

[katieliu76]

So he bought a million or two and cashed out the other 13 mil. Hardly confidence inducing..

[bmpire]

@katieliu76 Im not seeing the other 13 mil Coppola cashed out? direct me to the sec form 4

[SeattleGoldMiner]

Given that O'Hern and Coppola earned about $15mm between them last year (and the next 3 execs earned about $7-8mm) AND that their compensation directives REQUIRE each of the top 2 executive to hold about 6 years salary worth of stock, I am not overly impressed that those two bought about $1.5mm worth (although Coppola has a lot of OP units in addition to his stock.)

[And Value for All]

@SeattleGoldMiner so, you are acknowledging nobody forced him to buy

[SeattleGoldMiner]

@And Value for All
Not sure if the corporate requirement includes OP units.. but even if he was not "forced" to buy, the amount is not overwhelming given their resources and the fact that they will earn more than a money market account from the dividend ;>>)

[ayaskanti]

A squeeze coming on Tuesday. Remember July 75% and September 75% are yet to come.

[haunsolo]

@ayaskanti is this in reference to 75bps rate hikes? I’m not an expert at all in this stock but I would expect their portfolio to be locked in on 10yr commercial mortgages …. If that is true and they are non recourse does it really affect their cash flow? I could be wrong and or maybe this all just boils down to how hard retail would be hit in a recession?

[theMEtraders]

@haunsolo that's indeed correct. Biggest part of their mortgages are fixed rate so rate have little impact and the impact will be absorbed by the higher FFO.

[Iron Eagle]

@ayaskanti - yeah, real nice “squeeze”. More like popping a pimple. And it’s .75% if you are referring to fed rate hikes. 🙄

[Scarlo]

If they can average down on their individual holdings enough maybe they can start entertaining some buyout offers from SPG, Brookfield & the like.

[r Negoro]

Mac is undervalued but people are scared of rates.

[user 11202791]

it's undervalued because many people wrongly believe that brick and mortar retail will cease to exist in a few years

[r Negoro]

@user 11202791 no , its undervalued because in a recession people still go out. Unlike a pandemic.
Mac is priced like pandemic.

[only-temporary]

@user 11202791 That's part of it but it's also down because the executives of $MAC have a history of poorly managing debt and the shareholders have paid dearly in the past for it.

[RoseNose]

Well, that's a good sign. Holding a small stomach turning position that still pays a dividend; not all bad.

[OrangeKrush]

@RoseNose I own $50 worth of $MAC so I think I have everyone beat here for smallest position. That was all the money I had available when this hit sub $9 and I knew it wouldn’t be down there for long. Am going to keep adding with new paychecks as their mall assets alone are worth way more than $9 per share

[theMEtraders]

@OrangeKrush mall value minus debt is not worth 9 USD a share though. You can just "forget" about their debts ;)

[RoseNose]

@OrangeKrush : You get the "smallest" position award.

[NorthZorro]

Decent value here if one is willing to hold for a few years.

[theMEtraders]

let him buy much more

[p3tteri]

This is on top of the 40K shares he bought last month.

[JoeMonte]

Great sign to have insiders jumping in. Long MAC!