SCG share price in focus
Scentre Group is a real estate company focused on shopping centres. The group operates under the Westfield brand in Australia and New Zealand.
Today, Scentre has a portfolio of 42 centres valued at more than $34 billion. Their occupancy rate sits above 99% and the centres receive more than half a billion visitors each year.
The company’s centres are located in prime trade areas, anchored by long-term tenancies with retail outlets that appeal to various consumers across fashion, dining, leisure and entertainment.
TLS shares
Starting life as a state-owned enterprise, Telstra has gone through many stages to today be Australia’s largest telecommunications company by market share. They provided over 22.5 million retail mobile accounts in 2023.
Telstra is responsible for building and operating telecommunication networks. Revenue comes from a range of activities including fixed broadband, mobile, data and IP, and digital media. The company has also expanded outside of Australia to over 20 countries where it provides services to governments and businesses.
The competitive advantage that Telstra has over competitors lies in its reach and scale, providing coverage to 99.6% of the Australian population and 5G services to over 85%.
SCG share price valuation
One way to have a ‘fast read’ of where the SCG share price is could be to study something like dividend yield over time. This can give us a sense of the stability of the company and whether they can consistently pay out a percentage of profits.
Remember, the dividend yield is basically the ‘cash flow’ to a shareholder, but it can fluctuate year-to-year or between payments. Currently, Scentre Group shares have a dividend yield of around 4.82%, compared to its 5-year average of 4.78%. In other words, SCG shares are trading higher than their historical average dividend yield. Be careful how you interpret this information though – it could mean that dividends are growing, or it could mean the share price is falling, or both. In the case of SCG, the annual report shows last year’s dividend was greater than the 3-year average, so the dividend has been growing.
TLS is offering a historical dividend yield of around 4.42%, which compares to its 5-year average of 3.62%. This is just one of many ways you could put a value on TLS shares. The Rask websites offer free online investing courses, created by analysts explaining valuation methods like Discounted Cash Flow (DCF) and Dividend Discount Models (DDM). They even include free valuation spreadsheets which can help you learn how to value a company like SCG or TLS.
