MAC Maintains Outperform at Scotiabank, Price Target Raised May 2026

Scotiabank maintained its Outperform rating on Macerich (MAC) while raising its price target to $24 from $22 on May 19, 2026. The REIT-Retail specialist operates 47 regional shopping centers across the United States with a market cap of $5.7 billion. MAC trades near $21.93, positioning the stock above its 50-day average of $20.51 and 200-day average of $18.65. This maintained rating reflects analyst confidence in the company’s retail property portfolio despite broader market headwinds.

Scotiabank Maintains Outperform on MAC Analyst Rating

Scotiabank kept its Outperform rating intact while boosting the price target by $2 per share to $24. The analyst action signals continued confidence in Macerich’s operational execution and portfolio quality. MAC stock responded modestly, gaining 0.34% on the news, reflecting measured investor sentiment around the maintained stance.

The price target increase suggests upside potential of approximately 9.5% from current levels. This adjustment comes as the company manages its 51 million square feet of retail real estate across premium markets including the West Coast, Arizona, Chicago, and the New York-Washington corridor. Scotiabank raised the price target to $24 from $22, reflecting improved visibility on the REIT’s leasing momentum and tenant demand.

MAC Financial Metrics and Valuation Snapshot

Macerich trades at a price-to-sales ratio of 5.71x with a dividend yield of 3.09%, offering income-focused investors a meaningful payout. The company generated $1.35 per share in operating cash flow and $1.14 per share in free cash flow on a trailing-twelve-month basis. However, the REIT posted a net loss of $0.72 per share, reflecting challenging retail dynamics and elevated financing costs.

The debt-to-equity ratio stands at 2.07x, indicating meaningful leverage typical for REITs managing large real estate portfolios. Interest coverage remains tight at 0.78x, signaling limited cushion for debt service. Despite these headwinds, Meyka AI rates MAC with a grade of B, suggesting moderate fundamental strength relative to sector peers and the broader market.

Analyst Consensus and Market Positioning

Wall Street consensus shows mixed sentiment with 3 Buy ratings, 3 Hold ratings, and 1 Sell rating among tracked analysts. The consensus score of 3.0 reflects a neutral-to-slightly-positive lean across the coverage universe. MAC stock faces structural headwinds from e-commerce competition and shifting consumer retail habits, yet maintains premium property locations that support long-term value.

The company’s three-year revenue growth rate of -0.97% and five-year decline of -26.4% underscore the secular challenges facing traditional retail REITs. Operating margins remain positive at 16.5%, demonstrating pricing power on leases and operational discipline. Scotiabank’s maintained rating acknowledges these realities while betting on portfolio resilience and management execution.

Meyka Grade and Forward Outlook

Meyka AI rates MAC with a grade of B, factoring in S&P 500 benchmark comparison, sector performance, financial growth, key metrics, and analyst consensus. This grade suggests the stock trades fairly relative to fundamentals, though not without risk. The rating recommendation is Hold, aligning with the broader analyst consensus.

Forecasts project MAC reaching $20.59 within one year and $24.56 within five years, implying modest long-term appreciation. These grades are not guaranteed and we are not financial advisors. Investors should monitor quarterly earnings, occupancy trends, and debt refinancing activity as key catalysts for future rating adjustments.

Final Thoughts

Scotiabank’s maintained Outperform rating and raised price target to $24 reflect confidence in Macerich’s premium retail portfolio and management execution. The REIT faces structural headwinds from e-commerce and changing consumer behavior, yet maintains strong locations and positive operating margins. With a B grade from Meyka AI and mixed analyst consensus, MAC represents a balanced opportunity for income-focused investors willing to accept leverage and sector cyclicality. The 3.09% dividend yield and potential upside to $24 provide near-term appeal, though long-term revenue trends warrant careful monitoring. Current valuation near $21.93 offers reasonable entry for those bullish on retail real estate recovery.

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Disclaimer:

Stock markets involve risks. This content is for informational purposes only. Analyst ratings are opinions and not guarantees of future performance. Past performance does not guarantee future results. Meyka AI PTY LTD provides market analysis and data insights, not financial advice. Always conduct your own research and consider consulting a licensed financial advisor.