SPG

The removal was announced in mid-September 2026 and is expected to trigger selling from passive funds and index trackers that must rebalance. This creates mechanical downward pressure on the stock as these funds adjust their holdings to match the index composition. The effect is usually temporary but can be substantial if the stock has a large weight in the index. For SPG, multiple signals between Sep 11 and Sep 20 flagged this potential outflow. The actual impact depends on how much passive money needs to reposition and whether other buyers—such as active managers or income-focused investors—absorb the supply.

On September 12, 2026, Jim Cramer endorsed SPG, pointing to its 4.25% dividend yield and the company's raised FFO guidance following strong Q2 results. This is significant because Cramer's commentary can influence retail investor sentiment and sometimes institutional interest. The endorsement provides an alternative bullish narrative to the index-removal headwind, suggesting that the core business is performing well. FFO (Funds From Operations) is a key metric for REITs, and a raised outlook indicates management confidence. This fundamental strength could serve as a buffer while the stock absorbs the forced selling from the S&P 100 removal.

As of September 10, 2026, SPG had a year-to-date gain of 14.5% and a 52-week return of 16.1%, both outperforming Realty Income. This comparative strength suggests that investors favor SPG's retail-focused portfolio over certain aspects of Realty Income's model, possibly due to better growth prospects or a higher yield. It also indicates that SPG has broader market support despite the upcoming index removal. The relative outperformance may provide a cushion, as it shows existing shareholders are not rushing to exit solely on the index news. However, past returns are not indicative of future results, and the index removal could alter this trend temporarily. Monitoring whether SPG maintains its edge after the rebalancing will be useful.

The Q3 earnings release, scheduled for November, is the next major catalyst for SPG. Key items to watch include whether the raised FFO guidance is maintained or increased, any commentary on retail tenant health, and updates on occupancy rates and leasing spreads. Management's outlook on consumer spending and any signals about dividend growth would also be relevant. Additionally, the market will see how well the company has navigated the S&P 100 removal during the quarter—whether any larger-than-expected outflows affected operations or balance sheet metrics. The earnings call could either reinforce the bullish long-term view or reveal cracks in the retail REIT recovery.