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INNOVATIVE INDUSTRIAL PROPER (IIPR) Stock Fundamental Analysis

USA - NYSE:IIPR - US45781V1017 - REIT

52.75 USD
-0.63 (-1.18%)
Last: 10/23/2025, 7:10:55 PM
53.29 USD
+0.54 (+1.02%)
After Hours: 10/23/2025, 7:10:55 PM
Fundamental Rating

6

Taking everything into account, IIPR scores 6 out of 10 in our fundamental rating. IIPR was compared to 127 industry peers in the Diversified REITs industry. IIPR scores excellent on profitability, but there are some minor concerns on its financial health. IIPR has a bad growth rate and is valued cheaply. This makes IIPR very considerable for value investing!


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

IIPR had positive earnings in the past year.
In the past year IIPR had a positive cash flow from operations.
IIPR had positive earnings in each of the past 5 years.
Each year in the past 5 years IIPR had a positive operating cash flow.
IIPR Yearly Net Income VS EBIT VS OCF VS FCFIIPR Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M -400M

1.2 Ratios

IIPR's Return On Assets of 5.72% is amongst the best of the industry. IIPR outperforms 97.64% of its industry peers.
IIPR has a Return On Equity of 7.01%. This is amongst the best in the industry. IIPR outperforms 80.31% of its industry peers.
With an excellent Return On Invested Capital value of 5.49%, IIPR belongs to the best of the industry, outperforming 95.28% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for IIPR is above the industry average of 3.04%.
Industry RankSector Rank
ROA 5.72%
ROE 7.01%
ROIC 5.49%
ROA(3y)6.58%
ROA(5y)5.75%
ROE(3y)8.08%
ROE(5y)7.08%
ROIC(3y)6%
ROIC(5y)5.36%
IIPR Yearly ROA, ROE, ROICIIPR Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 -5

1.3 Margins

IIPR has a better Profit Margin (45.82%) than 96.06% of its industry peers.
In the last couple of years the Profit Margin of IIPR has remained more or less at the same level.
Looking at the Operating Margin, with a value of 52.68%, IIPR belongs to the top of the industry, outperforming 93.70% of the companies in the same industry.
IIPR's Operating Margin has been stable in the last couple of years.
IIPR has a Gross Margin of 89.88%. This is amongst the best in the industry. IIPR outperforms 92.91% of its industry peers.
In the last couple of years the Gross Margin of IIPR has remained more or less at the same level.
Industry RankSector Rank
OM 52.68%
PM (TTM) 45.82%
GM 89.88%
OM growth 3Y-5.45%
OM growth 5Y0.08%
PM growth 3Y-2.31%
PM growth 5Y1.02%
GM growth 3Y-2.46%
GM growth 5Y-1.34%
IIPR Yearly Profit, Operating, Gross MarginsIIPR Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -500 -1K

6

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), IIPR is destroying value.
The number of shares outstanding for IIPR has been increased compared to 1 year ago.
Compared to 5 years ago, IIPR has more shares outstanding
IIPR has a better debt/assets ratio than last year.
IIPR Yearly Shares OutstandingIIPR Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 5M 10M 15M 20M 25M
IIPR Yearly Total Debt VS Total AssetsIIPR Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

2.2 Solvency

An Altman-Z score of 2.29 indicates that IIPR is not a great score, but indicates only limited risk for bankruptcy at the moment.
With an excellent Altman-Z score value of 2.29, IIPR belongs to the best of the industry, outperforming 96.06% of the companies in the same industry.
IIPR has a debt to FCF ratio of 1.71. This is a very positive value and a sign of high solvency as it would only need 1.71 years to pay back of all of its debts.
The Debt to FCF ratio of IIPR (1.71) is better than 100.00% of its industry peers.
A Debt/Equity ratio of 0.15 indicates that IIPR is not too dependend on debt financing.
IIPR has a Debt to Equity ratio of 0.15. This is amongst the best in the industry. IIPR outperforms 99.21% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.15
Debt/FCF 1.71
Altman-Z 2.29
ROIC/WACC0.7
WACC7.87%
IIPR Yearly LT Debt VS Equity VS FCFIIPR Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B

2.3 Liquidity

A Current Ratio of 1.00 indicates that IIPR may have some problems paying its short term obligations.
With a Current ratio value of 1.00, IIPR perfoms like the industry average, outperforming 51.97% of the companies in the same industry.
IIPR has a Quick Ratio of 1.00. This is a bad value and indicates that IIPR is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of IIPR (1.00) is comparable to the rest of the industry.
The current and quick ratio evaluation for IIPR is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1
Quick Ratio 1
IIPR Yearly Current Assets VS Current LiabilitesIIPR Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M

3

3. Growth

3.1 Past

IIPR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -14.82%.
Measured over the past years, IIPR shows a very strong growth in Earnings Per Share. The EPS has been growing by 22.61% on average per year.
The Revenue has decreased by -7.80% in the past year.
IIPR shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 47.16% yearly.
EPS 1Y (TTM)-14.82%
EPS 3Y5.99%
EPS 5Y22.61%
EPS Q2Q%-35.82%
Revenue 1Y (TTM)-7.8%
Revenue growth 3Y14.67%
Revenue growth 5Y47.16%
Sales Q2Q%-21.18%

3.2 Future

The Earnings Per Share is expected to decrease by -14.96% on average over the next years. This is quite bad
Based on estimates for the next years, IIPR will show a decrease in Revenue. The Revenue will decrease by -4.86% on average per year.
EPS Next Y-30.5%
EPS Next 2Y-14.96%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-14.18%
Revenue Next 2Y-7.4%
Revenue Next 3Y-4.86%
Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
IIPR Yearly Revenue VS EstimatesIIPR Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 100M 200M 300M
IIPR Yearly EPS VS EstimatesIIPR Yearly EPS VS EstimatesYearly EPS VS Estimates 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 2 4

7

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 11.06, which indicates a very decent valuation of IIPR.
Compared to the rest of the industry, the Price/Earnings ratio of IIPR indicates a rather cheap valuation: IIPR is cheaper than 94.49% of the companies listed in the same industry.
IIPR is valuated cheaply when we compare the Price/Earnings ratio to 27.67, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 13.43, the valuation of IIPR can be described as correct.
96.85% of the companies in the same industry are more expensive than IIPR, based on the Price/Forward Earnings ratio.
IIPR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.33, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 11.06
Fwd PE 13.43
IIPR Price Earnings VS Forward Price EarningsIIPR Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, IIPR is valued cheaper than 98.43% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, IIPR is valued cheaply inside the industry as 91.34% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 8.73
EV/EBITDA 7.5
IIPR Per share dataIIPR EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60

4.3 Compensation for Growth

The excellent profitability rating of IIPR may justify a higher PE ratio.
IIPR's earnings are expected to decrease with -14.96% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.49
EPS Next 2Y-14.96%
EPS Next 3YN/A

6

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 14.15%, IIPR is a good candidate for dividend investing.
IIPR's Dividend Yield is rather good when compared to the industry average which is at 6.23. IIPR pays more dividend than 99.21% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, IIPR pays a better dividend.
Industry RankSector Rank
Dividend Yield 14.15%

5.2 History

On average, the dividend of IIPR grows each year by 28.79%, which is quite nice.
IIPR has been paying a dividend for over 5 years, so it has already some track record.
As IIPR did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)28.79%
Div Incr Years7
Div Non Decr Years7
IIPR Yearly Dividends per shareIIPR Yearly Dividends per shareYearly Dividends per share 2017 2018 2019 2020 2021 2022 2023 2024 2025 2 4 6

5.3 Sustainability

IIPR pays out 166.38% of its income as dividend. This is not a sustainable payout ratio.
IIPR's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP166.38%
EPS Next 2Y-14.96%
EPS Next 3YN/A
IIPR Yearly Income VS Free CF VS DividendIIPR Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M -400M
IIPR Dividend Payout.IIPR Dividend Payout, showing the Payout Ratio.IIPR Dividend Payout.PayoutRetained Earnings

INNOVATIVE INDUSTRIAL PROPER

NYSE:IIPR (10/23/2025, 7:10:55 PM)

After market: 53.29 +0.54 (+1.02%)

52.75

-0.63 (-1.18%)

Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)08-06 2025-08-06/amc
Earnings (Next)10-29 2025-10-29/amc
Inst Owners71.39%
Inst Owner Change-0.23%
Ins Owners1.54%
Ins Owner Change1.47%
Market Cap1.48B
Revenue(TTM)287.88M
Net Income(TTM)131.91M
Analysts47.27
Price Target58.14 (10.22%)
Short Float %6.72%
Short Ratio5.89
Dividend
Industry RankSector Rank
Dividend Yield 14.15%
Yearly Dividend7.56
Dividend Growth(5Y)28.79%
DP166.38%
Div Incr Years7
Div Non Decr Years7
Ex-Date09-30 2025-09-30 (1.9)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.31%
Min EPS beat(2)-22.17%
Max EPS beat(2)-2.46%
EPS beat(4)0
Avg EPS beat(4)-8.44%
Min EPS beat(4)-22.17%
Max EPS beat(4)-1.96%
EPS beat(8)3
Avg EPS beat(8)-4.82%
EPS beat(12)6
Avg EPS beat(12)-1.64%
EPS beat(16)8
Avg EPS beat(16)-1.95%
Revenue beat(2)0
Avg Revenue beat(2)-2.48%
Min Revenue beat(2)-3.46%
Max Revenue beat(2)-1.51%
Revenue beat(4)0
Avg Revenue beat(4)-2.4%
Min Revenue beat(4)-3.46%
Max Revenue beat(4)-1.51%
Revenue beat(8)2
Avg Revenue beat(8)-1.73%
Revenue beat(12)6
Avg Revenue beat(12)-0.51%
Revenue beat(16)9
Avg Revenue beat(16)-0.34%
PT rev (1m)0%
PT rev (3m)-15.87%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-18.31%
EPS NY rev (1m)-4.15%
EPS NY rev (3m)-17.59%
Revenue NQ rev (1m)-0.37%
Revenue NQ rev (3m)-1.56%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.46%
Valuation
Industry RankSector Rank
PE 11.06
Fwd PE 13.43
P/S 5.13
P/FCF 8.73
P/OCF 6.56
P/B 0.79
P/tB 0.79
EV/EBITDA 7.5
EPS(TTM)4.77
EY9.04%
EPS(NY)3.93
Fwd EY7.44%
FCF(TTM)6.04
FCFY11.45%
OCF(TTM)8.04
OCFY15.25%
SpS10.27
BVpS67.11
TBVpS66.84
PEG (NY)N/A
PEG (5Y)0.49
Graham Number84.87
Profitability
Industry RankSector Rank
ROA 5.72%
ROE 7.01%
ROCE 6.95%
ROIC 5.49%
ROICexc 5.75%
ROICexgc 5.84%
OM 52.68%
PM (TTM) 45.82%
GM 89.88%
FCFM 58.78%
ROA(3y)6.58%
ROA(5y)5.75%
ROE(3y)8.08%
ROE(5y)7.08%
ROIC(3y)6%
ROIC(5y)5.36%
ROICexc(3y)6.35%
ROICexc(5y)5.68%
ROICexgc(3y)6.4%
ROICexgc(5y)5.72%
ROCE(3y)7.59%
ROCE(5y)6.79%
ROICexgc growth 3Y4.5%
ROICexgc growth 5Y15.06%
ROICexc growth 3Y4.1%
ROICexc growth 5Y14.68%
OM growth 3Y-5.45%
OM growth 5Y0.08%
PM growth 3Y-2.31%
PM growth 5Y1.02%
GM growth 3Y-2.46%
GM growth 5Y-1.34%
F-Score4
Asset Turnover0.12
Health
Industry RankSector Rank
Debt/Equity 0.15
Debt/FCF 1.71
Debt/EBITDA 1.29
Cap/Depr 76.83%
Cap/Sales 19.5%
Interest Coverage 9.38
Cash Conversion 100.29%
Profit Quality 128.29%
Current Ratio 1
Quick Ratio 1
Altman-Z 2.29
F-Score4
WACC7.87%
ROIC/WACC0.7
Cap/Depr(3y)415.19%
Cap/Depr(5y)944.48%
Cap/Sales(3y)91.95%
Cap/Sales(5y)210.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-14.82%
EPS 3Y5.99%
EPS 5Y22.61%
EPS Q2Q%-35.82%
EPS Next Y-30.5%
EPS Next 2Y-14.96%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-7.8%
Revenue growth 3Y14.67%
Revenue growth 5Y47.16%
Sales Q2Q%-21.18%
Revenue Next Year-14.18%
Revenue Next 2Y-7.4%
Revenue Next 3Y-4.86%
Revenue Next 5YN/A
EBIT growth 1Y-13.81%
EBIT growth 3Y8.42%
EBIT growth 5Y47.29%
EBIT Next Year18.56%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1652.53%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-5.51%
OCF growth 3Y11.05%
OCF growth 5Y41.91%