PROLOGIS INC (PLD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PLD - US74340W1036 - REIT
128.53 USD
+0.37 (+0.29%)
128.53 USD
0 (0%)
Taking everything into account, PLD scores 4 out of 10 in our fundamental rating. PLD was compared to 128 industry peers in the Diversified REITs industry. While PLD has a great profitability rating, there are quite some concerns on its financial health. While showing a medium growth rate, PLD is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
PLD had positive earnings in the past year.
In the past year PLD had a positive cash flow from operations.
In the past 5 years PLD has always been profitable.
In the past 5 years PLD always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.26%, PLD is in the better half of the industry, outperforming 78.91% of the companies in the same industry.
Looking at the Return On Equity, with a value of 6.08%, PLD is in the better half of the industry, outperforming 74.22% of the companies in the same industry.
PLD has a Return On Invested Capital (2.97%) which is in line with its industry peers.
PLD had an Average Return On Invested Capital over the past 3 years of 2.50%. This is in line with the industry average of 3.06%.
The last Return On Invested Capital (2.97%) for PLD is above the 3 year average (2.50%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.26% | ||
| ROE | 6.08% | ||
| ROIC | 2.97% |
ROA(3y)3.67%
ROA(5y)3.73%
ROE(3y)6.32%
ROE(5y)6.47%
ROIC(3y)2.5%
ROIC(5y)2.38%
1.3 Margins
PLD has a better Profit Margin (36.64%) than 90.63% of its industry peers.
PLD's Profit Margin has been stable in the last couple of years.
The Operating Margin of PLD (39.78%) is better than 85.16% of its industry peers.
PLD's Operating Margin has improved in the last couple of years.
PLD's Gross Margin of 75.10% is fine compared to the rest of the industry. PLD outperforms 73.44% of its industry peers.
PLD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.78% | ||
| PM (TTM) | 36.64% | ||
| GM | 75.1% |
OM growth 3Y3.59%
OM growth 5Y4.87%
PM growth 3Y-9.67%
PM growth 5Y-0.7%
GM growth 3Y0.52%
GM growth 5Y0.68%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PLD is destroying value.
Compared to 1 year ago, PLD has more shares outstanding
PLD has more shares outstanding than it did 5 years ago.
The debt/assets ratio for PLD is higher compared to a year ago.
2.2 Solvency
PLD has a debt to FCF ratio of 120.19. This is a negative value and a sign of low solvency as PLD would need 120.19 years to pay back of all of its debts.
PLD's Debt to FCF ratio of 120.19 is fine compared to the rest of the industry. PLD outperforms 62.50% of its industry peers.
PLD has a Debt/Equity ratio of 0.67. This is a neutral value indicating PLD is somewhat dependend on debt financing.
The Debt to Equity ratio of PLD (0.67) is better than 84.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 120.19 | ||
| Altman-Z | N/A |
ROIC/WACC0.41
WACC7.28%
2.3 Liquidity
A Current Ratio of 0.20 indicates that PLD may have some problems paying its short term obligations.
PLD's Current ratio of 0.20 is on the low side compared to the rest of the industry. PLD is outperformed by 91.41% of its industry peers.
PLD has a Quick Ratio of 0.20. This is a bad value and indicates that PLD is not financially healthy enough and could expect problems in meeting its short term obligations.
PLD has a worse Quick ratio (0.20) than 90.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.2 | ||
| Quick Ratio | 0.2 |
3. Growth
3.1 Past
PLD shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.63%.
Measured over the past years, PLD shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.30% on average per year.
The Revenue has grown by 10.75% in the past year. This is quite good.
The Revenue has been growing by 19.75% on average over the past years. This is quite good.
EPS 1Y (TTM)3.63%
EPS 3Y0.51%
EPS 5Y10.3%
EPS Q2Q%-24.07%
Revenue 1Y (TTM)10.75%
Revenue growth 3Y19.89%
Revenue growth 5Y19.75%
Sales Q2Q%8.28%
3.2 Future
Based on estimates for the next years, PLD will show a small growth in Earnings Per Share. The EPS will grow by 3.02% on average per year.
PLD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.13% yearly.
EPS Next Y-32.33%
EPS Next 2Y-13.43%
EPS Next 3Y-4.42%
EPS Next 5Y3.02%
Revenue Next Year9.4%
Revenue Next 2Y8.01%
Revenue Next 3Y7.83%
Revenue Next 5Y7.13%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 37.47 indicates a quite expensive valuation of PLD.
Based on the Price/Earnings ratio, PLD is valued a bit cheaper than 60.94% of the companies in the same industry.
PLD is valuated rather expensively when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 42.87, PLD can be considered very expensive at the moment.
62.50% of the companies in the same industry are more expensive than PLD, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, PLD is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.47 | ||
| Fwd PE | 42.87 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PLD indicates a rather expensive valuation: PLD more expensive than 89.06% of the companies listed in the same industry.
PLD's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 406.36 | ||
| EV/EBITDA | 25.15 |
4.3 Compensation for Growth
PLD has a very decent profitability rating, which may justify a higher PE ratio.
PLD's earnings are expected to decrease with -4.42% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)3.64
EPS Next 2Y-13.43%
EPS Next 3Y-4.42%
5. Dividend
5.1 Amount
PLD has a Yearly Dividend Yield of 3.28%.
Compared to an average industry Dividend Yield of 6.59, PLD is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.40, PLD pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.28% |
5.2 History
The dividend of PLD is nicely growing with an annual growth rate of 12.58%!
PLD has paid a dividend for at least 10 years, which is a reliable track record.
PLD has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)12.58%
Div Incr Years11
Div Non Decr Years15
5.3 Sustainability
116.06% of the earnings are spent on dividend by PLD. This is not a sustainable payout ratio.
PLD's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP116.06%
EPS Next 2Y-13.43%
EPS Next 3Y-4.42%
128.53
+0.37 (+0.29%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners97.15%
Inst Owner Change-0.27%
Ins Owners0.24%
Ins Owner Change14.84%
Market Cap119.36B
Revenue(TTM)8.74B
Net Income(TTM)3.20B
Analysts78.67
Price Target133.03 (3.5%)
Short Float %1.04%
Short Ratio2.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.28% |
Yearly Dividend3.86
Dividend Growth(5Y)12.58%
DP116.06%
Div Incr Years11
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)8.95%
Min EPS beat(2)-4.74%
Max EPS beat(2)22.64%
EPS beat(4)3
Avg EPS beat(4)33.28%
Min EPS beat(4)-4.74%
Max EPS beat(4)111.94%
EPS beat(8)7
Avg EPS beat(8)36.01%
EPS beat(12)10
Avg EPS beat(12)29.95%
EPS beat(16)14
Avg EPS beat(16)46.94%
Revenue beat(2)0
Avg Revenue beat(2)-4.84%
Min Revenue beat(2)-5.94%
Max Revenue beat(2)-3.74%
Revenue beat(4)0
Avg Revenue beat(4)-3.74%
Min Revenue beat(4)-5.94%
Max Revenue beat(4)-1.95%
Revenue beat(8)0
Avg Revenue beat(8)-3.42%
Revenue beat(12)3
Avg Revenue beat(12)-0.22%
Revenue beat(16)7
Avg Revenue beat(16)5.57%
PT rev (1m)8.24%
PT rev (3m)9.5%
EPS NQ rev (1m)-0.67%
EPS NQ rev (3m)-1.36%
EPS NY rev (1m)1.2%
EPS NY rev (3m)1.13%
Revenue NQ rev (1m)-2.7%
Revenue NQ rev (3m)-0.09%
Revenue NY rev (1m)-1.9%
Revenue NY rev (3m)1.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.47 | ||
| Fwd PE | 42.87 | ||
| P/S | 13.66 | ||
| P/FCF | 406.36 | ||
| P/OCF | 23.02 | ||
| P/B | 2.27 | ||
| P/tB | 2.27 | ||
| EV/EBITDA | 25.15 |
EPS(TTM)3.43
EY2.67%
EPS(NY)3
Fwd EY2.33%
FCF(TTM)0.32
FCFY0.25%
OCF(TTM)5.58
OCFY4.34%
SpS9.41
BVpS56.68
TBVpS56.68
PEG (NY)N/A
PEG (5Y)3.64
Graham Number66.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.26% | ||
| ROE | 6.08% | ||
| ROCE | 3.76% | ||
| ROIC | 2.97% | ||
| ROICexc | 3.01% | ||
| ROICexgc | 3.2% | ||
| OM | 39.78% | ||
| PM (TTM) | 36.64% | ||
| GM | 75.1% | ||
| FCFM | 3.36% |
ROA(3y)3.67%
ROA(5y)3.73%
ROE(3y)6.32%
ROE(5y)6.47%
ROIC(3y)2.5%
ROIC(5y)2.38%
ROICexc(3y)2.52%
ROICexc(5y)2.4%
ROICexgc(3y)2.61%
ROICexgc(5y)2.49%
ROCE(3y)3.16%
ROCE(5y)3.01%
ROICexgc growth 3Y5.02%
ROICexgc growth 5Y4.99%
ROICexc growth 3Y4.96%
ROICexc growth 5Y4.9%
OM growth 3Y3.59%
OM growth 5Y4.87%
PM growth 3Y-9.67%
PM growth 5Y-0.7%
GM growth 3Y0.52%
GM growth 5Y0.68%
F-Score6
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 120.19 | ||
| Debt/EBITDA | 5.8 | ||
| Cap/Depr | 187.16% | ||
| Cap/Sales | 55.98% | ||
| Interest Coverage | 4.09 | ||
| Cash Conversion | 85.15% | ||
| Profit Quality | 9.17% | ||
| Current Ratio | 0.2 | ||
| Quick Ratio | 0.2 | ||
| Altman-Z | N/A |
F-Score6
WACC7.28%
ROIC/WACC0.41
Cap/Depr(3y)289.47%
Cap/Depr(5y)281.07%
Cap/Sales(3y)89.36%
Cap/Sales(5y)90.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.63%
EPS 3Y0.51%
EPS 5Y10.3%
EPS Q2Q%-24.07%
EPS Next Y-32.33%
EPS Next 2Y-13.43%
EPS Next 3Y-4.42%
EPS Next 5Y3.02%
Revenue 1Y (TTM)10.75%
Revenue growth 3Y19.89%
Revenue growth 5Y19.75%
Sales Q2Q%8.28%
Revenue Next Year9.4%
Revenue Next 2Y8.01%
Revenue Next 3Y7.83%
Revenue Next 5Y7.13%
EBIT growth 1Y22.93%
EBIT growth 3Y24.19%
EBIT growth 5Y25.58%
EBIT Next Year78.72%
EBIT Next 3Y26.89%
EBIT Next 5Y20.82%
FCF growth 1Y114.86%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-7%
OCF growth 3Y17.92%
OCF growth 5Y16.76%
PROLOGIS INC / PLD FAQ
What is the fundamental rating for PLD stock?
ChartMill assigns a fundamental rating of 4 / 10 to PLD.
What is the valuation status for PLD stock?
ChartMill assigns a valuation rating of 2 / 10 to PROLOGIS INC (PLD). This can be considered as Overvalued.
Can you provide the profitability details for PROLOGIS INC?
PROLOGIS INC (PLD) has a profitability rating of 7 / 10.
What is the earnings growth outlook for PROLOGIS INC?
The Earnings per Share (EPS) of PROLOGIS INC (PLD) is expected to decline by -32.33% in the next year.
How sustainable is the dividend of PROLOGIS INC (PLD) stock?
The dividend rating of PROLOGIS INC (PLD) is 5 / 10 and the dividend payout ratio is 116.06%.