PROLOGIS INC (PLD) Stock Fundamental Analysis
NYSE:PLD - US74340W1036 - REIT
112.28 USD
+3.89 (+3.59%)
112.28 USD
0 (0%)
Overall PLD gets a fundamental rating of 4 out of 10. We evaluated PLD against 129 industry peers in the Diversified REITs industry. PLD scores excellent on profitability, but there are 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.
Each year in the past 5 years PLD has been profitable.
Each year in the past 5 years PLD had a positive operating cash flow.
1.2 Ratios
PLD has a better Return On Assets (3.52%) than 82.17% of its industry peers.
The Return On Equity of PLD (6.53%) is better than 76.74% of its industry peers.
PLD's Return On Invested Capital of 2.89% is in line compared to the rest of the industry. PLD outperforms 58.14% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PLD is in line with the industry average of 3.07%.
The 3 year average ROIC (2.50%) for PLD is below the current ROIC(2.89%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.52% | ||
| ROE | 6.53% | ||
| ROIC | 2.89% |
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
The Profit Margin of PLD (40.22%) is better than 91.47% of its industry peers.
In the last couple of years the Profit Margin of PLD has remained more or less at the same level.
PLD's Operating Margin of 39.34% is amongst the best of the industry. PLD outperforms 85.27% of its industry peers.
PLD's Operating Margin has improved in the last couple of years.
PLD's Gross Margin of 75.35% is fine compared to the rest of the industry. PLD outperforms 73.64% of its industry peers.
PLD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.34% | ||
| PM (TTM) | 40.22% | ||
| GM | 75.35% |
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
The number of shares outstanding for PLD has been increased compared to 5 years ago.
Compared to 1 year ago, PLD has a worse debt to assets ratio.
2.2 Solvency
A Debt/Equity ratio of 0.66 indicates that PLD is somewhat dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.66, PLD belongs to the best of the industry, outperforming 83.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.39
WACC7.33%
2.3 Liquidity
A Current Ratio of 0.19 indicates that PLD may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.19, PLD is doing worse than 91.47% of the companies in the same industry.
PLD has a Quick Ratio of 0.19. This is a bad value and indicates that PLD is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of PLD (0.19) is worse than 91.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.19 | ||
| Quick Ratio | 0.19 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 21.78% over the past year.
PLD shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.30% yearly.
PLD shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.20%.
PLD shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.75% yearly.
EPS 1Y (TTM)21.78%
EPS 3Y0.51%
EPS 5Y10.3%
EPS Q2Q%-33.7%
Revenue 1Y (TTM)10.2%
Revenue growth 3Y19.89%
Revenue growth 5Y19.75%
Sales Q2Q%9.34%
3.2 Future
The Earnings Per Share is expected to grow by 2.20% on average over the next years.
Based on estimates for the next years, PLD will show a small growth in Revenue. The Revenue will grow by 6.56% on average per year.
EPS Next Y-33.09%
EPS Next 2Y-14.43%
EPS Next 3Y-6.47%
EPS Next 5Y2.2%
Revenue Next Year8.3%
Revenue Next 2Y7.17%
Revenue Next 3Y7.9%
Revenue Next 5Y6.56%
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 30.43 indicates a quite expensive valuation of PLD.
Based on the Price/Earnings ratio, PLD is valued a bit cheaper than 66.67% of the companies in the same industry.
When comparing the Price/Earnings ratio of PLD to the average of the S&P500 Index (27.24), we can say PLD is valued inline with the index average.
PLD is valuated quite expensively with a Price/Forward Earnings ratio of 38.33.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PLD indicates a somewhat cheap valuation: PLD is cheaper than 66.67% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.82, PLD is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.43 | ||
| Fwd PE | 38.33 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PLD is valued expensively inside the industry as 89.92% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 23.03 |
4.3 Compensation for Growth
PLD has an outstanding profitability rating, which may justify a higher PE ratio.
PLD's earnings are expected to decrease with -6.47% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)2.95
EPS Next 2Y-14.43%
EPS Next 3Y-6.47%
5. Dividend
5.1 Amount
PLD has a Yearly Dividend Yield of 3.73%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.36, PLD is paying slightly less dividend.
PLD's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.73% |
5.2 History
On average, the dividend of PLD grows each year by 12.58%, which is quite nice.
PLD has been paying a dividend for at least 10 years, so it has a reliable track record.
PLD has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)12.58%
Div Incr Years11
Div Non Decr Years15
5.3 Sustainability
106.52% of the earnings are spent on dividend by PLD. This is not a sustainable payout ratio.
The dividend of PLD is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP106.52%
EPS Next 2Y-14.43%
EPS Next 3Y-6.47%
112.28
+3.89 (+3.59%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners95.7%
Inst Owner Change1.12%
Ins Owners0.24%
Ins Owner Change7.13%
Market Cap104.20B
Analysts75.71
Price Target121.49 (8.2%)
Short Float %1.21%
Short Ratio2.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.73% |
Yearly Dividend3.86
Dividend Growth(5Y)12.58%
DP106.52%
Div Incr Years11
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.73%
Min EPS beat(2)-4.74%
Max EPS beat(2)3.27%
EPS beat(4)3
Avg EPS beat(4)44.78%
Min EPS beat(4)-4.74%
Max EPS beat(4)111.94%
EPS beat(8)7
Avg EPS beat(8)37.9%
EPS beat(12)10
Avg EPS beat(12)28.94%
EPS beat(16)14
Avg EPS beat(16)51.01%
Revenue beat(2)0
Avg Revenue beat(2)-3.54%
Min Revenue beat(2)-3.74%
Max Revenue beat(2)-3.34%
Revenue beat(4)0
Avg Revenue beat(4)-3.13%
Min Revenue beat(4)-3.74%
Max Revenue beat(4)-1.95%
Revenue beat(8)1
Avg Revenue beat(8)-2.49%
Revenue beat(12)4
Avg Revenue beat(12)4.28%
Revenue beat(16)8
Avg Revenue beat(16)6.81%
PT rev (1m)0.37%
PT rev (3m)-0.09%
EPS NQ rev (1m)-0.1%
EPS NQ rev (3m)-2.16%
EPS NY rev (1m)4%
EPS NY rev (3m)5.16%
Revenue NQ rev (1m)0.28%
Revenue NQ rev (3m)0.99%
Revenue NY rev (1m)-1.24%
Revenue NY rev (3m)-0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.43 | ||
| Fwd PE | 38.33 | ||
| P/S | 12.17 | ||
| P/FCF | N/A | ||
| P/OCF | 20.14 | ||
| P/B | 1.98 | ||
| P/tB | 1.98 | ||
| EV/EBITDA | 23.03 |
EPS(TTM)3.69
EY3.29%
EPS(NY)2.93
Fwd EY2.61%
FCF(TTM)-1.22
FCFYN/A
OCF(TTM)5.57
OCFY4.96%
SpS9.22
BVpS56.82
TBVpS56.82
PEG (NY)N/A
PEG (5Y)2.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.52% | ||
| ROE | 6.53% | ||
| ROCE | 3.66% | ||
| ROIC | 2.89% | ||
| ROICexc | 2.93% | ||
| ROICexgc | 3.11% | ||
| OM | 39.34% | ||
| PM (TTM) | 40.22% | ||
| GM | 75.35% | ||
| FCFM | N/A |
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%
ROICexcg growth 3Y5.02%
ROICexcg 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 | 0.66 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.79 | ||
| Cap/Depr | 240.97% | ||
| Cap/Sales | 73.61% | ||
| Interest Coverage | 4.13 | ||
| Cash Conversion | 86.46% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.19 | ||
| Quick Ratio | 0.19 | ||
| Altman-Z | N/A |
F-Score6
WACC7.33%
ROIC/WACC0.39
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)21.78%
EPS 3Y0.51%
EPS 5Y10.3%
EPS Q2Q%-33.7%
EPS Next Y-33.09%
EPS Next 2Y-14.43%
EPS Next 3Y-6.47%
EPS Next 5Y2.2%
Revenue 1Y (TTM)10.2%
Revenue growth 3Y19.89%
Revenue growth 5Y19.75%
Sales Q2Q%9.34%
Revenue Next Year8.3%
Revenue Next 2Y7.17%
Revenue Next 3Y7.9%
Revenue Next 5Y6.56%
EBIT growth 1Y24.43%
EBIT growth 3Y24.19%
EBIT growth 5Y25.58%
EBIT Next Year78.15%
EBIT Next 3Y27.92%
EBIT Next 5Y21.28%
FCF growth 1Y60.52%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y7.53%
OCF growth 3Y17.92%
OCF growth 5Y16.76%