PROLOGIS INC (PLD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PLD - US74340W1036 - REIT
126.9 USD
-0.56 (-0.44%)
126.9 USD
0 (0%)
Taking everything into account, PLD scores 4 out of 10 in our fundamental rating. PLD was compared to 127 industry peers in the Diversified REITs industry. While PLD belongs to the best of the industry regarding profitability, there are concerns on its financial health. PLD is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year PLD was profitable.
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
Looking at the Return On Assets, with a value of 3.26%, PLD is in the better half of the industry, outperforming 74.80% of the companies in the same industry.
PLD has a better Return On Equity (6.08%) than 71.65% of its industry peers.
With a Return On Invested Capital value of 2.97%, PLD perfoms like the industry average, outperforming 57.48% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PLD is in line with the industry average of 3.06%.
The 3 year average ROIC (2.50%) for PLD is below the current ROIC(2.97%), indicating increased profibility in the last year.
| 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
With an excellent Profit Margin value of 36.64%, PLD belongs to the best of the industry, outperforming 90.55% of the companies in the same industry.
PLD's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 39.78%, PLD belongs to the top of the industry, outperforming 85.04% of the companies in the same industry.
In the last couple of years the Operating Margin of PLD has grown nicely.
With a decent Gross Margin value of 75.10%, PLD is doing good in the industry, outperforming 73.23% of the companies in the same industry.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PLD is destroying value.
PLD has more shares outstanding than it did 1 year ago.
PLD has more shares outstanding than it did 5 years ago.
PLD has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of PLD is 120.19, which is on the high side as it means it would take PLD, 120.19 years of fcf income to pay off all of its debts.
PLD's Debt to FCF ratio of 120.19 is fine compared to the rest of the industry. PLD outperforms 62.99% 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 84.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 120.19 | ||
| Altman-Z | N/A |
ROIC/WACC0.4
WACC7.41%
2.3 Liquidity
PLD has a Current 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.
With a Current ratio value of 0.20, PLD is not doing good in the industry: 90.55% of the companies in the same industry are doing better.
A Quick Ratio of 0.20 indicates that PLD may have some problems paying its short term obligations.
PLD has a Quick ratio of 0.20. This is amonst the worse of the industry: PLD underperforms 89.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.2 | ||
| Quick Ratio | 0.2 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.63% over the past year.
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.
The Revenue is expected to grow by 7.13% on average over the next years.
EPS Next Y-31.53%
EPS Next 2Y-13.05%
EPS Next 3Y-4.71%
EPS Next 5Y3.02%
Revenue Next Year9.82%
Revenue Next 2Y8.67%
Revenue Next 3Y8.25%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
PLD is valuated quite expensively with a Price/Earnings ratio of 37.00.
The rest of the industry has a similar Price/Earnings ratio as PLD.
When comparing the Price/Earnings ratio of PLD to the average of the S&P500 Index (26.92), we can say PLD is valued slightly more expensively.
The Price/Forward Earnings ratio is 41.96, which means the current valuation is very expensive for PLD.
64.57% of the companies in the same industry are more expensive than PLD, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of PLD to the average of the S&P500 Index (23.57), we can say PLD is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37 | ||
| Fwd PE | 41.96 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PLD is valued more expensive than 88.98% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PLD indicates a somewhat cheap valuation: PLD is cheaper than 61.42% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 401.3 | ||
| EV/EBITDA | 25.04 |
4.3 Compensation for Growth
PLD has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as PLD's earnings are expected to decrease with -4.71% in the coming years.
PEG (NY)N/A
PEG (5Y)3.59
EPS Next 2Y-13.05%
EPS Next 3Y-4.71%
5. Dividend
5.1 Amount
PLD has a Yearly Dividend Yield of 3.16%.
PLD's Dividend Yield is slightly below the industry average, which is at 6.83.
PLD's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.16% |
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 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
116.06% 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.
DP116.06%
EPS Next 2Y-13.05%
EPS Next 3Y-4.71%
126.9
-0.56 (-0.44%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners97.23%
Inst Owner Change0%
Ins Owners0.25%
Ins Owner Change14.11%
Market Cap117.87B
Revenue(TTM)8.74B
Net Income(TTM)3.20B
Analysts79.33
Price Target134.69 (6.14%)
Short Float %1.35%
Short Ratio3.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.16% |
Yearly Dividend3.86
Dividend Growth(5Y)12.58%
DP116.06%
Div Incr Years11
Div Non Decr Years15
Ex-DateN/A
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)1.25%
PT rev (3m)9.59%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.59%
EPS NY rev (1m)0%
EPS NY rev (3m)4.09%
Revenue NQ rev (1m)-0.09%
Revenue NQ rev (3m)-1.76%
Revenue NY rev (1m)1.26%
Revenue NY rev (3m)-1.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37 | ||
| Fwd PE | 41.96 | ||
| P/S | 13.49 | ||
| P/FCF | 401.3 | ||
| P/OCF | 22.73 | ||
| P/B | 2.24 | ||
| P/tB | 2.24 | ||
| EV/EBITDA | 25.04 |
EPS(TTM)3.43
EY2.7%
EPS(NY)3.02
Fwd EY2.38%
FCF(TTM)0.32
FCFY0.25%
OCF(TTM)5.58
OCFY4.4%
SpS9.41
BVpS56.67
TBVpS56.67
PEG (NY)N/A
PEG (5Y)3.59
Graham Number66.13
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
WACC7.41%
ROIC/WACC0.4
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-31.53%
EPS Next 2Y-13.05%
EPS Next 3Y-4.71%
EPS Next 5Y3.02%
Revenue 1Y (TTM)10.75%
Revenue growth 3Y19.89%
Revenue growth 5Y19.75%
Sales Q2Q%8.28%
Revenue Next Year9.82%
Revenue Next 2Y8.67%
Revenue Next 3Y8.25%
Revenue Next 5Y7.13%
EBIT growth 1Y22.93%
EBIT growth 3Y24.19%
EBIT growth 5Y25.58%
EBIT Next Year80.83%
EBIT Next 3Y27.95%
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.
Can you provide the valuation status for PROLOGIS INC?
ChartMill assigns a valuation rating of 2 / 10 to PROLOGIS INC (PLD). This can be considered as Overvalued.
How profitable is PROLOGIS INC (PLD) stock?
PROLOGIS INC (PLD) has a profitability rating of 7 / 10.
What is the valuation of PROLOGIS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for PROLOGIS INC (PLD) is 37 and the Price/Book (PB) ratio is 2.24.
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%.