PROLOGIS INC (PLD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PLD - US74340W1036 - REIT
126.67 USD
-1.31 (-1.02%)
126.67 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. 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
In the past year PLD was profitable.
PLD had a positive operating cash flow in the past year.
PLD had positive earnings in each of the past 5 years.
Each year in the past 5 years PLD had a positive operating cash flow.
1.2 Ratios
PLD has a Return On Assets of 3.26%. This is in the better half of the industry: PLD outperforms 75.00% of its industry peers.
Looking at the Return On Equity, with a value of 6.08%, PLD is in the better half of the industry, outperforming 71.09% of the companies in the same industry.
PLD has a Return On Invested Capital (2.97%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for PLD is in line with the industry average of 3.05%.
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.
PLD's Operating Margin of 39.78% is amongst the best of the industry. PLD outperforms 85.16% of its industry peers.
PLD's Operating Margin has improved in the last couple of years.
The Gross Margin of PLD (75.10%) is better than 73.44% of its industry peers.
In the last couple of years the Gross Margin of PLD has remained more or less at the same level.
| 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.
The debt/assets ratio for PLD is higher compared to a year ago.
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 has a better Debt to FCF ratio (120.19) than 62.50% of its industry peers.
A Debt/Equity ratio of 0.67 indicates that PLD is somewhat dependend on debt financing.
PLD has a Debt to Equity ratio of 0.67. This is amongst the best in the industry. PLD outperforms 84.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 120.19 | ||
| Altman-Z | N/A |
ROIC/WACC0.4
WACC7.38%
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.
PLD has a worse Current ratio (0.20) than 91.41% of its industry peers.
A Quick Ratio of 0.20 indicates that PLD may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.20, PLD is doing worse than 90.63% of the companies in the same industry.
| 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.
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)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.
Based on estimates for the next years, PLD will show a small growth in Revenue. The Revenue will grow by 7.13% on average per year.
EPS Next Y-31.53%
EPS Next 2Y-13.21%
EPS Next 3Y-4.42%
EPS Next 5Y3.02%
Revenue Next Year8.45%
Revenue Next 2Y8.28%
Revenue Next 3Y8.03%
Revenue Next 5Y7.13%
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.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 36.93, PLD can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of PLD is on the same level as its industry peers.
PLD's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.34.
With a Price/Forward Earnings ratio of 42.04, PLD can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, PLD is valued a bit cheaper than the industry average as 63.28% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of PLD to the average of the S&P500 Index (23.56), we can say PLD is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.93 | ||
| Fwd PE | 42.04 |
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.
60.16% of the companies in the same industry are more expensive than PLD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 400.57 | ||
| EV/EBITDA | 25.12 |
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 -4.42% in the coming years.
PEG (NY)N/A
PEG (5Y)3.59
EPS Next 2Y-13.21%
EPS Next 3Y-4.42%
5. Dividend
5.1 Amount
PLD has a Yearly Dividend Yield of 3.15%.
PLD's Dividend Yield is slightly below the industry average, which is at 6.59.
Compared to an average S&P500 Dividend Yield of 2.31, PLD pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.15% |
5.2 History
On average, the dividend of PLD grows each year by 12.58%, which is quite nice.
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.
PLD's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP116.06%
EPS Next 2Y-13.21%
EPS Next 3Y-4.42%
126.67
-1.31 (-1.02%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners97.24%
Inst Owner Change-0.25%
Ins Owners0.25%
Ins Owner Change14.41%
Market Cap117.66B
Revenue(TTM)8.74B
Net Income(TTM)3.20B
Analysts79.33
Price Target134.18 (5.93%)
Short Float %1.25%
Short Ratio3.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.15% |
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)1.79%
PT rev (3m)9.73%
EPS NQ rev (1m)1.57%
EPS NQ rev (3m)0.2%
EPS NY rev (1m)1.18%
EPS NY rev (3m)2.33%
Revenue NQ rev (1m)0.65%
Revenue NQ rev (3m)-1.36%
Revenue NY rev (1m)-0.87%
Revenue NY rev (3m)0.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.93 | ||
| Fwd PE | 42.04 | ||
| P/S | 13.47 | ||
| P/FCF | 400.57 | ||
| P/OCF | 22.69 | ||
| P/B | 2.24 | ||
| P/tB | 2.24 | ||
| EV/EBITDA | 25.12 |
EPS(TTM)3.43
EY2.71%
EPS(NY)3.01
Fwd EY2.38%
FCF(TTM)0.32
FCFY0.25%
OCF(TTM)5.58
OCFY4.41%
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
WACC7.38%
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-13.21%
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 Year8.45%
Revenue Next 2Y8.28%
Revenue Next 3Y8.03%
Revenue Next 5Y7.13%
EBIT growth 1Y22.93%
EBIT growth 3Y24.19%
EBIT growth 5Y25.58%
EBIT Next Year80.51%
EBIT Next 3Y27.69%
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 -31.53% 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%.