PROLOGIS INC (PLD) Stock Fundamental Analysis
USA - NYSE:PLD - US74340W1036 - REIT
122.83 USD
-1.17 (-0.94%)
122.83 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to PLD. PLD was compared to 128 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 valied quite expensively at the moment, while 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.
PLD had positive earnings in each of the past 5 years.
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.
PLD has a Return On Equity of 6.08%. This is in the better half of the industry: PLD outperforms 74.22% of its industry peers.
PLD has a Return On Invested Capital (2.97%) which is comparable to the rest of the industry.
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 3.04%.
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 Profit Margin of 36.64%. This is amongst the best in the industry. PLD outperforms 90.63% 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 has a Operating Margin of 39.78%. This is amongst the best in the industry. PLD outperforms 85.94% of its industry peers.
In the last couple of years the Operating Margin of PLD has grown nicely.
PLD has a better Gross Margin (75.10%) than 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.
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
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.
With a decent Debt to FCF ratio value of 120.19, PLD is doing good in the industry, outperforming 62.50% of the companies in the same industry.
A Debt/Equity ratio of 0.67 indicates that PLD is somewhat dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.67, PLD belongs to the best of the industry, outperforming 83.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 120.19 | ||
| Altman-Z | N/A |
ROIC/WACC0.4
WACC7.34%
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: 91.41% of the companies in the same industry are doing better.
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 Quick ratio of 0.20. This is amonst the worse of the industry: PLD underperforms 90.63% 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.
PLD shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.30% yearly.
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.
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
Based on the Price/Earnings ratio of 35.81, the valuation of PLD can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of PLD indicates a somewhat cheap valuation: PLD is cheaper than 63.28% of the companies listed in the same industry.
PLD's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 25.89.
With a Price/Forward Earnings ratio of 40.97, PLD can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, PLD is valued a bit cheaper than 63.28% of the companies in the same industry.
PLD's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 34.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.81 | ||
| Fwd PE | 40.97 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PLD is valued expensively inside the industry as 89.84% of the companies are valued cheaper.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PLD is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 388.34 | ||
| EV/EBITDA | 24.33 |
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)3.48
EPS Next 2Y-13.43%
EPS Next 3Y-4.42%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.26%, PLD has a reasonable but not impressive dividend return.
PLD's Dividend Yield is slightly below the industry average, which is at 6.49.
Compared to an average S&P500 Dividend Yield of 2.44, PLD pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.26% |
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
PLD pays out 116.06% of its income as dividend. 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-13.43%
EPS Next 3Y-4.42%
122.83
-1.17 (-0.94%)
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-0.35%
Ins Owners0.24%
Ins Owner Change21.39%
Market Cap114.07B
Revenue(TTM)8.74B
Net Income(TTM)3.20B
Analysts78.67
Price Target131.82 (7.32%)
Short Float %0.96%
Short Ratio2.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.26% |
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)7.25%
PT rev (3m)8.96%
EPS NQ rev (1m)-0.96%
EPS NQ rev (3m)-1.36%
EPS NY rev (1m)2.88%
EPS NY rev (3m)5.18%
Revenue NQ rev (1m)-2.3%
Revenue NQ rev (3m)-0.09%
Revenue NY rev (1m)-1.51%
Revenue NY rev (3m)1.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.81 | ||
| Fwd PE | 40.97 | ||
| P/S | 13.05 | ||
| P/FCF | 388.34 | ||
| P/OCF | 22 | ||
| P/B | 2.17 | ||
| P/tB | 2.17 | ||
| EV/EBITDA | 24.33 |
EPS(TTM)3.43
EY2.79%
EPS(NY)3
Fwd EY2.44%
FCF(TTM)0.32
FCFY0.26%
OCF(TTM)5.58
OCFY4.55%
SpS9.41
BVpS56.68
TBVpS56.68
PEG (NY)N/A
PEG (5Y)3.48
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
WACC7.34%
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-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%.