PROLOGIS INC (PLD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PLD - US74340W1036 - REIT
127.59 USD
+0.36 (+0.28%)
127.59 USD
0 (0%)
Overall PLD gets a fundamental rating of 4 out of 10. We evaluated PLD against 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
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.
PLD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 3.26%, PLD is doing good in the industry, outperforming 75.00% of the companies in the same industry.
PLD's Return On Equity of 6.08% is fine compared to the rest of the industry. PLD outperforms 71.09% of its industry peers.
PLD has a Return On Invested Capital (2.97%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital 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
Looking at the Profit Margin, with a value of 36.64%, PLD belongs to the top of the industry, outperforming 90.63% of the companies in the same industry.
In the last couple of years the Profit Margin of PLD has remained more or less at the same level.
Looking at the Operating Margin, with a value of 39.78%, PLD belongs to the top of the industry, outperforming 85.16% of the companies in the same industry.
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.
Compared to 1 year ago, PLD has more shares outstanding
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.
PLD has a better Debt to FCF ratio (120.19) than 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.
PLD's Debt to Equity ratio of 0.67 is amongst the best of 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
WACC7.4%
2.3 Liquidity
A Current Ratio of 0.20 indicates that PLD may have some problems paying its short term obligations.
PLD has a worse Current ratio (0.20) than 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.
The Quick ratio of PLD (0.20) is worse than 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.
PLD shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.75%.
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
The Earnings Per Share is expected to grow by 3.02% on average over the next years.
The Revenue is expected to grow by 7.13% on average over the next years.
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.
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 37.20.
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 (26.39), we can say PLD is valued slightly more expensively.
PLD is valuated quite expensively with a Price/Forward Earnings ratio of 42.34.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PLD indicates a somewhat cheap valuation: PLD is cheaper than 63.28% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of PLD to the average of the S&P500 Index (23.84), we can say PLD is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.2 | ||
| Fwd PE | 42.34 |
4.2 Price Multiples
PLD's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. PLD is more expensive than 89.06% of the companies 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 | 403.48 | ||
| EV/EBITDA | 25.01 |
4.3 Compensation for Growth
The decent profitability rating of PLD 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)3.61
EPS Next 2Y-13.21%
EPS Next 3Y-4.42%
5. Dividend
5.1 Amount
PLD has a Yearly Dividend Yield of 3.16%.
Compared to an average industry Dividend Yield of 6.33, PLD is paying slightly less dividend.
PLD's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.16% |
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 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
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-13.21%
EPS Next 3Y-4.42%
127.59
+0.36 (+0.28%)
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-0.27%
Ins Owners0.25%
Ins Owner Change14.11%
Market Cap118.51B
Revenue(TTM)8.74B
Net Income(TTM)3.20B
Analysts79.33
Price Target134.18 (5.16%)
Short Float %1.27%
Short Ratio3.37
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-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)1.57%
EPS NY rev (1m)1.18%
EPS NY rev (3m)2.33%
Revenue NQ rev (1m)0.65%
Revenue NQ rev (3m)-1.76%
Revenue NY rev (1m)-0.87%
Revenue NY rev (3m)-2.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.2 | ||
| Fwd PE | 42.34 | ||
| P/S | 13.56 | ||
| P/FCF | 403.48 | ||
| P/OCF | 22.85 | ||
| P/B | 2.25 | ||
| P/tB | 2.25 | ||
| EV/EBITDA | 25.01 |
EPS(TTM)3.43
EY2.69%
EPS(NY)3.01
Fwd EY2.36%
FCF(TTM)0.32
FCFY0.25%
OCF(TTM)5.58
OCFY4.38%
SpS9.41
BVpS56.67
TBVpS56.67
PEG (NY)N/A
PEG (5Y)3.61
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
WACC7.4%
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%.