NYSE:PLD

Stock Analysis Report

Executive Summary

Prologis, Inc. is the global leader in logistics real estate with a focus on high-barrier, high-growth markets.

Snowflake

Fundamentals

Solid track record second-rate dividend payer.


Similar Companies

Share Price & News

How has Prologis's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.7%

PLD

1.5%

US REITs

0.5%

US Market


1 Year Return

41.5%

PLD

20.3%

US REITs

6.8%

US Market

Return vs Industry: PLD exceeded the US REITs industry which returned 20.3% over the past year.

Return vs Market: PLD exceeded the US Market which returned 6.8% over the past year.


Shareholder returns

PLDIndustryMarket
7 Day1.7%1.5%0.5%
30 Day7.4%1.7%-0.8%
90 Day10.2%7.6%-0.9%
1 Year45.5%41.5%25.7%20.3%9.2%6.8%
3 Year88.0%72.2%35.8%18.5%45.6%36.2%
5 Year159.1%120.7%64.6%29.8%63.2%45.4%

Price Volatility Vs. Market

How volatile is Prologis's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Prologis undervalued compared to its fair value and its price relative to the market?

32.12x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PLD ($90.62) is trading above our estimate of fair value ($71.69)

Significantly Below Fair Value: PLD is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PLD is good value based on its PE Ratio (32.1x) compared to the REITs industry average (36.2x).

PE vs Market: PLD is poor value based on its PE Ratio (32.1x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: PLD's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: PLD is overvalued based on its PB Ratio (2.5x) compared to the US REITs industry average (2x).


Next Steps

Future Growth

How is Prologis forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

-6.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PLD's earnings are forecast to decline over the next 3 years (-6.3% per year).

Earnings vs Market: PLD's earnings are forecast to decline over the next 3 years (-6.3% per year).

High Growth Earnings: PLD's earnings are forecast to decline over the next 3 years.

Revenue vs Market: PLD's revenue (5.9% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: PLD's revenue (5.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PLD's Return on Equity is forecast to be low in 3 years time (6.3%).


Next Steps

Past Performance

How has Prologis performed over the past 5 years?

20.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: PLD's earnings have grown significantly by 20.6% per year over the past 5 years.

Accelerating Growth: PLD's earnings growth over the past year (32.5%) exceeds its 5-year average (20.6% per year).

Earnings vs Industry: PLD earnings growth over the past year (32.5%) exceeded the REITs industry 17.6%.


Return on Equity

High ROE: PLD's Return on Equity (7.6%) is considered low.


Return on Assets

ROA vs Industry: PLD has a higher Return on Assets than the REITs industry average last year.


Return on Capital Employed

ROCE Improving: PLD has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Prologis's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: PLD has a high level of physical assets or inventory.

Debt Coverage by Assets: PLD's debt is not covered by short term assets (assets are 0.2x debt).


Financial Institutions Analysis

Asset Level: PLD's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if PLD has a sufficient allowance for bad loans.

Low Risk Liabilities: PLD reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if PLD has an acceptable proportion of non-loan assets held.

Low Risk Deposits: PLD has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if PLD has an appropriate level of bad loans.


Next Steps

Dividend

What is Prologis's current dividend yield, its reliability and sustainability?

2.34%

Current Dividend Yield


Dividend Yield vs Market

company2.3%marketbottom25%1.4%markettop25%3.7%industryaverage3.6%forecastin3Years2.5%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: PLD's dividend (2.34%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: PLD's dividend (2.34%) is low compared to the top 25% of dividend payers in the US market (3.73%).

Stable Dividend: Whilst dividend payments have been stable, PLD has been paying a dividend for less than 10 years.

Growing Dividend: PLD's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (51.1%), PLD's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PLD's dividends in 3 years are forecast to be thoroughly covered by earnings (0.09% payout ratio).


Next Steps

Management

What is the CEO of Prologis's salary, the management and board of directors tenure and is there insider trading?

8.3yrs

Average management tenure


CEO

Hamid Moghadam (62yo)

6.8yrs

Tenure

US$28,201,400

Compensation

Mr. Hamid R. Moghadam has been the Chief Executive Officer at Prologis, Inc. since December 31, 2012. Mr. Moghadam served as the Co-Chief Executive Officer from June 2011 to December 31, 2012 and is primar ...


CEO Compensation Analysis

Compensation vs. Market: Hamid's total compensation ($USD28.20M) is about average for companies of similar size in the US market ($USD11.18M).

Compensation vs Earnings: Hamid's compensation has increased by more than 20% in the past year.


Management Age and Tenure

8.3yrs

Average Tenure

55yo

Average Age

Experienced Management: PLD's management team is seasoned and experienced (8.3 years average tenure).


Board Age and Tenure

10.3yrs

Average Tenure

67yo

Average Age

Experienced Board: PLD's board of directors are seasoned and experienced ( 10.3 years average tenure).


Insider Trading

Insider Buying: PLD insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$1,021,54031 Jul 19
Eugene Reilly
EntityIndividual
Role
Chief Investment Officer
Chief Investment Officer
Shares12,500
Max PriceUS$81.88
SellUS$645,74524 Jul 19
Thomas Olinger
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares7,851
Max PriceUS$82.25
SellUS$708,48012 Jun 19
Philip Hawkins
EntityIndividual
Shares9,000
Max PriceUS$78.72
SellUS$2,300,63925 Apr 19
Edward Nekritz
EntityIndividual
Role
Chief Legal Officer
Chief Legal Officer
Shares30,671.09
Max PriceUS$75.01
SellUS$1,154,02125 Mar 19
Edward Nekritz
EntityIndividual
Role
Chief Legal Officer
Chief Legal Officer
Shares16,059.29
Max PriceUS$71.86
SellUS$2,138,27515 Feb 19
Irving Lyons
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares30,187.78
Max PriceUS$70.91
SellUS$1,350,33012 Feb 19
Eugene Reilly
EntityIndividual
Role
Chief Investment Officer
Chief Investment Officer
Shares19,000
Max PriceUS$71.07
SellUS$1,023,00001 Feb 19
Philip Hawkins
EntityIndividual
Shares15,000
Max PriceUS$68.20
SellUS$2,220,26501 Feb 19
Edward Nekritz
EntityIndividual
Role
Chief Legal Officer
Chief Legal Officer
Shares32,499.27
Max PriceUS$68.34
SellUS$99,06321 Dec 18
William Zollars
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,610
Max PriceUS$61.53
SellUS$1,008,47014 Nov 18
Philip Hawkins
EntityIndividual
Shares15,000
Max PriceUS$67.31

Ownership Breakdown


Management Team

  • Ed Nekritz (53yo)

    Chief Legal Officer

    • Tenure: 8.3yrs
    • Compensation: US$9.87m
  • Hamid Moghadam (62yo)

    Chairman of the Board & CEO

    • Tenure: 6.8yrs
    • Compensation: US$28.20m
  • Gene Reilly (57yo)

    Chief Investment Officer

    • Tenure: 0.6yrs
    • Compensation: US$10.69m
  • Chuck Sullivan (61yo)

    Chief Administrative Officer

    • Tenure: 9.2yrs
  • Gary Anderson (53yo)

    Chief Operating Officer

    • Tenure: 0.6yrs
    • Compensation: US$9.87m
  • Mike Curless (55yo)

    Chief Investment Officer

    • Tenure: 8.3yrs
    • Compensation: US$9.57m
  • Tracy Ward

    Senior Vice President of Investor Relations & Corporate Communications

    • Tenure: 8.3yrs
  • Tom Olinger (52yo)

    Chief Financial Officer

    • Tenure: 7.4yrs
    • Compensation: US$9.83m
  • Lori Palazzolo (55yo)

    MD, Chief Accounting Officer & Senior VP

    • Tenure: 8.8yrs
  • Sineesh Keshav

    Chief Technical Officer

    • Tenure: 0yrs

Board Members

  • George Fotiades (65yo)

    Independent Director

    • Tenure: 7.9yrs
    • Compensation: US$342.48k
  • Bill Zollars (71yo)

    Independent Director

    • Tenure: 8.3yrs
    • Compensation: US$317.48k
  • Carl Webb (69yo)

    Independent Director

    • Tenure: 12.2yrs
    • Compensation: US$317.48k
  • Bud Lyons (69yo)

    Lead Independent Director

    • Tenure: 8.3yrs
    • Compensation: US$367.48k
  • Hamid Moghadam (62yo)

    Chairman of the Board & CEO

    • Tenure: 6.8yrs
    • Compensation: US$28.20m
  • Mike Losh (73yo)

    Independent Director

    • Tenure: 16.8yrs
    • Compensation: US$347.48k
  • Jeff Skelton (69yo)

    Independent Director

    • Tenure: 21.9yrs
    • Compensation: US$337.48k
  • Lydia Kennard (64yo)

    Independent Director

    • Tenure: 15.2yrs
    • Compensation: US$317.48k
  • Olivier Piani (65yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$304.98k
  • Dave O’Connor (55yo)

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: US$317.48k

Company Information

Prologis, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Prologis, Inc.
  • Ticker: PLD
  • Exchange: NYSE
  • Founded: 1991
  • Industry: Industrial REITs
  • Sector: Real Estate
  • Implied Market Cap: US$57.523b
  • Market Cap: US$57.193b
  • Shares outstanding: 641.93m
  • Website: https://www.prologis.com

Number of Employees


Location

  • Prologis, Inc.
  • Pier 1
  • Bay 1
  • San Francisco
  • California
  • 94111
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PLDNYSE (New York Stock Exchange)YesNew Common StockUSUSDJun 2011
PLD *BMV (Bolsa Mexicana de Valores)YesNew Common StockMXMXNJun 2011
POJNDB (Deutsche Boerse AG)YesNew Common StockDEEURJun 2011
0KODLSE (London Stock Exchange)YesNew Common StockGBUSDJun 2011
PLDG.POTCPK (Pink Sheets LLC)8.54% PFD SR QUSUSDJul 2011

Biography

Prologis, Inc. is the global leader in logistics real estate with a focus on high-barrier, high-growth markets. As of September 30, 2019, the company owned or had investments in, on a wholly owned basis or ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 00:23
End of Day Share Price2019/10/21 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.