Here's Why Prologis (PLD) Fell More Than Broader Market
Prologis (PLD) closed the latest trading day at $127.13, indicating a -1.16% change from the previous session's end. The stock's performance was behind the S&P 500's daily loss of 0.31%. On the other hand, the Dow registered a loss of 0.41%, and the technology-centric Nasdaq decreased by 0.27%.
Shares of the industrial real estate developer have depreciated by 3.45% over the course of the past month, underperforming the Finance sector's gain of 3.08% and the S&P 500's gain of 3.05%.
The investment community will be closely monitoring the performance of Prologis in its forthcoming earnings report. The company is scheduled to release its earnings on April 17, 2024. The company is predicted to post an EPS of $1.28, indicating a 4.92% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $1.81 billion, indicating a 10.9% upward movement from the same quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $5.50 per share and a revenue of $7.5 billion, signifying shifts of -1.96% and +10.01%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Prologis. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.06% lower. Prologis presently features a Zacks Rank of #3 (Hold).
Investors should also note Prologis's current valuation metrics, including its Forward P/E ratio of 23.39. Its industry sports an average Forward P/E of 11.44, so one might conclude that Prologis is trading at a premium comparatively.
Meanwhile, PLD's PEG ratio is currently 2.57. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the REIT and Equity Trust - Other industry had an average PEG ratio of 2.3.
The REIT and Equity Trust - Other industry is part of the Finance sector. With its current Zacks Industry Rank of 143, this industry ranks in the bottom 44% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Prologis, Inc. (PLD) : Free Stock Analysis Report
