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Prologis (PLD) Stock Sinks As Market Gains: What You Should Know

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Prologis (PLD - Free Report) closed the most recent trading day at $116.05, moving -0.01% from the previous trading session. This change lagged the S&P 500's daily gain of 0.7%. Meanwhile, the Dow gained 0.56%, and the Nasdaq, a tech-heavy index, added 7.5%.

Heading into today, shares of the industrial real estate developer had lost 1.67% over the past month, lagging the Finance sector's gain of 2.1% and the S&P 500's loss of 0.94% in that time.

Wall Street will be looking for positivity from Prologis as it approaches its next earnings report date. This is expected to be January 18, 2023. On that day, Prologis is projected to report earnings of $1.21 per share, which would represent year-over-year growth of 8.04%. Our most recent consensus estimate is calling for quarterly revenue of $1.41 billion, up 31.5% from the year-ago period.

Investors should also note any recent changes to analyst estimates for Prologis. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.52% lower. Prologis currently has a Zacks Rank of #3 (Hold).

Looking at its valuation, Prologis is holding a Forward P/E ratio of 20.84. This represents a premium compared to its industry's average Forward P/E of 11.66.

It is also worth noting that PLD currently has a PEG ratio of 2.41. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. REIT and Equity Trust - Other stocks are, on average, holding a PEG ratio of 2.02 based on yesterday's closing prices.

The REIT and Equity Trust - Other industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 179, which puts it in the bottom 29% of all 250+ industries.

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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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