Prologis, Inc. (PLD) Stock Analysis
Prologis, Inc. (PLD) Stock Analysis
Analysis from 10-Q filed 2025-10-28. Data as of Q4 2025.
Overall Grade: F (Concerning)
Prologis, Inc. faces challenges in financial performance that warrant careful analysis.
| Metric | Value | Context |
|---|---|---|
| ROIC | N/A | Below expectations |
| FCF Margin | 57.0% | Strong cash generation |
| Debt/Equity | 0.0x | Conservative leverage |
Investment Thesis: Healthy free cash flow margin of 57.0% provides financial flexibility for growth and shareholder returns.
Explore Prologis, Inc.: Earnings History | Filing Intelligence | ROIC Analysis
Profitability: Prologis, Inc. earns N/A ROIC
Prologis, Inc.'s trailing-twelve-month ROIC of N/A (sector median: 12.6%). Source: 10-Q filed 2025-10-28.
| Metric | PLD | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | N/A | Red flag | Below sector median of 12.6% |
| Return on Equity (ROE) | 6.3% | Warning | Moderate equity returns |
Cash Flow: Prologis, Inc. generates $5.0B FCF at 57.0% margin, positive NaN/8 quarters
Prologis, Inc. generated $5.0B in free cash flow (TTM), a 57.0% FCF margin, a margin that ranks Top 25% in Real Estate. Operating cash flow exceeds net income by 1.5x, indicating high earnings quality. FCF was positive in N/A of the last 8 quarters. Source: 10-Q filed 2025-10-28.
| Metric | PLD | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 57.0% | Excellent | Excellent cash conversion |
| Free Cash Flow (TTM) | $5.0B | Good | Positive cash generation |
| OCF/Net Income | 1.5x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: Prologis, Inc. at 0.0x leverage
Prologis, Inc.'s debt-to-equity ratio of 0.0x reflects conservative leverage. Source: 10-Q filed 2025-10-28.
| Metric | PLD | Rating | Context |
|---|---|---|---|
| Debt to Equity | 0.0x | Excellent | Conservative capital structure |
Valuation: Prologis, Inc. trades at 35.8x earnings
Prologis, Inc. trades at a P/E of 35.8x. Free cash flow yield of 4.2% reflects market expectations for growth.
| Metric | PLD | Rating | Context |
|---|---|---|---|
| P/E Ratio | 35.8x | Adequate | Premium valuation |
| EV/Sales | 13.4x | Warning | Growth premium priced in |
| FCF Yield | 4.2% | Good | Lower cash yield |
| Dividend Yield | 3.2% | Adequate | Meaningful income |
Capital Allocation: Prologis, Inc. returns 3.2% shareholder yield
Prologis, Inc.'s total shareholder yield is 3.2% (dividends 3.2% + buybacks). Source: 10-Q filed 2025-10-28.
| Metric | PLD | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 3.2% | Good | Dividend + buyback yield combined |
| Total Capital Returned (TTM) | $3.8B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Free Cash Flow Margin | 57.0% | Top 25% | 316.2x above |
| Return on Equity (ROE) | 6.3% | Top 50% | 2.4x above |
| P/E Ratio | 35.8x | N/A | - |
Financial Scorecard
| Metric | PLD | Rating | Sector Context |
|---|---|---|---|
| Free Cash Flow Margin | 57.0% | Excellent | Top 25% of sector (median: 0.2%) |
| Debt to Equity Ratio | 0.0% | Excellent | Conservative capital structure |
| P/E Ratio (Price-to-Earnings) | 35.8x | Adequate | High expectations priced in |
| Free Cash Flow Yield | 4.2% | Adequate | Moderate yield |
Frequently Asked Questions
Q: What is Prologis, Inc.'s Return on Invested Capital (ROIC)?
Prologis, Inc. (PLD) has a trailing twelve-month Return on Invested Capital (ROIC) of N/A. This compares below the sector median of 12.6%. An ROIC below 8% suggests the company may be destroying shareholder value.
Q: What is Prologis, Inc.'s Free Cash Flow Margin?
Prologis, Inc. (PLD) has a free cash flow margin of 57.0%, generating $5.0 billion in free cash flow over the trailing twelve months. A FCF margin above 20% indicates excellent cash conversion and a high-quality business model.
Q: Is Prologis, Inc. stock overvalued or undervalued?
Prologis, Inc. (PLD) trades at a P/E ratio of 35.8x, which is above the sector median of N/A. The EV/Sales multiple is 13.4x. Free cash flow yield is 4.2%, which is in line with market averages.
Q: Does Prologis, Inc. pay a dividend?
Prologis, Inc. (PLD) currently pays a dividend yield of 3.2%. Including share buybacks, the total shareholder yield is 3.2%. This yield is moderate, suggesting a balance between income and growth reinvestment.
Q: What is Prologis, Inc.'s revenue and earnings growth?
Prologis, Inc. (PLD) grew revenue by 7.2% year-over-year. Earnings per share decreased by 11.3% compared to the prior year. Modest growth indicates a mature business with stable demand.
Q: How does Prologis, Inc. compare to competitors in Real Estate?
Compared to other companies in Real Estate, Prologis, Inc. (PLD) shows: ROIC of N/A is below the sector median of 12.6% (NaNx median). FCF margin of 57.0% exceeds the sector median of 0.2% (Top 13% of sector). These rankings are based on MetricDuck's analysis of all Real Estate companies with available SEC filings.
Q: What warning signs should I watch for with Prologis, Inc.?
Prologis, Inc. (PLD) shows no major financial warning signs based on current metrics. However, investors should always monitor: 1) Margin compression trends, 2) Cash flow consistency, 3) Debt levels relative to cash generation, and 4) Changes in competitive positioning.
Data Source: Data sourced from 10-Q filed 2025-10-28. TTM metrics as of Q4 2025.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.