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The latest trading session saw Prologis (PLD) ending at $112.38, denoting a -1.8% adjustment from its last day's close. The stock fell short of the S&P 500, which registered a loss of 1.07% for the day. Meanwhile, the Dow lost 0.62%, and the Nasdaq, a tech-heavy index, lost 1.71%.
The industrial real estate developer's shares have seen a decrease of 5.3% over the last month, not keeping up with the Finance sector's loss of 3.42% and outstripping the S&P 500's loss of 7.03%.
Investors will be eagerly watching for the performance of Prologis in its upcoming earnings disclosure. The company is forecasted to report an EPS of $1.38, showcasing a 7.81% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $1.95 billion, up 6.9% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $5.73 per share and a revenue of $8.01 billion, demonstrating changes of +3.06% and +6.56%, respectively, from the preceding year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Prologis. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 0.02% lower within the past month. Prologis presently features a Zacks Rank of #3 (Hold).
In the context of valuation, Prologis is at present trading with a Forward P/E ratio of 19.98. This represents a premium compared to its industry's average Forward P/E of 11.24.
We can additionally observe that PLD currently boasts a PEG ratio of 2.73. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. By the end of yesterday's trading, the REIT and Equity Trust - Other industry had an average PEG ratio of 2.26.
The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 134, putting it in the bottom 47% of all 250+ industries.