First Industrial Realty (FR) AI Stock Analysis

• Market Cap: $8.25B
• Dividend Yield: 2.98%
• Average Volume (3M): 1.11M
• Price to Earnings (P/E): 32.4
• Beta (1Y): 0.61
• Revenue Growth: 9.66%
• EPS Growth: -23.17%
• Country: US
• Employees: 151
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Industrial
• EPS (TTM): 0.59
• Shares Outstanding: 132,524,260
• 10 Day Avg. Volume: 1,109,542
• 30 Day Avg. Volume: 1,107,283
• PEG Ratio: -2.22
• Price to Book (P/B): 2.84
• Price to Sales (P/S): 10.43
• P/FCF Ratio: 66.03
• Enterprise Value/Market Cap: 1.30
• Enterprise Value/Revenue: 14.77
• Enterprise Value/Gross Profit: 24.53
• Enterprise Value/Ebitda: 19.46
• 1Y Price Target: $64.36
• Price Target Upside: 3.81% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12
• EPS Forecast (FY): 1.75
• Revenue Forecast (FY): $749.05M

• Rating: 67 Neutral
• Price Target: $63.00 ▲(1.61% Upside)
• Action: Downgraded Date: 02/14/26
• Date: Action: Downgraded 02/14/26

The score is driven primarily by solid financial performance (strong margins and improving operating cash flow) and a constructive earnings outlook (FFO growth, strong rent/NOI trends, and a higher dividend). These positives are tempered by rising leverage and a relatively rich valuation, while technical signals are neutral with mild near-term weakness despite a longer-term uptrend.

Positive Factors

Revenue Growth & Margins

Sustained multi-year revenue expansion alongside consistently high gross margins demonstrates durable demand for industrial space and disciplined lease economics. High gross margins shield operating profits from rent cycle swings, supporting stable NOI and ability to fund dividends and redevelopment over the medium term.

Improving Cash Generation

Material improvement in operating cash flow and recent positive free cash flow conversion strengthen the company's ability to fund dividends, development capex and debt service internally. Consistent cash generation reduces reliance on capital markets and supports durable capital allocation flexibility.

Strong Leasing Market & Occupancy

Robust market fundamentals—very strong cash rental gains and high occupancy—support sustainable NOI growth and lease-up prospects for new developments. Structural e-commerce and distribution demand underpin long-term tenant demand, improving rent bargaining power and reducing vacancy risk over multiple quarters.

Negative Factors

Rising Leverage

Increasing debt and a near-1.0 debt-to-equity ratio raise interest-rate and refinancing sensitivity, constraining financial flexibility. Higher leverage can magnify cash flow volatility impacts, limit acquisition or development capacity if markets tighten, and increase funding costs during stressed periods.

Execution Dependence on Lease-Ups

Material reliance on sizable back-half lease-ups makes near-term FFO and occupancy targets execution-sensitive. Delays or weaker leasing would pressure guided NOI and cash flows, magnifying downside because a large portion of growth is contingent on successful, timely leasing of specific projects.

Rising Concessions & Pre-Lease Risk

Higher tenant improvement allowances and drifting concessions compress cash-on-cash yields for new deals and slow stabilization economics. Moderate pre-leasing rates for the pipeline increase exposure to leasing cycle weakness, raising the risk that new projects underperform yield expectations and extend vacancy periods.

First Industrial Realty Business Overview & Revenue Model

Company Description

First Industrial Realty Trust, Inc. (NYSE: FR) is a leading fully integrated owner, operator, and developer of industrial real estate with a track record of providing industry-leading customer service to multinational corporations and regional customers. Across major markets in the United States, our local market experts manage, lease, buy, (re)develop, and sell bulk and regional distribution centers, light industrial, and other industrial facility types. In total, we own and have under development approximately 64.1 million square feet of industrial space as of September 30, 2020.

How the Company Makes Money

First Industrial Realty generates revenue primarily through leasing its industrial properties to tenants on long-term leases, which provides a stable and predictable income stream. The company earns rental income from its portfolio of properties, which includes both existing assets and newly developed facilities. Additionally, First Industrial may benefit from property appreciation and increased rental rates over time. The company also engages in development projects, which can yield significant profits upon completion and lease-up phases. Key partnerships with logistics companies, manufacturers, and e-commerce firms enhance the demand for its properties, contributing to its revenue growth. Furthermore, strategic acquisitions of well-located industrial properties bolster its portfolio and revenue potential.

First Industrial Realty Financial Statement Overview

Summary

Strong revenue growth over the period and consistently high profitability margins, supported by steadily improving operating cash flow. Offsetting factors are rising leverage (debt increasing and debt-to-equity near ~0.96) and historically uneven free cash flow despite a strong 2024–2025 improvement.

Income Statement

Revenue has grown strongly over the period (from $448M in 2020 to $727M in 2025), with a notable rebound after the 2023 decline. Profitability is a clear strength: gross margins remain consistently high (~72%–78%) and operating profitability is solid, supporting healthy net margins. The main watch-out is that net income has been volatile and is down from the 2022 peak ($359M) to 2025 ($247M), suggesting profitability can fluctuate even with revenue growth.

Balance Sheet

The balance sheet shows a sizable equity base ($2.67B in 2025) and assets have expanded to $5.69B, which supports growth. However, leverage has been trending up: total debt increased to $2.57B in 2025 from $2.09B in 2022, and debt relative to equity rose to ~0.96 in 2025 (vs. ~0.84 in 2024). Returns on equity are positive but have moderated versus earlier years (about 9% in 2025 vs. mid-teens in 2022), indicating slightly less efficient profit generation on the capital base.

Cash Flow

Operating cash flow is consistently positive and improving (to $461M in 2025 from $241M in 2020), providing a strong cash earnings foundation. Free cash flow has been more uneven—negative in 2022 and 2023, then improving materially to $135M in 2024 and $461M in 2025—showing a better recent conversion of cash generation into surplus cash. The key risk is the historical variability in free cash flow, which can matter for funding growth, dividends, and debt management.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	727.08M	669.64M	614.03M	539.93M	476.29M
Gross Profit	164.34M	486.82M	448.37M	396.27M	344.99M
EBITDA	568.83M	557.03M	501.17M	491.37M	465.37M
Net Income	247.44M	287.34M	274.82M	359.13M	271.00M
Balance Sheet
Total Assets	5.69B	5.26B	5.18B	4.95B	4.18B
Cash, Cash Equivalents and Short-Term Investments	78.03M	44.51M	43.84M	133.24M	58.59M
Total Debt	2.57B	2.23B	2.25B	2.09B	1.64B
Total Liabilities	2.93B	2.52B	2.54B	2.42B	1.93B
Stockholders Equity	2.67B	2.67B	2.56B	2.46B	2.19B
Cash Flow
Free Cash Flow	114.89M	134.85M	-59.62M	-111.47M	33.85M
Operating Cash Flow	461.34M	350.42M	302.31M	410.90M	267.03M
Investing Cash Flow	-524.18M	-131.62M	-378.31M	-629.11M	-416.82M
Financing Cash Flow	89.19M	-210.96M	-25.27M	304.50M	8.91M

First Industrial Realty Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 62.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR, the sentiment is Positive. The current price of 62 is above the 20-day moving average (MA) of 59.14, above the 50-day MA of 58.68, and above the 200-day MA of 53.11, indicating a bullish trend. The MACD of 0.82 indicates Negative momentum. The RSI at 66.68 is Neutral, neither overbought nor oversold. The STOCH value of 95.84 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR.

First Industrial Realty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRNO	75 Outperform	$6.84B	16.80	10.28%	3.38%	21.13%	74.37%
EGP	74 Outperform	$10.20B	39.25	7.58%	3.15%	11.10%	-1.65%
STAG	71 Outperform	$7.30B	26.16	7.75%	4.02%	9.62%	31.08%
LXP	68 Neutral	$2.83B	26.38	5.45%	5.33%	6.98%	465.32%
FR	67 Neutral	$8.25B	32.37	9.27%	2.98%	9.66%	-23.17%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
REXR	64 Neutral	$8.63B	43.24	2.50%	4.30%	10.27%	15.25%

First Industrial Realty Corporate Events

First Industrial Realty Strengthens Capital Structure With Loan Refinancing

On January 22, 2026, First Industrial Realty Trust refinanced its $425 million unsecured term loan, setting an initial maturity of January 22, 2030 with a one-year extension option and interest-only payments at a rate of SOFR plus 85 basis points, while removing a prior 10-basis-point SOFR adjustment. The company also refinanced and upsized a separate term loan from $300 million to $375 million with an initial maturity of January 22, 2029 and two one-year extension options, on the same SOFR plus 85-basis-point, interest-only structure and with the SOFR adjustment similarly eliminated, and amended an additional $200 million unsecured term loan to remove its 10-basis-point SOFR adjustment, collectively strengthening its capital structure and securing longer-term, more cost-effective funding support for its growth strategy.

The most recent analyst rating on (FR) stock is a Buy with a $65.00 price target. To see the full list of analyst forecasts on First Industrial Realty stock, see the FR Stock Forecast page.