Prologis (PLD) AI Stock Analysis

• Market Cap: $132.83B
• Dividend Yield: 3.16%
• Average Volume (3M): 3.33M
• Price to Earnings (P/E): 39.2
• Beta (1Y): 0.82
• Revenue Growth: 10.75%
• EPS Growth: 4.29%
• Country: US
• Employees: 2,703
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Industrial
• EPS (TTM): 1.49
• Shares Outstanding: 929,559,000
• 10 Day Avg. Volume: 2,675,914
• 30 Day Avg. Volume: 3,325,377
• PEG Ratio: -3.08
• Price to Book (P/B): 2.25
• Price to Sales (P/S): 13.63
• P/FCF Ratio: 23.92
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 18.69
• Enterprise Value/Gross Profit: 31.36
• Enterprise Value/Ebitda: 22.82
• 1Y Price Target: $139.80
• Price Target Upside: -0.67% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 16
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: $156.00 ▲(10.84% Upside)
• Action: Reiterated Date: 02/15/26
• Date: Action: Reiterated 02/15/26

The score reflects strong technical momentum and a positive earnings outlook (high occupancy, embedded NOI, and active development pipeline), balanced against mixed 2025 financial quality signals (margin compression, higher leverage, and weaker cash flow coverage) and a relatively expensive valuation (high P/E).

Positive Factors

Global scale & market leadership

Prologis’s global platform and large, diversified portfolio provide durable competitive advantage: scale drives tenant diversification, pricing power in tight markets, lower idiosyncratic risk, and broad capital access that supports development and strategic capital activities over multiple cycles.

Strong leasing & embedded rent growth

Sustained high leasing volume, elevated occupancy and sizable embedded NOI create persistent revenue tailwinds. Embedded mark-to-market gives multi-year cashflow visibility, supporting FFO and dividend capacity even if new leasing moderates.

Large development pipeline & data center/energy platforms

A material development pipeline and growing data center/energy capabilities diversify revenue and create higher-return, strategic inventory. Power and energy scale are structural differentiators that can drive premium rents and fee-bearing opportunities over years.

Negative Factors

Rising leverage

Increasing leverage reduces financial flexibility for a capital‑intensive REIT and raises refinancing and interest-rate sensitivity. Higher debt levels constrain optionality for opportunistic acquisitions or development during stress periods and pressure credit metrics.

Margin compression & lower strategic capital income

Compression of gross and operating margins plus a drop in strategic-capital fees weakens capital‑light earnings (AFFO/FFO). This mix shift reduces resilience of cash returns and may temper dividend growth if strategic capital recovers slowly.

Data center power timing risk

Execution and utility-timing risks for data-center projects can delay revenue realization and extend capital deployment cycles. Lumpy, multi-year timelines increase development risk, capital carry costs, and uncertainty around when higher-margin data center income will materialize.

Prologis Business Overview & Revenue Model

Company Description

Prologis, Inc. is the global leader in logistics real estate with a focus on high-barrier, high-growth markets. As of December 31, 2020, the company owned or had investments in, on a wholly owned basis or through co-investment ventures, properties and development projects expected to total approximately 984 million square feet (91 million square meters) in 19 countries. Prologis leases modern logistics facilities to a diverse base of approximately 5,500 customers principally across two major categories: business-to-business and retail/online fulfillment.

How the Company Makes Money

Prologis generates revenue primarily through rental income from its extensive portfolio of industrial properties. The company leases its facilities to a variety of tenants, including major e-commerce companies and logistics providers, on both short-term and long-term contracts. Additionally, Prologis earns revenue through property management services and development projects, where it builds new facilities for lease or sale. The company also engages in strategic partnerships and joint ventures to enhance its market position and expand its property offerings. Factors contributing to its earnings include the growing demand for logistics space driven by e-commerce growth, a favorable supply-demand balance in key markets, and its strong operational efficiency.

Prologis Financial Statement Overview

Summary

Strong revenue expansion and consistently high profitability support the score, but it is tempered by 2025 margin compression, rising leverage (debt-to-equity up to ~0.66), and weaker 2025 cash flow quality (free cash flow decline and operating cash flow covering net income at ~0.84x).

Income Statement

Revenue has expanded strongly over the period, including a sharp acceleration in 2025 (2025 revenue growth ~60% vs. ~2% in 2024). Profitability remains very high for the group with solid gross and operating margins, and net income is substantial. The main offset is margin compression in 2025 versus 2024 (gross, operating, and net margins all stepped down), which signals some mix/expense headwinds after a very strong 2024 margin profile.

Balance Sheet

The capital base is sizable with equity over $53B and assets near $99B (2025), supporting balance-sheet flexibility. Leverage is meaningful but not extreme for a REIT: debt-to-equity rose to ~0.66 in 2025 from ~0.58 in 2024, reflecting faster debt growth than equity. Returns on equity are steady but modest (~6–7% recently), suggesting profitability is solid yet not translating into high equity returns, and the rising leverage trend is a key watch item.

Cash Flow

Operating cash generation is strong and free cash flow has generally tracked operating cash flow closely in 2023–2025, indicating good cash conversion. However, free cash flow growth turned sharply negative in 2025 (down materially vs. 2024), and cash flow covered net income less than 1x in 2025 (coverage ~0.84), implying earnings outpaced near-term operating cash generation that year. Prior years showed healthier coverage above 1x, so 2025 looks more like a dip than a long-term pattern, but it still weighs on the score.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	8.79B	8.20B	8.02B	5.97B	4.76B
Gross Profit	5.24B	6.14B	6.01B	4.46B	3.51B
EBITDA	7.20B	7.53B	6.57B	5.80B	5.15B
Net Income	3.41B	3.73B	3.06B	3.36B	2.94B
Balance Sheet
Total Assets	98.72B	95.33B	93.02B	87.90B	58.49B
Cash, Cash Equivalents and Short-Term Investments	1.15B	1.32B	530.39M	278.48M	556.12M
Total Debt	35.04B	31.49B	29.60B	24.51B	18.16B
Total Liabilities	40.97B	36.71B	35.20B	30.03B	20.74B
Stockholders Equity	53.19B	53.95B	53.18B	53.24B	33.43B
Cash Flow
Free Cash Flow	5.01B	4.91B	5.37B	3.58B	2.50B
Operating Cash Flow	5.01B	4.91B	5.37B	4.13B	3.00B
Investing Cash Flow	-3.63B	-3.10B	-6.42B	-4.50B	-1.99B
Financing Cash Flow	-1.56B	-999.96M	1.32B	115.79M	-1.01B

Prologis Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 140.74
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PLD, the sentiment is Positive. The current price of 140.74 is above the 20-day moving average (MA) of 135.42, above the 50-day MA of 131.57, and above the 200-day MA of 116.95, indicating a bullish trend. The MACD of 2.99 indicates Negative momentum. The RSI at 62.65 is Neutral, neither overbought nor oversold. The STOCH value of 75.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PLD.

Prologis 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%
PLD	74 Outperform	$132.83B	39.25	6.21%	3.16%	10.75%	4.29%
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%
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%

Prologis Corporate Events

Prologis Posts Higher 2025 Revenue Amid Earnings Decline

On January 21, 2026, Prologis reported its fourth-quarter and full-year 2025 results, showing total 2025 revenues of $8.79 billion, up from $8.20 billion in 2024, driven primarily by higher rental income, while strategic capital revenues declined year over year. Net earnings attributable to common stockholders fell to $3.32 billion in 2025 from $3.73 billion a year earlier, and both core funds from operations and adjusted funds from operations decreased modestly, even as adjusted EBITDA rose, highlighting resilient operating performance but a moderation in capital-light fee and development-related income. The company generated $6.7 billion in annual net operating income from its operating portfolio, created an estimated $568 million in value from development stabilizations and paid $3.87 billion in dividends and distributions for 2025, underscoring its continued emphasis on large-scale development, strategic capital management and shareholder returns despite softer promote income and lower realized development gains compared with 2024.

The most recent analyst rating on (PLD) stock is a Buy with a $142.00 price target. To see the full list of analyst forecasts on Prologis stock, see the PLD Stock Forecast page.

Prologis Reports Q4 and Full-Year 2025 Financial Results

On January 21, 2026, Prologis reported its fourth-quarter and full-year 2025 results, highlighting steady revenue growth but some pressure on profitability metrics. Total revenues rose to $2.25 billion in the fourth quarter and $8.79 billion for 2025, up from the prior year, driven mainly by higher rental and other revenues, although strategic capital revenues declined. Net earnings attributable to common stockholders increased year-on-year to $1.40 billion for the quarter but fell to $3.32 billion for the full year, while Core FFO and AFFO for both the quarter and full year edged down compared with 2024, reflecting lower strategic capital contributions and reduced development value creation. The company ended 2025 with $230 billion in gross assets under management, $6.7 billion in annualized net operating income on a Prologis share basis, and a sizable $42.6 billion land build-out pipeline, underscoring its scale and ongoing development capacity. Prologis also maintained substantial shareholder returns, paying $3.87 billion in dividends and distributions in 2025, while its balance sheet showed higher debt alongside growing real estate investments, signaling continued capital deployment to support its global logistics platform.

The most recent analyst rating on (PLD) stock is a Buy with a $142.00 price target. To see the full list of analyst forecasts on Prologis stock, see the PLD Stock Forecast page.

Prologis Approves New Performance Stock Unit Agreement

On December 3, 2025, Prologis, Inc.’s Talent and Compensation Committee approved a new form of Performance Stock Unit Agreement under its 2020 Long-Term Incentive Plan, allowing for dividend equivalents on Target PSUs to be settled in cash based on performance criteria. Additionally, an amendment was approved for the Retirement Eligibility Waiver, affecting equity-based awards for certain executives from January 1, 2026, indicating changes in the company’s approach to executive compensation and retirement benefits.

The most recent analyst rating on (PLD) stock is a Buy with a $138.00 price target. To see the full list of analyst forecasts on Prologis stock, see the PLD Stock Forecast page.

Prologis Updates Performance Stock Unit Agreement

On December 3, 2025, Prologis, Inc.’s Talent and Compensation Committee approved a new form of Performance Stock Unit Agreement to be used under the company’s 2020 Long-Term Incentive Plan. This updated agreement allows for the accrual of dividend equivalents on Target PSUs during the performance period, which will be settled in cash if the performance criteria are met. Additionally, the committee approved an amendment to the Retirement Eligibility Waiver for certain executives, specifying that equity-based awards granted on or after January 1, 2026, will not be subject to the waiver terms.

The most recent analyst rating on (PLD) stock is a Buy with a $138.00 price target. To see the full list of analyst forecasts on Prologis stock, see the PLD Stock Forecast page.

Prologis Appoints New Chief Development Officer

On November 24, 2025, Prologis, Inc. announced that Damon Austin will assume the role of Chief Development Officer starting January 1, 2026. Mr. Austin has been with Prologis since 2015, holding various leadership roles, and his appointment is expected to further strengthen the company’s development strategies and operations.

The most recent analyst rating on (PLD) stock is a Buy with a $144.00 price target. To see the full list of analyst forecasts on Prologis stock, see the PLD Stock Forecast page.

Prologis Appoints New Chief Development Officer

On November 24, 2025, Prologis, Inc. announced that Damon Austin will assume the role of Chief Development Officer starting January 1, 2026. Mr. Austin has been with the company since 2015, holding various leadership positions, and his appointment is expected to influence the company’s strategic development initiatives.

The most recent analyst rating on (PLD) stock is a Buy with a $144.00 price target. To see the full list of analyst forecasts on Prologis stock, see the PLD Stock Forecast page.