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Prologis (PLD) Beats Stock Market Upswing: What Investors Need to Know

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The latest trading session saw Prologis (PLD - Free Report) ending at $105.37, denoting a +1.72% adjustment from its last day's close. The stock's performance was ahead of the S&P 500's daily gain of 0.16%. Elsewhere, the Dow saw an upswing of 0.86%, while the tech-heavy Nasdaq depreciated by 0.38%.

The industrial real estate developer's stock has dropped by 6.78% in the past month, falling short of the Finance sector's loss of 5.04% and the S&P 500's loss of 2.2%.

Market participants will be closely following the financial results of Prologis in its upcoming release. The company plans to announce its earnings on January 21, 2025. The company is predicted to post an EPS of $1.38, indicating a 9.52% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $1.94 billion, indicating a 10.44% upward movement from the same quarter last year.

Investors might also notice recent changes to analyst estimates for Prologis. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.04% lower. Right now, Prologis possesses a Zacks Rank of #3 (Hold).

Looking at valuation, Prologis is presently trading at a Forward P/E ratio of 17.87. This expresses a premium compared to the average Forward P/E of 11.27 of its industry.

One should further note that PLD currently holds a PEG ratio of 2.85. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the REIT and Equity Trust - Other industry was having an average PEG ratio of 1.92.

The REIT and Equity Trust - Other industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 135, positioning it in the bottom 47% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow PLD in the coming trading sessions, be sure to utilize Zacks.com.


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