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Innovative Industrial Properties (IIPR) Exceeds Market Returns: Some Facts to Consider

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Innovative Industrial Properties (IIPR - Free Report) ended the recent trading session at $58.26, demonstrating a +2.77% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily gain of 0.48%. Meanwhile, the Dow experienced a rise of 0.27%, and the technology-dominated Nasdaq saw an increase of 0.94%.

Coming into today, shares of the company had gained 7.43% in the past month. In that same time, the Finance sector gained 2.95%, while the S&P 500 gained 2.46%.

Investors will be eagerly watching for the performance of Innovative Industrial Properties in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $1.7, marking a 24.44% fall compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $63.83 million, down 16.6% from the year-ago period.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $7.03 per share and a revenue of $262.45 million, representing changes of -21.71% and -14.93%, respectively, from the prior year.

Any recent changes to analyst estimates for Innovative Industrial Properties should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Innovative Industrial Properties is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, Innovative Industrial Properties is currently trading at a Forward P/E ratio of 8.06. This valuation marks a discount compared to its industry average Forward P/E of 11.67.

The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 145, putting it in the bottom 42% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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