PLD posts Q4 core FFO in line with estimates as rental revenues increase and leasing stays strong. However, higher interest costs weigh on results.
PLD heads into Q4 earnings after repeated FFO beats, but faces elevated interest expenses.
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Evaluate the expected performance of Prologis (PLD) for the quarter ended December 2025, looking beyond the conventional Wall Street top-and-bottom-line estimates and examining some of its key metrics for better insight.
Prologis is downgraded to "Neutral" due to valuation concerns despite strong logistics fundamentals and secular warehouse tailwinds. PLD's core warehouse portfolio boasts a 20% market rent spread, 5.2% YoY same-store NOI growth, and 6% guided core FFO growth for 2025. Management is pivoting toward data centers, targeting $5 billion in annual investment and viewing it as a "generational value creation opportunity."
Prologis' leasing momentum, rent growth and data center expansion give it an edge over Realty Income for long-term cash flow growth in 2026.
PLD shares rise 9.1% in three months as leasing rebounds, occupancy climbs and data center expansion strengthens the logistics REIT's outlook.
The latest trading day saw Prologis (PLD) settling at $127.66, representing a -1.05% change from its previous close.
In the most recent trading session, Prologis (PLD) closed at $129.15, indicating a +1.08% shift from the previous trading day.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price.
Prologis' fiscal 2025 third quarter core FFO rose 4.2% year-over-year to $1.49 per share, beating consensus and supporting a 3.2% dividend yield. The expanding data center business has a 5.2 GW power pipeline at the end of the third quarter and represents a major opportunity for growth. PLD's Series Q Preferreds have their call date less than a year from now on 11/13/2026 and are currently trading at a 10% premium to their liquidation value.
Prologis (PLD) reached $127.61 at the closing of the latest trading day, reflecting a -2.33% change compared to its last close.