Prologis, Inc. (PLD) Could Be A Quick Boost To Your Portfolio

Shares of Prologis, Inc. (PLD) have gained 6% since the company’s last earnings report. Over the past 12 fiscal quarters, Prologis, Inc. (NYSE:PLD) has topped consensus earnings estimates in 2 quarters (16%), missed earnings in 10 quarters (83%), whereas at 0 occasion EPS met analyst expectations. PLD last reported earnings on October 16, 2018 when it released Sep-18 results that exceeded expectations. The company raked in $0.72 per share, -47.83% change on the same period last year. That was better than consensus for $0.71. Revenue for the recent quarter stood at $608.97 million, up 15% on last year and above the $576.89 million predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $615.39 million to $699.4 million, which should be compared with $559.31 million generated last year. EPS is seen in a range of $0.77 to $0.81, against the $0.77 reported a year ago.

PLD’s 50 day simple moving average (SMA 50) price is $65.91 and its 200-day simple moving average (SMA 200) price is $64.83. The company’s stock currently has a total float of 625.23M shares. Its weekly volatility is hovering around 2.94% and felt 1.94% volatility in price over a month. On the upside, the share price will test short term resistance at around $69.97. On a downside, the stock is likely to find some support, which begins at $65.81. The failure to get near-term support could push it to $63.15.

Separately, it has been reported that multiple insider activity took place at Prologis, Inc. (PLD). Director Hawkins Philip L sold 15,000 shares for $59,511 in transaction occurred on 2018/11/09. After making this transaction, the Director owns a direct stake of 1,008,450 shares, worth $4,075,313, as per the last closing price. On 2018/09/28 Lyons Irving F Iii, Director at PLD, purchased 71 shares at an average price of $66.89 per share. The new stake is valued at $8,337,440.

Chief Legal Off./Gen. Counsel, Nekritz Edward S had divested 18,099 shares for $107,783 through a trade on 2018/09/21. Following this activity, the insider holds 1,224,578 shares worth $7,380,980 as of recent close. Wall Street’s most bullish Prologis, Inc. (NYSE:PLD) analysts are predicting the share price to blow past $83 per share during the next 12 months. The current median share price forecast by them is $70, suggesting that the stock could increase 2.22% in that time frame. The average price target of $71.26 calls for a nearly 4.06% increase in the stock price.

It had seen a positive analyst call from Jefferies, which upgraded the stock from Hold to Buy on April 12. Analysts at Citigroup, shed their negative views on April 06 by lifting it fromNeutral to Buy. The stock won favor of JP Morgan analysts who expressed their confidence in it using an upgrade from Neutral to Overweight on March 27. JP Morgan analysts came out with bearish views on December 15 when the call was made. They think the stock is now Neutral compared to to their prior call for Overweight.

When looking at valuations, Prologis, Inc. (PLD) has a cheap P/E of 27.99x as compared to industry average of 31.91x. Moreover, it trades for 43.48 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 1.79x price/book and 16.43x price/sales. Compared to others, Prologis, Inc. is in a different league with regards to profitability, having net margins of 51.3%. To put some perspective around this, the industry’s average net margin is 45.46%. PLD’s ROE is 7.8%, which is also considerably better than the industry’s ROE of 6.72%.

Prologis, Inc. (NYSE:PLD) sank as low as $64.64 Thursday before getting settled at $68.48. The 2.42 percent increase called for market cap to move at $43.01B. The price went up as high as $64.64 before retreating. Trading activity significantly improved as the volume at ready counter increased to 4,199,193 shares versus 2,296,335 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 2,941,749 shares. The stock is now 17.5% above against its bear-market low of $58.28 on February 09, 2018. It has retreated -0.69% since it’s 52-week high of $68.95 reached in December. Now the market price is up 6.27% on the year and up 6.15% YTD.