Prologis, Inc. (PLD) Stock Valuation — PE Analysis
REIT - Industrial · NYSE
Current Price
$125.22
PE Ratio (TTM)
27.6x
Intrinsic Value
$135.05
+7.3% margin of safety
COMPETITIVE MOAT
↑Global Scale and Network
Prologis possesses an unparalleled global portfolio of industrial real estate. This extensive network provides significant advantages in attracting and retaining large, multinational tenants seeking consistent operational footprints.
↑Tenant Relationships and Retention
The company cultivates deep relationships with a diverse base of high-quality tenants. High renewal rates and the ability to offer integrated solutions foster sticky customer relationships, creating substantial switching costs.
↑Operational Expertise and Technology
Prologis leverages advanced technology and operational expertise to optimize its properties and supply chains. This efficiency enhances asset value and tenant satisfaction, differentiating it from smaller competitors.
INVESTMENT RISKS
↓Economic Downturn and Demand Slowdown
A significant economic recession could lead to reduced demand for industrial space, impacting occupancy rates and rental growth. This would directly affect Prologis's revenue and property valuations.
↓Geopolitical and Regulatory Changes
Changes in trade policies, tariffs, or international relations could disrupt global supply chains, affecting tenant demand for logistics facilities. Local zoning and environmental regulations also pose risks.
↓Technological Disruption in Logistics
Advancements in automation, e-commerce fulfillment, and transportation technology could alter the requirements for industrial space. Prologis must adapt its portfolio to evolving tenant needs.
Base case
PLD base case PE valuation
A base case PE valuation for PLD estimates a fair value of about $135.05 per share, against a current price of $125.22. The model assumes 7.9% annual earnings growth, a 27.76x target PE multiple, and a 10% discount rate.
Intrinsic Value
$135.05
Margin of safety
+7.3%
Expected annual return
+1.5%
Base case assumptions: 7.9% annual earnings growth, 27.76x target PE, 10% discount rate, 5 year projection. Data as of 2026-10-28.
This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the PLD PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Prologis, Inc. respond.
Open PE Calculator for PLDCompany Overview
Prologis, Inc. don't just lead the industry, they define it. The firm creates the intelligent infrastructure that powers global commerce, seamlessly connecting the digital and physical worlds. From agile supply chains to clean energy solutions, their ecosystems help your business move faster, operate smarter and grow sustainably. With unmatched scale, innovation and expertise, Prologis is a category of one–not just shaping the future of logistics but building what comes next. Prologis, Inc. was established in 1983 and is incorporated in Maryland.
Financial Metrics — PLD PE Stock Valuation Data
PE Ratio (TTM)
27.6x
PEG Ratio
0.88
Earnings Yield
3.60%
ROE (TTM)
7.9%
Revenue/Share (TTM)
$9.92
Dividend Yield
3.37%
Debt/Equity
0.66x
Frequently Asked Questions
What is the PE ratio of PLD?
The trailing twelve-month PE ratio of PLD reflects how much investors pay per dollar of Prologis, Inc.'s earnings. This metric is most useful when compared to REIT - Industrial peers and the company's own historical range.
Is PLD overvalued based on PE ratio?
PLD's PE of 27.6x combined with a PEG ratio of 0.88 provides a growth-adjusted perspective. A PEG below 1.0 means the P/E is low relative to the earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical REIT - Industrial, a DCF analysis may be more appropriate.
How do I value PLD stock using PE ratio?
To value Prologis, Inc. using PE: (1) Compare the current PE (27.6x) against the REIT - Industrial median to assess relative pricing, (2) check the PEG ratio (0.88) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of PLD?
PLD's PEG ratio is 0.88, calculated by dividing the PE ratio (27.6x) by the expected earnings growth rate. A PEG below 1.0 means the P/E is low relative to the expected earnings growth rate. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for PLD stock valuation?
PE ratio gives a quick relative read — how PLD is priced versus REIT - Industrial peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See PLD DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Real Estate valuationsP/E and DCF value PLD with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-10-28. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.