STAG Industrial, Inc. (STAG) Stock Valuation — PE Analysis
REIT - Industrial · NYSE
Current Price
$38.78
PE Ratio (TTM)
30.3x
Intrinsic Value
$31.79
-22.0% margin of safety
COMPETITIVE MOAT
↑Diversified Industrial Portfolio
STAG owns a large, geographically diverse portfolio of industrial properties. This broad base reduces reliance on any single market or tenant, providing stability.
↑Long-Term Leases
The company typically enters into long-term leases with its tenants. This secures predictable rental income streams, offering a degree of revenue visibility.
↑Essential Property Type
Industrial real estate, particularly for logistics and distribution, is critical to the modern economy. This fundamental demand supports occupancy and rental rates.
INVESTMENT RISKS
↓Interest Rate Sensitivity
As a REIT, STAG relies on debt financing. Rising interest rates increase borrowing costs, potentially impacting profitability and dividend sustainability.
↓Tenant Concentration
While diversified, a significant portion of STAG's revenue can still be tied to a few large tenants. Tenant defaults or lease expirations pose a risk.
↓Economic Downturn Impact
A broad economic slowdown could reduce demand for industrial space, leading to higher vacancies and downward pressure on rental income.
Base case
STAG base case PE valuation
A base case PE valuation for STAG estimates a fair value of about $31.79 per share, against a current price of $38.78. The model assumes 2.2% annual earnings growth, a 30x target PE multiple, and a 10% discount rate.
Intrinsic Value
$31.79
Margin of safety
-22.0%
Expected annual return
-3.9%
Base case assumptions: 2.2% annual earnings growth, 30x target PE, 10% discount rate, 5 year projection. Data as of 2026-06-12.
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 STAG PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for STAG Industrial, Inc. respond.
Open PE Calculator for STAGCompany Overview
STAG Industrial, Inc. (NYSE: STAG) functions as a Real Estate Investment Trust (REIT) that specializes in the acquisition and management of industrial properties leased by a single tenant across the United States. This concentrated strategy enables STAG to provide investors with a compelling mix of stable income generation and potential for long-term growth.
Financial Metrics — STAG PE Stock Valuation Data
PE Ratio (TTM)
30.3x
PEG Ratio
n/m
Earnings Yield
3.30%
ROE (TTM)
6.9%
Revenue/Share (TTM)
$4.52
Dividend Yield
3.56%
Debt/Equity
0.90x
Frequently Asked Questions
What is the PE ratio of STAG?
The trailing twelve-month PE ratio of STAG reflects how much investors pay per dollar of STAG Industrial, Inc.'s earnings. This metric is most useful when compared to REIT - Industrial peers and the company's own historical range.
Is STAG overvalued based on PE ratio?
STAG's PE of 30.3x combined with a PEG ratio of -10.09 provides a growth-adjusted perspective. STAG has negative earnings, so its PE and PEG ratios are not meaningful here and cannot tell you whether the stock is over or undervalued. 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 STAG stock using PE ratio?
To value STAG Industrial, Inc. using PE: (1) Compare the current PE (30.3x) against the REIT - Industrial median to assess relative pricing, (2) check the PEG ratio (-10.09) 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 STAG?
STAG's PEG ratio is -10.09, calculated by dividing the PE ratio (30.3x) by the expected earnings growth rate. Because STAG has negative earnings, its PEG ratio is not meaningful and should not be read as a sign of under or overvaluation. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for STAG stock valuation?
PE ratio gives a quick relative read — how STAG 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 STAG 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 STAG with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-06-12. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.