Prologis (NYSE:PLD) Announces Earnings Results, Hits Estimates

Prologis (NYSE:PLD) released its earnings results on Wednesday. The real estate investment trust reported $1.44 earnings per share for the quarter, hitting analysts’ consensus estimates of $1.44, Zacks reports. The business had revenue of $2.25 billion for the quarter, compared to analyst estimates of $2.09 billion. Prologis had a net margin of 37.86% and a return on equity of 6.64%. The business’s revenue was up 7.8% on a year-over-year basis. During the same period last year, the company posted $1.42 EPS. Prologis updated its FY 2026 guidance to 6.000-6.200 EPS.

Here are the key takeaways from Prologis’ conference call:

• Prologis reported strong operational momentum — signed 57 million sq ft of leases in 4Q, finished the year near 95.8% occupancy, and delivered net effective rent change that added roughly $60M of annualized NOI and drove >50% rent change for the year.
• Data-center push is accelerating: the company expanded power access to 5.7 gigawatts, has ~1.2 GW in LOIs, expects data centers to represent ~40% of 2026 starts, and is evaluating a dedicated data-center funding vehicle.
• Strategic capital activity picked up with the IPO of the China C-REIT, formation of new U.S. development/value‑add vehicles, and an anchor close for the U.S. Agility Fund, broadening AUM and fee-income prospects.
• 2026 guidance: Core FFO of $6.00–$6.20 per share (GAAP EPS $3.70–$4.00), average occupancy guide of 94.75%–95.75%, and $4–$5B of owned & managed starts (with seasonal Q1 occupancy weakness expected).
• Headwinds remain — an 18% lease mark‑to‑market (~$800M of embedded NOI), ongoing stabilization/FDLA drag (including Duke-related tail), and multi‑year utility timelines for power could constrain near-term FFO upside.

Prologis Trading Down 3.5%

PLD opened at $126.52 on Friday. The business has a fifty day moving average price of $128.30 and a 200 day moving average price of $119.03. The company has a debt-to-equity ratio of 0.61, a current ratio of 0.19 and a quick ratio of 0.64. Prologis has a 12 month low of $85.35 and a 12 month high of $134.94. The stock has a market capitalization of $117.52 billion, a price-to-earnings ratio of 35.64, a PEG ratio of 3.83 and a beta of 1.40.

Prologis Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, December 31st. Investors of record on Tuesday, December 16th were issued a $1.01 dividend. The ex-dividend date was Tuesday, December 16th. This represents a $4.04 dividend on an annualized basis and a yield of 3.2%. Prologis’s dividend payout ratio (DPR) is 117.78%.

Prologis News Roundup

Here are the key news stories impacting Prologis this week:

• Positive Sentiment: Q4 revenue and leasing beat and record leasing volume — Prologis reported stronger-than-expected rental revenue and signed a record amount of leases in 2025, highlighting rebounding warehouse demand. PR Newswire: Prologis Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Aggressive FY‑2026 guidance — Management raised FY‑2026 EPS guidance to $6.00–$6.20, well above prior consensus, signaling confidence in earnings growth for the year. Prologis FY2026 Guidance (Slide Deck/Press Release)
• Positive Sentiment: Analysts lifting targets and forecasts — Multiple firms raised estimates and price targets after the results (Argus to $135 buy; Truist to $142; other brokers raised forecasts). That reinforces the bullish case among some institutional investors. Benzinga coverage of analyst upgrades
• Positive Sentiment: Core FFO at/above estimates — Core FFO came in at/above Street figures (Zacks notes an FFO beat), supporting the REIT’s cash‑flow profile. Zacks: Prologis Q4 FFO Beat Estimates
• Neutral Sentiment: Data‑center power expansion — Prologis is expanding power capacity to support data‑center customers, a longer‑term growth angle but not an immediate earnings lever. Benzinga: Record Leases, Expands Power for Data Centers
• Neutral Sentiment: EPS roughly in line — Reported EPS met consensus, which is steady but less exciting than an upside surprise. MarketBeat: Q4 Results Summary
• Negative Sentiment: Cautionary analyst notes and in‑line ratings — Some shops (Evercore ISI) issued in‑line ratings or conservative targets implying limited upside, which can blunt momentum. TickerReport/The Fly: Evercore ISI In‑line Rating
• Negative Sentiment: Higher interest costs and margin pressure — Reports note interest‑cost headwinds that weigh on net results and FFO growth, a concern for a leveraged REIT. Zacks: Interest Costs Weigh on Results
• Negative Sentiment: Conflicting headlines and profit‑taking — A few outlets framed results as “weak revenue,” and after a strong 2025 run investors may be taking profits; heavy intraday volume suggests repositioning. Benzinga: Post‑earnings Coverage

Insider Activity at Prologis

In related news, Director Cristina Gabriela Bita sold 621 shares of the company’s stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $127.60, for a total transaction of $79,239.60. Following the sale, the director directly owned 8,208 shares in the company, valued at approximately $1,047,340.80. This represents a 7.03% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 0.57% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. BOKF NA raised its holdings in shares of Prologis by 13.9% in the 3rd quarter. BOKF NA now owns 1,759 shares of the real estate investment trust’s stock valued at $201,000 after purchasing an additional 215 shares in the last quarter. Texas Capital Bank Wealth Management Services Inc acquired a new position in Prologis in the third quarter valued at approximately $213,000. Armistice Capital LLC purchased a new position in Prologis in the third quarter valued at approximately $218,000. Moors & Cabot Inc. raised its holdings in Prologis by 6.6% during the third quarter. Moors & Cabot Inc. now owns 2,177 shares of the real estate investment trust’s stock worth $249,000 after purchasing an additional 134 shares in the last quarter. Finally, DF Dent & Co. Inc. lifted its position in shares of Prologis by 8.6% during the 3rd quarter. DF Dent & Co. Inc. now owns 2,215 shares of the real estate investment trust’s stock worth $254,000 after buying an additional 176 shares during the last quarter. Institutional investors and hedge funds own 93.50% of the company’s stock.

Wall Street Analyst Weigh In

A number of analysts have issued reports on the company. Mizuho raised their target price on Prologis from $118.00 to $138.00 and gave the stock an “outperform” rating in a research note on Thursday, December 4th. Argus raised their price target on shares of Prologis from $128.00 to $135.00 and gave the stock a “buy” rating in a report on Thursday. Industrial Alliance Securities set a $119.00 target price on Prologis in a research report on Monday, October 20th. Wells Fargo & Company increased their price target on Prologis from $120.00 to $139.00 and gave the stock an “overweight” rating in a report on Monday, October 27th. Finally, Weiss Ratings restated a “buy (b-)” rating on shares of Prologis in a report on Monday, December 29th. Twelve equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Prologis has an average rating of “Moderate Buy” and a consensus price target of $133.76.

About Prologis

Prologis, Inc is a real estate investment trust (REIT) specializing in logistics and distribution facilities. The company focuses on acquiring, developing, and managing high-quality industrial real estate assets that support supply chain infrastructure for third-party logistics providers, e-commerce businesses, retailers and manufacturers. Its portfolio primarily consists of warehouse and distribution centers designed to optimize goods movement and storage near key transportation hubs.

With a global presence, Prologis serves customers across the Americas, Europe and Asia Pacific.