Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin36.0%
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin42.7%
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Financial Health
F
Years to Pay Off Debt35.3 yrs
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt-$35.0B
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital-$874M
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Valuation
F
Margin of Safety0.0%
How far below the Graham Number the stock trades. Graham required a 33% discount as a buffer against analytical error. However, the Graham Number itself assumes 1960s-era P/E and P/B norms — for modern asset-light businesses it often understates true intrinsic value, making 0% MoS appear misleadingly bad.
Price-to-Book2.45x
Market price vs book value per share. Rarely below 1.5x for quality businesses today. Intangible assets (brand, software, patents) don't appear on the balance sheet under accounting rules, making P/B artificially high for asset-light companies like software and consumer brands.
Cash Flow
A
Free Cash Flow$1.3B
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
About Prologis, Inc.
Prologis, Inc. is a self-administered and self-managed REIT and is the sole general partner of Prologis, L.P. through which it holds substantially all of its assets. We operate Prologis, Inc. and Prologis, L.P. as one enterprise and, therefore, our discussion and analysis refer to Prologis, Inc. and its consolidated subsidiaries, including Prologis, L.P. We invest in real estate through wholly owned subsidiaries and other entities through which we co-invest with partners and investors (co-investment ventures). We have a significant ownership interest in the co-investment ventures, which are either consolidated or unconsolidated based on our level of control of the entity. Prologis, Inc. began operating as a fully integrated real estate company in 1997 and elected to be taxed as a REIT under the Internal Revenue Code of 1986, as amended (Internal Revenue Code or IRC). We believe the current organization and method of operation enable Prologis, Inc. to maintain its status as a REIT. Prologis, L.P. was also formed in 1997. We operate, manage and measure the operating performance of our properties on an owned and managed (O&M) basis. Our O&M portfolio includes our consolidated properties as well as properties owned by our unconsolidated co investment ventures, which we manage. We make operating decisions based on our total O&M portfolio as we manage the properties without regard to their ownership. Prologis, Inc. was incorporated in 1983 and is based in San Francisco, United States.
Prologis, Inc. is a self-administered and self-managed REIT and is the sole general partner of Prologis, L.P. through which it holds substantially all of its assets. We operate Prologis, Inc. and Prologis, L.P. as one enterprise and, therefore, our discussion and analysis refer to Prologis, Inc. and its consolidated subsidiaries, including Prologis, L.P. We invest in real estate through wholly owned subsidiaries and other entities through which we co-invest with partners and investors (co-investment ventures). We have a significant ownership interest in the co-investment ventures, which are either consolidated or unconsolidated based on our level of control of the entity. Prologis, Inc. began operating as a fully integrated real estate company in 1997 and elected to be taxed as a REIT under the Internal Revenue Code of 1986, as amended (Internal Revenue Code or IRC). We believe the current organization and method of operation enable Prologis, Inc. to maintain its status as a REIT. Prologis, L.P. was also formed in 1997. We operate, manage and measure the operating performance of our properties on an owned and managed (O&M) basis. Our O&M portfolio includes our consolidated properties as well as properties owned by our unconsolidated co investment ventures, which we manage. We make operating decisions based on our total O&M portfolio as we manage the properties without regard to their ownership. Prologis, Inc. was incorporated in 1983 and is based in San Francisco, United States.
Metric Explanations
What each dimension measures and where the thresholds come from.
Gross Profit Margin
Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Years to Pay Off Debt
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Margin of Safety
How far below the Graham Number the stock trades. Graham required a 33% discount as a buffer against analytical error. However, the Graham Number itself assumes 1960s-era P/E and P/B norms — for modern asset-light businesses it often understates true intrinsic value, making 0% MoS appear misleadingly bad.
Price-to-Book
Market price vs book value per share. Rarely below 1.5x for quality businesses today. Intangible assets (brand, software, patents) don't appear on the balance sheet under accounting rules, making P/B artificially high for asset-light companies like software and consumer brands.
Free Cash Flow
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
Mr. Market is currently offering Prologis, Inc. at $140.54.
The business passes only 2 of 6 of Graham's defensive criteria — well below his required standard.
At $140.54, the stock trades at a 282% premium to its Graham Number of $36.80. Graham would consider this price speculative.
There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.
Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..
Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.
Showing Key Metrics
Income Highlights
Metric
Q1 2026
Q4 2025
Q4 2024
Gross Profit %
73.8%▼
74.3%•
N/A
Operating Margin %
36.0%▼
37.8%•
N/A
Net Income %
42.7%▼
62.1%•
N/A
Diluted EPS
1.05•
N/A•
N/A
Balance Sheet Highlights
Metric
Q1 2026
Q4 2025
Q4 2024
Total Assets
$98.1B
$98.7B
N/A
Total Debt
$34.7B▼
$35.7B•
N/A
Working Capital
-$874M▼
-$245M•
N/A
Years to Pay Debt
35.31
25.49
N/A
Cash Flow Highlights
Metric
Q1 2026
Q4 2025
Q4 2024
Free Cash Flow
$1.3B▲
$1.2B•
N/A
Owner Earnings
N/A
N/A
N/A
CapEx % of Net Income
N/A
N/A
N/A
Income Statement
2026
2025
2024
Tax Effect Of Unusual Items
18,733
44,329
Tax Rate For Calcs
0
0
Normalized EBITDA
1,651,548
1,625,026
Total Unusual Items
426,744
838,892
Total Unusual Items Excluding Goodwill
426,744
838,892
Net Income From Continuing Operation Net Minority Interest
981,976
1,399,783
Reconciled Depreciation
731,506
668,750
Reconciled Cost Of Revenue
602,172
578,775
EBITDA
2,078,292
2,463,918
EBIT
1,346,786
1,795,168
Net Interest Income
-254,000
-260,344
Interest Expense
254,000
230,259
Normalized Income
573,965
605,220
Net Income From Continuing And Discontinued Operation
981,976
1,399,783
Total Expenses
1,470,691
1,400,355
Rent Expense Supplemental
520,283
503,222
Total Operating Income As Reported
1,211,055
1,626,478
Diluted Average Shares
957,561
Basic Average Shares
931,261
Diluted EPS
0
Basic EPS
0
Diluted NI Availto Com Stockholders
1,003,503
1,432,408
Average Dilution Earnings
23,027
34,181
Net Income Common Stockholders
980,476
1,398,227
Preferred Stock Dividends
1,500
1,556
Net Income
981,976
1,399,783
Minority Interests
-62,839
-82,432
Net Income Including Noncontrolling Interests
1,044,815
1,482,215
Net Income Continuous Operations
1,044,815
1,482,215
Tax Provision
47,971
82,694
Pretax Income
1,092,786
1,564,909
Other Income Expense
520,040
973,005
Special Income Charges
-1,890
-3,498
Other Special Charges
1,890
0
Earnings From Equity Interest
93,296
134,113
Gain On Sale Of Security
428,634
842,390
Net Non Operating Interest Income Expense
-254,000
-260,344
Interest Expense Non Operating
254,000
230,259
Operating Income
827,032
852,357
Operating Expense
868,519
821,580
Other Operating Expenses
10,123
15,950
Depreciation Amortization Depletion Income Statement
731,506
668,750
Depreciation And Amortization In Income Statement
731,506
668,750
Selling General And Administration
126,890
136,880
General And Administrative Expense
126,890
136,880
Other Gand A
126,890
136,880
Gross Profit
1,695,551
1,673,937
Cost Of Revenue
602,172
578,775
Total Revenue
2,297,723
2,252,712
Operating Revenue
2,297,723
2,252,712
Balance Sheet
2026
2025
2024
Preferred Shares Number
1,279
1,279
Ordinary Shares Number
951,976
929,153
Share Issued
951,976
929,153
Net Debt
33,808,448
33,891,426
Total Debt
34,669,592
35,680,534
Tangible Book Value
53,439,453
52,540,803
Invested Capital
88,109,045
88,166,303
Working Capital
-873,969
-245,154
Net Tangible Assets
53,503,401
52,604,751
Capital Lease Obligations
643,461
615,305
Common Stock Equity
53,439,453
53,129,230
Preferred Stock Equity
63,948
63,948
Total Capitalization
87,619,128
88,185,572
Total Equity Gross Minority Interest
57,948,492
57,754,008
Minority Interest
4,445,091
4,560,830
Stockholders Equity
53,503,401
53,193,178
Gains Losses Not Affecting Retained Earnings
-479,497
-676,276
Other Equity Adjustments
-479,497
-676,276
Retained Earnings
-921,028
-902,427
Additional Paid In Capital
54,830,655
54,698,641
Capital Stock
73,271
73,240
Common Stock
9,323
9,292
Preferred Stock
63,948
63,948
Total Liabilities Net Minority Interest
40,184,959
40,970,248
Total Non Current Liabilities Net Minority Interest
37,950,047
38,289,193
Other Non Current Liabilities
3,834,320
2,612,850
Derivative Product Liabilities
40,488
638
Long Term Debt And Capital Lease Obligation
34,115,727
35,635,855
Long Term Capital Lease Obligation
643,461
615,305
Long Term Debt
34,115,727
34,992,394
Current Liabilities
2,234,912
2,681,055
Other Current Liabilities
689
1,951
Current Deferred Liabilities
500,121
475,292
Current Deferred Revenue
500,121
475,292
Current Debt And Capital Lease Obligation
553,865
44,679
Current Debt
553,865
44,679
Line Of Credit
553,865
44,679
Payables And Accrued Expenses
1,681,047
2,135,566
Payables
2,135,566
1,940,089
Total Tax Payable
171,921
170,762
Income Tax Payable
156,024
141,126
Accounts Payable
1,963,645
1,769,327
Total Assets
98,133,451
98,724,256
Total Non Current Assets
96,772,508
96,288,355
Other Non Current Assets
5,587,693
3,223,963
Non Current Deferred Assets
7,686
3,257
Non Current Deferred Taxes Assets
7,686
3,257
Financial Assets
80,769
137,429
Investments And Advances
11,241,723
11,093,936
Long Term Equity Investment
11,241,723
11,093,936
Investment Properties
79,943,092
80,400,207
Goodwill And Other Intangible Assets
588,427
764,546
Other Intangible Assets
588,427
764,546
Net PPE
893,367
920,132
Gross PPE
893,367
920,132
Other Properties
893,367
920,132
Current Assets
1,360,943
2,435,901
Assets Held For Sale Current
499,799
203,344
Prepaid Assets
248,411
231,299
Receivables
838,499
624,478
Taxes Receivable
179,911
142,420
Notes Receivable
57,244
74,594
Accounts Receivable
601,344
407,464
Cash Cash Equivalents And Short Term Investments
861,144
1,145,647
Cash And Cash Equivalents
861,144
1,145,647
Cash Flow
2026
2025
2024
Free Cash Flow
1,288,136
1,158,236
Repayment Of Debt
-686,276
-696,710
Issuance Of Debt
679,399
505,492
End Cash Position
861,144
1,145,647
Beginning Cash Position
1,145,647
1,186,022
Effect Of Exchange Rate Changes
-13,744
-5,454
Changes In Cash
-270,759
-34,921
Financing Cash Flow
-1,158,280
-1,218,282
Cash Flow From Continuing Financing Activities
-1,158,280
-1,218,282
Net Other Financing Charges
-150,826
-113,028
Cash Dividends Paid
-1,000,577
-941,973
Net Issuance Payments Of Debt
-6,877
-163,281
Net Short Term Debt Issuance
Net Long Term Debt Issuance
-6,877
-191,218
Long Term Debt Payments
-686,276
-696,710
Long Term Debt Issuance
679,399
505,492
Investing Cash Flow
-400,615
25,125
Cash Flow From Continuing Investing Activities
-400,615
25,125
Net Investment Purchase And Sale
176,795
-6,740
Sale Of Investment
176,795
0
Purchase Of Investment
-6,740
-1,652
Net Investment Properties Purchase And Sale
-513,363
265,147
Sale Of Investment Properties
624,036
1,905,242
Purchase Of Investment Properties
-1,137,399
-1,640,095
Net Business Purchase And Sale
-64,047
-233,282
Sale Of Business
86,616
28,275
Purchase Of Business
-150,663
-261,557
Operating Cash Flow
1,288,136
1,158,236
Cash Flow From Continuing Operating Activities
1,288,136
1,158,236
Dividend Received Cfo
186,153
190,254
Change In Working Capital
-100,306
-160,422
Change In Other Current Assets
61,380
-294,579
Change In Payables And Accrued Expense
-192,695
141,051
Change In Payable
-192,695
141,051
Change In Account Payable
-192,695
141,051
Change In Receivables
31,009
-6,894
Changes In Account Receivables
31,009
-6,894
Other Non Cash Items
-145,117
-139,202
Stock Based Compensation
60,632
43,812
Deferred Tax
190
7,257
Deferred Income Tax
190
7,257
Depreciation Amortization Depletion
731,506
668,750
Depreciation And Amortization
731,506
668,750
Operating Gains Losses
-489,737
-934,428
Earnings Losses From Equity Investments
-93,296
-134,113
Gain Loss On Investment Securities
-384,023
-774,121
Net Foreign Currency Exchange Gain Loss
-14,308
-29,692
Net Income From Continuing Operations
1,044,815
1,482,215
📊Quarterly mode — Graham Fair Value & 7 Criteria require annual data. Switch to Annual for full analysis.
Quarter vs Same Quarter Last Year
YoY strips seasonality
Revenue Growth (YoY)
Prior year: $2.1B▲ $2.3B+7.4%
Revenue growth vs same quarter last year strips seasonality. Consistent double-digit growth is a Buffett hallmark.
Gross Margin
Prior year: 74.3%▲ 73.8%-0.5pp
Buffett: consistent gross margin above 40% signals durable pricing power and competitive moat.
Operating Margin
Prior year: 38.7%▲ 36.0%-2.7pp
Graham: operating margin reflects true business economics before financing. Trend matters as much as level.
Net Margin
Prior year: 27.7%▲ 42.7%+15.0pp
Net margin can be distorted by one-time items, tax timing, or interest costs — compare to operating margin for signal quality.
Quarterly Health Checks
3 Graham/Buffett criteria that are valid and reliable on quarterly data
✅ Adequate Size
Graham required scale for resilience. Quarterly revenue × 4 gives an annualised proxy.
$2.3B/qtr (≈$9.2B ann.)
vs > $1.5B annualised revenue
❌ Financial Condition
Current assets vs current liabilities — a real-time liquidity snapshot. Valid and reliable on quarterly data.
0.61x current ratio
vs ≥ 2.0x
✅ Free Cash Flow
Buffett's most important single metric. A positive FCF quarter means the business generated real cash for owners after maintaining its asset base.
$1.3B
vs Positive
Operating Cash Flow
$1.3B
Latest quarter · Buffett's cash reality check
ROIC
0.7%
Based on latest annual operating income
Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.
Market Cap / Net Assets
2.3x
Net Assets: $57.9B
⚠️Revenue grew vs prior year but operating margin contracted. Possible explanations: deliberate investment in growth (hiring, marketing, R&D), input cost inflation, or pricing pressure from competition. Buffett distinguishes between spending that builds moat vs. spending that doesn't.
Peers & Industry
No auto-detected peers for REIT - Industrial. You can manually compare PLD against any stock using the Compare tool.
"The management of a business is its most important single factor — more important than market position, patents, or financial structure."
— Benjamin Graham
Capital Allocation & Alignment
Insider Ownership
0.26%
Low — management has little skin in the game
Return on Equity (ROE)
1.8%
Weak — poor returns on equity
Return on Assets (ROA)
1.0%
Poor — assets are not generating adequate returns
Debt Trend YoY
-2.8% YoY
Debt is declining — management is deleveraging
Leadership Team
Hamid Moghadam
Co-Founder & Executive Chairman
Age 68
Pay: $1,630,001
0.166% of net income
Daniel Stephen Letter
CEO & Director
Age 47
Pay: $2,689,635
0.274% of net income
Timothy Arndt
Chief Financial Officer
Age 51
Pay: $2,073,192
0.211% of net income
Carter Andrus
Chief Operating Officer
Age 45
Pay: $1,655,500
0.169% of net income
Top Institutional Holders
Institution
% Owned
Shares
Blackrock Inc.
10.77%
100,414,059
Vanguard Capital Management LLC
6.47%
60,308,417
State Street Corporation
6.01%
56,033,266
Vanguard Portfolio Management LLC
5.78%
53,878,755
Geode Capital Management, LLC
2.53%
23,611,033
Cohen & Steers Inc.
2.50%
23,288,074
JPMORGAN CHASE & CO
2.21%
20,601,983
Apg Asset Management US Inc.
2.07%
19,286,830
⚠️Current ratio below 1 — liquidity risk
Risk Analysis
Beta (Market Risk)
1.33
Moderate volatility — moves slightly more than market
Short Interest
1.7% of float
Low short interest — market is not heavily bearish
Debt-to-Equity
0.61x
Conservative balance sheet — low financial risk
Current Ratio
0.53x
Weak liquidity — current liabilities exceed current assets
52-Week Price Range
Low: $103.41Current: $140.54High: $150.18
Currently at 79% of 52-week range
Prologis, Inc. (PLD) fundamental analysis — Overall grade C based on profitability, financial health, valuation and cash flow. Graham's
Fair Value: $36.80. Margin of safety: 0%. Gross profit margin: 73.8%. Operating margin: 36.0%. Net margin: 42.7%. Market cap: $131.7B. Sector: Real Estate. Industry: REIT - Industrial. Analysis powered by 360investing — free fundamental stock analysis based on Benjamin Graham and Warren Buffett
principles.
Disclaimer: 360investing is provided for informational and educational purposes only and does not constitute financial, investment, legal, or tax advice. All data is sourced from public third-party providers
and may be delayed, inaccurate, or incomplete. Past performance is not indicative of future results. Analysis, scores, and valuations are algorithmic and do not represent professional investment recommendations. Always conduct your own due
diligence and consult a qualified financial adviser before making any investment decision. Use of this tool constitutes acceptance that 360investing and its operators bear no liability for decisions made based on information presented here.