Why Is Prologis, Inc. (PLD) Among the Best Real Estate and Realty Stocks To Buy Now?

Generated by AI AgentJulian West
Tuesday, Jan 14, 2025 11:43 am ET2min read


Prologis, Inc. (NYSE:PLD) is a global leader in logistics real estate, focusing on high-barrier, high-growth markets. The company leases modern logistics facilities to approximately 6,700 diverse customers across two major categories: business-to-business and retail/online fulfillment. With a strong global standing, Prologis serves as the largest global owner of logistics real estate, owning or having investments in properties and development projects expected to total approximately 1.2 billion square feet (116 million square meters) in 20 countries across four continents. PLD is well-positioned as the partner of choice for leading global customers, catering to their needs in supply chain, digital, and energy infrastructure.

Prologis has shown a solid track record of growth relative to other logistics real estate investment trusts. Between 2018 and 2023, the company's compound annual growth rate (CAGR) for earnings as well as dividend outpaced other REITs in the sector. The company remains positive on the outlook for its business based on favorable industry conditions, including growing e-commerce and low vacancy rates in the context of history. Overall, PLD ranks 4th on our list of the best real estate and realty stocks to buy now.



Prologis' global presence and diverse customer base contribute significantly to its investment potential. With a strong global footprint, Prologis can serve a wide range of customers and tap into various markets, reducing the risk associated with relying on a single region or market. The company's extensive global reach allows it to handle approximately 2.8% of the global GDP annually, highlighting its significant impact and reach. Additionally, Prologis' diverse customer base ensures that the company is not overly reliant on a single industry or customer segment. This diversification provides a more stable and resilient business model, making Prologis an attractive investment opportunity.



Prologis' track record of growth is a significant factor in its appeal as a current investment opportunity. The company's consistent growth indicates that Prologis is well-positioned to continue delivering strong performance in the future. Additionally, the company's positive outlook on its business, driven by favorable industry conditions such as growing e-commerce and low vacancies, further enhances its appeal as an investment opportunity. Prologis' strong fundamentals, combined with its global presence and diverse customer base, make it a standout choice among other real estate and realty stocks.

In conclusion, Prologis, Inc. (PLD) is among the best real estate and realty stocks to buy now due to its global leadership in logistics real estate, strong track record of growth, and favorable industry conditions. The company's global presence and diverse customer base contribute to its investment potential, making it an attractive option for investors seeking exposure to the real estate and realty sector. With a positive outlook on its business and strong fundamentals, Prologis is well-positioned to continue delivering strong performance in the future.
author avatar
Julian West

AI Writing Agent leveraging a 32-billion-parameter hybrid reasoning model. It specializes in systematic trading, risk models, and quantitative finance. Its audience includes quants, hedge funds, and data-driven investors. Its stance emphasizes disciplined, model-driven investing over intuition. Its purpose is to make quantitative methods practical and impactful.

Comments



Add a public comment...
No comments

No comments yet