Is Prologis, Inc. overvalued or undervalued?

As of 25 April 2025, Prologis, Inc. has moved from an attractive to a fair valuation grade. The company is currently fairly valued based on its financial metrics. The P/E ratio stands at 28, while the EV to EBITDA ratio is 17.07, and the Price to Book Value is 1.93. These ratios suggest that the company's valuation is aligned with its earnings and asset values, but not particularly compelling compared to its peers.
In comparison to its peers, Prologis, Inc. has a P/E ratio of 26.72, which is more favorable than American Tower Corp.'s P/E of 34.12 and Welltower, Inc.'s P/E of 81.67, both of which are considered very expensive. Additionally, Prologis's PEG ratio of 1.60 indicates a reasonable growth expectation relative to its price. Despite a recent underperformance against the S&P 500 over the past year, where it returned -2.07% compared to the S&P 500's 10.26%, the company's current valuation reflects a balanced outlook in the context of its industry.