Prologis (PLD-N)

The largest REIT, period. 80% in NA, most concentrated in the US. Great entry point is ~$100. Low 5% implied cap rate. Risk, because it's the global player, if you're concerned about a global trade slowdown. Great company. Impressive management team and platform. Develops and sells data centres, but in future may retain them instead.

It's the largest provider of industrial real estate in the world, publicly traded, around 2-3% of global GDP flows through their buildings. E-commerce if fueling industrial RE, such as Amazon. Also, PLD uses analytics to help increase the flow of goods through their buildings. However, many people built such buildings, then higher interest rates drove up those costs. So, more supply and higher rates and slower rent growth weighed on this sector. The silver lining is that higher rates killed some projects, so the current supply will get absorbed and then rents will increase again. PLD is one of the best ways to play this.

Trades at 22.8x this year FFO estimate at a 3.1% dividend. The PE is reasonable.

She bought it earlier this year. They own warehouse space. Walmart needs more of this as it competes with Amazon, so it's a tailwind. Their advantage are their great locations.

Today, it reported great numbers. The stock collapsed in April but started rebounding in May. It reported in-line revenues and slightly beat funds from operation and occupancy rate was a solid 96.1%. They reiterated their numbers and didn't cut guidance (as in April). He thinks the trucking business is bottoming now.

Bellwether for industrial real estate locally. Really great enterprise, good at operating logistics assets globally. In the best markets. Robust internal growth, discount to NAV. Sees $140 NAV. Levers to pull like solar and EV, it's just the beginning.

Has liked this since 2008. Rallied over 30% since last October, but trading sideways lately. When it reported a few months ago it was in-line with solid guidance though there was a little hair on the dog. Management gave a optimistic comments on its largest market, southern California, and made big money in the red-hot data centre business.

Now that interest rates are set to decline next year, investors should be in REITs. PLD owns warehouses and logistics facilities. Its last quarter put up great numbers and shares have bounced 24% since late October. They had an investors day today and announced their plans and targets, which led to a 6% pop.

Yesterday, they reported a super quarter - headline numbers were in line, but same-store sales net operating income rose 11%. They can charge higher rents, not lose tenants and make money. Their full-year outlook was positive. Share are now a bargain.

It bottomed like the market last mid-October despite putting it good numbers throughout last year. The decline in e-commerce impacted them, which was surprised him. Have since rebounded from $98 to $127. A few weeks ago they reported an excellent quarter. The full-year forecast was mixed, but nobody minded because shares have fallen so low.