WallStSmart

Nexpoint Real Estate Finance Inc (NREF)vsPrologis Inc (PLD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Prologis Inc generates 5925% more annual revenue ($9.38B vs $155.63M). NREF leads profitability with a 66.5% profit margin vs 39.7%. NREF trades at a lower P/E of 6.2x. PLD earns a higher WallStSmart Score of 63/100 (C+).

NREF

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 7.5Value: 8.3Quality: 3.0
Piotroski: 4/9Altman Z: 0.20

PLD

Buy

63

out of 100

Grade: C+

Growth: 8.0Profit: 7.0Value: 5.3Quality: 4.0
Piotroski: 2/9Altman Z: 1.01
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NREFUndervalued (+63.3%)

Margin of Safety

+63.3%

Fair Value

$40.54

Current Price

$15.80

$24.74 discount

UndervaluedFair: $40.54Overvalued
PLDUndervalued (+44.7%)

Margin of Safety

+44.7%

Fair Value

$254.18

Current Price

$144.54

$109.64 discount

UndervaluedFair: $254.18Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NREF4 strengths · Avg: 10.0/10
P/E RatioValuation
6.2x10/10

Attractively priced relative to earnings

Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Profit MarginProfitability
66.5%10/10

Keeps 67 of every $100 in revenue as profit

Operating MarginProfitability
69.4%10/10

Strong operational efficiency at 69.4%

PLD6 strengths · Avg: 9.2/10
Profit MarginProfitability
39.7%10/10

Keeps 40 of every $100 in revenue as profit

Operating MarginProfitability
38.5%10/10

Strong operational efficiency at 38.5%

EPS GrowthGrowth
65.2%10/10

Earnings expanding 65.2% YoY

Market CapQuality
$139.15B9/10

Large-cap with strong market position

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$1.14B8/10

Generating 1.1B in free cash flow

Areas to Watch

NREF4 concerns · Avg: 2.3/10
Market CapQuality
$363.94M3/10

Smaller company, higher risk/reward

Revenue GrowthGrowth
-4.8%2/10

Revenue declined 4.8%

EPS GrowthGrowth
-39.2%2/10

Earnings declined 39.2%

Altman Z-ScoreHealth
0.202/10

Distress zone — elevated risk

PLD4 concerns · Avg: 3.0/10
P/E RatioValuation
37.3x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
115.522/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : NREF

The strongest argument for NREF centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 66.5% and operating margin at 69.4%.

Bull Case : PLD

The strongest argument for PLD centers on Profit Margin, Operating Margin, EPS Growth. Profitability is solid with margins at 39.7% and operating margin at 38.5%.

Bear Case : NREF

The primary concerns for NREF are Market Cap, Revenue Growth, EPS Growth. Debt-to-equity of 5.68 is elevated, increasing financial risk.

Bear Case : PLD

The primary concerns for PLD are P/E Ratio, Return on Equity, Piotroski F-Score.

Key Dynamics to Monitor

NREF profiles as a declining stock while PLD is a mature play — different risk/reward profiles.

PLD carries more volatility with a beta of 1.33 — expect wider price swings.

PLD is growing revenue faster at 8.3% — sustainability is the question.

PLD generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

PLD scores higher overall (63/100 vs 58/100), backed by strong 39.7% margins. NREF offers better value entry with a 63.3% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Nexpoint Real Estate Finance Inc

REAL ESTATE · REIT - MORTGAGE · USA

NexPoint Real Estate Finance, Inc. is a real estate finance company in the United States. The company is headquartered in Dallas, Texas.

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Prologis Inc

REAL ESTATE · REIT - INDUSTRIAL · USA

Prologis, Inc. is a real estate investment trust headquartered in San Francisco, California that invests in logistics facilities, with a focus on the consumption side of the global supply chain.

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