WallStSmart

Prologis Inc (PLD)vsRedwood Trust Inc (RWT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Prologis Inc generates 5186% more annual revenue ($9.38B vs $177.37M). PLD leads profitability with a 39.7% profit margin vs -39.5%. RWT appears more attractively valued with a PEG of 1.47. PLD earns a higher WallStSmart Score of 63/100 (C+).

PLD

Buy

63

out of 100

Grade: C+

Growth: 8.0Profit: 7.0Value: 5.3Quality: 5.0

RWT

Buy

57

out of 100

Grade: C

Growth: 5.7Profit: 4.0Value: 7.0Quality: 4.5
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PLDUndervalued (+47.2%)

Margin of Safety

+47.2%

Fair Value

$268.84

Current Price

$142.02

$126.82 discount

UndervaluedFair: $268.84Overvalued
RWTUndervalued (+48.4%)

Margin of Safety

+48.4%

Fair Value

$12.98

Current Price

$5.56

$7.42 discount

UndervaluedFair: $12.98Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PLD5 strengths · Avg: 9.4/10
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
$129.41B9/10

Large-cap with strong market position

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

RWT3 strengths · Avg: 10.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Operating MarginProfitability
32.1%10/10

Strong operational efficiency at 32.1%

Revenue GrowthGrowth
93.1%10/10

Revenue surging 93.1% year-over-year

Areas to Watch

PLD4 concerns · Avg: 2.8/10
P/E RatioValuation
39.1x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
6.8%3/10

ROE of 6.8% — below average capital efficiency

PEG RatioValuation
110.102/10

Expensive relative to growth rate

Free Cash FlowQuality
$-3.75B2/10

Negative free cash flow — burning cash

RWT4 concerns · Avg: 2.3/10
Market CapQuality
$718.72M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-6.4%2/10

ROE of -6.4% — below average capital efficiency

EPS GrowthGrowth
-52.6%2/10

Earnings declined 52.6%

Free Cash FlowQuality
$-3.36B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : RWT

The strongest argument for RWT centers on Price/Book, Operating Margin, Revenue Growth. Revenue growth of 93.1% demonstrates continued momentum. PEG of 1.47 suggests the stock is reasonably priced for its growth.

Bear Case : PLD

The primary concerns for PLD are P/E Ratio, Return on Equity, PEG Ratio.

Bear Case : RWT

The primary concerns for RWT are Market Cap, Return on Equity, EPS Growth. Debt-to-equity of 22.68 is elevated, increasing financial risk.

Key Dynamics to Monitor

PLD profiles as a mature stock while RWT is a hypergrowth play — different risk/reward profiles.

RWT carries more volatility with a beta of 1.57 — expect wider price swings.

RWT is growing revenue faster at 93.1% — sustainability is the question.

RWT generates stronger free cash flow (-3.4B), providing more financial flexibility.

Bottom Line

PLD scores higher overall (63/100 vs 57/100), backed by strong 39.7% margins. RWT offers better value entry with a 48.4% 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.

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.

Redwood Trust Inc

REAL ESTATE · REIT - MORTGAGE · USA

Redwood Trust, Inc., is a specialized finance company in the United States. The company is headquartered in Mill Valley, California.

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