Prologis Passes American Tower Corp In Size By Market Cap - Becomes The Highest Valued REIT

Prologis Passes American Tower Corp In Size By Market Cap - Becomes The Highest Valued REIT

So much American Tower Corp. AMT stock sold last week that it gave up its market capitalization leadership status to Prologis Inc. PLD. Prologis shares sold as well (-1.22% for the week), but it didn’t come close to the dumping of American Tower shares (-8.69%). 

The market cap figures are important measures of value to those Wall Street analysts who keep track of which stock in a sector is at the top of the list. Naturally, it’s not the only value measurement that’s examined, but it’s key to the overall attractiveness or nonattractiveness of shares in a company. It’s a buy or sell decision factor.

The total market capitalization for Prologis now comes to $92.4 billion. The total market capitalization for American Tower now comes to $89.6 billion. It may not seem like a huge difference — and it’s not — but it’s the fact that Prologis now appears above rather than below American Tower on analysts’ lists for the big real estate investment trusts (REITs).

Take a look at the weekly price chart for Prologis:

Notice how it’s just barely closed beneath the stock’s 200-week moving average (the red line). 

Now take a look at the weekly price chart for American Tower:

Note the difference in magnitude compared to the Prologis weekly price chart. This one shows a drop well below the 200-week moving average and each red bar of selling for the past four weeks is a tremendous downward move.

This activity has resulted in a change in market cap leadership for the big names in the real estate investment trust sector.

Market capitalization is figured by multiplying the total number of shares a company has times the price of the stock. 

For comparison’s sake, the market cap of Apple Inc. AAPL is $2.34 trillion, the market cap of Microsoft Corp. MSFT is $1.84 trillion, and the market cap of Johnson & Johnson JNJ is $425.69 billion.

Read next: This Little-Known REIT Is Producing Double-Digit Returns In A Bear Market: How?

Not investment advice. For educational purposes only.

Charts: courtesy of StockCharts

Posted In: Alternative investmentsreal estate investingREITReal Estate
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