First Industrial Realty (FR) AI Stock Analysis

• Market Cap: $6.98B
• Dividend Yield: 3.04%
• Average Volume (3M): 1.59M
• Price to Earnings (P/E): 25.4
• Beta (1Y): 0.79
• Revenue Growth: 9.18%
• EPS Growth: -7.05%
• Country: US
• Employees: 151
• Sector: Real Estate
• Sector Strength: 68
• Industry: REIT - Industrial
• EPS (TTM): 0.36
• Shares Outstanding: 132,401,350
• 10 Day Avg. Volume: 1,190,113
• 30 Day Avg. Volume: 1,589,587
• PEG Ratio: -3.33
• Price to Book (P/B): 2.44
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 19.28
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $55.33
• Price Target Upside: 8.62% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9

First Industrial Realty demonstrates a strong financial foundation with high profitability and effective cash flow management, supporting a robust stock score. Despite high valuation concerns, the company's strategic initiatives and financing activities bolster growth potential. Technical indicators suggest moderate market sentiment, while earnings call insights indicate confidence in future performance despite external challenges.

Positive Factors

Development Projects

FR has recently shown the ability to lease up speculative development projects and resume select new development starts.

Financial Performance

First Industrial Realty Trust maintained its 2025 financial guidance, showing resilience despite macroeconomic uncertainty.

Growth Potential

The company is experiencing one of the best growth rates in Real Estate Investment Trusts with a 10% year-over-year growth in funds from operations per share, and this growth is not driven by increased leverage.

Negative Factors

Leasing Activity

New leasing activity was less robust this quarter compared to previous quarters.

Occupancy

There was a decline in average occupancy, dropping by 110 basis points compared to the previous quarter.

Trading Valuation

FR is currently trading near its historical premium.

First Industrial Realty Business Overview & Revenue Model

Company Description

First Industrial Realty Trust, Inc. is a real estate investment trust (REIT) that specializes in the ownership, management, acquisition, and development of industrial real estate properties. With a focus on high-quality logistics and distribution facilities, First Industrial serves a diverse range of customers across sectors such as e-commerce, manufacturing, retail, and transportation. The company operates a portfolio of strategically located properties in major industrial markets across North America, providing essential infrastructure to support the supply chain and logistics operations of its tenants.

How the Company Makes Money

First Industrial Realty Trust generates revenue primarily through leasing its industrial properties to a diverse tenant base. The company's primary revenue stream comes from rental income, which includes base rent and any additional charges for property management services. Additionally, First Industrial may generate income through property development and sales, where it engages in building new facilities or redeveloping existing ones to meet tenant needs. The company also benefits from strategic partnerships and joint ventures, which may enhance its ability to acquire or develop new properties and expand its market presence. Market demand for logistics and distribution facilities, driven by the growth of e-commerce and global trade, significantly contributes to the company's earnings. Furthermore, First Industrial's focus on prime locations ensures high occupancy rates and stable cash flows from its property portfolio.

First Industrial Realty Financial Statement Overview

Summary

Overall, First Industrial Realty presents a robust financial profile characterized by steady revenue growth, strong profitability margins, and efficient cash flow management. The company's balance sheet reflects a stable equity base with manageable leverage levels. While there are concerns over increasing debt, the overall financial health remains strong with a promising outlook for sustained performance in the REIT - Industrial sector.

Income Statement

First Industrial Realty has demonstrated a solid financial performance with increasing total revenue over the years, reaching $684.44 million in TTM (Trailing-Twelve-Months). The gross profit margin is strong at approximately 66.7%, and the net profit margin is healthy at 39.0% for the TTM. The EBIT and EBITDA margins are impressive at 53.8% and 66.3%, respectively. However, there is a slight decline in revenue growth from previous periods, which should be monitored.

Balance Sheet

The balance sheet shows a stable financial position with a debt-to-equity ratio of 0.90, indicating manageable leverage. The equity ratio is strong at 48.7%, signifying a robust equity base relative to total assets. Return on equity (ROE) is respectable at 10.1% for the TTM. Nonetheless, the increase in total debt over time is a point of concern that may pose future risks if not managed.

Cash Flow

Cash flow analysis reveals a positive trajectory with operating cash flow at $378.57 million, demonstrating strong cash generation capability. The free cash flow growth is notable, and the free cash flow to net income ratio is healthy at 1.25. The operating cash flow to net income ratio is strong at 1.42, indicating efficient cash flow management. Continued positive cash flow trends strengthen the company's ability to meet obligations.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
684.44M	669.64M	614.03M	539.93M	476.29M	448.03M
	Gross Profit
456.70M	486.82M	444.70M	396.27M	344.99M	328.83M
	EBIT
324.59M	445.88M	315.60M	210.78M	176.00M	162.92M
	EBITDA
486.70M	557.03M	413.32M	358.20M	306.96M	292.56M
	Net Income Common Stockholders
267.17M	287.34M	274.82M	266.67M	271.00M	195.99M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
35.74M	44.51M	43.84M	133.24M	58.59M	162.09M
	Total Assets
5.45B	5.26B	5.18B	4.95B	4.18B	3.79B
	Total Debt
2.40B	2.23B	2.25B	2.09B	1.63B	1.62B
	Net Debt
2.36B	2.18B	2.20B	1.96B	1.57B	1.46B
	Total Liabilities
2.70B	2.52B	2.54B	2.42B	1.93B	1.84B
	Stockholders Equity
2.65B	2.67B	2.56B	2.53B	2.25B	1.95B
Cash Flow		Free Cash Flow
335.44M	352.49M	304.81M	-111.47M	33.85M	79.96M
	Operating Cash Flow
378.55M	352.49M	304.81M	410.90M	267.03M	241.08M
	Investing Cash Flow
-325.94M	-131.62M	-378.31M	-629.11M	-416.82M	-251.74M
	Financing Cash Flow
-64.08M	-213.03M	-27.78M	304.50M	8.91M	57.60M

First Industrial Realty Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 50.94
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR, the sentiment is Positive. The current price of 50.94 is above the 20-day moving average (MA) of 48.68, above the 50-day MA of 50.37, and below the 200-day MA of 52.39, indicating a neutral trend. The MACD of 0.43 indicates Negative momentum. The RSI at 59.99 is Neutral, neither overbought nor oversold. The STOCH value of 65.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR.

First Industrial Realty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STAG	78 Outperform	$6.83B	27.08	7.15%	4.13%	8.81%	33.30%
FR	74 Outperform	$6.98B	25.36	10.18%	3.04%	9.18%	-7.05%
REXR	69 Neutral	$8.45B	29.02	3.35%	4.71%	18.02%	12.12%
TRNO	68 Neutral	$6.06B	29.62	5.33%	3.28%	22.17%	4.34%
LXP	67 Neutral	$2.48B	42.92	2.98%	6.31%	5.68%	358.78%
Sector *	60 Neutral	$2.82B	10.29	0.31%	8508.26%	5.91%	-17.42%
COLD	51 Neutral	$5.18B	―	-3.56%	4.89%	-1.18%	62.96%

First Industrial Realty Corporate Events

First Industrial Realty Completes $450M Senior Notes Offering

On May 14, 2025, First Industrial, L.P., a subsidiary of First Industrial Realty Trust, Inc., completed an underwritten public offering of $450 million in 5.250% Senior Notes due 2031. The Notes, fully guaranteed by the parent company, are senior unsecured obligations and are subject to various restrictive covenants. This financial move is expected to strengthen the company’s capital structure and support its strategic growth initiatives in the industrial real estate market.

The most recent analyst rating on (FR) stock is a Hold with a $50.00 price target. To see the full list of analyst forecasts on First Industrial Realty stock, see the FR Stock Forecast page.

Spark’s Take on FR Stock

According to Spark, TipRanks’ AI Analyst, FR is a Outperform.

First Industrial Realty shows a robust financial performance with strong profitability and cash flow management. While there are challenges such as increased debt and market uncertainties, the company’s strategic developments and secured financing boost its growth prospects. The stock’s valuation seems high, but the dividend yield provides some balance. Technical indicators suggest some caution due to potential overbought conditions.

To see Spark’s full report on FR stock, click here.

First Industrial Realty Sets 2025 Employee Bonus Criteria

On March 19, 2025, First Industrial Realty’s Board approved the criteria for its 2025 Employee Bonus Plan, which will reward eligible employees based on performance in three categories: NAREIT funds from operations per share, same store net operating income growth, and discretionary objectives. The plan assigns different weightings to these categories and caps the overall payout at 115%, with the aim of aligning employee incentives with company performance.

First Industrial Realty Secures $1.05 Billion Credit Facility

On March 18, 2025, First Industrial Realty Trust announced the closure of an $850 million unsecured revolving credit facility and a $200 million unsecured term loan. These financial arrangements, which extend maturity dates and offer favorable interest rates, are expected to support the company’s long-term growth and enhance its operational capacity. The transactions reflect the company’s strong credit metrics and strategic positioning in the logistics real estate market.