One-glance verdict
Overvalued
$-45.33 our estimate vs market $6.05
Wall Street consensus: $9.67 (-121.3% lower than our fair-value estimate)
113% below our estimate, beyond the bull case
Fundamentals snapshot
Industrial Logistics Properties Trust
ILPT · NMS · Real Estate · REIT - Industrial
Current price
$6.05
52-week range
$5.01 - $9.43
Market cap
$405.25M
Balance sheet
Distressed
0.56x Concerning
Net debt $4.06B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
1 Risk
3 rewards · 1 risks
- Reward Revenue grew 1.5% last year.
- Reward Free cash flow was positive in 8/10 years.
- Reward Dividend yield is 5.1% with 9-year payout history.
- Risk Return on equity was -10.5% last year — the company lost money on shareholders' equity.
What this company does
Industrial Logistics Properties Trust
Industrial Logistics Properties Trust owns and rents out large warehouses and industrial buildings. Most of their income comes from rent paid by very stable, creditworthy companies, which helps make their income predictable. This focus on reliable tenants is important because it means they are likely to keep collecting rent even if the economy gets a little shaky.
How the company got here
Industrial Logistics Properties Trust (ILPT) was established in 2018 when it was spun off from Select Income REIT. Its creation was driven by a strategy to focus on industrial and logistics properties. A significant turning point for ILPT was the acquisition of Monmouth Real Estate Investment Corporation in 2022, which substantially expanded its portfolio of mainland industrial properties and increased its exposure to modern logistics facilities. This acquisition transformed ILPT into a larger industrial real estate platform, though it also increased the company's debt and highlighted the importance of managing its finances and tenant relationships. The company is managed by The RMR Group, an external asset management firm.
What it actually does
ILPT is a real estate investment trust (REIT), which means it owns and operates income-producing real estate. Specifically, ILPT owns and leases industrial and logistics properties. Think of it as owning large warehouses and distribution centers that companies use to store, sort, and ship goods. These properties are crucial for supply chains, especially with the growth of e-commerce, which requires more space for storing and moving products. ILPT makes money by collecting rent from these business tenants.
Mainland Properties
This segment of ILPT's business involves owning and leasing industrial and logistics properties located across the United States, excluding Hawaii. These are typically large warehouse and distribution centers that serve as critical hubs for supply chains. Companies in various sectors, such as e-commerce retailers, manufacturers, and logistics operators, rent these spaces to manage their inventory and product flow. This part of the business generates the majority of ILPT's rental revenue, making it the largest segment.
Hawaii Properties
This segment focuses on industrial properties and land located on the island of Oahu, Hawaii. Due to limited available land on the island, these properties are in a unique, supply-constrained market. ILPT leases industrial land to businesses that then build their own facilities, or it leases existing industrial buildings. This segment represents a smaller portion of ILPT's total revenue compared to its mainland properties but offers potential for significant rent growth due to the island's specific market dynamics and lease structures that allow for periodic rent adjustments.
What management is betting on now
ILPT's management is focused on growing and managing its portfolio of industrial and logistics properties to create long-term value for shareholders. They are capitalizing on the increasing demand for industrial real estate, driven by the shift to e-commerce and the reshoring of manufacturing. The company aims to benefit from its strategic locations, particularly in Hawaii where land is scarce, and from long-term leases with financially strong tenants. Management is also focused on managing the company's finances and ensuring its properties are well-occupied by creditworthy businesses.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$-13.91M
FY2025 Q1
$5.02M
FY2025 Q2
$15.16M
FY2025 Q3
$17.63M
FY2025 Q4
$4.22M
FY2026 Q1
$12.80M
FY2026 Q2
$19.79M
FY2026 Q3
$7.22M
Revenue
—
Net income
$-44.68M
Diluted EPS
-0.46
Operating cash flow
$12.93M
Free cash flow
$7.22M
Fetching…
Sources
Revenue
—
Net income
$-14.46M
Diluted EPS
-0.22
Operating cash flow
$22.04M
Free cash flow
$19.79M
Fetching…
Sources
Revenue
—
Net income
$-9.43M
Diluted EPS
-0.14
Operating cash flow
$15.89M
Free cash flow
$12.80M
Fetching…
Sources
Revenue
—
Net income
$-1.78M
Diluted EPS
-0.02
Operating cash flow
$8.18M
Free cash flow
$4.22M
Fetching…
Sources
Revenue
—
Net income
$-21.57M
Diluted EPS
-0.33
Operating cash flow
$22.71M
Free cash flow
$17.63M
Fetching…
Sources
Revenue
—
Net income
$-21.31M
Diluted EPS
-0.32
Operating cash flow
$18.41M
Free cash flow
$15.16M
Fetching…
Sources
Revenue
—
Net income
$-21.53M
Diluted EPS
-0.33
Operating cash flow
$11.37M
Free cash flow
$5.02M
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Sources
Revenue
—
Net income
$-24.10M
Diluted EPS
-0.37
Operating cash flow
$-13.46M
Free cash flow
$-13.91M
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Sources
Is it cheap or expensive?
Fair value $-45.33 vs current price $6.05
Wall Street consensus is the average analyst price target: $9.67 (-121.3% lower than our fair-value estimate).
Our most-likely fair value is $-45.33 a share — about 849.2% below today's price of $6.05, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Distressed
Net debt $4.1B. Interest coverage 0.6x.
Net debt
$4.06B
Interest coverage
0.56x
Industrial Logistics Properties Trust's profit covers its interest bill about 0.6 times over. which is weaker than most peers shown here.
Distressed
Worse cushion
Baseline
Better cushion
ILPT
BASELINE
Industrial Logistics Properties Trust
Total debt $4.19B Interest coverage 0.56x This is the baseline the peer rows are being compared against.
Total debt $3.46B Interest coverage 2.42x +333% vs ILPT Carries about 4.3x more debt cushion than ILPT.
Total debt $2.66B Interest coverage 3.62x +548% vs ILPT Carries about 6.5x more debt cushion than ILPT.
Total debt $2.78B Interest coverage 3.63x +549% vs ILPT Carries about 6.5x more debt cushion than ILPT.
Total debt $1.85B Interest coverage 9.82x +1,656% vs ILPT Carries about 17.6x more debt cushion than ILPT.
Total debt $898.60M Interest coverage 5.86x +947% vs ILPT Carries about 10.5x more debt cushion than ILPT.
What you should know
The case for and against ILPT
3 Rewards
1 Risk
Rewards
-
Revenue grew 1.5% last year.
-
Free cash flow was positive in 8/10 years.
-
Dividend yield is 5.1% with 9-year payout history.
Risks
-
Return on equity was -10.5% last year — the company lost money on shareholders' equity.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
—
Forward P/E
-6.88x
P/B
0.95x
P/S
0.88x
EV/EBITDA
15.45x
PEG ratio
—
Profitability
How much profit each dollar creates
Gross margin
85.7%
Operating margin
35.1%
Net margin
-12.1%
ROE
-10.5%
ROA
1.9%
Health
Liquidity and balance-sheet strength
Debt / equity
5.27x
Current ratio
3.94x
Quick ratio
3.35x
Total debt
$4.19B
Total cash
$130.66M
Growth
How the business has been compounding
Revenue TTM
$461.26M
Revenue 5Y CAGR
5.0%
EPS TTM
-0.84
EPS 5Y CAGR
—
Cash flow
How much cash the business throws off
Operating CF TTM
$59.03M
Free CF TTM
$42.03M
FCF margin
9.1%
Dividend
Shareholder payout
Yield
5.1%
Payout ratio
91.7%
Last ex-div date
2026-10-19