FR
First Industrial Realty Trust, Inc.
$65.01
Real Estate Investment Trust
85%
P/FFO × Industrial REIT Multiple
Moderate
·
Conviction
Fair Value
Trading 17.5% below fair value
You pay
$65.01
Bear
$64.51
Fair
$78.84
Bull
$93.17
Bear
$64.51
-0.8%
$3.26 FFO × 21x
Fair
$78.84
+21.3%
$3.26 FFO × 25x
Bull
$93.17
+43.3%
$3.26 FFO × 30x
Key Value Driver
FFO/share ($3.26) × industrial P/FFO multiple
Implied Market Multiple
19.9x
Summary
Our base-case estimate uses P/FFO × Industrial REIT Multiple. We then blend that result with the average analyst price target of $67.86 from 29 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $78.84 per share.
Warnings
Standard profit figures are misleading for real estate companies — large non-cash accounting charges make profits look artificially low. Dividend yield and funds from operations are better measures.
Key Risks
- P/E and EV/EBITDA are structurally wrong for REITs — use P/FFO and NAV
- Interest rate sensitivity: REIT multiples compress when rates rise
- FFO approximation (NI + D&A) may include gains on property sales — verify