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Innovative Industrial Properties, Inc. (IIPR) Gains As Market Dips: What You Should Know

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Innovative Industrial Properties, Inc. (IIPR - Free Report) closed at $128.34 in the latest trading session, marking a +0.72% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.34%. Elsewhere, the Dow lost 0.09%, while the tech-heavy Nasdaq lost 0.43%.

Prior to today's trading, shares of the company had gained 9.95% over the past month. This has outpaced the Finance sector's gain of 3.24% and the S&P 500's gain of 4.46% in that time.

IIPR will be looking to display strength as it nears its next earnings release.

It is also important to note the recent changes to analyst estimates for IIPR. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. IIPR currently has a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that IIPR has a Forward P/E ratio of 48.26 right now. This represents a premium compared to its industry's average Forward P/E of 15.52.

The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 149, putting it in the bottom 42% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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