Back to top

Image: Bigstock

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

Read MoreHide Full Article

Innovative Industrial Properties, Inc. (IIPR) closed at $92.58 in the latest trading session, marking a +0.56% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.17%. Meanwhile, the Dow 0%, and the Nasdaq, a tech-heavy index, added 0.11%.

Coming into today, shares of the company had gained 10.05% in the past month. In that same time, the Finance sector gained 0.92%, while the S&P 500 gained 2.78%.

Investors will be hoping for strength from IIPR as it approaches its next earnings release, which is expected to be February 26, 2020.

Any recent changes to analyst estimates for IIPR should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Within the past 30 days, our consensus EPS projection remained stagnant. IIPR currently has a Zacks Rank of #3 (Hold).

In terms of valuation, IIPR is currently trading at a Forward P/E ratio of 19.06. For comparison, its industry has an average Forward P/E of 15.84, which means IIPR is trading at a premium to the group.

The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 158, putting it in the bottom 39% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

Published in