REITmo
Methodology
Universe rules, formulas, and letter-grade bands. Prologis (PLD) is the calibration name: the cutoffs are set so PLD matches the published grades.
REITmo keeps you in the rhythm of the filings. The quarters, and a comparable funds from operations figure (the cash-earnings number REITs report). The open ring stands for see-through numbers.
Universe
Twenty liquid U.S.-listed equity REITs. Mortgage REITs and microcap volume oddities are out. "Most actively traded" here means a liquidity screen on recent 20-day share volume among investable equity REITs, not a raw exchange list.
Tickers: PLD, O, VICI, WELL, AMT, CCI, KIM, HST, DOC, VTR, INVH, DLR, EQR, UDR, BXP, WPC, CUBE, SPG, EXR, SUI.
Inputs are current/TTM as available on August 15, 2026.
How we grade
We grade each REIT on several things at once. A cheap multiple next to heavy debt is a different story than a cheap multiple next to a light load.
Financial Strength looks at leverage, how much of the firm is debt, daily trading volume, and whether earnings cover interest.
Operating Quality looks at the EBITDA margin and how much of those earnings show up as cash.
Dividend Quality looks at the indicated yield, whether operating cash flow covers the payout, and how heavy the payout is versus cash.
Valuation is what you pay for the REIT's earnings: enterprise value over EBITDA.
Market Performance looks at last year's share-price change and how much stock trades on an ordinary day.
A hotel and a net-lease REIT will not look the same on these measures, and they should not. Read each name next to peers in the same property type.
| Category | Primary metric | Bands |
|---|---|---|
| Liquidity | Avg Daily $ Volume ($M), higher better | ≥500 A+ · ≥250 A · ≥150 A- · ≥100 B+ · ≥70 B · ≥50 B- · ≥30 C+ · else C |
| Balance Sheet | Net Debt / EBITDA, lower better | ≤3.0 A+ · ≤4.0 A · ≤4.5 A- · ≤5.5 B+ · ≤6.5 B · ≤7.5 B- · ≤9 C+ · else C |
| Debt Service | EBITDA Interest Coverage, higher better | ≥8 A+ · ≥6.5 A · ≥5.5 A- · ≥4.5 B+ · ≥3.5 B · ≥2.5 B- · else C+ |
| Operating Quality | EBITDA Margin, higher better | ≥75% A+ · ≥65% A · ≥55% A- · ≥45% B+ · ≥35% B · ≥25% B- · else C+ |
| Cash Generation | OCF yield on equity, higher better | ≥8% A · ≥6% A- · ≥5% B+ · ≥3.8% B · ≥3% B- · else C+ |
| Dividend | Blend of indicated yield and OCF dividend coverage | Higher yield with coverage ≥1.3x scores better. Yield <2.5% or coverage <1.15x scores worse. Prologis at 3.04% / 1.26x calibrates to B. |
| Valuation | EV / EBITDA, lower better | ≤12 A · ≤15 A- · ≤18 B+ · ≤21 B · ≤24 B- · ≤27 C+ · ≤32 C · else C- |
| Recent Performance | 52-week price change | ≥25% A+ · ≥15% A · ≥8% A- · ≥3% B+ · ≥0% B · ≥−8% B- · ≥−18% C+ · else C |
| Overall | Average of the eight category scores | A+=4.3, A=4.0, A-=3.7, B+=3.3, B=3.0, B-=2.7, C+=2.3, C=2.0, C-=1.7. Mapped back to a letter. PLD is held at B+ to match the published template. |
Metric cards beyond the eight categories
- Debt Exposure uses Net Debt / EV (PLD 20.5% = A-).
- Cash Conversion uses OCF / EBITDA (PLD 77.7% = B+).
- Dividend Safety uses OCF dividend coverage (PLD 1.26x = B).
- Dividend Yield is graded on yield alone (PLD 3.04% = B-). The category grade blends yield and coverage.
Investor-profile stars
- Income from dividend yield (about 3% ≈ 3 stars; 5%+ ≈ 5; under 2% ≈ 2).
- Growth from 52-week change plus CapEx / OCF reinvestment (PLD = 4).
- Financial Strength from leverage and interest coverage (PLD = 4).
- Value is the inverse of EV / EBITDA (PLD = 3).
- Liquidity from average daily dollar volume (PLD = 5).
Risk meter
Labels are VERY LOW, LOW, LOW–MODERATE, MODERATE, ELEVATED, or HIGH. They come from the same metrics as the grades. PLD calibrates to Financial MODERATE, Valuation ELEVATED, Dividend LOW–MODERATE, Liquidity VERY LOW.
Metric definitions
The formulas match the Calculated Analytics sheet in data/reit-analytics.xlsx.
| Metric | Formula | Interpretation |
|---|---|---|
| Average Daily $ Volume | Price × 20-day average share volume | Higher means a thicker tape. |
| Daily Equity Turnover | Average daily dollar volume ÷ market cap | Higher means more active trading relative to size. |
| EV Premium to Equity | Enterprise value ÷ market cap − 1 | Lower usually means less balance-sheet leverage. |
| Net Debt / Market Cap | (Debt − cash) ÷ market cap | Lower gives equity more cushion. |
| Net Debt / EV | (Debt − cash) ÷ enterprise value | Lower means creditors own less of the firm. |
| Debt / Total Capital | Debt ÷ (debt + market cap) | Lower is more equity-funded. |
| Cash / Debt | Cash ÷ debt | Higher is more liquid. |
| Net Debt / EBITDA | (Debt − cash) ÷ EBITDA | Lower usually means the debt load is easier to carry. |
| EV / EBITDA | Enterprise value ÷ EBITDA | Lower can mean cheaper, depending on quality and growth. |
| EBITDA Yield on EV | EBITDA ÷ enterprise value | Higher is more earnings-rich. |
| EBITDA Margin | EBITDA ÷ revenue | Higher usually means stronger operating economics. |
| OCF Yield on Equity | Operating cash flow ÷ market cap | Higher means more cash relative to the stock price. |
| OCF / EBITDA Conversion | Operating cash flow ÷ EBITDA | Higher or stable is better. |
| CapEx / OCF Reinvestment | CapEx ÷ operating cash flow | High can mean growth spending or a capital-heavy business. |
| CapEx / Revenue | CapEx ÷ revenue | Compare this with the same property type. |
| Post-CapEx Cash Yield | (OCF − CapEx) ÷ market cap | Higher means more cash remains after capex. |
| Dividend / OCF Burden | (Market cap × dividend yield) ÷ OCF | Lower is safer. |
| OCF Dividend Coverage | OCF ÷ estimated annual dividends | Above 1.0x means the dividend is covered on this basis. |
| Implied Interest / Revenue | (EBIT ÷ interest coverage) ÷ revenue | Lower means less of revenue goes to interest. |
| EBITDA Interest Coverage | EBITDA ÷ (EBIT ÷ interest coverage) | Higher means more room to handle financing costs. |
| Approx. 1Y Total Carry | 52-week price change + current dividend yield | Higher means a stronger recent price-plus-dividend result. |
Caveats
- These are standardized GAAP and cash-flow numbers. They sit alongside issuer-specific AFFO, same-store NOI, occupancy, lease rollover, and NAV work. They don't replace that work.
- CapEx definitions differ by REIT and sector. Post-capex yield is a screening metric, not a stand-in for AFFO.
- We don't invent FFO, AFFO, occupancy, NAV, or credit ratings. The write-up only interprets numbers that exist in the workbook.
- Primary source URLs from the Raw Inputs sheet show up on each report.
Data & methodology note
The numbers come from trailing financials and market data we pulled for this report. Some ratios we calculate ourselves. They are not always the figures the company highlights.
We use them so these 20 REITs can be lined up on the same math. That does not replace company-reported FFO, AFFO, same-store NOI, occupancy, lease schedules, or NAV.
Report date: August 15, 2026
This is for information only. It isn't investment advice, a buy or sell recommendation, or a judgment about whether any of these REITs fit your situation.