Terreno Realty Corporation (TRNO)
NYSEReal EstateReit - IndustrialSnapshot 2026-09-04
$65.65-0.23%
Close 2026-09-04 · 1-day change
NYSEReal EstateReit - IndustrialSnapshot 2026-09-04
Intact: The reason to own it still holds.
Terreno Realty grows revenue about 11% a year. It trades at a price-to-earnings ratio of 36. Margins and cash flow remain stable with a free cash flow yield near 3%. The company adds assets like the Alexandria property to support growth.
The stock trades at a high 36 P/E, well above the peer median of 13.8. Revenue growth could slow below the 11% consensus. Free cash flow yield is low at 3%, limiting capital return.
The price is about 25% above our fair value near $55 and 20% below the Street median near $69. Analysts expect 11% revenue growth, which is roughly justified by our model.
Breaks if: free cash flow yield falls below 2%
Breaks if: profit margins decline more than 5% from current levels
Breaks if: YoY revenue growth falls below 8% next year
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a stable but cautious approach within the Real Estate sector. The current thesis state is mixed, with recent changes indicating a decline in company quality and muted price reactions.
The market appears to have priced in a neutral valuation, with a slight premium compared to peers. There is a low expectations gap, suggesting that investors are not anticipating significant changes in performance.
Fundamentals are likely to remain fragile, given the recent history of misses in earnings. The near-term risk is low, but the company has struggled with execution quality, which could impact future results.
The thesis hinges on external factors, such as potential interest rate cuts by the Fed and the performance of sector bellwethers like PLD, PSA, and EXR. Positive movements in these areas could provide a tailwind for TRNO.
In the next 1 to 3 years, TRNO's performance will depend on external economic conditions and sector dynamics. Not investment advice.
The most important moves since the prior daily snapshot.
Our read has strengthened. It is supported by partnership_mna.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.