Positioning no disclosures inside 60 days, left as found
Options put/call open interest 0.26, read 2026-10-24
Ethical does not pass the values gate
Price54.21 USD
Fair value48.25
Ethical score70.0/100
Our investment reviews on this name
2026-09-01Read Markdown56.42-3.9% to today ✓Markup gives way to Markdown after a 7% slide in 9 weeks
2026-07-02Read Markup60.49-10.4% to today First review on file: Markup
Our analytic regime reads on this name, dated and marked against the screened price. Small sample per name, and separate from the daily-framework accuracy on the Track Record page.
Innovative Industrial Properties, Inc. holds its Markdown at $54.21. The statistical read favours the sellers, held for 2 days.
As held on the ledger · 2026-10-23
Phase
Markdown · caution
Quantitative state
The statistical read favours the sellers, held for 2 days
Price at the screen
$54.21
Valuation
11.90 trailing · 11.98 forward price to earnings
Values screen
FAIL· score 70.0
Beta
1.42
The Workings
Five Screens, Shown in Full
Does not pass. Revenue purity
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
16.58%
Below 33%
Interest-bearing debt is just 16.6% of its assets, well under the one-third ceiling: it does not run on borrowed money.
Pass
Interest-bearing cash
2.00%
Below 33%
Cash held in interest-bearing accounts and securities is 2.0% of assets, under the one-third limit.
Pass
Receivables
7.04%
Below 49%
Money owed to the company is 7.0% of assets, under the 49% limit.
Pass
Revenue purity
5.38%
Below 5%
5.4% of revenue comes from non-compliant sources, over the 5% line.
Fail
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
The Ethical Read
Why It Falls Short, in Plain English
Innovative Industrial Properties, clears the business-activity screen, and its debt is inside the line. Where it falls short is income purity: around 5% of its income right now is interest earned on a large cash position, against a roughly 5% ceiling, so it does not pass. That reflects what it earns today, not the business itself, and it could clear the screen if its operating revenue grows and the interest share falls.
Read as at 2026-10-27. It updates when the underlying figures move, and past reads are kept below.
Follow this verdict
Get an email when IIPR's ethical verdict changes
Today IIPR does not pass the screen. If new figures move it to a pass, we send you one short email with the before and after. Verdicts change rarely, so you may not hear from us for a long time.
Free, no account needed. Every email has a link to stop.
Fair value range in USD, drawn from the 2026-10-23 screen. The gold marker is the market price at the same screen. The price runs 8.2% above the base estimate.
Third-party analyst targets: 5 covering, consensus Hold. The average target sits +5% from the screen price.
Reading the gap · Our more conservative model reads it as fully-to-richly valued here, while the Street is more bullish: a quality-at-a-fair-price name rather than a deep-value one.
Price History & Projections
Where it has been, where the models see it going. History from market close data; projection points are our fair-value estimates and third-party analyst targets, dated to the 2026-10-23 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
A landlord betting on niche warehouses as rents fade
Picture a property owner who bought up specialised industrial sites just as demand from key tenants started easing. Innovative Industrial Properties owns and manages these facilities across the US, yet revenue is already shrinking 4 percent. At a forward multiple of 13.5 times and a return on equity of only 6 percent, the numbers show a business that is stable but not expanding.
We pass because the shares sit just 3 percent below our fair value with no meaningful margin of safety. Analyst targets cluster around 56 dollars, below the current 64-dollar price, and the unknown competitive edge offers little reason to expect faster growth ahead. The ethical screen clears, yet the investment case does not.
Low returns and flatlining revenue leave little room for disappointment if life-science or industrial tenants cut space. Currency or interest-rate moves could add further pressure on a REIT already priced for modest outcomes. Analysis, not advice.
The risks · The things to watch: it's a small-cap, so the share price can swing harder than the market; it already moves more than the market on an average day.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
IIPR trades on the NYSE. As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The Dated Journal · Newest First, Never Edited
Every Entry, As Written
2026-10-28Markdown$52.58+0.0%Entry 11
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D, carrying a low risk profile. Technically it is holding around 1% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (4 analysts) rates it hold, with a mean price target of $62. Insiders have been net buyers over the past quarter. It reported earnings in this window, a natural checkpoint for the thesis.
2026-10-27Markdown$52.58+0.0%Entry 10
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D, carrying a low risk profile. Technically it is holding around 1% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (4 analysts) rates it hold, with a mean price target of $62. Insiders have been net buyers over the past quarter. It reported earnings in this window, a natural checkpoint for the thesis.
2026-10-26Markdown$52.58+0.0%Entry 9
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D, carrying a low risk profile. Technically it is holding around 1% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (4 analysts) rates it hold, with a mean price target of $62. Insiders have been net buyers over the past quarter. It reported earnings in this window, a natural checkpoint for the thesis.
2026-10-25Markdown$52.58+2.0%Entry 8
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved up 2.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is holding around 0% above its long-term trend line with momentum reading bearish. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (4 analysts) rates it hold, with a mean price target of $62. Insiders have been net buyers over the past quarter.
2026-10-18Markdown$51.55-8.2%Entry 7
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 8.2% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (4 analysts) rates it hold, with a mean price target of $62. Insiders have been net buyers over the past quarter.
2026-10-02Markdown$56.16-0.5%Entry 6
Our analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it B, carrying a low risk profile. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (4 analysts) rates it hold, with a mean price target of $62.
2026-09-01Markdown · changed$56.42-12.5%Entry 5
The framework has shifted from markup to markdown since the last review. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 12.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it B, carrying a low risk profile. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (4 analysts) rates it hold, with a mean price target of $62.
2026-08-02Markup$64.47+6.6%Entry 4
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved up 6.6% since our last review. Ethical screening: PASS with passing ethical screen. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it B, carrying a low risk profile. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (4 analysts) rates it hold, with a mean price target of $62.
2026-07-18Markup$60.49+0.0%Entry 3
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: PASS with passing ethical screen. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it B, carrying a low risk profile. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (4 analysts) rates it hold, with a mean price target of $62.
2026-07-03Markup$60.49+0.0%Entry 2
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: PASS with passing ethical screen (70). The risk-adjusted return profile shows negative risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
