Lineage, Inc. LINE
Lineage remains a hold after Q2 2026 results beat consensus (FFO $0.76 vs. $0.71 estimate; revenue up 0.8% to $1,361M) on improving warehouse occupancy and cost controls, but the structural picture is still unresolved. Full-year 2025 gross margin collapsed to 15.42% from 33.0% in 2024 on essentially flat revenue, GAAP net income has been negative every year from 2021–2025, and adjusted EBITDA fell 1.8% to $320M with margin compressing 60bps to 23.5% in the latest quarter.
The stock trades at a steep discount to industrial REIT peers (1.77x P/S vs. 8.72x median; 12.85x EV/EBITDA vs. 18.33x median), and the CFO's open-market purchase of 20,000 shares at $41.33 on August 7, 2026 is a constructive insider signal, but until the gross-margin trajectory stabilizes the discount looks like a value trap rather than an opportunity.
What could go wrong
- Gross margin structural decline. Gross margin fell from 33.0% in 2024 to 15.42% in 2025 on flat revenue ($5.34B to $5.36B), suggesting a fundamental cost or pricing problem in the cold-storage warehouse business that may not reverse quickly.
- Persistent GAAP losses. Net income has been negative every year from 2021 through 2025, with EPS of -$0.43 in 2025 and -$3.70 in 2024, making it difficult to justify a re-rating absent a clear path to profitability.
- Leverage and capital intensity. Total debt stood at $8.66B against stockholders' equity of $8.25B as of FY2025, and capex of $747M consumed most of operating cash flow ($943M), leaving only $196M in free cash flow.
- Trade-related volume pressure. Q2 2026 news highlighted continued trade-related volume pressure; further tariff or supply-chain disruption could suppress warehouse occupancy and revenue recovery.
What would change my mind
Where this comes from: Zacks via news article, 2026-08-05 · Business Wire Q2 2026 press release, 2026-08-05 · FMP annual fundamentals + derived_metrics, FY2025 · FMP annual fundamentals, FY2021–FY2025. Orin's read on LINE; not advice.
Twelve months actual closes to 2026-09-24 · actual filings
50-day average 200-day average · volume below
On file
All LINE filingsLargest holders · 13F Q2 2026
Money flow| Filer | Position | Of fund |
|---|---|---|
| Norges Bank | $601.9M | 0.1% of fund |
| Vanguard Portfolio Management | $248.0M | 0.0% of fund |
| Aqr Capital Management | $202.1M | 0.1% of fund |
| Bank Of America /De/ | $156.0M | 0.0% of fund |
| Vanguard Capital Management | $127.9M | 0.0% of fund |
| State Street | $83.2M | 0.0% of fund |
55 filers · quarter ended Q2 2026 · positions, not flows
Insiders, last 24 months: 88 Form 4 filings, net $9.2M. Of the 50 on hand, 8 were open-market purchases and 0 sales— the rest are grants, option exercises and tax withholding.
Ask Orin about LINE
Orin answers questions about LINE from its filings, transcripts and numbers — with the source behind every claim. Your own desk starts with 3 free days, card required.
Start 3 free days →Where it trades
| Metric | Now | Own median | Sector |
|---|---|---|---|
| EV/EBITDA | 11.9× | — | — |
| P/S | 1.53× | — | — |
| P/B | 1.0× | — | — |
17.8%
free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $0.2B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.
What Wall Street published
$45
$35 – $53 · +25% against today's price
- 5 buy or overweight
- 8 hold
- 3 underweight or sell
The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.
Against the companies it is compared to
| Company | Market cap | P/E | EV/EBITDA | Gross | Net | ROE |
|---|---|---|---|---|---|---|
| LINELineage, Inc. | $8B | — | 11.9× | 11.0% | -3.1% | -2% |
| CUBECubeSmart | $9B | 25.8× | 17.1× | 17.4% | 29.4% | 12% |
| EGPEastGroup Properties, Inc. | $11B | 35.5× | 22.5× | 44.2% | 40.5% | 9% |
| FRFirst Industrial Realty Trust, Inc. | $8B | 22.3× | 15.6× | 47.7% | 48.0% | 13% |
| FRTFederal Realty Investment Trust | $10B | 22.0× | 14.0× | 54.0% | 32.7% | 13% |
| REXRRexford Industrial Realty, Inc. | $9B | — | — | 61.0% | -39.7% | -5% |
The median is of the 4 peers listed above and nothing else — check it against the column. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.
What it has traded at
What its sector has traded at
Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.
Every estimate on one scale
The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.