Analyst Expectations For CubeSmart's Future

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Throughout the last three months, 5 analysts have evaluated CubeSmart CUBE, offering a diverse set of opinions from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 1 1 3 0 0
Last 30D 0 1 0 0 0
1M Ago 0 0 1 0 0
2M Ago 1 0 2 0 0
3M Ago 0 0 0 0 0

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $46.8, a high estimate of $50.00, and a low estimate of $44.00. This current average represents a 7.51% decrease from the previous average price target of $50.60.

price target chart

Interpreting Analyst Ratings: A Closer Look

The analysis of recent analyst actions sheds light on the perception of CubeSmart by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Brad Heffern RBC Capital Lowers Outperform $48.00 $53.00
Eric Luebchow Wells Fargo Lowers Equal-Weight $44.00 $50.00
Ki Bin Kim Truist Securities Lowers Buy $47.00 $50.00
Brendan Lynch Barclays Lowers Equal-Weight $50.00 $54.00
Omotayo Okusanya Deutsche Bank Lowers Hold $45.00 $46.00

Key Insights:

  • Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to CubeSmart. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of CubeSmart compared to the broader market.
  • Price Targets: Analysts navigate through adjustments in price targets, providing estimates for CubeSmart's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into CubeSmart's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on CubeSmart analyst ratings.

Unveiling the Story Behind CubeSmart

CubeSmart is a real estate investment trust that acquires, owns, and manages self-storage facilities throughout the United States. The company's real estate portfolio is composed of buildings with numerous enclosed storage areas for both residential and commercial customers to rent mainly on a month-by-month basis. Most of CubeSmart's facilities are located in Florida, Texas, California, New York, and Illinois. Cumulatively, these states account for both the majority of the square footage in the company's real estate portfolio and the majority of its revenue. The company derives nearly all of its revenue from rental income from tenants utilizing its storage facilities.

Unraveling the Financial Story of CubeSmart

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: CubeSmart displayed positive results in 3 months. As of 31 December, 2024, the company achieved a solid revenue growth rate of approximately 0.98%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Real Estate sector.

Net Margin: CubeSmart's net margin is impressive, surpassing industry averages. With a net margin of 38.06%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): CubeSmart's ROE excels beyond industry benchmarks, reaching 3.6%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): CubeSmart's ROA excels beyond industry benchmarks, reaching 1.62%. This signifies efficient management of assets and strong financial health.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 1.06.

What Are Analyst Ratings?

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

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