CUBESMART (CUBE) Stock Fundamental Analysis
NYSE:CUBE - New York Stock Exchange, Inc. - US2296631094 - REIT - Currency: USD
Taking everything into account, CUBE scores 5 out of 10 in our fundamental rating. CUBE was compared to 29 industry peers in the Specialized REITs industry. CUBE has an excellent profitability rating, but there are concerns on its financial health. CUBE is not valued too expensively and it also shows a decent growth rate. Finally CUBE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
CUBE had positive earnings in the past year.
CUBE had a positive operating cash flow in the past year.
In the past 5 years CUBE has always been profitable.
Of the past 5 years CUBE 4 years had a positive operating cash flow.
1.2 Ratios
CUBE has a Return On Assets of 6.49%. This is amongst the best in the industry. CUBE outperforms 85.71% of its industry peers.
The Return On Equity of CUBE (14.43%) is better than 71.43% of its industry peers.
With a decent Return On Invested Capital value of 6.59%, CUBE is doing good in the industry, outperforming 75.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for CUBE is in line with the industry average of 5.32%.
The last Return On Invested Capital (6.59%) for CUBE is above the 3 year average (5.88%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.49% | ||
| ROE | 14.43% | ||
| ROIC | 6.59% |
ROA(3y)5.77%
ROA(5y)4.84%
ROE(3y)12.87%
ROE(5y)11.09%
ROIC(3y)5.88%
ROIC(5y)5.15%
1.3 Margins
Looking at the Profit Margin, with a value of 37.79%, CUBE belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
In the last couple of years the Profit Margin of CUBE has grown nicely.
The Operating Margin of CUBE (45.91%) is better than 71.43% of its industry peers.
CUBE's Operating Margin has improved in the last couple of years.
CUBE's Gross Margin of 70.55% is in line compared to the rest of the industry. CUBE outperforms 46.43% of its industry peers.
In the last couple of years the Gross Margin of CUBE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 45.91% | ||
| PM (TTM) | 37.79% | ||
| GM | 70.55% |
OM growth 3Y8.65%
OM growth 5Y4.68%
PM growth 3Y10.53%
PM growth 5Y6.92%
GM growth 3Y-0.8%
GM growth 5Y0.81%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CUBE is destroying value.
CUBE has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, CUBE has more shares outstanding
The debt/assets ratio for CUBE has been reduced compared to a year ago.
2.2 Solvency
CUBE has an Altman-Z score of 1.70. This is a bad value and indicates that CUBE is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.70, CUBE belongs to the top of the industry, outperforming 82.14% of the companies in the same industry.
The Debt to FCF ratio of CUBE is 5.57, which is a neutral value as it means it would take CUBE, 5.57 years of fcf income to pay off all of its debts.
CUBE has a better Debt to FCF ratio (5.57) than 89.29% of its industry peers.
A Debt/Equity ratio of 1.06 is on the high side and indicates that CUBE has dependencies on debt financing.
CUBE's Debt to Equity ratio of 1.06 is in line compared to the rest of the industry. CUBE outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 5.57 | ||
| Altman-Z | 1.7 |
ROIC/WACC0.87
WACC7.6%
2.3 Liquidity
CUBE has a Current Ratio of 0.21. This is a bad value and indicates that CUBE is not financially healthy enough and could expect problems in meeting its short term obligations.
CUBE has a Current ratio of 0.21. This is amonst the worse of the industry: CUBE underperforms 85.71% of its industry peers.
A Quick Ratio of 0.21 indicates that CUBE may have some problems paying its short term obligations.
CUBE has a Quick ratio of 0.21. This is amonst the worse of the industry: CUBE underperforms 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.21 | ||
| Quick Ratio | 0.21 |
3. Growth
3.1 Past
CUBE shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.73%.
The Earnings Per Share has been growing by 17.07% on average over the past years. This is quite good.
The Revenue has been growing slightly by 1.52% in the past year.
CUBE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.61% yearly.
EPS 1Y (TTM)7.73%
EPS 3Y18.56%
EPS 5Y17.07%
EPS Q2Q%36%
Revenue 1Y (TTM)1.52%
Revenue growth 3Y9.03%
Revenue growth 5Y10.61%
Sales Q2Q%0.6%
3.2 Future
CUBE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.91% yearly.
The Revenue is expected to grow by 7.35% on average over the next years.
EPS Next Y-8.27%
EPS Next 2Y-3.35%
EPS Next 3Y-0.38%
EPS Next 5Y0.91%
Revenue Next Year2.78%
Revenue Next 2Y4.49%
Revenue Next 3Y5.93%
Revenue Next 5Y7.35%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CUBE is valuated rather expensively with a Price/Earnings ratio of 21.45.
Compared to the rest of the industry, the Price/Earnings ratio of CUBE indicates a somewhat cheap valuation: CUBE is cheaper than 75.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.98, CUBE is valued a bit cheaper.
A Price/Forward Earnings ratio of 23.38 indicates a rather expensive valuation of CUBE.
Based on the Price/Forward Earnings ratio, CUBE is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.66. CUBE is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.45 | ||
| Fwd PE | 23.38 |
4.2 Price Multiples
CUBE's Enterprise Value to EBITDA ratio is in line with the industry average.
75.00% of the companies in the same industry are more expensive than CUBE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.92 | ||
| EV/EBITDA | 17.58 |
4.3 Compensation for Growth
CUBE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.26
EPS Next 2Y-3.35%
EPS Next 3Y-0.38%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.04%, CUBE is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.49, CUBE pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.30, CUBE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.04% |
5.2 History
The dividend of CUBE is nicely growing with an annual growth rate of 10.42%!
CUBE has been paying a dividend for at least 10 years, so it has a reliable track record.
CUBE has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)10.42%
Div Incr Years13
Div Non Decr Years14
5.3 Sustainability
113.57% of the earnings are spent on dividend by CUBE. This is not a sustainable payout ratio.
The dividend of CUBE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP113.57%
EPS Next 2Y-3.35%
EPS Next 3Y-0.38%
NYSE:CUBE (3/3/2025, 9:53:08 AM)
41.83
+0.55 (+1.33%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners99.86%
Inst Owner Change-0.17%
Ins Owners0.77%
Ins Owner Change2.8%
Market Cap9.46B
Analysts69.57
Price Target49.98 (19.48%)
Short Float %1.67%
Short Ratio2.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.04% |
Yearly Dividend1.97
Dividend Growth(5Y)10.42%
DP113.57%
Div Incr Years13
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.81%
Min EPS beat(2)-4.3%
Max EPS beat(2)-3.33%
EPS beat(4)1
Avg EPS beat(4)-0.5%
Min EPS beat(4)-4.3%
Max EPS beat(4)8.59%
EPS beat(8)3
Avg EPS beat(8)5.64%
EPS beat(12)6
Avg EPS beat(12)8.75%
EPS beat(16)9
Avg EPS beat(16)10.35%
Revenue beat(2)2
Avg Revenue beat(2)1.02%
Min Revenue beat(2)0.11%
Max Revenue beat(2)1.93%
Revenue beat(4)3
Avg Revenue beat(4)-0.33%
Min Revenue beat(4)-8.24%
Max Revenue beat(4)4.86%
Revenue beat(8)4
Avg Revenue beat(8)-0.95%
Revenue beat(12)4
Avg Revenue beat(12)-1.37%
Revenue beat(16)7
Avg Revenue beat(16)-0.7%
PT rev (1m)0%
PT rev (3m)-4.93%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.27%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)-0.29%
Revenue NQ rev (1m)0.15%
Revenue NQ rev (3m)-0.45%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.45 | ||
| Fwd PE | 23.38 | ||
| P/S | 8.89 | ||
| P/FCF | 17.92 | ||
| P/OCF | 15.45 | ||
| P/B | 3.4 | ||
| P/tB | 3.4 | ||
| EV/EBITDA | 17.58 |
EPS(TTM)1.95
EY4.66%
EPS(NY)1.79
Fwd EY4.28%
FCF(TTM)2.33
FCFY5.58%
OCF(TTM)2.71
OCFY6.47%
SpS4.7
BVpS12.32
TBVpS12.31
PEG (NY)N/A
PEG (5Y)1.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.49% | ||
| ROE | 14.43% | ||
| ROCE | 8.34% | ||
| ROIC | 6.59% | ||
| ROICexc | 6.64% | ||
| ROICexgc | 6.73% | ||
| OM | 45.91% | ||
| PM (TTM) | 37.79% | ||
| GM | 70.55% | ||
| FCFM | 49.64% |
ROA(3y)5.77%
ROA(5y)4.84%
ROE(3y)12.87%
ROE(5y)11.09%
ROIC(3y)5.88%
ROIC(5y)5.15%
ROICexc(3y)5.9%
ROICexc(5y)5.17%
ROICexgc(3y)6.02%
ROICexgc(5y)5.28%
ROCE(3y)7.44%
ROCE(5y)6.53%
ROICexcg growth 3Y20.27%
ROICexcg growth 5Y6.1%
ROICexc growth 3Y20.18%
ROICexc growth 5Y5.62%
OM growth 3Y8.65%
OM growth 5Y4.68%
PM growth 3Y10.53%
PM growth 5Y6.92%
GM growth 3Y-0.8%
GM growth 5Y0.81%
F-Score6
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 5.57 | ||
| Debt/EBITDA | 4.22 | ||
| Cap/Depr | 40.64% | ||
| Cap/Sales | 7.93% | ||
| Interest Coverage | 5.24 | ||
| Cash Conversion | 88% | ||
| Profit Quality | 131.37% | ||
| Current Ratio | 0.21 | ||
| Quick Ratio | 0.21 | ||
| Altman-Z | 1.7 |
F-Score6
WACC7.6%
ROIC/WACC0.87
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.73%
EPS 3Y18.56%
EPS 5Y17.07%
EPS Q2Q%36%
EPS Next Y-8.27%
EPS Next 2Y-3.35%
EPS Next 3Y-0.38%
EPS Next 5Y0.91%
Revenue 1Y (TTM)1.52%
Revenue growth 3Y9.03%
Revenue growth 5Y10.61%
Sales Q2Q%0.6%
Revenue Next Year2.78%
Revenue Next 2Y4.49%
Revenue Next 3Y5.93%
Revenue Next 5Y7.35%
EBIT growth 1Y3%
EBIT growth 3Y18.46%
EBIT growth 5Y15.79%
EBIT Next Year47.92%
EBIT Next 3Y19.01%
EBIT Next 5YN/A
FCF growth 1Y-6.51%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y0.37%
OCF growth 3YN/A
OCF growth 5YN/A