CUBESMART (CUBE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CUBE - US2296631094 - REIT
37.23 USD
-0.12 (-0.32%)
37.23 USD
0 (0%)
Overall CUBE gets a fundamental rating of 5 out of 10. We evaluated CUBE against 30 industry peers in the Specialized REITs industry. While CUBE has a great profitability rating, there are quite some concerns on its financial health. CUBE has a valuation in line with the averages, but it does not seem to be growing.
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.
Each year in the past 5 years CUBE has been profitable.
CUBE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CUBE has a Return On Assets of 5.28%. This is in the better half of the industry: CUBE outperforms 76.67% of its industry peers.
CUBE has a Return On Equity of 12.83%. This is in the better half of the industry: CUBE outperforms 76.67% of its industry peers.
The Return On Invested Capital of CUBE (5.71%) is better than 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CUBE is in line with the industry average of 4.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.28% | ||
| ROE | 12.83% | ||
| ROIC | 5.71% |
ROA(3y)5.77%
ROA(5y)4.84%
ROE(3y)12.87%
ROE(5y)11.09%
ROIC(3y)5.88%
ROIC(5y)5.16%
1.3 Margins
CUBE has a better Profit Margin (32.21%) than 80.00% of its industry peers.
CUBE's Profit Margin has improved in the last couple of years.
The Operating Margin of CUBE (41.68%) is better than 63.33% of its industry peers.
In the last couple of years the Operating Margin of CUBE has grown nicely.
Looking at the Gross Margin, with a value of 69.45%, CUBE is in line with its industry, outperforming 46.67% of the companies in the same industry.
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 | 41.68% | ||
| PM (TTM) | 32.21% | ||
| GM | 69.45% |
OM growth 3Y8.65%
OM growth 5Y4.68%
PM growth 3Y10.53%
PM growth 5Y6.92%
GM growth 3Y0.34%
GM growth 5Y1.5%
2. Health
2.1 Basic Checks
CUBE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for CUBE has been increased compared to 1 year ago.
The number of shares outstanding for CUBE has been increased compared to 5 years ago.
The debt/assets ratio for CUBE has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.32, we must say that CUBE is in the distress zone and has some risk of bankruptcy.
CUBE's Altman-Z score of 1.32 is fine compared to the rest of the industry. CUBE outperforms 70.00% of its industry peers.
The Debt to FCF ratio of CUBE is 6.17, which is on the high side as it means it would take CUBE, 6.17 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CUBE (6.17) is better than 93.33% of its industry peers.
CUBE has a Debt/Equity ratio of 1.26. This is a high value indicating a heavy dependency on external financing.
CUBE has a Debt to Equity ratio (1.26) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | 6.17 | ||
| Altman-Z | 1.32 |
ROIC/WACC0.8
WACC7.11%
2.3 Liquidity
CUBE has a Current Ratio of 0.37. 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 0.37. This is in the lower half of the industry: CUBE underperforms 76.67% of its industry peers.
CUBE has a Quick Ratio of 0.37. This is a bad value and indicates that CUBE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of CUBE (0.37) is worse than 76.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.37 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
The earnings per share for CUBE have decreased strongly by -11.86% in the last year.
Measured over the past years, CUBE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.17% on average per year.
CUBE shows a small growth in Revenue. In the last year, the Revenue has grown by 4.19%.
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)-11.86%
EPS 3Y13.71%
EPS 5Y14.17%
EPS Q2Q%-18.18%
Revenue 1Y (TTM)4.19%
Revenue growth 3Y9.03%
Revenue growth 5Y10.61%
Sales Q2Q%5.24%
3.2 Future
CUBE is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.17% yearly.
CUBE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.76% yearly.
EPS Next Y-10.62%
EPS Next 2Y-4.48%
EPS Next 3Y-1.16%
EPS Next 5Y-1.17%
Revenue Next Year5.83%
Revenue Next 2Y4.58%
Revenue Next 3Y4.57%
Revenue Next 5Y6.76%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 23.87 indicates a rather expensive valuation of CUBE.
Based on the Price/Earnings ratio, CUBE is valued a bit cheaper than 76.67% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.31. CUBE is around the same levels.
CUBE is valuated rather expensively with a Price/Forward Earnings ratio of 23.72.
Based on the Price/Forward Earnings ratio, CUBE is valued a bit cheaper than 73.33% of the companies in the same industry.
CUBE is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 36.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.87 | ||
| Fwd PE | 23.72 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CUBE indicates a somewhat cheap valuation: CUBE is cheaper than 73.33% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, CUBE is valued cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15 | ||
| EV/EBITDA | 16.69 |
4.3 Compensation for Growth
The decent profitability rating of CUBE may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.68
EPS Next 2Y-4.48%
EPS Next 3Y-1.16%
5. Dividend
5.1 Amount
CUBE has a Yearly Dividend Yield of 5.57%, which is a nice return.
Compared to an average industry Dividend Yield of 6.01, CUBE has a dividend in line with its industry peers.
CUBE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.57% |
5.2 History
On average, the dividend of CUBE grows each year by 9.75%, which is quite nice.
CUBE has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of CUBE decreased recently.
Dividend Growth(5Y)9.75%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
132.52% of the earnings are spent on dividend by CUBE. This is not a sustainable payout ratio.
The Dividend Rate of CUBE has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP132.52%
EPS Next 2Y-4.48%
EPS Next 3Y-1.16%
37.23
-0.12 (-0.32%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners100.51%
Inst Owner Change2.34%
Ins Owners0.77%
Ins Owner Change-0.59%
Market Cap8.49B
Revenue(TTM)1.11B
Net Income(TTM)356.98M
Analysts74.4
Price Target45.77 (22.94%)
Short Float %2.53%
Short Ratio3.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.57% |
Yearly Dividend2.04
Dividend Growth(5Y)9.75%
DP132.52%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-5.87%
Min EPS beat(2)-7.12%
Max EPS beat(2)-4.61%
EPS beat(4)0
Avg EPS beat(4)-3.79%
Min EPS beat(4)-7.12%
Max EPS beat(4)-0.13%
EPS beat(8)1
Avg EPS beat(8)-2.15%
EPS beat(12)3
Avg EPS beat(12)2.5%
EPS beat(16)6
Avg EPS beat(16)5.61%
Revenue beat(2)1
Avg Revenue beat(2)0.13%
Min Revenue beat(2)-0.77%
Max Revenue beat(2)1.03%
Revenue beat(4)2
Avg Revenue beat(4)-0.03%
Min Revenue beat(4)-1.47%
Max Revenue beat(4)1.08%
Revenue beat(8)5
Avg Revenue beat(8)-0.18%
Revenue beat(12)6
Avg Revenue beat(12)-0.64%
Revenue beat(16)6
Avg Revenue beat(16)-1.04%
PT rev (1m)-0.54%
PT rev (3m)-2.2%
EPS NQ rev (1m)-0.37%
EPS NQ rev (3m)-5.67%
EPS NY rev (1m)-0.85%
EPS NY rev (3m)-2.22%
Revenue NQ rev (1m)0.18%
Revenue NQ rev (3m)0.01%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.87 | ||
| Fwd PE | 23.72 | ||
| P/S | 7.66 | ||
| P/FCF | 15 | ||
| P/OCF | 13.33 | ||
| P/B | 3.05 | ||
| P/tB | 3.07 | ||
| EV/EBITDA | 16.69 |
EPS(TTM)1.56
EY4.19%
EPS(NY)1.57
Fwd EY4.22%
FCF(TTM)2.48
FCFY6.67%
OCF(TTM)2.79
OCFY7.5%
SpS4.86
BVpS12.2
TBVpS12.13
PEG (NY)N/A
PEG (5Y)1.68
Graham Number20.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.28% | ||
| ROE | 12.83% | ||
| ROCE | 7.23% | ||
| ROIC | 5.71% | ||
| ROICexc | 5.81% | ||
| ROICexgc | 5.89% | ||
| OM | 41.68% | ||
| PM (TTM) | 32.21% | ||
| GM | 69.45% | ||
| FCFM | 51.08% |
ROA(3y)5.77%
ROA(5y)4.84%
ROE(3y)12.87%
ROE(5y)11.09%
ROIC(3y)5.88%
ROIC(5y)5.16%
ROICexc(3y)5.91%
ROICexc(5y)5.18%
ROICexgc(3y)5.98%
ROICexgc(5y)5.26%
ROCE(3y)7.44%
ROCE(5y)6.53%
ROICexgc growth 3Y19.62%
ROICexgc growth 5Y5.76%
ROICexc growth 3Y20.2%
ROICexc growth 5Y5.63%
OM growth 3Y8.65%
OM growth 5Y4.68%
PM growth 3Y10.53%
PM growth 5Y6.92%
GM growth 3Y0.34%
GM growth 5Y1.5%
F-Score4
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | 6.17 | ||
| Debt/EBITDA | 4.91 | ||
| Cap/Depr | 28.26% | ||
| Cap/Sales | 6.37% | ||
| Interest Coverage | 4.4 | ||
| Cash Conversion | 89.46% | ||
| Profit Quality | 158.58% | ||
| Current Ratio | 0.37 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 1.32 |
F-Score4
WACC7.11%
ROIC/WACC0.8
Cap/Depr(3y)37.57%
Cap/Depr(5y)96.81%
Cap/Sales(3y)8.96%
Cap/Sales(5y)23.68%
Profit Quality(3y)143.78%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-11.86%
EPS 3Y13.71%
EPS 5Y14.17%
EPS Q2Q%-18.18%
EPS Next Y-10.62%
EPS Next 2Y-4.48%
EPS Next 3Y-1.16%
EPS Next 5Y-1.17%
Revenue 1Y (TTM)4.19%
Revenue growth 3Y9.03%
Revenue growth 5Y10.61%
Sales Q2Q%5.24%
Revenue Next Year5.83%
Revenue Next 2Y4.58%
Revenue Next 3Y4.57%
Revenue Next 5Y6.76%
EBIT growth 1Y-5.41%
EBIT growth 3Y18.46%
EBIT growth 5Y15.79%
EBIT Next Year48.55%
EBIT Next 3Y17.01%
EBIT Next 5Y16.68%
FCF growth 1Y0.23%
FCF growth 3Y27.5%
FCF growth 5Y25.34%
OCF growth 1Y4.35%
OCF growth 3Y12%
OCF growth 5Y13.72%
CUBESMART / CUBE FAQ
Can you provide the ChartMill fundamental rating for CUBESMART?
ChartMill assigns a fundamental rating of 5 / 10 to CUBE.
What is the valuation status for CUBE stock?
ChartMill assigns a valuation rating of 5 / 10 to CUBESMART (CUBE). This can be considered as Fairly Valued.
Can you provide the profitability details for CUBESMART?
CUBESMART (CUBE) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for CUBE stock?
The Earnings per Share (EPS) of CUBESMART (CUBE) is expected to decline by -10.62% in the next year.
Is the dividend of CUBESMART sustainable?
The dividend rating of CUBESMART (CUBE) is 5 / 10 and the dividend payout ratio is 132.52%.