CUBESMART (CUBE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CUBE - US2296631094 - REIT
36.27 USD
+0.64 (+1.8%)
36.27 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 belongs to the best of the industry regarding profitability, there are concerns on its financial health. CUBE is valued correctly, 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.
CUBE had positive earnings in each of the past 5 years.
Each year in the past 5 years CUBE had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 5.28%, CUBE is doing good in the industry, outperforming 76.67% of the companies in the same industry.
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.
In the last couple of years the Profit Margin of CUBE has grown nicely.
Looking at the Operating Margin, with a value of 41.68%, CUBE is in the better half of the industry, outperforming 63.33% of the companies in the same industry.
In the last couple of years the Operating Margin of CUBE has grown nicely.
CUBE has a Gross Margin (69.45%) which is comparable to the rest of the industry.
CUBE's Gross Margin has been stable in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CUBE is destroying value.
CUBE has more shares outstanding than it did 1 year ago.
CUBE has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CUBE has been reduced compared to a year ago.
2.2 Solvency
CUBE has an Altman-Z score of 1.28. 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 1.28, CUBE is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
CUBE has a debt to FCF ratio of 6.17. This is a slightly negative value and a sign of low solvency as CUBE would need 6.17 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 6.17, CUBE belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
A Debt/Equity ratio of 1.26 is on the high side and indicates that CUBE has dependencies on debt financing.
CUBE's Debt to Equity ratio of 1.26 is in line compared to the rest of the industry. CUBE outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | 6.17 | ||
| Altman-Z | 1.28 |
ROIC/WACC0.8
WACC7.11%
2.3 Liquidity
A Current Ratio of 0.37 indicates that CUBE may have some problems paying its short term obligations.
The Current ratio of CUBE (0.37) is worse than 76.67% of its industry peers.
A Quick Ratio of 0.37 indicates that CUBE may have some problems paying its short term obligations.
With a Quick ratio value of 0.37, CUBE is not doing good in the industry: 76.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.37 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
CUBE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.86%.
The Earnings Per Share has been growing by 14.17% on average over the past years. This is quite good.
Looking at the last year, CUBE shows a small growth in Revenue. The Revenue has grown by 4.19% in the last year.
Measured over the past years, CUBE shows a quite strong growth in Revenue. The Revenue has been growing by 10.61% on average per year.
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 23.25 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.
CUBE's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.45.
With a Price/Forward Earnings ratio of 23.11, CUBE is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CUBE indicates a somewhat cheap valuation: CUBE is cheaper than 73.33% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.46. CUBE is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.25 | ||
| Fwd PE | 23.11 |
4.2 Price Multiples
73.33% of the companies in the same industry are more expensive than CUBE, based on the Enterprise Value to EBITDA ratio.
86.67% 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 | 14.61 | ||
| EV/EBITDA | 16.38 |
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)1.64
EPS Next 2Y-4.48%
EPS Next 3Y-1.16%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.84%, CUBE is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.14, CUBE pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, CUBE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.84% |
5.2 History
The dividend of CUBE is nicely growing with an annual growth rate of 9.75%!
CUBE has paid a dividend for at least 10 years, which is a reliable track record.
CUBE has decreased its dividend 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%
36.27
+0.64 (+1.8%)
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 Change-77.9%
Ins Owners0.77%
Ins Owner Change-0.59%
Market Cap8.27B
Revenue(TTM)1.11B
Net Income(TTM)356.98M
Analysts74.4
Price Target45.77 (26.19%)
Short Float %2.53%
Short Ratio3.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.84% |
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)-2.94%
EPS NQ rev (1m)-0.75%
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)0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.25 | ||
| Fwd PE | 23.11 | ||
| P/S | 7.46 | ||
| P/FCF | 14.61 | ||
| P/OCF | 12.99 | ||
| P/B | 2.97 | ||
| P/tB | 2.99 | ||
| EV/EBITDA | 16.38 |
EPS(TTM)1.56
EY4.3%
EPS(NY)1.57
Fwd EY4.33%
FCF(TTM)2.48
FCFY6.84%
OCF(TTM)2.79
OCFY7.7%
SpS4.86
BVpS12.2
TBVpS12.13
PEG (NY)N/A
PEG (5Y)1.64
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 | 1.28 |
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%.