CUBESMART (CUBE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CUBE - US2296631094 - REIT
37.9 USD
+0.22 (+0.58%)
37.88 USD
-0.02 (-0.05%)
Overall CUBE gets a fundamental rating of 4 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 has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year CUBE was profitable.
In the past year CUBE had a positive cash flow from operations.
CUBE had positive earnings in each of the past 5 years.
In the past 5 years CUBE always reported a positive cash flow from operatings.
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.
With a decent Return On Equity value of 12.83%, CUBE is doing good in the industry, outperforming 76.67% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 5.71%, CUBE is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CUBE is in line with the industry average of 4.86%.
| 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.
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.
CUBE has a Gross Margin of 69.45%. This is comparable to the rest of the industry: CUBE outperforms 46.67% 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 | 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.
Compared to 5 years ago, CUBE has more shares outstanding
Compared to 1 year ago, CUBE has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.34, we must say that CUBE is in the distress zone and has some risk of bankruptcy.
CUBE has a better Altman-Z score (1.34) than 70.00% of its industry peers.
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.
CUBE has a Debt to FCF ratio of 6.17. This is amongst the best in the industry. CUBE outperforms 90.00% 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 | 1.34 |
ROIC/WACC0.76
WACC7.47%
2.3 Liquidity
A Current Ratio of 0.37 indicates that CUBE may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.37, CUBE is doing worse than 73.33% of the companies in the same industry.
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.
CUBE has a Quick ratio of 0.37. This is in the lower half of the industry: CUBE underperforms 73.33% 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.
The Earnings Per Share has been growing by 14.17% on average over the past years. This is quite good.
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
The Earnings Per Share is expected to decrease by -0.92% on average over the next years.
Based on estimates for the next years, CUBE will show a small growth in Revenue. The Revenue will grow by 6.79% on average per year.
EPS Next Y-11.3%
EPS Next 2Y-5.68%
EPS Next 3Y-2.24%
EPS Next 5Y-0.92%
Revenue Next Year5.74%
Revenue Next 2Y4.44%
Revenue Next 3Y4.25%
Revenue Next 5Y6.79%
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
Based on the Price/Earnings ratio of 24.29, the valuation of CUBE can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of CUBE indicates a somewhat cheap valuation: CUBE is cheaper than 76.67% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.25, CUBE is valued at the same level.
Based on the Price/Forward Earnings ratio of 24.77, the valuation of CUBE can be described as rather expensive.
Based on the Price/Forward Earnings ratio, CUBE is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.98. CUBE is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.29 | ||
| Fwd PE | 24.77 |
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.
83.33% 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 | 15.27 | ||
| EV/EBITDA | 16.9 |
4.3 Compensation for Growth
The decent profitability rating of CUBE may justify a higher PE ratio.
CUBE's earnings are expected to decrease with -2.24% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.71
EPS Next 2Y-5.68%
EPS Next 3Y-2.24%
5. Dividend
5.1 Amount
CUBE has a Yearly Dividend Yield of 5.72%, which is a nice return.
CUBE's Dividend Yield is a higher than the industry average which is at 5.69.
CUBE's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.72% |
5.2 History
On average, the dividend of CUBE grows each year by 9.75%, which is quite nice.
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
CUBE pays out 132.52% of its income as dividend. This is not a sustainable payout ratio.
CUBE's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP132.52%
EPS Next 2Y-5.68%
EPS Next 3Y-2.24%
37.9
+0.22 (+0.58%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners100.37%
Inst Owner Change0.3%
Ins Owners0.8%
Ins Owner Change9.03%
Market Cap8.64B
Revenue(TTM)1.11B
Net Income(TTM)356.98M
Analysts73.6
Price Target44.16 (16.52%)
Short Float %2.5%
Short Ratio2.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.72% |
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)-1.21%
PT rev (3m)-4.04%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.66%
EPS NY rev (1m)0%
EPS NY rev (3m)-2.88%
Revenue NQ rev (1m)0.53%
Revenue NQ rev (3m)0.67%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.29 | ||
| Fwd PE | 24.77 | ||
| P/S | 7.8 | ||
| P/FCF | 15.27 | ||
| P/OCF | 13.57 | ||
| P/B | 3.11 | ||
| P/tB | 3.12 | ||
| EV/EBITDA | 16.9 |
EPS(TTM)1.56
EY4.12%
EPS(NY)1.53
Fwd EY4.04%
FCF(TTM)2.48
FCFY6.55%
OCF(TTM)2.79
OCFY7.37%
SpS4.86
BVpS12.2
TBVpS12.13
PEG (NY)N/A
PEG (5Y)1.71
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 | 1.34 |
F-Score4
WACC7.47%
ROIC/WACC0.76
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-11.3%
EPS Next 2Y-5.68%
EPS Next 3Y-2.24%
EPS Next 5Y-0.92%
Revenue 1Y (TTM)4.19%
Revenue growth 3Y9.03%
Revenue growth 5Y10.61%
Sales Q2Q%5.24%
Revenue Next Year5.74%
Revenue Next 2Y4.44%
Revenue Next 3Y4.25%
Revenue Next 5Y6.79%
EBIT growth 1Y-5.41%
EBIT growth 3Y18.46%
EBIT growth 5Y15.79%
EBIT Next Year48.66%
EBIT Next 3Y16.7%
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 4 / 10 to CUBE.
What is the valuation status of CUBESMART (CUBE) stock?
ChartMill assigns a valuation rating of 4 / 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 PE and PB ratios for CUBE stock?
The Price/Earnings (PE) ratio for CUBESMART (CUBE) is 24.29 and the Price/Book (PB) ratio is 3.11.
What is the financial health of CUBESMART (CUBE) stock?
The financial health rating of CUBESMART (CUBE) is 3 / 10.