CUBESMART (CUBE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CUBE - US2296631094 - REIT
36.63 USD
-0.18 (-0.49%)
36.6 USD
-0.03 (-0.08%)
CUBE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 30 industry peers in the Specialized REITs industry. CUBE scores excellent on profitability, but 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
CUBE had positive earnings in the past year.
In the past year CUBE had a positive cash flow from operations.
In the past 5 years CUBE has always been profitable.
CUBE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CUBE has a better Return On Assets (5.28%) than 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.
CUBE has a Return On Invested Capital of 5.71%. This is in the better half of the industry: CUBE outperforms 66.67% of its industry peers.
CUBE had an Average Return On Invested Capital over the past 3 years of 5.88%. This is in line with the industry average of 4.78%.
| 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 Profit Margin of 32.21%. This is in the better half of the industry: CUBE outperforms 80.00% of its industry peers.
CUBE's Profit Margin has improved in the last couple of years.
CUBE's Operating Margin of 41.68% is fine compared to the rest of the industry. CUBE outperforms 63.33% of its industry peers.
CUBE's Operating Margin has improved in the last couple of years.
CUBE has a Gross Margin (69.45%) which is in line with 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
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
Compared to 1 year ago, CUBE has an improved debt to assets ratio.
2.2 Solvency
CUBE has an Altman-Z score of 1.30. This is a bad value and indicates that CUBE is not financially healthy and even has some risk of bankruptcy.
CUBE has a Altman-Z score of 1.30. This is in the better half of the industry: CUBE outperforms 66.67% 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.
CUBE's Debt to FCF ratio of 6.17 is amongst the best of 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.
With a Debt to Equity ratio value of 1.26, CUBE perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | 6.17 | ||
| Altman-Z | 1.3 |
ROIC/WACC0.79
WACC7.26%
2.3 Liquidity
A Current Ratio of 0.37 indicates that CUBE may have some problems paying its short term obligations.
CUBE's Current ratio of 0.37 is on the low side compared to the rest of the industry. CUBE is outperformed by 76.67% of its industry peers.
A Quick Ratio of 0.37 indicates that CUBE may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.37, CUBE is doing worse than 76.67% of the companies in the same industry.
| 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%.
CUBE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.17% yearly.
Looking at the last year, CUBE shows a small growth in Revenue. The Revenue has grown by 4.19% in the last year.
The Revenue has been growing by 10.61% on average over the past years. This is quite good.
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-11.3%
EPS Next 2Y-5.68%
EPS Next 3Y-2.24%
EPS Next 5Y-1.17%
Revenue Next Year5.74%
Revenue Next 2Y4.49%
Revenue Next 3Y4.28%
Revenue Next 5Y6.76%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
The Price/Earnings ratio is 23.48, which indicates a rather expensive current valuation of CUBE.
80.00% of the companies in the same industry are more expensive than CUBE, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.49. CUBE is around the same levels.
CUBE is valuated rather expensively with a Price/Forward Earnings ratio of 23.94.
CUBE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CUBE is cheaper than 70.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.69. CUBE is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.48 | ||
| Fwd PE | 23.94 |
4.2 Price Multiples
CUBE's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CUBE is cheaper than 76.67% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CUBE indicates a rather cheap valuation: CUBE is cheaper than 83.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.76 | ||
| EV/EBITDA | 16.49 |
4.3 Compensation for Growth
CUBE has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as CUBE's earnings are expected to decrease with -2.24% in the coming years.
PEG (NY)N/A
PEG (5Y)1.66
EPS Next 2Y-5.68%
EPS Next 3Y-2.24%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.65%, CUBE is a good candidate for dividend investing.
CUBE's Dividend Yield is comparable with the industry average which is at 6.05.
CUBE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.65% |
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.
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.
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%
36.63
-0.18 (-0.49%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners100.27%
Inst Owner Change2.35%
Ins Owners0.77%
Ins Owner Change-0.59%
Market Cap8.35B
Revenue(TTM)1.11B
Net Income(TTM)356.98M
Analysts73.6
Price Target44.7 (22.03%)
Short Float %2.37%
Short Ratio3.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.65% |
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)-3.25%
PT rev (3m)-4.24%
EPS NQ rev (1m)-0.37%
EPS NQ rev (3m)-6.01%
EPS NY rev (1m)-0.76%
EPS NY rev (3m)-2.97%
Revenue NQ rev (1m)0.05%
Revenue NQ rev (3m)0.01%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.48 | ||
| Fwd PE | 23.94 | ||
| P/S | 7.54 | ||
| P/FCF | 14.76 | ||
| P/OCF | 13.12 | ||
| P/B | 3 | ||
| P/tB | 3.02 | ||
| EV/EBITDA | 16.49 |
EPS(TTM)1.56
EY4.26%
EPS(NY)1.53
Fwd EY4.18%
FCF(TTM)2.48
FCFY6.78%
OCF(TTM)2.79
OCFY7.62%
SpS4.86
BVpS12.2
TBVpS12.13
PEG (NY)N/A
PEG (5Y)1.66
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 | 1.3 |
F-Score4
WACC7.26%
ROIC/WACC0.79
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-1.17%
Revenue 1Y (TTM)4.19%
Revenue growth 3Y9.03%
Revenue growth 5Y10.61%
Sales Q2Q%5.24%
Revenue Next Year5.74%
Revenue Next 2Y4.49%
Revenue Next 3Y4.28%
Revenue Next 5Y6.76%
EBIT growth 1Y-5.41%
EBIT growth 3Y18.46%
EBIT growth 5Y15.79%
EBIT Next Year48.66%
EBIT Next 3Y16.96%
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 for 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 expected EPS growth for CUBE stock?
The Earnings per Share (EPS) of CUBESMART (CUBE) is expected to decline by -11.3% 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%.