EXTRA SPACE STORAGE INC (EXR) Stock Fundamental Analysis
NYSE:EXR - New York Stock Exchange, Inc. - US30225T1025 - REIT - Currency: USD
Overall EXR gets a fundamental rating of 3 out of 10. We evaluated EXR against 30 industry peers in the Specialized REITs industry. There are concerns on the financial health of EXR while its profitability can be described as average. While showing a medium growth rate, EXR is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year EXR was profitable.
In the past year EXR had a positive cash flow from operations.
Each year in the past 5 years EXR has been profitable.
EXR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EXR has a Return On Assets (3.14%) which is comparable to the rest of the industry.
The Return On Equity of EXR (6.56%) is better than 63.33% of its industry peers.
EXR has a worse Return On Invested Capital (4.01%) than 60.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EXR is in line with the industry average of 5.28%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.14% | ||
| ROE | 6.56% | ||
| ROIC | 4.01% |
ROA(3y)4.31%
ROA(5y)5.19%
ROE(3y)12.69%
ROE(5y)16.69%
ROIC(3y)4.86%
ROIC(5y)5.36%
1.3 Margins
The Profit Margin of EXR (27.79%) is better than 70.00% of its industry peers.
In the last couple of years the Profit Margin of EXR has declined.
EXR has a better Operating Margin (43.27%) than 66.67% of its industry peers.
In the last couple of years the Operating Margin of EXR has declined.
EXR has a Gross Margin (71.83%) which is comparable to the rest of the industry.
EXR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.27% | ||
| PM (TTM) | 27.79% | ||
| GM | 71.83% |
OM growth 3Y-6.69%
OM growth 5Y-2.35%
PM growth 3Y-20.63%
PM growth 5Y-3.95%
GM growth 3Y-0.98%
GM growth 5Y-0.06%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EXR is destroying value.
Compared to 1 year ago, EXR has more shares outstanding
Compared to 5 years ago, EXR has more shares outstanding
Compared to 1 year ago, EXR has a worse debt to assets ratio.
2.2 Solvency
EXR has an Altman-Z score of 1.46. This is a bad value and indicates that EXR is not financially healthy and even has some risk of bankruptcy.
EXR has a better Altman-Z score (1.46) than 66.67% of its industry peers.
EXR has a debt to FCF ratio of 12.68. This is a negative value and a sign of low solvency as EXR would need 12.68 years to pay back of all of its debts.
EXR has a Debt to FCF ratio (12.68) which is comparable to the rest of the industry.
EXR has a Debt/Equity ratio of 0.90. This is a neutral value indicating EXR is somewhat dependend on debt financing.
The Debt to Equity ratio of EXR (0.90) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 12.68 | ||
| Altman-Z | 1.46 |
ROIC/WACC0.52
WACC7.69%
2.3 Liquidity
EXR has a Current Ratio of 0.34. This is a bad value and indicates that EXR is not financially healthy enough and could expect problems in meeting its short term obligations.
EXR's Current ratio of 0.34 is on the low side compared to the rest of the industry. EXR is outperformed by 80.00% of its industry peers.
A Quick Ratio of 0.34 indicates that EXR may have some problems paying its short term obligations.
The Quick ratio of EXR (0.34) is worse than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.34 | ||
| Quick Ratio | 0.34 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.90% over the past year.
Measured over the past 5 years, EXR shows a small growth in Earnings Per Share. The EPS has been growing by 6.33% on average per year.
EXR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.72%.
The Revenue has been growing by 20.01% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)2.9%
EPS 3Y-11.05%
EPS 5Y6.33%
EPS Q2Q%26.73%
Revenue 1Y (TTM)14.72%
Revenue growth 3Y27.34%
Revenue growth 5Y20.01%
Sales Q2Q%2.37%
3.2 Future
Based on estimates for the next years, EXR will show a small growth in Earnings Per Share. The EPS will grow by 7.12% on average per year.
EXR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.57% yearly.
EPS Next Y10.09%
EPS Next 2Y5.63%
EPS Next 3Y6.2%
EPS Next 5Y7.12%
Revenue Next Year2.35%
Revenue Next 2Y2.79%
Revenue Next 3Y4%
Revenue Next 5Y3.57%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
The Price/Earnings ratio is 32.52, which means the current valuation is very expensive for EXR.
EXR's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.30. EXR is around the same levels.
EXR is valuated quite expensively with a Price/Forward Earnings ratio of 30.95.
The rest of the industry has a similar Price/Forward Earnings ratio as EXR.
EXR's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 21.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.52 | ||
| Fwd PE | 30.95 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EXR is valued a bit more expensive than the industry average as 70.00% of the companies are valued more cheaply.
EXR's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.24 | ||
| EV/EBITDA | 20.28 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates EXR does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)3.22
PEG (5Y)5.13
EPS Next 2Y5.63%
EPS Next 3Y6.2%
5. Dividend
5.1 Amount
EXR has a Yearly Dividend Yield of 4.35%, which is a nice return.
EXR's Dividend Yield is slightly below the industry average, which is at 5.78.
EXR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.35% |
5.2 History
The dividend of EXR is nicely growing with an annual growth rate of 12.75%!
EXR has been paying a dividend for at least 10 years, so it has a reliable track record.
EXR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)12.75%
Div Incr Years0
Div Non Decr Years15
5.3 Sustainability
150.95% of the earnings are spent on dividend by EXR. This is not a sustainable payout ratio.
The dividend of EXR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP150.95%
EPS Next 2Y5.63%
EPS Next 3Y6.2%
150.24
+1.42 (+0.95%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners99.7%
Inst Owner Change0%
Ins Owners0.9%
Ins Owner Change4.03%
Market Cap31.88B
Analysts69.6
Price Target166.8 (11.02%)
Short Float %1.55%
Short Ratio3.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.35% |
Yearly Dividend6.5
Dividend Growth(5Y)12.75%
DP150.95%
Div Incr Years0
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)20.01%
Min EPS beat(2)16.37%
Max EPS beat(2)23.64%
EPS beat(4)3
Avg EPS beat(4)8.57%
Min EPS beat(4)-19.64%
Max EPS beat(4)23.64%
EPS beat(8)5
Avg EPS beat(8)6.05%
EPS beat(12)9
Avg EPS beat(12)5.6%
EPS beat(16)13
Avg EPS beat(16)9.27%
Revenue beat(2)0
Avg Revenue beat(2)-8.24%
Min Revenue beat(2)-8.65%
Max Revenue beat(2)-7.83%
Revenue beat(4)0
Avg Revenue beat(4)-7.21%
Min Revenue beat(4)-8.65%
Max Revenue beat(4)-5.29%
Revenue beat(8)1
Avg Revenue beat(8)-2.44%
Revenue beat(12)4
Avg Revenue beat(12)2.35%
Revenue beat(16)8
Avg Revenue beat(16)6.84%
PT rev (1m)0%
PT rev (3m)-1.08%
EPS NQ rev (1m)0.98%
EPS NQ rev (3m)3.24%
EPS NY rev (1m)5.76%
EPS NY rev (3m)6.26%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)-0.04%
Revenue NY rev (1m)0.55%
Revenue NY rev (3m)0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.52 | ||
| Fwd PE | 30.95 | ||
| P/S | 9.73 | ||
| P/FCF | 32.24 | ||
| P/OCF | 16.75 | ||
| P/B | 2.3 | ||
| P/tB | 2.33 | ||
| EV/EBITDA | 20.28 |
EPS(TTM)4.62
EY3.08%
EPS(NY)4.85
Fwd EY3.23%
FCF(TTM)4.66
FCFY3.1%
OCF(TTM)8.97
OCFY5.97%
SpS15.44
BVpS65.44
TBVpS64.51
PEG (NY)3.22
PEG (5Y)5.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.14% | ||
| ROE | 6.56% | ||
| ROCE | 5.08% | ||
| ROIC | 4.01% | ||
| ROICexc | 4.03% | ||
| ROICexgc | 4.06% | ||
| OM | 43.27% | ||
| PM (TTM) | 27.79% | ||
| GM | 71.83% | ||
| FCFM | 30.18% |
ROA(3y)4.31%
ROA(5y)5.19%
ROE(3y)12.69%
ROE(5y)16.69%
ROIC(3y)4.86%
ROIC(5y)5.36%
ROICexc(3y)4.89%
ROICexc(5y)5.4%
ROICexgc(3y)4.99%
ROICexgc(5y)5.5%
ROCE(3y)6.15%
ROCE(5y)6.79%
ROICexcg growth 3Y-15.49%
ROICexcg growth 5Y-8.59%
ROICexc growth 3Y-15.27%
ROICexc growth 5Y-8.37%
OM growth 3Y-6.69%
OM growth 5Y-2.35%
PM growth 3Y-20.63%
PM growth 5Y-3.95%
GM growth 3Y-0.98%
GM growth 5Y-0.06%
F-Score6
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 12.68 | ||
| Debt/EBITDA | 5.74 | ||
| Cap/Depr | 119.3% | ||
| Cap/Sales | 27.9% | ||
| Interest Coverage | 2.79 | ||
| Cash Conversion | 87.12% | ||
| Profit Quality | 108.57% | ||
| Current Ratio | 0.34 | ||
| Quick Ratio | 0.34 | ||
| Altman-Z | 1.46 |
F-Score6
WACC7.69%
ROIC/WACC0.52
Cap/Depr(3y)221.95%
Cap/Depr(5y)275.25%
Cap/Sales(3y)37.71%
Cap/Sales(5y)44.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2.9%
EPS 3Y-11.05%
EPS 5Y6.33%
EPS Q2Q%26.73%
EPS Next Y10.09%
EPS Next 2Y5.63%
EPS Next 3Y6.2%
EPS Next 5Y7.12%
Revenue 1Y (TTM)14.72%
Revenue growth 3Y27.34%
Revenue growth 5Y20.01%
Sales Q2Q%2.37%
Revenue Next Year2.35%
Revenue Next 2Y2.79%
Revenue Next 3Y4%
Revenue Next 5Y3.57%
EBIT growth 1Y8.33%
EBIT growth 3Y18.82%
EBIT growth 5Y17.19%
EBIT Next Year50.28%
EBIT Next 3Y17.4%
EBIT Next 5Y12.21%
FCF growth 1Y15352.5%
FCF growth 3YN/A
FCF growth 5Y29.67%
OCF growth 1Y54.46%
OCF growth 3Y25.61%
OCF growth 5Y21.68%