CubeSmart
Market Cap
US$5.1b
Last Updated
2020/04/08 05:55 UTC
Data Sources
Company Financials +
Executive Summary
CubeSmart is a self-administered and self-managed real estate investment trust.
Rewards
Risk Analysis
Snowflake Analysis
Established dividend payer and slightly overvalued.
Similar Companies
Share Price & News
How has CubeSmart's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CUBE has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
2.7%
CUBE
0.3%
US REITs
2.4%
US Market
1 Year Return
-18.1%
CUBE
-20.3%
US REITs
-10.0%
US Market
Return vs Industry: CUBE exceeded the US REITs industry which returned -26.9% over the past year.
Return vs Market: CUBE matched the US Market which returned -15.9% over the past year.
Shareholder returns
| CUBE | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.7% | 0.3% | 2.4% |
| 30 Day | -16.2% | -22.2% | -11.0% |
| 90 Day | -14.3% | -24.2% | -19.4% |
| 1 Year | -14.6%-18.1% | -16.9%-20.3% | -8.1%-10.0% |
| 3 Year | 10.5%-2.5% | -2.8%-15.0% | 17.3%9.6% |
| 5 Year | 38.3%14.8% | 15.9%-7.9% | 36.1%21.1% |
Price Volatility Vs. Market
How volatile is CubeSmart's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Did You Manage To Avoid CubeSmart's (NYSE:CUBE) 17% Share Price Drop?1 month ago | Simply Wall St
CubeSmart Full-Year Results Just Came Out: Here's What Analysts Are Forecasting For Next Year2 months ago | Simply Wall St
Should You Be Excited About CubeSmart's (NYSE:CUBE) 9.4% Return On Equity?Valuation
Is CubeSmart undervalued compared to its fair value and its price relative to the market?
43.9%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CUBE ($26.45) is trading below our estimate of fair value ($46.8)
Significantly Below Fair Value: CUBE is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CUBE is poor value based on its PE Ratio (29.9x) compared to the REITs industry average (22.5x).
PE vs Market: CUBE is poor value based on its PE Ratio (29.9x) compared to the US market (12.2x).
Price to Earnings Growth Ratio
PEG Ratio: CUBE is poor value based on its PEG Ratio (8.4x)
Price to Book Ratio
PB vs Industry: CUBE is overvalued based on its PB Ratio (2.8x) compared to the US REITs industry average (1.1x).
Next Steps
Future Growth
How is CubeSmart forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
3.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CUBE's forecast earnings growth (3.5% per year) is above the savings rate (1.7%).
Earnings vs Market: CUBE's earnings (3.5% per year) are forecast to grow slower than the US market (13.4% per year).
High Growth Earnings: CUBE's earnings are forecast to grow, but not significantly.
Revenue vs Market: CUBE's revenue (4.1% per year) is forecast to grow slower than the US market (7% per year).
High Growth Revenue: CUBE's revenue (4.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CUBE's Return on Equity is forecast to be low in 3 years time (9.4%).
Next Steps
Past Performance
How has CubeSmart performed over the past 5 years?
30.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CUBE has high quality earnings.
Growing Profit Margin: CUBE's current net profit margins (25.8%) are lower than last year (27.4%).
Past Earnings Growth Analysis
Earnings Trend: CUBE's earnings have grown significantly by 30.6% per year over the past 5 years.
Accelerating Growth: CUBE's earnings growth over the past year (3.2%) is below its 5-year average (30.6% per year).
Earnings vs Industry: CUBE earnings growth over the past year (3.2%) underperformed the REITs industry 4.3%.
Return on Equity
High ROE: CUBE's Return on Equity (9.1%) is considered low.
Next Steps
Financial Health
How is CubeSmart's financial position?
Financial Position Analysis
Short Term Liabilities: CUBE's short term assets ($82.2M) do not cover its short term liabilities ($146.0M).
Long Term Liabilities: CUBE's short term assets ($82.2M) do not cover its long term liabilities ($2.0B).
Debt to Equity History and Analysis
Debt Level: CUBE's debt to equity ratio (103.3%) is considered high.
Reducing Debt: CUBE's debt to equity ratio has increased from 78.8% to 103.3% over the past 5 years.
Debt Coverage: CUBE's debt is not well covered by operating cash flow (17.2%).
Interest Coverage: CUBE's interest payments on its debt are well covered by EBIT (3.2x coverage).
Balance Sheet
Next Steps
Dividend
What is CubeSmart's current dividend yield, its reliability and sustainability?
5.02%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CUBE's dividend (4.99%) is higher than the bottom 25% of dividend payers in the US market (2.07%).
High Dividend: CUBE's dividend (4.99%) is low compared to the top 25% of dividend payers in the US market (5.82%).
Stability and Growth of Payments
Stable Dividend: CUBE's dividends per share have been stable in the past 10 years.
Growing Dividend: CUBE's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (74.8%), CUBE's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CUBE's dividends in 3 years are forecast to be thoroughly covered by earnings (0.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.3yrs
Average management tenure
CEO
Chris Marr (54yo)
6.25s
Tenure
US$5,357,599
Compensation
Mr. Christopher P. Marr, also known as Chris, has been the Chief Executive Officer and President at CubeSmart, a real estate company that acquires, owns, operates and develops self-storage facilities in th ...
CEO Compensation Analysis
Compensation vs Market: Chris's total compensation ($USD4.14M) is below average for companies of similar size in the US market ($USD7.76M).
Compensation vs Earnings: Chris's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Trustee | 6.25yrs | US$5.36m | 0.24% $12.6m | |
| CFO & Treasurer | 11.42yrs | US$2.01m | 0.11% $5.5m | |
| Chief Operating Officer | 0.42yr | US$1.26m | 0.020% $1.0m | |
| Senior VP | 11.17yrs | US$1.35m | 0.067% $3.5m | |
| Director | 6.25yrs | no data | no data | |
| Vice President of Marketing | 6.17yrs | no data | no data | |
| Vice President of Operations | 19.25yrs | no data | no data | |
| Vice President of Operations | 13.58yrs | no data | no data | |
| Vice President of Third-Party Management | 6.17yrs | no data | no data | |
| Director of Financial Analysis | no data | no data | no data |
6.3yrs
Average Tenure
48.5yo
Average Age
Experienced Management: CUBE's management team is seasoned and experienced (6.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Trustee | 6.25yrs | US$5.36m | 0.24% $12.6m | |
| Independent Trustee | 9.25yrs | US$152.95k | 0.019% $989.7k | |
| Independent Trustee | 6.92yrs | US$155.41k | 0.011% $542.2k | |
| Independent Trustee | 10.42yrs | US$146.66k | 0.029% $1.5m | |
| Independent Chairman of the Board | 1.92yrs | US$161.66k | 0.028% $1.4m | |
| Independent Trustee | 7.92yrs | US$184.10k | 0.014% $733.8k | |
| Independent Trustee | 2.75yrs | US$190.72k | 0.0065% $334.2k | |
| Independent Trustee | 10.17yrs | US$145.41k | 0.025% $1.3m |
7.4yrs
Average Tenure
59.5yo
Average Age
Experienced Board: CUBE's board of directors are considered experienced (7.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.4%.
Top Shareholders
Company Information
CubeSmart's company bio, employee growth, exchange listings and data sources
Key Information
- Name: CubeSmart
- Ticker: CUBE
- Exchange: NYSE
- Founded: 2004
- Industry: Specialized REITs
- Sector: Real Estate
- Implied Market Cap: US$5.149b
- Market Cap: US$5.098b
- Shares outstanding: 196.02m
- Website: https://www.cubesmart.com
Number of Employees
Location
- CubeSmart
- 5 Old Lancaster Road
- Malvern
- Pennsylvania
- 19355
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CUBE | NYSE (New York Stock Exchange) | Yes | Common Shares | US | USD | Oct 2004 |
| UK8 | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Oct 2004 |
| UK8 | BRSE (Berne Stock Exchange) | Yes | Common Shares | CH | CHF | Oct 2004 |
Biography
CubeSmart is a self-administered and self-managed real estate investment trust. The Company's self-storage properties are designed to offer affordable, easily accessible and secure storage space for residential and commercial customers. According to the 2020 Self-Storage Almanac, CubeSmart is one of the top three owners and operators of self-storage properties in the United States.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/08 05:55 |
| End of Day Share Price | 2020/04/07 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.