The Bull Case For CubeSmart (CUBE) Could Change Following Deutsche Bank’s Urban Market Upgrade - Learn Why

• On October 14, 2025, Deutsche Bank upgraded CubeSmart to Buy from Hold, highlighting a more positive outlook for the self-storage REIT sector ahead of Q3 reports and emphasizing CubeSmart's strong presence in markets with favorable demand and supply fundamentals, particularly New York City.
• This upgrade draws attention to CubeSmart’s significant exposure to urban markets where limited storage supply and robust demand trends are shaping its industry standing.
• Let's examine how the focus on CubeSmart's strong urban market exposure could influence its investment narrative and outlook.

Find companies with promising cash flow potential yet trading below their fair value.

CubeSmart Investment Narrative Recap

To be a CubeSmart shareholder today, you need to believe that demand for self-storage in high-density urban areas like New York City will outpace new supply, strengthening revenue potential even as some regions face headwinds. While Deutsche Bank’s upgrade shines a light on CubeSmart’s urban market focus, this news does not materially change the key near-term catalyst: the pace at which move-in rates and same-store revenue growth can stabilize, or the leading risk of persistent supply pressures in Sunbelt markets moderating portfolio growth.

Among recent announcements, CubeSmart’s latest update to its full-year 2025 earnings guidance is most relevant, showing management modestly raised the low end of expected same-store revenue growth even as negative comps persist. This aligns with the view that urban market strength could support portfolio performance, but ongoing occupancy and recovery challenges across the broader network remain an important watchpoint for investors.

On the other hand, investors should be aware that slower-than-expected recovery in move-in rates and same-store revenue growth could mean...

Read the full narrative on CubeSmart (it's free!)

CubeSmart's narrative projects $1.3 billion revenue and $369.9 million earnings by 2028. This requires 4.5% yearly revenue growth and a $4.9 million decrease in earnings from $374.8 million currently.

Uncover how CubeSmart's forecasts yield a $45.28 fair value, a 10% upside to its current price.

Exploring Other Perspectives

Two fair value estimates from the Simply Wall St Community range widely from US$45.28 to US$61.25 per share. With ongoing pressures from new supply lingering in key Sunbelt markets, you’ll find plenty of contrasting views to consider and compare.

Explore 2 other fair value estimates on CubeSmart - why the stock might be worth just $45.28!

Build Your Own CubeSmart Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your CubeSmart research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free CubeSmart research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate CubeSmart's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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