NYSE:CUBE

Stock Analysis Report

Executive Summary

CubeSmart is a self-administered and self-managed real estate investment trust.

Snowflake

Fundamentals

6 star dividend payer with proven track record.


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


Market Performance


7 Day Return

-3.0%

NYSE:CUBE

-1.6%

US REITs

1.3%

US Market


1 Year Return

17.1%

NYSE:CUBE

10.0%

US REITs

2.0%

US Market

CUBE outperformed the REITs industry which returned 10.1% over the past year.

CUBE outperformed the Market in United States of America which returned 1.7% over the past year.


Share holder returns

CUBEIndustryMarket
7 Day-3.0%-1.6%1.3%
30 Day-1.0%0.3%3.9%
90 Day1.9%0.6%3.4%
1 Year22.0%17.1%14.9%10.0%4.2%2.0%
3 Year48.0%31.1%29.3%12.4%47.2%37.6%
5 Year131.2%94.0%66.4%31.2%60.5%42.9%

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

Valuation

Is CubeSmart undervalued based on future cash flows and its price relative to the stock market?

22%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

CubeSmart's share price is below the future cash flow value, and at a moderate discount (> 20%).

CubeSmart's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

CubeSmart is overvalued based on earnings compared to the US REITs industry average.

CubeSmart is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

CubeSmart is poor value based on expected growth next year.


Price Based on Value of Assets

CubeSmart is overvalued based on assets compared to the US REITs industry average.


Next Steps

Future Growth

How is CubeSmart expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

6.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

CubeSmart's revenue is expected to grow by 6.7% yearly, however this is not considered high growth (20% yearly).

CubeSmart's earnings are expected to grow by 6.5% yearly, however this is not considered high growth (20% yearly).

CubeSmart's revenue growth is positive but not above the United States of America market average.

CubeSmart's earnings growth is positive but not above the United States of America market average.

CubeSmart's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if CubeSmart will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has CubeSmart performed over the past 5 years?

36.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

CubeSmart has delivered over 20% year on year earnings growth in the past 5 years.

CubeSmart's 1-year earnings growth is less than its 5-year average (17.6% vs 36.7%)

CubeSmart's earnings growth has exceeded the US REITs industry average in the past year (17.6% vs 17%).


Return on Equity

CubeSmart has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

CubeSmart used its assets more efficiently than the US REITs industry average last year based on Return on Assets.


Return on Capital Employed

CubeSmart has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is CubeSmart's financial position?


Financial Position Analysis

CubeSmart's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

CubeSmart's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

CubeSmart's level of debt (100.6%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (96.9% vs 100.6% today).

Debt is not well covered by operating cash flow (17.6%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0x debt.


Next Steps

Dividend

What is CubeSmart's current dividend yield, its reliability and sustainability?

3.83%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase CubeSmart before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

CubeSmart's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).

CubeSmart's dividend is above the markets top 25% of dividend payers in United States of America (3.67%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be thoroughly covered by earnings (277x coverage).


Next Steps

Management

What is the CEO of CubeSmart's salary, the management and board of directors tenure and is there insider trading?

5.8yrs

Average management tenure


CEO

Chris Marr (54yo)

5.7yrs

Tenure

US$4,142,226

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

Chris's remuneration is lower than average for companies of similar size in United States of America.

Chris's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

5.8yrs

Average Tenure

48.5yo

Average Age

The average tenure for the CubeSmart management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

6.8yrs

Average Tenure

59.5yo

Average Age

The tenure for the CubeSmart board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Chris Marr (54yo)

    CEO, President & Trustee

    • Tenure: 5.7yrs
    • Compensation: US$4.14m
  • Tim Martin (48yo)

    CFO & Treasurer

    • Tenure: 10.8yrs
    • Compensation: US$1.74m
  • Charlie Place

    Director

    • Tenure: 5.7yrs
  • Joe Fitzgerald

    Vice President of Operations

    • Tenure: 18.7yrs
  • Carey Parsons

    Vice President of Operations

    • Tenure: 13yrs
  • Jeffrey Foster (49yo)

    Senior VP

    • Tenure: 10.6yrs
    • Compensation: US$1.23m
  • Joel Keaton (47yo)

    Senior Vice President of Operations

    • Tenure: 5.8yrs
  • Daniel Ruble

    Vice President of Marketing

    • Tenure: 5.6yrs
  • Guy Middlebrooks

    Vice President of Third-Party Management

    • Tenure: 5.6yrs

Board Members

  • Jeff Rogatz (57yo)

    • Tenure: 8.7yrs
    • Compensation: US$165.02k
  • Chris Marr (54yo)

    CEO, President & Trustee

    • Tenure: 5.7yrs
    • Compensation: US$4.14m
  • Deborah Salzberg (65yo)

    • Tenure: 6.3yrs
    • Compensation: US$173.97k
  • Jack Remondi (56yo)

    • Tenure: 9.8yrs
    • Compensation: US$156.47k
  • Marianne Keler (64yo)

    Chairman of the Board

    • Tenure: 1.3yrs
    • Compensation: US$186.47k
  • John Fain (66yo)

    • Tenure: 7.3yrs
    • Compensation: US$176.47k
  • Dorothy Dowling (62yo)

    • Tenure: 2.2yrs
    • Compensation: US$157.28k
  • Piero Bussani (54yo)

    • Tenure: 9.6yrs
    • Compensation: US$153.97k

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$6.782b
  • Market Cap: US$6.716b
  • Shares outstanding: 194.32m
  • Website: https://www.cubesmart.com

Number of Employees


Location

  • CubeSmart
  • 5 Old Lancaster Road
  • Malvern
  • Pennsylvania
  • 19355
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CUBENYSE (New York Stock Exchange)YesCommon SharesUSUSDOct 2004
UK8DB (Deutsche Boerse AG)YesCommon SharesDEEUROct 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 reside ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/15 23:51
End of Day Share Price2019/09/13 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.