An Examination Of Public Storage (NYSE:PSA)

Public Storage (NYSE:PSA) is a company with exceptional fundamental characteristics. Upon building up an investment case for a stock, we should look at various aspects. In the case of PSA, it is a notable dividend payer that has been able to sustain great financial health over the past. Below is a brief commentary on these key aspects. If you’re interested in understanding beyond my broad commentary, read the full report on Public Storage here.

6 star dividend payer with adequate balance sheet

PSA is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This implies that PSA manages its cash and cost levels well, which is a key determinant of the company’s health. PSA seems to have put its debt to good use, generating operating cash levels of 1.45x total debt in the most recent year. This is also a good indication as to whether debt is properly covered by the company’s cash flows.

NYSE:PSA Historical Debt January 16th 19
NYSE:PSA Historical Debt January 16th 19

Income investors would also be happy to know that PSA is one of the highest dividend payers in the market, with current dividend yield standing at 4.0%. PSA has also been regularly increasing its dividend payments to shareholders over the past decade.

NYSE:PSA Historical Dividend Yield January 16th 19
NYSE:PSA Historical Dividend Yield January 16th 19

Next Steps:

For Public Storage, there are three key aspects you should further examine:

  1. Future Outlook: What are well-informed industry analysts predicting for PSA’s future growth? Take a look at our free research report of analyst consensus for PSA’s outlook.
  2. Historical Performance: What has PSA’s returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of PSA? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.