NYSE:PSA

Stock Analysis Report

Executive Summary

Public Storage, a member of the S&P 500 and FT Global 500, is a REIT that primarily acquires, develops, owns and operates self-storage facilities.

Snowflake

Fundamentals

Established dividend payer with acceptable track record.


Similar Companies

Share Price & News

How has Public Storage's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.5%

PSA

-0.2%

US REITs

1.3%

US Market


1 Year Return

23.7%

PSA

19.9%

US REITs

5.9%

US Market

Return vs Industry: PSA exceeded the US REITs industry which returned 19.9% over the past year.

Return vs Market: PSA exceeded the US Market which returned 5.9% over the past year.


Shareholder returns

PSAIndustryMarket
7 Day-0.5%-0.2%1.3%
30 Day0.8%2.0%-1.9%
90 Day-1.5%4.2%-1.8%
1 Year28.1%23.7%25.3%19.9%8.3%5.9%
3 Year27.4%14.0%34.1%17.0%45.6%36.2%
5 Year68.4%41.7%64.2%29.5%66.1%47.9%

Price Volatility Vs. Market

How volatile is Public Storage's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Public Storage undervalued compared to its fair value and its price relative to the market?

29.24x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: PSA ($245.33) is trading above our estimate of fair value ($226.81)

Significantly Undervalued: PSA is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PSA is good value based on its PE Ratio (29.2x) compared to the REITs industry average (35.3x).

PE vs Market: PSA is poor value based on its PE Ratio (29.2x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: PSA is poor value based on its PEG Ratio (11.7x)


Price to Book Ratio

PB vs Industry: PSA is overvalued based on its PB Ratio (8.5x) compared to the US REITs industry average (2x).


Next Steps

Future Growth

How is Public Storage forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

2.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PSA's forecast earnings growth (2.5% per year) is below the savings rate (2.7%).

Earnings vs Market: PSA's earnings (2.5% per year) are forecast to grow slower than the US market (14.4% per year).

High Growth Earnings: PSA's earnings are forecast to grow, but not significantly.

Revenue vs Market: PSA's revenue (2.3% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: PSA's revenue (2.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: PSA's Return on Equity is forecast to be high in 3 years time (22.5%)


Next Steps

Past Performance

How has Public Storage performed over the past 5 years?

10.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: PSA's earnings have grown by 10% per year over the past 5 years.

Accelerating Growth: PSA's earnings growth over the past year (16.9%) exceeds its 5-year average (10% per year).

Earnings vs Industry: PSA earnings growth over the past year (16.9%) underperformed the REITs industry 17%.


Return on Equity

High ROE: PSA's Return on Equity (19.4%) is considered low.


Return on Assets

ROA vs Industry: PSA has a higher Return on Assets than the REITs industry average last year.


Return on Capital Employed

ROCE Improving: PSA's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Public Storage's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: PSA has a high level of physical assets or inventory.

Debt Coverage by Assets: PSA's debt is not covered by short term assets (assets are 0.2x debt).


Financial Institutions Analysis

Asset Level: PSA's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if PSA has a sufficient allowance for bad loans.

Low Risk Liabilities: PSA reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if PSA has an acceptable proportion of non-loan assets held.

Low Risk Deposits: PSA has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if PSA has an appropriate level of bad loans.


Next Steps

Dividend

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

3.26%

Current Dividend Yield


Dividend Yield vs Market

company3.3%marketbottom25%1.5%markettop25%3.8%industryaverage3.7%forecastin3Years3.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: PSA's dividend (3.26%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: PSA's dividend (3.26%) is low compared to the top 25% of dividend payers in the US market (3.77%).

Stable Dividend: PSA's dividends per share have been stable in the past 10 years.

Growing Dividend: PSA's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (88%), PSA's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PSA's dividends in 3 years are forecast to be thoroughly covered by earnings (0.4% payout ratio).


Next Steps

Management

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

1.4yrs

Average management tenure


CEO

Dan Staton (66yo)

0yrs

Tenure

US$205,300

Compensation

Mr. Daniel C. Staton, II, also known as Dan, serves as the Managing General Partner of The Walnut Group. He is a Managing Director at Staton Capital LLC since February 2003. Mr. Staton serves as the Co-Man ...


Management Age and Tenure

1.4yrs

Average Tenure

59yo

Average Age

Experienced Management: PSA's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Age and Tenure

9.7yrs

Average Tenure

67yo

Average Age

Experienced Board: PSA's board of directors are considered experienced (9.7 years average tenure).


Insider Trading

Insider Buying: PSA insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$65,775,40604 Sep 19
B. Hughes
EntityIndividual
Role
Chairman Emeritus
Founder & Chairman Emeritus
Shares250,000
Max PriceUS$266.13
SellUS$190,06904 Sep 19
Nathaniel Vitan
EntityIndividual
Role
Chief Legal Officer
Senior VP
Shares719
Max PriceUS$264.35
SellUS$9,799,82715 Aug 19
B. Hughes
EntityIndividual
Role
Chairman Emeritus
Founder & Chairman Emeritus
Shares38,000
Max PriceUS$258.44
SellUS$10,243,99013 Aug 19
B. Hughes
EntityIndividual
Role
Chairman Emeritus
Founder & Chairman Emeritus
Shares40,000
Max PriceUS$257.24

Ownership Breakdown


Management Team

  • B. Hughes (85yo)

    Founder & Chairman Emeritus

    • Tenure: 0yrs
  • Joe Russell (59yo)

    CEO, President & Trustee

    • Tenure: 0.8yrs
    • Compensation: US$2.19m
  • Dan Staton (66yo)

    Independent Trustee

    • Tenure: 0yrs
    • Compensation: US$205.30k
  • John Sambuco

    President of Asset Management

    • Tenure: 11.4yrs
  • Steven Lentin

    Senior VP & COO

    • Tenure: 1.8yrs
  • Tom Boyle (36yo)

    CFO & Senior VP

    • Tenure: 0.8yrs
  • Mark Delcher

    Senior VP & Chief Information Officer

    • Tenure: 0yrs
  • Natalia Johnson (41yo)

    Senior VP & Chief Human Resources Officer

    • Tenure: 3.3yrs
    • Compensation: US$1.25m
  • Ryan Burke

    Vice President of Investor Services

    • Tenure: 1.4yrs
  • Nathan Vitan

    Senior VP

    • Tenure: 0.5yrs

Board Members

  • Ron Spogli (71yo)

    Independent Trustee

    • Tenure: 9.7yrs
    • Compensation: US$205.30k
  • B. Hughes (85yo)

    Founder & Chairman Emeritus

    • Tenure: 0yrs
  • Edward Reyes (58yo)

    • Tenure: 0.8yrs
    • Compensation: US$5.73m
  • Joe Russell (59yo)

    CEO, President & Trustee

    • Tenure: 0.8yrs
    • Compensation: US$2.19m
  • Ron Havner (61yo)

    Chairman of the Board Trustees

    • Tenure: 8.2yrs
    • Compensation: US$9.18m
  • Uri Harkham (70yo)

    Independent Trustee

    • Tenure: 26.6yrs
    • Compensation: US$192.80k
  • B. Hughes (60yo)

    • Tenure: 21.8yrs
    • Compensation: US$185.30k
  • Dan Staton (66yo)

    Independent Trustee

    • Tenure: 0yrs
    • Compensation: US$205.30k
  • Dick Poladian (68yo)

    Independent Trustee

    • Tenure: 9.7yrs
    • Compensation: US$210.30k
  • Gary Pruitt (69yo)

    Lead Independent Trustee

    • Tenure: 9.4yrs
    • Compensation: US$220.30k

Company Information

Public Storage's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Public Storage
  • Ticker: PSA
  • Exchange: NYSE
  • Founded: 1971
  • Industry: Specialized REITs
  • Sector: Real Estate
  • Implied Market Cap: US$43.001b
  • Market Cap: US$42.834b
  • Shares outstanding: 174.83m
  • Website: https://www.publicstorage.com

Number of Employees


Location

  • Public Storage
  • 701 Western Avenue
  • Glendale
  • California
  • 91201
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PSANYSE (New York Stock Exchange)YesCommon StockUSUSDNov 1980
PUPDB (Deutsche Boerse AG)YesCommon StockDEEURNov 1980
0KS3LSE (London Stock Exchange)YesCommon StockGBUSDNov 1980
PSA.PRKNYSE (New York Stock Exchange)PFD K 1/1000USUSDAug 2006
PSA PRLCLNYSE (New York Stock Exchange)PFD L 1/1000THUSUSDNov 2006
PSA.PRVNYSE (New York Stock Exchange)DEP1/1000THPFDUSUSDSep 2012
PSA.PRXNYSE (New York Stock Exchange)DEP 1/1000 PFD XUSUSDMar 2013
PSA.PRANYSE (New York Stock Exchange)SHS REPSTG PFDUSUSDNov 2014
PSA.PRBNYSE (New York Stock Exchange)DEP RPST PFD BUSUSDJan 2016
PSA.PRCNYSE (New York Stock Exchange)DEP SHS PFD CUSUSDMay 2016
PSA.PRDNYSE (New York Stock Exchange)DEP SHS PFD DUSUSDJul 2016
PSA.PRENYSE (New York Stock Exchange)PFD BEN INT EUSUSDOct 2016
PSA.PRFNYSE (New York Stock Exchange)PFD SHS F 5.15%USUSDMay 2017
PSA.PRGNYSE (New York Stock Exchange)5.05% CUM PFD GUSUSDAug 2017
PSA.PRHNYSE (New York Stock Exchange)5.60 DEPSHS RP HUSUSDMar 2019
PSA.PRINYSE (New York Stock Exchange)4.875 DPRP PFD IUSUSDSep 2019

Biography

Public Storage, a member of the S&P 500 and FT Global 500, is a REIT that primarily acquires, develops, owns and operates self-storage facilities. At June 30, 2019, we had: (i) interests in 2,456 self-stor ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 23:40
End of Day Share Price2019/10/14 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.