PUBLIC STORAGE (PSA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PSA - US74460D1090 - REIT
274.21 USD
+1.88 (+0.69%)
274.21 USD
0 (0%)
Taking everything into account, PSA scores 5 out of 10 in our fundamental rating. PSA was compared to 30 industry peers in the Specialized REITs industry. PSA has an excellent profitability rating, but there are some minor concerns on its financial health. PSA has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PSA was profitable.
In the past year PSA had a positive cash flow from operations.
Each year in the past 5 years PSA has been profitable.
In the past 5 years PSA always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of PSA (8.42%) is better than 93.33% of its industry peers.
Looking at the Return On Equity, with a value of 18.18%, PSA belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
With an excellent Return On Invested Capital value of 9.25%, PSA belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for PSA is significantly above the industry average of 4.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.42% | ||
| ROE | 18.18% | ||
| ROIC | 9.25% |
ROA(3y)14.31%
ROA(5y)12.44%
ROE(3y)26.62%
ROE(5y)22.25%
ROIC(3y)9.8%
ROIC(5y)9.42%
1.3 Margins
Looking at the Profit Margin, with a value of 35.38%, PSA belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Profit Margin of PSA has declined.
With a decent Operating Margin value of 46.91%, PSA is doing good in the industry, outperforming 80.00% of the companies in the same industry.
In the last couple of years the Operating Margin of PSA has declined.
PSA has a Gross Margin (73.01%) which is comparable to the rest of the industry.
PSA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 46.91% | ||
| PM (TTM) | 35.38% | ||
| GM | 73.01% |
OM growth 3Y-1.72%
OM growth 5Y-1.92%
PM growth 3Y-7.7%
PM growth 5Y-2.2%
GM growth 3Y0.07%
GM growth 5Y0.47%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PSA is still creating some value.
The number of shares outstanding for PSA remains at a similar level compared to 1 year ago.
The number of shares outstanding for PSA has been increased compared to 5 years ago.
Compared to 1 year ago, PSA has a worse debt to assets ratio.
2.2 Solvency
PSA has an Altman-Z score of 3.16. This indicates that PSA is financially healthy and has little risk of bankruptcy at the moment.
PSA has a better Altman-Z score (3.16) than 100.00% of its industry peers.
PSA has a debt to FCF ratio of 6.37. This is a slightly negative value and a sign of low solvency as PSA would need 6.37 years to pay back of all of its debts.
PSA has a Debt to FCF ratio of 6.37. This is amongst the best in the industry. PSA outperforms 90.00% of its industry peers.
PSA has a Debt/Equity ratio of 1.05. This is a high value indicating a heavy dependency on external financing.
PSA has a Debt to Equity ratio (1.05) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | 6.37 | ||
| Altman-Z | 3.16 |
ROIC/WACC1.21
WACC7.63%
2.3 Liquidity
A Current Ratio of 0.31 indicates that PSA may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.31, PSA is doing worse than 83.33% of the companies in the same industry.
A Quick Ratio of 0.31 indicates that PSA may have some problems paying its short term obligations.
PSA has a worse Quick ratio (0.31) than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.31 | ||
| Quick Ratio | 0.31 |
3. Growth
3.1 Past
PSA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by 0.00%.
Measured over the past 5 years, PSA shows a small growth in Earnings Per Share. The EPS has been growing by 7.84% on average per year.
PSA shows a small growth in Revenue. In the last year, the Revenue has grown by 2.30%.
Measured over the past years, PSA shows a quite strong growth in Revenue. The Revenue has been growing by 10.46% on average per year.
EPS 1Y (TTM)0%
EPS 3Y2.5%
EPS 5Y7.84%
EPS Q2Q%21.3%
Revenue 1Y (TTM)2.3%
Revenue growth 3Y11.19%
Revenue growth 5Y10.46%
Sales Q2Q%3.05%
3.2 Future
Based on estimates for the next years, PSA will show a small growth in Earnings Per Share. The EPS will grow by 3.90% on average per year.
PSA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.32% yearly.
EPS Next Y-13.56%
EPS Next 2Y-0.72%
EPS Next 3Y1.54%
EPS Next 5Y3.9%
Revenue Next Year2.11%
Revenue Next 2Y2.79%
Revenue Next 3Y3.64%
Revenue Next 5Y3.32%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 28.47, PSA can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of PSA indicates a somewhat cheap valuation: PSA is cheaper than 70.00% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of PSA to the average of the S&P500 Index (26.15), we can say PSA is valued inline with the index average.
With a Price/Forward Earnings ratio of 26.17, PSA can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, PSA is valued a bit cheaper than 63.33% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.12. PSA is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.47 | ||
| Fwd PE | 26.17 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PSA is valued a bit cheaper than 66.67% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PSA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.53 | ||
| EV/EBITDA | 17.11 |
4.3 Compensation for Growth
PSA has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.63
EPS Next 2Y-0.72%
EPS Next 3Y1.54%
5. Dividend
5.1 Amount
PSA has a Yearly Dividend Yield of 4.52%, which is a nice return.
Compared to an average industry Dividend Yield of 6.15, PSA is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.41, PSA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.52% |
5.2 History
The dividend of PSA is nicely growing with an annual growth rate of 7.24%!
PSA has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of PSA decreased recently.
Dividend Growth(5Y)7.24%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
136.04% of the earnings are spent on dividend by PSA. This is not a sustainable payout ratio.
PSA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP136.04%
EPS Next 2Y-0.72%
EPS Next 3Y1.54%
274.21
+1.88 (+0.69%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners82.3%
Inst Owner Change2.59%
Ins Owners10.1%
Ins Owner Change0.39%
Market Cap48.11B
Revenue(TTM)4.79B
Net Income(TTM)1.69B
Analysts76.67
Price Target333.22 (21.52%)
Short Float %2.29%
Short Ratio3.9
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.52% |
Yearly Dividend13.11
Dividend Growth(5Y)7.24%
DP136.04%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-14.69%
Min EPS beat(2)-31.86%
Max EPS beat(2)2.48%
EPS beat(4)2
Avg EPS beat(4)-5.33%
Min EPS beat(4)-31.86%
Max EPS beat(4)23.73%
EPS beat(8)4
Avg EPS beat(8)-6.69%
EPS beat(12)6
Avg EPS beat(12)-5.35%
EPS beat(16)10
Avg EPS beat(16)2.83%
Revenue beat(2)2
Avg Revenue beat(2)0.13%
Min Revenue beat(2)0.09%
Max Revenue beat(2)0.17%
Revenue beat(4)3
Avg Revenue beat(4)-0.09%
Min Revenue beat(4)-0.72%
Max Revenue beat(4)0.17%
Revenue beat(8)4
Avg Revenue beat(8)-0.35%
Revenue beat(12)5
Avg Revenue beat(12)-0.36%
Revenue beat(16)8
Avg Revenue beat(16)-0.26%
PT rev (1m)0.3%
PT rev (3m)-0.93%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.27%
EPS NY rev (1m)0%
EPS NY rev (3m)-15.22%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.47 | ||
| Fwd PE | 26.17 | ||
| P/S | 10.05 | ||
| P/FCF | 30.53 | ||
| P/OCF | 14.93 | ||
| P/B | 5.17 | ||
| P/tB | 5.32 | ||
| EV/EBITDA | 17.11 |
EPS(TTM)9.63
EY3.51%
EPS(NY)10.48
Fwd EY3.82%
FCF(TTM)8.98
FCFY3.27%
OCF(TTM)18.36
OCFY6.7%
SpS27.28
BVpS53.08
TBVpS51.54
PEG (NY)N/A
PEG (5Y)3.63
Graham Number107.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.42% | ||
| ROE | 18.18% | ||
| ROCE | 11.71% | ||
| ROIC | 9.25% | ||
| ROICexc | 9.4% | ||
| ROICexgc | 9.74% | ||
| OM | 46.91% | ||
| PM (TTM) | 35.38% | ||
| GM | 73.01% | ||
| FCFM | 32.92% |
ROA(3y)14.31%
ROA(5y)12.44%
ROE(3y)26.62%
ROE(5y)22.25%
ROIC(3y)9.8%
ROIC(5y)9.42%
ROICexc(3y)10.11%
ROICexc(5y)9.73%
ROICexgc(3y)10.44%
ROICexgc(5y)10.05%
ROCE(3y)12.41%
ROCE(5y)11.93%
ROICexgc growth 3Y5.29%
ROICexgc growth 5Y-2.76%
ROICexc growth 3Y5.3%
ROICexc growth 5Y-2.67%
OM growth 3Y-1.72%
OM growth 5Y-1.92%
PM growth 3Y-7.7%
PM growth 5Y-2.2%
GM growth 3Y0.07%
GM growth 5Y0.47%
F-Score4
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | 6.37 | ||
| Debt/EBITDA | 2.89 | ||
| Cap/Depr | 144.74% | ||
| Cap/Sales | 34.39% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 95.25% | ||
| Profit Quality | 93.06% | ||
| Current Ratio | 0.31 | ||
| Quick Ratio | 0.31 | ||
| Altman-Z | 3.16 |
F-Score4
WACC7.63%
ROIC/WACC1.21
Cap/Depr(3y)132.03%
Cap/Depr(5y)277.82%
Cap/Sales(3y)28.99%
Cap/Sales(5y)58.08%
Profit Quality(3y)83.71%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y2.5%
EPS 5Y7.84%
EPS Q2Q%21.3%
EPS Next Y-13.56%
EPS Next 2Y-0.72%
EPS Next 3Y1.54%
EPS Next 5Y3.9%
Revenue 1Y (TTM)2.3%
Revenue growth 3Y11.19%
Revenue growth 5Y10.46%
Sales Q2Q%3.05%
Revenue Next Year2.11%
Revenue Next 2Y2.79%
Revenue Next 3Y3.64%
Revenue Next 5Y3.32%
EBIT growth 1Y0.74%
EBIT growth 3Y9.28%
EBIT growth 5Y8.34%
EBIT Next Year42.38%
EBIT Next 3Y15.59%
EBIT Next 5Y10.85%
FCF growth 1Y-16.43%
FCF growth 3YN/A
FCF growth 5Y12.79%
OCF growth 1Y0.95%
OCF growth 3Y7.14%
OCF growth 5Y8.63%
PUBLIC STORAGE / PSA FAQ
What is the ChartMill fundamental rating of PUBLIC STORAGE (PSA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to PSA.
Can you provide the valuation status for PUBLIC STORAGE?
ChartMill assigns a valuation rating of 4 / 10 to PUBLIC STORAGE (PSA). This can be considered as Fairly Valued.
What is the profitability of PSA stock?
PUBLIC STORAGE (PSA) has a profitability rating of 7 / 10.
What is the valuation of PUBLIC STORAGE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for PUBLIC STORAGE (PSA) is 28.47 and the Price/Book (PB) ratio is 5.17.
What is the expected EPS growth for PUBLIC STORAGE (PSA) stock?
The Earnings per Share (EPS) of PUBLIC STORAGE (PSA) is expected to decline by -13.56% in the next year.