PUBLIC STORAGE (PSA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PSA - US74460D1090 - REIT
259.43 USD
-1.98 (-0.76%)
259.43 USD
0 (0%)
Overall PSA gets a fundamental rating of 5 out of 10. We evaluated PSA against 30 industry peers in the Specialized REITs industry. While PSA has a great profitability rating, there are some minor concerns on its financial health. PSA has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year PSA was profitable.
PSA had a positive operating cash flow in the past year.
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
PSA has a Return On Assets of 8.42%. This is amongst the best in the industry. PSA outperforms 93.33% of its industry peers.
With an excellent Return On Equity value of 18.18%, PSA belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
PSA has a better Return On Invested Capital (9.25%) than 93.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PSA is significantly above the industry average of 4.78%.
| 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.
PSA has a better Operating Margin (46.91%) than 80.00% of its industry peers.
PSA's Operating Margin has declined in the last couple of years.
PSA's Gross Margin of 73.01% is in line compared to the rest of the industry. PSA outperforms 53.33% of its industry peers.
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
PSA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
PSA has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, PSA has more shares outstanding
Compared to 1 year ago, PSA has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.03 indicates that PSA is not in any danger for bankruptcy at the moment.
PSA has a better Altman-Z score (3.03) than 100.00% of its industry peers.
The Debt to FCF ratio of PSA is 6.37, which is on the high side as it means it would take PSA, 6.37 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PSA (6.37) is better than 86.67% 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.
The Debt to Equity ratio of PSA (1.05) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | 6.37 | ||
| Altman-Z | 3.03 |
ROIC/WACC1.2
WACC7.71%
2.3 Liquidity
PSA has a Current Ratio of 0.31. This is a bad value and indicates that PSA is not financially healthy enough and could expect problems in meeting 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.
PSA has a Quick Ratio of 0.31. This is a bad value and indicates that PSA is not financially healthy enough and could expect problems in meeting 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%.
PSA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.84% yearly.
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
The Earnings Per Share is expected to grow by 3.90% on average over the next years.
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-13.46%
EPS Next 2Y-0.64%
EPS Next 3Y1.68%
EPS Next 5Y3.9%
Revenue Next Year2.26%
Revenue Next 2Y2.91%
Revenue Next 3Y3.47%
Revenue Next 5Y3.32%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
A Price/Earnings ratio of 26.94 indicates a quite expensive valuation of PSA.
Compared to the rest of the industry, the Price/Earnings ratio of PSA indicates a somewhat cheap valuation: PSA is cheaper than 73.33% of the companies listed in the same industry.
PSA's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.50.
Based on the Price/Forward Earnings ratio of 24.72, the valuation of PSA can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PSA indicates a somewhat cheap valuation: PSA is cheaper than 63.33% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.93, PSA is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.94 | ||
| Fwd PE | 24.72 |
4.2 Price Multiples
PSA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. PSA is cheaper than 70.00% of the companies in the same industry.
PSA's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.89 | ||
| EV/EBITDA | 16.44 |
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)3.44
EPS Next 2Y-0.64%
EPS Next 3Y1.68%
5. Dividend
5.1 Amount
PSA has a Yearly Dividend Yield of 6.23%, which is a nice return.
Compared to an average industry Dividend Yield of 5.78, PSA pays a bit more dividend than its industry peers.
PSA's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.23% |
5.2 History
On average, the dividend of PSA grows each year by 7.24%, which is quite nice.
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-0.64%
EPS Next 3Y1.68%
259.43
-1.98 (-0.76%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners82.61%
Inst Owner Change2.62%
Ins Owners10.1%
Ins Owner Change0.39%
Market Cap45.52B
Revenue(TTM)4.79B
Net Income(TTM)1.69B
Analysts76.67
Price Target331.84 (27.91%)
Short Float %2.29%
Short Ratio3.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.23% |
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)-0.07%
PT rev (3m)-0.29%
EPS NQ rev (1m)-0.2%
EPS NQ rev (3m)-1.18%
EPS NY rev (1m)0.13%
EPS NY rev (3m)-15.11%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)0.15%
Revenue NY rev (3m)0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.94 | ||
| Fwd PE | 24.72 | ||
| P/S | 9.51 | ||
| P/FCF | 28.89 | ||
| P/OCF | 14.13 | ||
| P/B | 4.89 | ||
| P/tB | 5.03 | ||
| EV/EBITDA | 16.44 |
EPS(TTM)9.63
EY3.71%
EPS(NY)10.49
Fwd EY4.04%
FCF(TTM)8.98
FCFY3.46%
OCF(TTM)18.36
OCFY7.08%
SpS27.28
BVpS53.07
TBVpS51.54
PEG (NY)N/A
PEG (5Y)3.44
Graham Number107.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.42% | ||
| ROE | 18.18% | ||
| ROCE | 11.71% | ||
| ROIC | 9.25% | ||
| ROICexc | 9.4% | ||
| ROICexgc | 9.69% | ||
| 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 3Y5.27%
ROICexgc growth 5Y-2.78%
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 | 3.03 |
F-Score4
WACC7.71%
ROIC/WACC1.2
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-13.46%
EPS Next 2Y-0.64%
EPS Next 3Y1.68%
EPS Next 5Y3.9%
Revenue 1Y (TTM)2.3%
Revenue growth 3Y11.19%
Revenue growth 5Y10.46%
Sales Q2Q%3.05%
Revenue Next Year2.26%
Revenue Next 2Y2.91%
Revenue Next 3Y3.47%
Revenue Next 5Y3.32%
EBIT growth 1Y0.74%
EBIT growth 3Y9.28%
EBIT growth 5Y8.34%
EBIT Next Year43.12%
EBIT Next 3Y15.68%
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 3 / 10 to PUBLIC STORAGE (PSA). This can be considered as Overvalued.
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 26.94 and the Price/Book (PB) ratio is 4.89.
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 -13.46% in the next year.