Storage space companies have held up better than most sectors recently. After renovating and making other changes around the house, people needed a place to store their extra stuff. Among those companies, Extra Space Storage stock has enjoyed a long ride higher. And last quarter its earnings popped 63%. However, like most companies it's taken a hit during the current market correction. Still, its Relative Strength (RS) Rating climbed into a higher percentile Wednesday, as it got a lift from 67 to 76. Could this be the start of another run higher?
The 76 RS Rating means that Extra Space Storage stock has outperformed 76% of all stocks on price performance this past year. The market's biggest winners tend to have an RS Rating over 80 as they launch their largest runs. See if Extra Space Storage can continue to rebound and clear that threshold.
Other Extra Space Storage Stock Ratings Shine
Among its other key ratings, Extra Space Storage has a powerful 93 Composite Rating, putting it in the top 7% of all stocks, regardless of industry, on a group of the top five ratings Investor's Business Daily uses. CAN SLIM investors look for companies that have a 90 or better Composite to buy or add to a watchlist. Additionally, Salt Lake City-based Extra Space storage has an 81 EPS Rating.
One yellow flag is Extra Space Storage Stock' D- Accumulation/Distribution Rating on an A+ to E scale with A+ tops. The D- rating indicates that institutional investors such as mutual funds and ETFs are selling more shares than buying.
However, its stock soared 215% from a Covid crash low 72.70 to an all-time high 228.84 on Dec. 31. From there it dropped as low as 175.26 on Feb. 24. It then formed a cup-with-handle base, rising to 222.36 on April 20. It's consolidated since then in sync with the market, and traded at 175.71 Wednesday afternoon, up about 0.3% for the day.
The company saw both earnings and sales growth rise last quarter. Earnings per share increased from 29% to 34%, or $2.01. Revenue growth accelerated from 21% to 24%, or $442.6 million.
See How IBD Helps You Make More Money In Stocks
Extra Space Storage is not currently offering a proper buying opportunity. See if the stock goes on to build a sound pattern that could kick off a new climb.
Peers In Property REITs Group
Extra Space Storage holds the No. 8 rank among its peers in the Finance-Property REITs industry group. Weyerhaeuser and Apple Hospitality REIT are also among the group's highest-rated stocks.
As you try to find the best stocks to buy and watch, keep a close on eye on relative price strength.
IBD's proprietary RS Rating identifies market leadership by using a 1 (worst) to 99 (best) score that indicates how a stock's price performance over the trailing 52 weeks compares to other publicly traded companies.
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