Based in Glendale, California, Public Storage (PSA) is a leading provider of self-storage solutions, renowned for its extensive portfolio of storage facilities across the U.S. and Europe. With a market cap of $60.7 billion, Public Storage is recognized for its innovation, operational excellence, and commitment to delivering secure and convenient storage options. Public Storage is scheduled to announce its fiscal Q3 earnings results after the market closes on Wednesday, October 30.
Ahead of the event, analysts expect PSA to report funds from operations (FFO) of $4.25 per share, down 1.9% from $4.33 per share in the year-ago quarter. In the last four quarters, the company has surpassed Wall Street’s bottom-line estimates in three quarters and missed on another occasion.
Thanks to robust demand, Public Storage delivered record property development volumes, and its adjusted FFO of $4.23 per share for the last quarter marginally surpassed the consensus estimate.
For fiscal 2024, analysts expect PSA to report an FFO of $16.73, down marginally from $16.89 in fiscal 2023. Nevertheless, its EPS is expected to climb 3.8% annually to $17.37 in fiscal 2025.
PSA stock is up 13.3% on a YTD basis, underperforming the broader S&P 500 Index's ($SPX) 23% gains and the Real Estate Select Sector SPDR Fund’s (XLRE) 11.7% returns over the same time frame.
Despite reporting better-than-expected Q2 results on Jul. 30, the stock fell 2.8% the following day due to missing revenue expectations, driven by a decline in realized annual rent per occupied square foot and increased property tax and interest expenses. Investor concerns were further heightened by the lowered 2024 guidance.
The consensus opinion on PSA stock is fairly optimistic, with an overall “Moderate Buy” rating. Out of 19 analysts covering the stock, 10 advise a “Strong Buy” rating, eight suggest a “Hold” rating, and one suggests a "Strong Sell.”
PSA's average analyst price target is $346.59, indicating a marginal potential upside from the current levels.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
