* Note: Prices are in Million (M) USD.
Description:
CubeSmart is a self-managed and self-managed real estate investment trust.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $72 M
Debt : $3,052 M
EBITDA : $696 M
Net Debt (Debt - Cash): $2,981 M
Since EBITDA cannot cover net debt within 3 years, Avoid This Stock.
This criteria used industry in which company operates:
Sector: Real Estate
Industry: REIT - Industrial
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 15.65
Since Forward PE Ratio is between 15 - 20, 3 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $98 M
Average Revenue: $493 M
Revenue Converted To Free Cash Flow (%): 20%
Avg Free Cash Flow Growth Per Year (Last 5 Years): 54.56%
Since Free Cash Flow (FCF) to Revenue percentage is greater than 15, 3 points assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $1,066 M
Revenue 4 Years Ago (2020-12-31): $679 M
Last 5 Years Average Revenue Growth: 11%
Since Revenue Growth is between 10 - 15, 3 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $227 M
Share Count 5 Years Ago (2020-12-31): $195 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $2.65
Trailing 12-Month Earnings Per Share (EPS): $2.60
Average Earnings Per Share (EPS): $2.63
Dividend Per Share (DPS): $2
Payout Ratio: 78%
Dividend Yield: 5%
Since company Payout Ratio is greater than 50, 1 point assigned.
Since Dividend Yield is greater than 4, 4 points assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Average ROE: 4%
Since Average ROE is less than 10, 1 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $41
52-Week Low: $34
Threshold Price (15% Above 52-Week Low): $39
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $9,514 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Value-Trade has assigned 19 points to above CubeSmart (CUBE) stock.
Last 8 Years Avg PE 34.74, Fair Value PE 12, Industry Based PE 20, Growth Based PE 11, RCFC Based PE 19.9. Based on these 5 values, average assigned is 19.53.
Value-Trades has assined P/E value 19.53. Since an average (Current Year EPS + Next Year EPS) earning per share is $2.625.
The fair value of CubeSmart (CUBE) stock should be (19.53 x $2.625) = $51.27
