Analyst Ki Bin Kim from Truist Financial maintained a Hold rating on Extra Space Storage (EXR – Research Report) and keeping the price target at $158.00.
Ki Bin Kim has given his Hold rating due to a combination of factors related to Extra Space Storage’s recent performance and market conditions. The company showed a slight improvement in rental rates, with move-in rents declining less than in the previous quarter, and a small year-over-year growth in same-store revenue. However, same-store net operating income experienced a decline, influenced by an increase in expenses.
Despite the positive momentum in pricing and acquisitions, the overall fiscal year guidance remained largely unchanged due to macroeconomic uncertainties. While the pricing trends have been stronger than typical seasonal patterns, particularly in the spring leasing season, these macro concerns have prevented an upward revision in guidance. Thus, the Hold rating reflects a cautious stance, balancing the positive operational trends against broader economic uncertainties.
Bin Kim covers the Real Estate sector, focusing on stocks such as Public Storage, Eastgroup Properties, and Acadia Realty. According to TipRanks, Bin Kim has an average return of 8.3% and a 59.38% success rate on recommended stocks.
In another report released yesterday, BMO Capital also maintained a Hold rating on the stock with a $165.00 price target.