Truist Financial analyst Ki Bin Kim maintained a Buy rating on SmartStop Self Storage REIT, Inc. yesterday and set a price target of $38.00.
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Ki Bin Kim has given his Buy rating due to a combination of factors that, despite some deceleration in growth metrics, indicate potential for future performance. While SmartStop Self Storage REIT, Inc. experienced a slowdown in same-store revenue growth and net operating income, these results were largely anticipated following management’s prior discussions during the IPO process. The deceleration was influenced by challenging comparisons and foreign exchange fluctuations, particularly affecting Canadian operations.
Despite these challenges, the company’s full-year guidance remains relatively stable, with only a slight adjustment in revenue expectations and maintained growth in net operating income. The management’s ability to achieve expense savings adds a layer of confidence in the sustainability of their financial performance. These elements combined suggest that, while short-term performance may be slightly underwhelming, the long-term outlook remains promising, justifying the Buy rating.
According to TipRanks, Bin Kim is a 4-star analyst with an average return of 7.1% and a 58.03% success rate. Bin Kim covers the Real Estate sector, focusing on stocks such as Cubesmart, Lineage, Inc., and Public Storage.
In another report released today, BMO Capital also maintained a Buy rating on the stock with a $41.00 price target.