Deutsche upgrades Public Storage, CubeSmart on better sector view

Deutsche Bank upgraded both Public Storage (PSA) and CubeSmart (CUBE) to Buy from Hold with price targets of $325 and $45, respectively. The firm cites a more positive outlook on the self-storage real estate investment trust sector into the Q3 reports for the upgrades. Deutsche favors Public Storage for its rent growth tailwinds in Los Angeles and favorable market mix. CubeSmart stands out for its high exposure to markets with better demand/supply fundamentals, especially New York Citi, which should help drive stronger rent growth, the analyst tells investors in a research note.