National Storage downgraded to Underweight from Equal Weight at Morgan Stanley

Morgan Stanley downgraded National Storage (NSA) to Underweight from Equal Weight with a price target of $30, down from $39. The firm says job openings dropped 12.4% year-over-year in Q2-to-date, which is a headwind to demand. National Storage’s submarkets face the greatest headwinds, with lowest population density, household income and job openings versus peers given its secondary market focus, the analyst tells investors in a research note. Morgan Stanley cites the company’s portfolio positioning versus peers, its higher leverage, and potential dividend risk for the downgrade.