Cubesmart (CUBE) AI Stock Analysis

• Market Cap: $8.97B
• Dividend Yield: 5.69%
• Average Volume (3M): 2.22M
• Price to Earnings (P/E): 25.1
• Beta (1Y): 0.51
• Revenue Growth: 4.19%
• EPS Growth: -12.19%
• Country: US
• Employees: 3,104
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Industrial
• EPS (TTM): 0.36
• Shares Outstanding: 228,035,930
• 10 Day Avg. Volume: 2,415,248
• 30 Day Avg. Volume: 2,221,087
• PEG Ratio: -5.01
• Price to Book (P/B): 3.38
• Price to Sales (P/S): 9.10
• P/FCF Ratio: 15.37
• Enterprise Value/Market Cap: 1.42
• Enterprise Value/Revenue: 11.53
• Enterprise Value/Gross Profit: 18.17
• Enterprise Value/Ebitda: 17.97
• 1Y Price Target: $43.10
• Price Target Upside: 8.81% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11
• EPS Forecast (FY): 1.45
• Revenue Forecast (FY): $1.13B

• Rating: 69 Neutral
• Price Target: $40.00 ▲(0.98% Upside)

The score is primarily supported by strong cash-flow quality and solid profitability, with moderate leverage that appears manageable for a REIT. The main offsets are mixed technicals (negative MACD and price below longer-term averages) and near-term same-store revenue/NOI softness despite a modest guidance raise and improving move-in trends.

Positive Factors

Cash generation quality

Free cash flow consistently exceeding net income signals durable operating cash conversion. That strengthens dividend coverage, funds debt service and acquisitions, and provides flexibility for capital allocation through cycles—key for REITs relying on steady cash to sustain distributions.

High net profitability

A ~32% net margin reflects strong operating leverage and pricing power in the self-storage model. Elevated profitability supports sustainable FFO, funds reinvestment and dividend growth, and provides a margin buffer against cyclical demand swings or localized occupancy weakness.

Third‑party management scale

Expanding third‑party management grows fee-based, capital-light revenue and leverages operating infrastructure. This scalable model diversifies income, enhances margins per unit of capital, and accelerates market reach without heavy balance-sheet investment—supporting durable, lower-capital growth.

Negative Factors

Same‑store revenue and NOI decline

Declining same‑store revenue and NOI indicate core portfolio softness that directly compresses FFO and cash available for dividends. If persistent, weaker comps limit pricing power and constrain capital deployment, slowing recovery and reducing long-term return generation from existing assets.

Sunbelt market headwinds

Prolonged underperformance in key Sunbelt markets (supply/demand imbalance) threatens exposure to regions typically relied on for growth. Structural weakness there can depress rent comps, slow occupancy recovery, and force selective capital allocation away from previously high-growth geographies.

Gross margin compression and leverage

A notable drop in gross margin signals rising costs or pricing pressure that can erode profitability over time. Coupled with typical REIT leverage (debt/equity ~1.28), margin compression reduces the financial cushion, limiting ability to absorb shocks or fund accretive growth without raising capital.

Cubesmart Business Overview & Revenue Model

Company Description

CubeSmart is a self-administered and self-managed real estate investment trust. The Company's self-storage properties are designed to offer affordable, easily accessible and secure storage space for residential and commercial customers. According to the 2020 Self-Storage Almanac, CubeSmart is one of the top three owners and operators of self-storage properties in the United States.

How the Company Makes Money

CubeSmart generates revenue primarily through rental income from its self-storage facilities. The company charges customers for the use of storage units, with fees varying based on unit size, location, and additional services such as climate control. In addition to rental income, CubeSmart may earn revenue from ancillary services such as retail sales of packing supplies and insurance for stored items. The company's revenue model is also supported by its strategic partnerships with local businesses and online platforms that enhance its marketing reach and customer acquisition. Furthermore, CubeSmart's focus on operational efficiency and customer retention contributes to stable and growing revenue streams.

Cubesmart Financial Statement Overview

Summary

Cubesmart demonstrates strong financial health with solid profitability, efficient operations, and robust cash flow generation. While leverage is moderate, it remains within industry norms. The company should focus on maintaining its cost structure to support gross margins.

Income Statement

Cubesmart's income statement shows strong profitability with a TTM net profit margin of 32.17% and a consistent revenue growth trend. However, the gross profit margin has decreased significantly in the TTM period compared to previous years, indicating potential cost pressures. The EBIT and EBITDA margins remain robust, reflecting efficient operations.

Balance Sheet

The balance sheet reflects moderate leverage with a TTM debt-to-equity ratio of 1.28, which is typical for the REIT industry. Return on equity is healthy at 12.60%, indicating effective use of equity capital. However, the equity ratio suggests a balanced but cautious approach to asset financing.

Cash Flow

Cubesmart's cash flow statement is strong, with a TTM free cash flow to net income ratio over 1, indicating excellent cash generation relative to profits. The operating cash flow to net income ratio is also high, showing robust cash flow management. Free cash flow growth is positive, supporting future investment and debt servicing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.11B	1.07B	1.05B	1.01B	822.56M	679.36M
Gross Profit	703.10M	748.48M	755.55M	716.36M	570.46M	472.62M
EBITDA	711.02M	688.82M	710.88M	661.74M	522.65M	414.30M
Net Income	356.98M	391.18M	410.76M	291.26M	223.48M	165.62M
Balance Sheet
Total Assets	6.76B	6.39B	6.23B	6.33B	6.55B	4.78B
Cash, Cash Equivalents and Short-Term Investments	108.39M	71.56M	6.53M	6.06M	11.14M	3.59M
Total Debt	3.49B	3.05B	2.99B	3.06B	3.21B	2.43B
Total Liabilities	3.90B	3.44B	3.34B	3.43B	3.55B	2.69B
Stockholders Equity	2.78B	2.87B	2.80B	2.83B	2.87B	1.83B
Cash Flow
Free Cash Flow	651.46M	631.07M	611.14M	591.47M	449.19M	351.03M
Operating Cash Flow	636.69M	631.07M	611.14M	591.47M	449.19M	351.03M
Investing Cash Flow	-614.48M	-173.96M	-93.82M	-48.77M	-1.85B	-511.44M
Financing Cash Flow	46.46M	-387.67M	-518.03M	-547.09M	1.41B	108.20M

Cubesmart Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 39.61
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CUBE, the sentiment is Positive. The current price of 39.61 is above the 20-day moving average (MA) of 36.47, above the 50-day MA of 36.23, and above the 200-day MA of 38.87, indicating a bullish trend. The MACD of 0.75 indicates Negative momentum. The RSI at 76.41 is Negative, neither overbought nor oversold. The STOCH value of 96.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CUBE.

Cubesmart Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PSA	73 Outperform	$51.42B	30.45	20.00%	4.63%	2.30%	-0.22%
CUBE	69 Neutral	$8.97B	25.11	12.82%	5.69%	4.19%	-12.19%
IIPR	69 Neutral	$1.42B	12.01	6.49%	13.07%	-11.22%	-24.64%
EXR	68 Neutral	$32.60B	32.90	6.86%	5.01%	3.38%	17.16%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
PLYM	64 Neutral	$985.06M	10.94	20.14%	4.39%	-4.99%	10123.98%
NSA	61 Neutral	$4.51B	54.44	6.89%	8.28%	-4.98%	-65.45%

Cubesmart Corporate Events

CubeSmart Showcases Long-Term Growth Strategy in Investor Update

In a January 2026 investor presentation, CubeSmart highlighted a decade‑plus trajectory of growth in the self‑storage REIT sector, underpinned by 65% five‑year total shareholder return, 56% five‑year growth in adjusted FFO per share, $2.8 billion of acquisitions over five years, and 59% dividend growth through the period ended December 31, 2024. Management underscored the company’s quality‑driven strategy—emphasizing disciplined capital deployment into high‑demographic markets, an investment‑grade balance sheet, and strong corporate governance that ranks among the top 20% of public companies—as positioning CubeSmart to outperform in a fragmented industry characterized by high margins, dynamic demand and limited new supply, with consolidation and future normalization in housing activity expected to provide further long‑term growth opportunities for shareholders and other stakeholders.

The most recent analyst rating on (CUBE) stock is a Buy with a $43.00 price target. To see the full list of analyst forecasts on Cubesmart stock, see the CUBE Stock Forecast page.

CubeSmart Highlights Strong December 2025 Performance

CubeSmart’s December 2025 investor presentation highlights its strong performance and strategic growth in the self-storage industry. The company has achieved significant milestones, including a 65% five-year total shareholder return and a 56% growth in funds from operations per share. With a disciplined investment strategy and a robust management team, CubeSmart is well-positioned to capitalize on industry dynamics and deliver long-term value to shareholders.

The most recent analyst rating on (CUBE) stock is a Hold with a $39.00 price target. To see the full list of analyst forecasts on Cubesmart stock, see the CUBE Stock Forecast page.

CubeSmart Reports Q3 2025 Results and Expands Platform

CubeSmart reported its third quarter 2025 results, highlighting stable performance in coastal and urban markets, while sunbelt properties faced challenges balancing rate and occupancy. The company reported a decrease in same-store net operating income and occupancy, with diluted earnings per share at $0.36. CubeSmart also issued $450 million in unsecured senior notes and expanded its third-party management platform by adding 46 stores. The company anticipates closing acquisitions in Arizona, Florida, and New Jersey in the fourth quarter of 2025, and has ongoing development projects in New York.

The most recent analyst rating on (CUBE) stock is a Buy with a $48.00 price target. To see the full list of analyst forecasts on Cubesmart stock, see the CUBE Stock Forecast page.