SmartStop Self Storage REIT, Inc. (SMA) AI Stock Analysis

• Market Cap: $1.97B
• Dividend Yield: 3.27%
• Average Volume (3M): 746.61K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.39
• Revenue Growth: 12.57%
• EPS Growth: 4.92%
• Country: US
• Employees: 560
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Specialty
• EPS (TTM): 0.09
• Shares Outstanding: 55,363,743
• 10 Day Avg. Volume: 687,445
• 30 Day Avg. Volume: 746,610
• PEG Ratio: -1.08
• Price to Book (P/B): 5.41
• Price to Sales (P/S): 13.34
• P/FCF Ratio: 49.39
• Enterprise Value/Market Cap: 1.60
• Enterprise Value/Revenue: 11.99
• Enterprise Value/Gross Profit: 21.32
• Enterprise Value/Ebitda: 25.25
• 1Y Price Target: $39.67
• Price Target Upside: 21.17% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): -0.08
• Revenue Forecast (FY): $239.58M

• Rating: 62 Neutral
• Price Target: $35.00 ▲(6.90% Upside)

SmartStop Self Storage REIT, Inc. has a moderate overall stock score driven by strong cash flow and strategic growth initiatives. However, challenges in profitability and bearish technical indicators weigh on the score. The company's strategic acquisitions and consistent dividends provide a positive outlook, but operational efficiency improvements are needed to enhance profitability.

Positive Factors

Strategic Acquisitions

The acquisition of Argus significantly expands SmartStop's market presence and operational scale, enhancing its competitive position in the self-storage industry.

Strong Cash Flow

Robust cash flow growth provides financial flexibility for strategic investments and debt management, supporting long-term business sustainability.

Inclusion in MSCI U.S. REIT Index

Inclusion in the MSCI U.S. REIT Index enhances visibility and credibility among investors, potentially increasing investment and liquidity.

Negative Factors

Profitability Challenges

Ongoing profitability issues, as indicated by negative net margins, could hinder SmartStop's ability to generate shareholder returns and reinvest in growth.

Challenges in Toronto Market

Increased supply in the Toronto market may pressure occupancy rates and pricing, impacting revenue growth in a key region.

Industrial Tenant Default

The tenant default highlights potential risks in tenant stability, affecting revenue and operational predictability in non-same-store properties.

SmartStop Self Storage REIT, Inc. Business Overview & Revenue Model

Company Description

SmartStop is a technology-driven, self-managed REIT with a fully integrated operations team of approximately 570 self-storage professionals. It is one of the largest self-storage companies in North America, with a growing portfolio in Canada and high-growth markets in the U.S.

How the Company Makes Money

SmartStop generates revenue primarily through the rental of storage units to customers, which constitutes its main revenue stream. The company offers various types of storage options, including climate-controlled units, traditional storage units, and vehicle storage, catering to both individual and commercial clients. Additionally, SmartStop may earn income from ancillary services such as the sale of moving supplies and insurance options for stored items. The company's revenue model is supported by a strategic focus on acquiring and developing high-demand storage properties in key markets, enhancing its portfolio and operational efficiency. Partnerships with local businesses and online platforms for marketing can also contribute to increased customer acquisition and higher occupancy rates, further bolstering its earnings.

SmartStop Self Storage REIT, Inc. Financial Statement Overview

Summary

SmartStop Self Storage REIT, Inc. shows consistent revenue growth and improved leverage management. However, profitability is a concern with negative net income and declining operational efficiency. Strong cash flow provides a buffer.

Income Statement

SmartStop Self Storage REIT, Inc. has shown consistent revenue growth, with a 4.06% increase in the TTM period. However, profitability remains a concern, as indicated by the negative net profit margin of -5.11% in the TTM. The gross profit margin is healthy at 64.18%, but the declining EBIT and EBITDA margins suggest pressure on operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.78 in the TTM period, indicating better leverage management compared to previous years. However, the return on equity remains negative at -1.74%, reflecting challenges in generating returns for shareholders. The equity ratio stands at 50.28%, showing a balanced capital structure.

Cash Flow

The cash flow position is strong, with a significant 59.86% growth in free cash flow in the TTM period. The operating cash flow to net income ratio is robust at 1.17, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is stable at 1.0, suggesting consistent cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	263.34M	237.01M	232.99M	206.32M	168.76M	124.02M
Gross Profit	148.08M	157.69M	158.50M	148.91M	114.91M	77.11M
EBITDA	125.08M	124.03M	131.09M	127.25M	65.38M	21.09M
Net Income	-4.79M	-5.62M	9.75M	18.82M	-16.90M	-44.30M
Balance Sheet
Total Assets	2.39B	2.04B	1.90B	1.95B	1.62B	1.28B
Cash, Cash Equivalents and Short-Term Investments	54.21M	23.11M	45.08M	39.49M	37.25M	72.71M
Total Debt	1.04B	1.32B	1.09B	1.07B	873.87M	724.38M
Total Liabilities	1.10B	1.37B	1.13B	1.11B	943.22M	785.29M
Stockholders Equity	1.20B	584.10M	671.97M	740.29M	610.42M	436.93M
Cash Flow
Free Cash Flow	81.38M	64.03M	73.19M	87.91M	58.76M	26.77M
Operating Cash Flow	81.38M	64.03M	73.19M	87.91M	58.76M	26.77M
Investing Cash Flow	-452.07M	-180.94M	262.00K	-205.15M	-120.21M	-28.96M
Financing Cash Flow	380.81M	94.82M	-66.10M	120.07M	25.67M	13.74M

SmartStop Self Storage REIT, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EPR	75 Outperform	$3.81B	21.84	8.44%	7.01%	2.93%	-0.87%
CXW	73 Outperform	$1.95B	18.57	7.41%	―	5.72%	47.75%
RYN	72 Outperform	$3.39B	9.07	38.06%	12.70%	8.88%	131.78%
OUT	69 Neutral	$3.37B	29.40	17.74%	5.12%	-1.48%	-50.05%
UNIT	68 Neutral	$1.73B	1.47	―	―	38.93%	952.55%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
SMA	62 Neutral	$1.97B	―	-0.58%	3.27%	12.57%	4.92%

SmartStop Self Storage REIT, Inc. Corporate Events

SmartStop Self Storage Reports Stable In-Place Rates

On December 8, 2025, SmartStop Self Storage REIT, Inc. reported metrics for its same store facilities, showing a slight increase in physical occupancy from 92.2% in 2024 to 92.4% in 2025. However, the company experienced a decrease in monthly web and move-in rates over the same period, while monthly in-place rates remained stable.

SmartStop Announces December 2025 Dividend Plan

On November 20, 2025, SmartStop Self Storage REIT, Inc. announced a dividend for December 2025, targeting an annualized dividend of $1.60 per share. This decision reflects the company’s commitment to providing returns to its stockholders, with the dividend payable on January 15, 2026, to those recorded by December 31, 2025.

SmartStop Reports Slight Occupancy Increase in 2025

On November 17, 2025, SmartStop Self Storage REIT, Inc. reported its same store metrics, showing a slight increase in physical occupancy from 92.3% in 2024 to 92.5% in 2025. However, the company experienced a decrease in monthly web and move-in rates over the same period, indicating potential pricing pressures in the market.

SmartStop Announces November 2025 Dividend Plan

On October 29, 2025, SmartStop Self Storage REIT, Inc. announced a dividend for November 2025, targeting an annualized dividend of $1.60 per share. This decision reflects the company’s commitment to providing returns to its shareholders, with the dividend payable on December 15, 2025, to stockholders of record as of November 28, 2025.

SmartStop Self Storage Announces October 2025 Dividend

On September 26, 2025, SmartStop Self Storage REIT, Inc. announced a dividend for October 2025, targeting an annualized dividend of $1.60 per share. The dividend, with a record date of October 31, 2025, and payable on November 14, 2025, underscores the company’s commitment to returning value to its shareholders.

SmartStop Self Storage Highlights Growth in Investor Presentation

SmartStop Self Storage REIT, Inc. has released materials for investor presentations, highlighting its growth and market positioning. The company has expanded its portfolio by approximately 86% over the last five years, emphasizing its strategic focus on high-growth markets, including Canada and the Greater Toronto Area.

SmartStop Self Storage Acquires Argus for $21 Million

On September 24, 2025, SmartStop Self Storage REIT, Inc. announced a strategic move to acquire Argus Professional Storage Management, a significant player in the self-storage management sector. This acquisition, valued at $21 million with potential additional earnouts, will expand SmartStop’s portfolio to over 460 properties in North America. The merger is expected to close in October 2025 and is seen as a game-changing deal that will enhance SmartStop’s market position by integrating Argus’ reputable management capabilities with SmartStop’s technology-driven platform. The transaction is anticipated to be immediately accretive to SmartStop’s financial performance and will offer flexible partnership options to storage owners, thereby strengthening its industry presence.

SmartStop Closes CAD$200M Series B Notes Offering

On September 24, 2025, SmartStop Self Storage REIT, Inc. announced the closing of its CAD$200 million Series B Senior Unsecured Notes due 2030, marking its second senior unsecured Canadian bond offering. The notes, rated BBB mid with a Stable Outlook by Morningstar DBRS, are part of SmartStop’s strategy to strengthen its presence in the Canadian market, repay existing debt, fund acquisitions, and support general corporate purposes. The issuance reflects SmartStop’s strategic financial planning and its ability to capitalize on favorable market conditions, further reinforcing its position in the self-storage industry.

SmartStop Announces CAD $200M Maple Bond Offering

On September 22, 2025, SmartStop Self Storage REIT, Inc. announced the pricing of a CAD $200 million Canadian Maple Bond offering, with the bonds due in 2030 and bearing an interest rate of 3.888% per annum. The proceeds from this offering, which is limited to Canadian investors, will be used to repay existing debt, fund acquisitions, and for general corporate purposes, potentially strengthening SmartStop’s financial position and growth prospects.

SmartStop Self Storage Reports Stable August Metrics

On September 15, 2025, SmartStop Self Storage REIT, Inc. reported metrics for its same store facilities, showing slight increases in physical occupancy and monthly web rates as of August 31, 2025, compared to the previous year. The announcement indicates stable performance in the company’s operations, with minor fluctuations in move-in and in-place rates, reflecting its steady positioning in the self-storage market.