Back to top

Image: Bigstock

Public Storage (PSA) Gains As Market Dips: What You Should Know

Read MoreHide Full Article

Public Storage (PSA - Free Report) closed at $359.82 in the latest trading session, marking a +1.1% move from the prior day. This move outpaced the S&P 500's daily loss of 0.14%. Meanwhile, the Dow lost 0.45%, and the Nasdaq, a tech-heavy index, lost 0.01%.

Coming into today, shares of the self-storage facility real estate investment trust had gained 2.27% in the past month. In that same time, the Finance sector gained 3.74%, while the S&P 500 lost 0.13%.

Wall Street will be looking for positivity from Public Storage as it approaches its next earnings report date. In that report, analysts expect Public Storage to post earnings of $3.42 per share. This would mark year-over-year growth of 16.72%. Our most recent consensus estimate is calling for quarterly revenue of $906.18 million, up 21.06% from the year-ago period.

Investors might also notice recent changes to analyst estimates for Public Storage. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.54% higher within the past month. Public Storage is currently sporting a Zacks Rank of #1 (Strong Buy).

Valuation is also important, so investors should note that Public Storage has a Forward P/E ratio of 24.62 right now. Its industry sports an average Forward P/E of 15.92, so we one might conclude that Public Storage is trading at a premium comparatively.

We can also see that PSA currently has a PEG ratio of 3. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. REIT and Equity Trust - Other stocks are, on average, holding a PEG ratio of 2.74 based on yesterday's closing prices.

The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 91, putting it in the top 36% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


Public Storage (PSA) - free report >>

Published in