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

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Public Storage (PSA - Free Report) closed at $377.36 in the latest trading session, marking a +1.18% move from the prior day. This move outpaced the S&P 500's daily loss of 0.79%. Elsewhere, the Dow lost 0.53%, while the tech-heavy Nasdaq lost 0.47%.

Prior to today's trading, shares of the self-storage facility real estate investment trust had gained 1.53% over the past month. This has outpaced the Finance sector's loss of 2.95% and the S&P 500's loss of 2.43% in that time.

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 $3.52 per share. This would mark year-over-year growth of 24.82%. Meanwhile, our latest consensus estimate is calling for revenue of $931.51 million, up 21.41% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $14.86 per share and revenue of $3.89 billion, which would represent changes of +14.93% and +13.99%, respectively, from the prior year.

Any recent changes to analyst estimates for Public Storage should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. Within the past 30 days, our consensus EPS projection has moved 4.75% higher. Public Storage is holding a Zacks Rank of #2 (Buy) right now.

Digging into valuation, Public Storage currently has a Forward P/E ratio of 25.09. For comparison, its industry has an average Forward P/E of 14.95, which means Public Storage is trading at a premium to the group.

We can also see that PSA currently has a PEG ratio of 3.03. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The REIT and Equity Trust - Other was holding an average PEG ratio of 2.68 at yesterday's closing price.

The REIT and Equity Trust - Other industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 153, which puts it in the bottom 40% 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.

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