CubeSmart (NYSE:CUBE) Plans Dividend Increase – $0.52 Per Share

CubeSmart (NYSE:CUBE) declared a quarterly dividend on Tuesday, December 17th,Wall Street Journal reports. Shareholders of record on Thursday, January 2nd will be given a dividend of 0.52 per share by the real estate investment trust on Thursday, January 16th. This represents a $2.08 annualized dividend and a yield of 4.91%. The ex-dividend date of this dividend is Thursday, January 2nd. This is a boost from CubeSmart’s previous quarterly dividend of $0.51.

CubeSmart has raised its dividend by an average of 14.2% per year over the last three years and has increased its dividend every year for the last 15 years. CubeSmart has a dividend payout ratio of 118.2% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities research analysts expect CubeSmart to earn $2.70 per share next year, which means the company should continue to be able to cover its $2.08 annual dividend with an expected future payout ratio of 77.0%.

CubeSmart Stock Performance

Shares of CubeSmart stock opened at $42.34 on Tuesday. The company has a 50-day simple moving average of $47.32 and a two-hundred day simple moving average of $48.51. The company has a market capitalization of $9.58 billion, a PE ratio of 23.92, a P/E/G ratio of 13.00 and a beta of 0.84. The company has a debt-to-equity ratio of 1.02, a quick ratio of 0.20 and a current ratio of 0.20. CubeSmart has a one year low of $39.80 and a one year high of $55.14.

CubeSmart (NYSE:CUBE) last issued its quarterly earnings results on Thursday, October 31st. The real estate investment trust reported $0.44 earnings per share for the quarter, missing the consensus estimate of $0.68 by ($0.24). The business had revenue of $270.90 million during the quarter, compared to analyst estimates of $267.49 million. CubeSmart had a return on equity of 14.33% and a net margin of 37.79%. CubeSmart’s quarterly revenue was up 1.1% compared to the same quarter last year. During the same quarter last year, the company posted $0.68 EPS. Research analysts expect that CubeSmart will post 2.63 EPS for the current fiscal year.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on CUBE shares. Evercore ISI upped their price objective on shares of CubeSmart from $52.00 to $53.00 and gave the stock an “in-line” rating in a research report on Monday, September 16th. Royal Bank of Canada reduced their price objective on shares of CubeSmart from $56.00 to $53.00 and set an “outperform” rating on the stock in a report on Monday, November 4th. UBS Group lowered CubeSmart from a “buy” rating to a “neutral” rating and increased their target price for the stock from $53.00 to $54.00 in a research note on Friday, September 13th. Barclays reduced their target price on shares of CubeSmart from $55.00 to $54.00 and set an “equal weight” rating on the stock in a report on Monday, October 28th. Finally, Scotiabank lowered their target price on CubeSmart from $53.00 to $52.00 and set a “sector outperform” rating for the company in a research note on Monday, November 25th. One research analyst has rated the stock with a sell rating, six have assigned a hold rating and four have issued a buy rating to the company. According to MarketBeat, CubeSmart currently has a consensus rating of “Hold” and a consensus price target of $51.36.

CubeSmart Company Profile

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, in most locations, climate-controlled storage space for residential and commercial customers. According to the 2023 Self-Storage Almanac, CubeSmart is one of the top three owners and operators of self-storage properties in the United States.