CubeSmart (NYSE:CUBE) Declares 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 dividend on an annualized basis and a yield of 4.57%. The ex-dividend date is Thursday, January 2nd. This is an increase from CubeSmart’s previous quarterly dividend of $0.51.

CubeSmart has increased its dividend payment by an average of 14.2% per year over the last three years and has raised its dividend annually for the last 14 consecutive years. CubeSmart has a payout ratio of 115.9% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect CubeSmart to earn $2.70 per share next year, which means the company should continue to be able to cover its $2.04 annual dividend with an expected future payout ratio of 75.6%.

CubeSmart Stock Down 0.8 %

Shares of NYSE CUBE opened at $45.54 on Wednesday. The company has a quick ratio of 0.20, a current ratio of 0.20 and a debt-to-equity ratio of 1.02. The stock has a market capitalization of $10.30 billion, a PE ratio of 25.73, a P/E/G ratio of 13.00 and a beta of 0.84. The firm has a fifty day moving average of $48.47 and a 200-day moving average of $48.51. CubeSmart has a 52-week low of $39.80 and a 52-week high of $55.14.

CubeSmart (NYSE:CUBE) last posted its quarterly earnings results on Thursday, October 31st. The real estate investment trust reported $0.44 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.68 by ($0.24). The firm had revenue of $270.90 million for the quarter, compared to analysts’ expectations of $267.49 million. CubeSmart had a net margin of 37.79% and a return on equity of 14.33%. CubeSmart’s revenue was up 1.1% on a year-over-year basis. During the same period last year, the firm posted $0.68 EPS. On average, analysts anticipate that CubeSmart will post 2.63 EPS for the current year.

Analysts Set New Price Targets

A number of research analysts have weighed in on the stock. Jefferies Financial Group lifted their price target on shares of CubeSmart from $53.00 to $62.00 and gave the company a “buy” rating in a research report on Wednesday, September 18th. Evercore ISI increased their price target on CubeSmart from $52.00 to $53.00 and gave the company an “in-line” rating in a report on Monday, September 16th. Scotiabank reduced their price objective on CubeSmart from $53.00 to $52.00 and set a “sector outperform” rating on the stock in a research note on Monday, November 25th. Wells Fargo & Company increased their target price on CubeSmart from $48.00 to $50.00 and gave the company an “equal weight” rating in a research note on Monday, October 21st. Finally, UBS Group lowered CubeSmart from a “buy” rating to a “neutral” rating and boosted their price target for the stock from $53.00 to $54.00 in a research report on Friday, September 13th. One investment analyst has rated the stock with a sell rating, six have given a hold rating and four have given a buy rating to the company’s stock. According to MarketBeat, the company 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.