EXR Stock Intrinsic Value – Extra Space Storage Sees Profits Surge After Rate Increases
December 21, 2023
☀️Trending News
Extra Space Storage ($NYSE:EXR) has seen a surge in profits following recent rate increases. The rate-driven rally has been a major factor in Extra Space Storage’s success. The company has increased rates on storage units, resulting in higher revenues and profits. This has allowed them to expand their services, open new locations, and offer more products and value to customers. The higher rates have also helped to increase occupancy rates, as customers are willing to pay more for the convenience and security of their belongings. The rate-driven rally has also enabled Extra Space Storage to invest in new technologies and services designed to make storing possessions more convenient for customers.
This includes the launch of their mobile app, which allows customers to easily find and book storage units from their phones. They have also introduced climate-controlled units and other features that make the storage process easier for customers. Overall, the rate-driven rally has been a major success for Extra Space Storage. By increasing rates and investing in new technologies, they have been able to increase their profits and offer more value to customers. This has allowed them to continue growing their business and remain one of the leading providers of storage solutions across the United States.
Share Price
Extra Space Storage, one of the largest self-storage companies in the United States, released its third-quarter earnings report this week. On Wednesday, the stock opened at $154.0 and closed at $152.2, down by 0.9% from the previous day’s closing price of $153.6. Despite the small slip in the share price, Extra Space Storage still managed to report a surge in profits due to recent rate increases.
Extra Space Storage also attributed their success to strong customer demand, aggressive marketing, and effective cost controls. With the help of their rate increases and cost cutting measures, Extra Space Storage is confident it can continue to deliver strong financial results. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for EXR. More…
| Total Revenues | Net Income | Net Margin |
| 2.27k | 790.11 | – |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for EXR. More…
| Operations | Investing | Financing |
| 1.33k | -2.04k | 842.95 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for EXR. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 27.63k | 12.06k | 68.81 |
Key Ratios Snapshot
Some of the financial key ratios for EXR are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| – | – | 51.1% |
| FCF Margin | ROE | ROA |
| – | – | – |
Analysis – EXR Stock Intrinsic Value
At GoodWhale, we’ve taken a look at the financials for EXTRA SPACE STORAGE and have come to the conclusion that their intrinsic value per share is around $191.6. This figure is calculated from our proprietary Valuation Line, which takes into account the company’s long-term earnings growth potential. Currently, the stock is trading at $152.2, which represents a 20.6% undervaluation. In other words, the stock is an attractive option for investors looking for a bargain. We believe that EXTRA SPACE STORAGE is currently undervalued and that investors should take advantage of this opportunity. More…
Peers
Extra Space Storage Inc is one of the leading self-storage providers in the United States. The company has a large network of facilities across the country and offers a wide range of storage solutions to its customers. Extra Space Storage Inc competes with other self-storage providers such as Global Self Storage Inc, National Storage Affiliates Trust, and Life Storage Inc.
– Global Self Storage Inc ($NASDAQ:SELF)
Global Self Storage is a publicly traded real estate investment trust that owns, operates, and develops self storage properties. Headquartered in New York, the company has over 500 storage facilities across the United States, Canada, and the United Kingdom. Global Self Storage is one of the largest self storage companies in the world with over 30 million square feet of storage space.
– National Storage Affiliates Trust ($NYSE:NSA)
National Storage Affiliates Trust is a publicly traded real estate investment trust focused on the ownership, operation and acquisition of self storage properties located throughout the United States. The company has a market cap of $3.68 billion as of March 2022. National Storage Affiliates Trust is headquartered in Denver, Colorado.
– Life Storage Inc ($NYSE:LSI)
As of 2022, Life Storage Inc has a market cap of 8.69B. The company is a self storage company that operates in the United States. The company has over 850 locations in 38 states.
Summary
Extra Space Storage is a popular stock for investors interested in taking advantage of the current low-interest rate environment. The company has seen a strong rally in its share price, driven by the low borrowing costs that are driving up demand for its storage services. Investors looking to take profits can do so now as the stock is near its all-time high price.
However, investors should be aware that any potential pullback may be short-lived, as the current rate environment could persist for some time, providing continued support for the stock. Any investor looking to add to their portfolio should do their due diligence before buying into the stock.
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