Public Storage is the biggest self-storage real estate investment trust (REIT) in the world, offering a growing dividend and potential for value increase. The results from the fourth quarter of 2024 showed strong performance but also pointed out difficulties in revenue growth after Covid, which makes PSA seem pricey compared to its competitors. Even with its high current valuation, the company's reliable business model and steady dividend growth suggest it could be a good long-term investment for income and capital gains.
PSA's fourth-quarter results show a decrease in revenue from the same stores due to lower occupancy rates, although this was somewhat balanced by an increase in the annual rent earned per occupied square foot.
The main figures for Public Storage (PSA) provide an overview of the company's performance for the quarter that ended in December 2024. However, it could be useful to compare some important metrics with Wall Street predictions and the results from the same period last year.
Public Storage (PSA) reported quarterly funds from operations (FFO) of $4.21 per share, which is slightly below the Zacks Consensus Estimate of $4.23 per share. This is similar to the FFO of $4.20 per share from the same period last year.
PSA's fourth-quarter results are expected to show benefits from strong brand value and a good presence in important cities. However, low demand and high interest costs are still worries.
Public Storage (NYSE:PSA) has announced that it will share its fourth quarter 2024 earnings results after the market closes on February 24, 2025. A conference call to discuss these results will take place on February 25, 2025, at 9:00 a.m. (PT). For those who want to join the call, the domestic dial-in number is (877) 407-9039, and the international number is (201) 689-8470.
From 2020 to 2022, Public Storage (PSA -2.19%), a top self-storage real estate investment trust (REIT), experienced a significant increase in its share price, more than doubling due to a boost from the pandemic. However, since reaching its peak, the stock has fallen by about 30%.
PSA benefits from strong brand value, a presence in important cities, and a solid financial situation. However, they are facing challenges due to decreasing demand and ongoing high interest rates.
Public Storage is a successful company with a solid track record, but it is struggling to keep up its previous growth because of a slow housing market. The self-storage sector has few barriers to entry and a lot of competition, which makes it hard for Public Storage to stay ahead. Even with investments in technology, issues like low tenant retention and more move-in offers are making it tough for the company to achieve long-term profits and growth.
Public Storage's results for the third quarter show a decrease in the annual rent earned per occupied square foot and a drop in occupancy rates.