CubeSmart Common Shares (CUBE)

FairStock Score: 53/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach CubeSmart as I would any REIT: reported earnings are distorted by depreciation, and the data I have lacks FFO or AFFO, the cleaner measures. What I see is a top-three self-storage operator with 3,121 employees, a business that can benefit from local scale and brand recognition, though storage remains competitive and capital-intensive. The filed numbers show revenue around $1.1B in fiscal year 2025 (ended 2025-12-31), but net income fell from $412.4M in fiscal year 2023 (ended 2023-12-31) to $391.9M in fiscal year 2024 (ended 2024-12-31), then to $331.3M in fiscal year 2025, with diluted EPS declining from $1.82 to $1.72 to $1.46. In fiscal Q1 2026 (ended 2026-03-31), revenue was $281.9M and net income $82.8M, versus revenue $273.0M and net income $88.7M in fiscal Q1 2025—top line up, bottom line down. The balance sheet gives me pause: debt-to-equity of 1.34, plus FairStock's Altman Z-Score of 0.91 and ROCE of 4.28%. Yet trailing free cash flow is $603.1M, a 7.0% FCF yield, and the 5.36% dividend yield is covered on that simple comparison. At the 2026-10-13 close of $37.85, FairStock shows a 3.31 price-to-book, 17.14 EV/EBITDA, and 3.22 PEG. That is not a bargain unless FFO/AFFO and storage fundamentals improve. FairStock calls it a stalwart, with 14.6% five-year profit growth and 10.6% revenue growth, but the recent filed trend is decelerating. I would want the missing FFO/AFFO picture before paying a premium to book.

In plain English: CubeSmart owns and runs self-storage locations in the United States. The business is profitable and pays a solid dividend, but yearly profits have slipped recently and the company carries a meaningful amount of debt. At the recent price, the shares look expensive compared with the company's recent growth and the value of its assets minus debts.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · fiscal Q1 2025 10-Q (period ended 2025-03-31) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer