CubeSmart (CUBE) to Issue Quarterly Dividend of $0.51 on October 15th

CubeSmart (NYSE:CUBE) announced a quarterly dividend on Tuesday, July 23rd, Zacks reports. Shareholders of record on Tuesday, October 1st will be given a dividend of 0.51 per share by the real estate investment trust on Tuesday, October 15th. This represents a $2.04 dividend on an annualized basis and a yield of 3.83%. The ex-dividend date is Tuesday, October 1st.

CubeSmart has raised 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 dividend payout ratio of 114.6% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect CubeSmart to earn $2.73 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 74.7%.

CubeSmart Price Performance

CubeSmart stock opened at $53.23 on Friday. The company has a debt-to-equity ratio of 1.03, a current ratio of 0.03 and a quick ratio of 0.03. The business has a 50 day simple moving average of $50.63 and a 200-day simple moving average of $46.11. CubeSmart has a 12 month low of $33.17 and a 12 month high of $55.14. The stock has a market capitalization of $11.98 billion, a PE ratio of 29.57, a price-to-earnings-growth ratio of 9.86 and a beta of 0.82.

CubeSmart (NYSE:CUBE) last released its earnings results on Thursday, August 1st. The real estate investment trust reported $0.41 EPS for the quarter, missing the consensus estimate of $0.64 by ($0.23). CubeSmart had a return on equity of 14.37% and a net margin of 38.07%. The firm had revenue of $266.20 million during the quarter, compared to analyst estimates of $260.68 million. During the same quarter last year, the business posted $0.66 EPS. The firm’s revenue was up 2.1% on a year-over-year basis. Equities analysts predict that CubeSmart will post 2.64 earnings per share for the current year.

Insider Buying and Selling at CubeSmart

In other news, CEO Christopher P. Marr sold 37,000 shares of CubeSmart stock in a transaction dated Wednesday, August 7th. The shares were sold at an average price of $48.45, for a total transaction of $1,792,650.00. Following the completion of the sale, the chief executive officer now directly owns 576,836 shares in the company, valued at $27,947,704.20. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. In other news, CEO Christopher P. Marr sold 37,000 shares of the stock in a transaction dated Wednesday, August 7th. The shares were sold at an average price of $48.45, for a total transaction of $1,792,650.00. Following the transaction, the chief executive officer now directly owns 576,836 shares in the company, valued at approximately $27,947,704.20. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, COO Joel D. Keaton sold 43,478 shares of the firm’s stock in a transaction that occurred on Tuesday, August 6th. The stock was sold at an average price of $47.97, for a total transaction of $2,085,639.66. Following the completion of the sale, the chief operating officer now directly owns 87,663 shares in the company, valued at $4,205,194.11. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 88,217 shares of company stock worth $4,244,344. Corporate insiders own 1.68% of the company’s stock.

Analyst Upgrades and Downgrades

CUBE has been the subject of a number of analyst reports. Jefferies Financial Group increased their target price on CubeSmart from $53.00 to $62.00 and gave the stock a “buy” rating in a research note on Wednesday, September 18th. Royal Bank of Canada assumed coverage on CubeSmart in a report on Tuesday, September 10th. They issued an “outperform” rating and a $56.00 target price for the company. Truist Financial upped their price target on shares of CubeSmart from $44.00 to $50.00 and gave the stock a “hold” rating in a research note on Friday, August 16th. Raymond James boosted their price objective on shares of CubeSmart from $48.00 to $50.00 and gave the stock an “outperform” rating in a report on Tuesday, July 23rd. Finally, Scotiabank assumed coverage on shares of CubeSmart in a report on Thursday, August 22nd. They issued a “sector outperform” rating and a $53.00 target price for the company. One analyst has rated the stock with a sell rating, eight have given a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat, CubeSmart has an average rating of “Hold” and an average price target of $50.50.

About CubeSmart

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.