CubeSmart (NYSE:CUBE) Declares Quarterly Dividend of $0.51

CubeSmart (NYSE:CUBE) announced a quarterly dividend on Monday, March 18th, Wall Street Journal reports. Shareholders of record on Monday, April 1st will be paid a dividend of 0.51 per share by the real estate investment trust on Monday, April 15th. This represents a $2.04 annualized dividend and a yield of 4.71%. The ex-dividend date of this dividend is Thursday, March 28th.

CubeSmart has raised its dividend by an average of 14.2% annually over the last three years and has increased its dividend every year for the last 14 years. CubeSmart has a payout ratio of 112.7% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities research analysts expect CubeSmart to earn $2.77 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 73.6%.

CubeSmart Stock Up 0.6 %

Shares of NYSE:CUBE opened at $43.31 on Wednesday. CubeSmart has a 52-week low of $33.17 and a 52-week high of $48.93. The stock has a market cap of $9.74 billion, a P/E ratio of 23.93 and a beta of 0.69. The business’s 50 day moving average is $43.96 and its 200 day moving average is $41.57. The company has a quick ratio of 0.04, a current ratio of 0.04 and a debt-to-equity ratio of 1.04.

Analysts Set New Price Targets

Several analysts have recently commented on CUBE shares. Jefferies Financial Group upgraded CubeSmart from a “hold” rating to a “buy” rating and increased their price objective for the company from $38.00 to $53.00 in a report on Tuesday, January 2nd. Deutsche Bank Aktiengesellschaft began coverage on CubeSmart in a research note on Tuesday, January 30th. They issued a “sell” rating and a $40.00 target price for the company. Evercore ISI raised their target price on CubeSmart from $43.00 to $45.00 and gave the stock an “in-line” rating in a research note on Monday, March 4th. Truist Financial raised their target price on CubeSmart from $43.00 to $46.00 and gave the stock a “hold” rating in a research note on Thursday, December 28th. Finally, BMO Capital Markets upgraded CubeSmart from a “market perform” rating to an “outperform” rating and raised their target price for the stock from $46.00 to $49.00 in a research note on Friday, December 15th. One investment analyst has rated the stock with a sell rating, seven have assigned a hold rating and four have issued a buy rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $45.55.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Norges Bank purchased a new position in CubeSmart in the 4th quarter worth approximately $293,769,000. Capital Research Global Investors acquired a new stake in CubeSmart in the 1st quarter valued at approximately $137,023,000. Morgan Stanley increased its holdings in CubeSmart by 181.1% in the 4th quarter. Morgan Stanley now owns 3,098,613 shares of the real estate investment trust’s stock valued at $124,719,000 after purchasing an additional 1,996,294 shares during the last quarter. Goldman Sachs Group Inc. increased its holdings in CubeSmart by 96.6% in the 2nd quarter. Goldman Sachs Group Inc. now owns 3,484,402 shares of the real estate investment trust’s stock valued at $148,854,000 after purchasing an additional 1,711,731 shares during the last quarter. Finally, Vanguard Group Inc. increased its holdings in CubeSmart by 4.9% in the 1st quarter. Vanguard Group Inc. now owns 32,178,558 shares of the real estate investment trust’s stock valued at $1,674,250,000 after purchasing an additional 1,515,436 shares during the last quarter. 97.61% of the stock is owned by hedge funds and other institutional investors.

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.