CubeSmart (NYSE:CUBE) versus Industrial Logistics Properties Trust (NASDAQ:ILPT) Head to Head Survey

CubeSmart (NYSE:CUBE) and Industrial Logistics Properties Trust (NASDAQ:ILPT) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their profitability, institutional ownership, earnings, analyst recommendations, risk, dividends and valuation.

Risk & Volatility

CubeSmart has a beta of 1.08, meaning that its stock price is 8% more volatile than the S&P 500. Comparatively, Industrial Logistics Properties Trust has a beta of 2.5, meaning that its stock price is 150% more volatile than the S&P 500.

Valuation & Earnings

This table compares CubeSmart and Industrial Logistics Properties Trust”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CubeSmart	$1.12 billion	8.26	$333.78 million	$1.42	28.86
Industrial Logistics Properties Trust	$453.36 million	1.31	-$66.19 million	($0.82)	-10.90

CubeSmart has higher revenue and earnings than Industrial Logistics Properties Trust. Industrial Logistics Properties Trust is trading at a lower price-to-earnings ratio than CubeSmart, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares CubeSmart and Industrial Logistics Properties Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CubeSmart	28.93%	11.84%	4.90%
Industrial Logistics Properties Trust	-11.93%	-5.93%	-1.04%

Dividends

CubeSmart pays an annual dividend of $2.12 per share and has a dividend yield of 5.2%. Industrial Logistics Properties Trust pays an annual dividend of $0.20 per share and has a dividend yield of 2.2%. CubeSmart pays out 149.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Industrial Logistics Properties Trust pays out -24.4% of its earnings in the form of a dividend. CubeSmart has raised its dividend for 16 consecutive years. CubeSmart is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Institutional & Insider Ownership

97.6% of CubeSmart shares are owned by institutional investors. Comparatively, 49.1% of Industrial Logistics Properties Trust shares are owned by institutional investors. 1.8% of CubeSmart shares are owned by company insiders. Comparatively, 2.3% of Industrial Logistics Properties Trust shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and target prices for CubeSmart and Industrial Logistics Properties Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CubeSmart	0	10	4	0	2.29
Industrial Logistics Properties Trust	1	0	1	1	2.67

CubeSmart presently has a consensus target price of $43.00, suggesting a potential upside of 4.94%. Industrial Logistics Properties Trust has a consensus target price of $7.40, suggesting a potential downside of 17.24%. Given CubeSmart’s higher possible upside, equities research analysts plainly believe CubeSmart is more favorable than Industrial Logistics Properties Trust.

Summary

CubeSmart beats Industrial Logistics Properties Trust on 13 of the 18 factors compared between the two stocks.

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.

About Industrial Logistics Properties Trust

Industrial Logistics Properties Trust (Nasdaq: ILPT) is a real estate investment trust, or REIT, focused on owning and leasing high quality distribution and logistics properties. As of December 31, 2023, ILPT's portfolio consisted of 411 properties containing approximately 60 million rentable square feet located in 39 states. Approximately 77% of ILPT's annualized rental revenues as of December 31, 2023 are derived from investment grade tenants, tenants that are subsidiaries of investment grade rated entities or Hawaii land leases. ILPT is managed by The RMR Group (Nasdaq: RMR), a leading U.S. alternative asset management company with over $41 billion in assets under management as of December 31, 2023 and more than 35 years of institutional experience in buying, selling, financing and operating commercial real estate. ILPT is headquartered in Newton, MA.