Financial Performance - Reported net income allocable to common shareholders for Q4 2024 was $564.4 million or $3.21 per diluted share, an increase of 44.8% compared to $389.7 million or $2.21 per diluted share in Q4 2023[7]. - Total net income allocable to common shareholders for the year 2024 was $1.873 billion or $10.64 per diluted share, down 3.9% from $1.949 billion or $11.06 per diluted share in 2023[9]. - Net income for the year ended December 31, 2024, was $2,084,410,000, a decrease of 3.5% from $2,160,120,000 in 2023[32]. - Funds from Operations (FFO) allocable to common shares for Q4 2024 was $853,679,000, up 28.1% from $666,263,000 in Q4 2023[36]. - The distribution payout ratio for the year ended December 31, 2024, was 81.1%, compared to 80.8% in 2023[36]. Revenue and Income Analysis - Same Store Facilities generated total revenues of $915.6 million for Q4 2024, a decrease of 0.6% compared to Q4 2023, with annual revenues of $3.68 billion, down 0.7% year-over-year[17]. - Direct net operating income (NOI) for Same Store Facilities was $725.6 million in Q4 2024, reflecting a 1.0% decline from Q4 2023, with annual Direct NOI of $2.89 billion, down 1.9% year-over-year[17]. - Self-storage revenues for the three months ended December 31, 2024, were $1,100,097, an increase from $1,092,588 in the same period of 2023, representing a growth of 0.7%[39]. - Same Store Facilities generated self-storage revenues of $915,571 for the three months ended December 31, 2024, down from $920,829 in 2023, a decline of 1.4%[39]. - Net Operating Income (NOI) for Same Store Facilities was $698,726 for the three months ended December 31, 2024, compared to $705,975 in 2023, a decrease of 1.0%[39]. Operational Highlights - Self-storage net operating income increased by $61.6 million in 2024, driven by a $108.9 million increase from Non-Same Store Facilities, despite a $47.3 million decrease from Same Store Facilities[10]. - The company acquired 17 self-storage facilities in Q4 2024 for $221.2 million, adding 1.3 million net rentable square feet, and a total of 22 facilities for $267.5 million during 2024[19]. - The acquisition of BREIT Simply Storage LLC in 2023 for $2.2 billion added 127 facilities with 9.4 million square feet, generating revenues of $151.8 million and NOI of $103.9 million in 2024[20]. - The company opened three newly developed facilities in Q4 2024, contributing 0.4 million net rentable square feet at a cost of $80.9 million, and a total of seven facilities in 2024, adding 1.5 million square feet at a cost of $343.4 million[21]. - Non-Same Store Facilities generated NOI of $415.1 million in 2024, with expectations for incremental NOI stabilization of $80,000 in 2026 and beyond[24]. Future Guidance - For 2025, the company expects Same Store revenue growth between -1.3% and 0.8%, with net operating income growth projected between -2.9% and 0.2%[25]. - The guidance for Core FFO per share in 2025 is between $16.35 and $17.00, reflecting a growth rate of -1.9% to 2.0% from 2024[25]. - Anticipated impact of approximately $0.23 per share to Core FFO in 2025 due to pricing restrictions related to the Los Angeles community fires[3]. Capital Structure and Financing - The company issued 184,390 common shares for net proceeds of approximately $60.3 million through its "at the market" offering program[6]. - Completed a public offering of $1.0 billion in unsecured senior notes and issued €150 million in senior notes to institutional investors[6]. - Total assets as of December 31, 2024, were $19,754,934,000, a slight decrease from $19,809,216,000 in 2023[34]. - Public Storage's total liabilities increased to $9,941,282,000 as of December 31, 2024, from $9,702,270,000 in 2023[34]. - Interest expense for the year ended December 31, 2024, was $287,401,000, up from $201,132,000 in 2023[32]. Cash Flow and Expenses - Cash and equivalents increased to $447,416,000 as of December 31, 2024, from $370,002,000 in 2023[34]. - General and administrative expenses rose to $32,547 for the three months ended December 31, 2024, from $23,172 in 2023, an increase of 40.5%[39]. - The cost of operations for Same Store Facilities was $216,845 for the three months ended December 31, 2024, slightly up from $214,854 in 2023, an increase of 0.9%[39]. Foreign Currency and Other Gains - The company reported a foreign currency exchange gain of $122,824,000 for Q4 2024, compared to a loss of $71,121,000 in Q4 2023[32]. - Foreign currency exchange gain for the three months ended December 31, 2024, was $122,824, compared to a loss of $71,121 in 2023, indicating a significant positive shift[39]. - The company reported a gain on the sale of real estate of $109 for the three months ended December 31, 2024, compared to $17,090 in 2023, indicating a substantial decrease[39].

Core Viewpoint - Public Storage (PSA) is expected to report an increase in core funds from operations (FFO) per share and revenues for the fourth quarter and full year of 2024, despite facing challenges in demand and rising interest expenses [1][5]. Financial Performance - In the last reported quarter, PSA missed the core FFO per share estimate by 1.18%, with a year-over-year decline of 3.3%. Quarterly revenues were $1.19 billion, reflecting a 3.8% increase year-over-year [2]. - The Zacks Consensus Estimate for fourth-quarter revenues from self-storage facilities is $1.10 billion, up from $1.09 billion in the same period last year. Revenues from ancillary operations are projected at $74.6 million, an increase from $67.3 million [6]. - The overall consensus estimate for quarterly revenues stands at $1.18 billion, indicating a 1.5% year-over-year increase [7]. Occupancy and Expenses - The estimated weighted average square foot occupancy for the fourth quarter is 92.2%, down from 92.7% in the previous quarter. Interest expenses are projected to increase by 8.1% year-over-year [7]. - For the full year, PSA anticipates core FFO per share in the range of $16.50-$16.85, with expectations of a same-store revenue decline of 1.3-0.5% and a same-store expense increase of 2-3.5% [9]. Market Position and Outlook - PSA is likely to benefit from its strong presence in major metropolitan markets, established brand, and technological advantages [3]. - The company maintains a solid financial position with one of the strongest balance sheets in the industry, allowing it to capitalize on expansion opportunities through acquisitions and development [4]. - Despite these strengths, the self-storage industry is experiencing a softening in demand and operating trends, which is expected to continue into the fourth quarter [5].

Core Insights - Public Storage (PSA) is expected to report quarterly earnings of $4.23 per share, reflecting a 0.7% increase year-over-year, with revenues projected at $1.18 billion, a 1.5% increase from the previous year [1] - Analysts have revised the consensus EPS estimate 0.1% higher over the last 30 days, indicating a collective reevaluation of initial estimates [1][2] Revenue Estimates - Revenues from self-storage facilities are projected to reach $1.10 billion, indicating a 0.5% year-over-year change [4] - Revenues from ancillary operations are expected to be $74.59 million, representing a significant increase of 10.9% from the prior-year quarter [4] Occupancy and Depreciation - Analysts estimate square foot occupancy to be 92.2%, slightly down from 92.7% reported in the same quarter last year [4] - Depreciation and amortization is expected to be $284.93 million, a decrease from the year-ago figure of $287.53 million [5] Stock Performance - Over the past month, Public Storage shares have recorded a return of +0.5%, compared to the Zacks S&P 500 composite's +4.7% change [6] - PSA holds a Zacks Rank 3 (Hold), suggesting its performance will likely align with the overall market in the upcoming period [6]

Company Overview - Public Storage is the largest self-storage provider in the United States, with half of the U S population living within a trade area of one of its facilities [4] - The company has grown its storage space by 36% since 2019 through $11 7 billion in investments [7] - Public Storage generates 75% of its new customers through its digital eRental program, significantly higher than the 30% average of its REIT peers [9] Financial Performance - Public Storage's sales have grown by 12% over the last two years [2] - The company has a higher-than-average 4 1% dividend yield, which is about 20% above its 10-year average [14][15] - Public Storage's dividend payments have grown more than sixfold over the last two decades, representing a 10% annualized growth rate [14] Market Position and Growth Potential - Public Storage holds a 9% market share in the fragmented U S self-storage market, with 80% of the market consisting of smaller regional and local owners [11][12] - The company is well-positioned to continue consolidating the industry through mergers and acquisitions, supported by its best-in-class credit ratings [12] - Public Storage's high cash return on invested capital (ROIC) indicates its ability to generate substantial cash flows from new investments [10][12] Operational Strengths - Public Storage holds the highest Moody's and S&P Global credit ratings among U S REITs, providing a solid foundation for growth [6] - The company has implemented a digital operating model, with over 2 million customers using its mobile app, offering digital access, a digital care team, live help, and kiosks at each location [8] - Public Storage's digital prowess gives it an advantage in acquiring new customers, particularly among younger, tech-savvy generations [9] Valuation and Investment Appeal - Public Storage's stock has dropped roughly 30% from its highs, leading to a discounted valuation [1][16] - The company trades at 17 times cash from operations (CFO), near a decade-long low, making it an attractive investment despite its industry-leading qualities and growth prospects [16][17] - The combination of a 4 1% dividend yield, expansion potential, and best-in-class operations makes Public Storage a compelling S&P 500 dividend stock to buy in 2025 and hold long-term [17]

Shares of Public Storage (PSA) have risen 26.8% in the past six months compared with the industry’s growth of 16.3%.One of the top owners and operators of storage facilities in the United States, Public Storage enjoys a presence in all major metropolitan markets of the country. The ‘Public Storage’ brand is a much-recognized and established name in the self-storage industry.With this self-storage REIT riding high, individuals may rush to add it to their portfolio. However, before making any hasty decision, ...

Group 1 - Public Storage (NYSE: PSA) has been operating for over 52 years and is considered a well-run business, but it may face challenges in maintaining its previous growth rates [1] Group 2 - The author emphasizes the importance of long-term investing and believes that informed and disciplined investors can outperform the S&P 500 over time [2]

I find Public Storage (NYSE: PSA ) to be one of the more interesting REITs out there, given its focus storage unit properties. As the biggest player in the American storage unit market, I believe it distinguishes itself asMy articles are written with a mind to owning a stock for years, not trying to predict price movements in a few months. I don't do target prices; I do valuations.I first entered investing in 2020 as an individual value investor, keen to understand the fundamentals of businesses and buy the ...

Core Insights - Public Storage (PSA) reported third-quarter 2024 core funds from operations (FFO) per share of $4.20, missing the Zacks Consensus Estimate of $4.25 and reflecting a 3% year-over-year decline [1] - The company's shares fell by 0.69% in after-hours trading following the earnings release [1] Financial Performance - Quarterly revenues reached $1.19 billion, marking a 3.8% increase year over year and surpassing the Zacks Consensus Estimate of $1.18 billion [2] - Same-store revenues decreased by 1.3% year over year to $926.3 million, attributed to lower realized annual rent per occupied square foot and a decline in occupancy [3] - Realized annual rental income per occupied square foot dropped by 0.8% to $22.71, with a weighted average square foot occupancy of 92.7%, down 0.5% year over year [3] - Same-store net operating income (NOI) decreased by 2.5% to $699.6 million, while NOI growth from non-same-store facilities was $29.8 million due to acquisitions in 2023 [4] Cost and Expenses - The cost of operations for same-store facilities increased by 2.6% year over year, driven by higher direct property costs, repairs, maintenance, and marketing expenses [4] - Interest expenses rose to $74.3 million, up 27.3% from the previous year [5] Balance Sheet and Cash Position - As of the end of the third quarter, Public Storage had $599 million in cash and equivalents, an increase from $370 million at the end of 2023 [6] Portfolio Activity - In the third quarter, Public Storage acquired three self-storage facilities for $24.3 million, adding 0.2 million net rentable square feet [7] - Post-September 30, 2024, the company is under contract to acquire 14 additional self-storage facilities for $181.2 million, totaling 1.2 million net rentable square feet [7] - The company opened one newly developed facility and completed expansion projects, adding 0.5 million net rentable square feet at a cost of $142.6 million [8] - Future developments are expected to add 4 million net rentable square feet at an estimated cost of $712.4 million, with $401.9 million in remaining development costs projected over the next 18 to 24 months [8] Guidance - Public Storage projects 2024 core FFO per share in the range of $16.50-$16.85, consistent with previous guidance, and the Zacks Consensus Estimate of $16.73 falls within this range [9] - The company anticipates a decline of 1.3%-0.5% in same-store revenues, 2%-3.5% growth in same-store expenses, and a decrease of 2.7%-1.3% in same-store NOI for the year [9]

Public Storage (PSA) reported $1.19 billion in revenue for the quarter ended September 2024, representing a year-over-year increase of 3.8%. EPS of $4.20 for the same period compares to $3.20 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $1.18 billion, representing a surprise of +0.39%. The company delivered an EPS surprise of -1.18%, with the consensus EPS estimate being $4.25. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wa ...

Public Storage (PSA) came out with quarterly funds from operations (FFO) of $4.20 per share, missing the Zacks Consensus Estimate of $4.25 per share. This compares to FFO of $4.33 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an FFO surprise of -1.18%. A quarter ago, it was expected that this self-storage facility real estate investment trust would post FFO of $4.20 per share when it actually produced FFO of $4.23, delivering a surprise of 0.71%.Ov ...