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13 Best Warehouse and Self-Storage Stocks to Buy Right Now
Insider Monkeyยท 2025-09-24 02:21
Industry Overview - The warehousing and self-storage market is projected to grow at a 7.5% compound annual growth rate (CAGR) from 2025 to 2029, with a market value of $798.45 billion in 2024, expected to reach $1.159 trillion by the end of the forecast period [2] - Key growth drivers include urbanization, population growth, and the rise of online shopping, leading to high demand for secure and flexible storage solutions [3] - The Asia-Pacific region is expected to lead the industry by 2025, with North America following closely [2] Market Challenges - Consumer awareness of self-storage services is low, with only 43% of the population familiar with them and just 8.7% actively considering using these services [3] - Customer satisfaction is high, but 39% of customers perceive pricing as expensive, indicating potential for new operators to address cost concerns [3] Technological Advancements - Warehouse and self-storage providers are investing in digital tools such as smart security and automation to enhance efficiency and improve customer experience [4] - The need for diversified storage and distribution hubs is highlighted by companies like Shein, which is leasing a warehouse in China to mitigate U.S.-China tariff risks [4] Investment Opportunities - A list of the 13 Best Warehouse and Self-Storage Stocks to Buy has been curated based on strong market capitalization and hedge fund sentiment [7] - The strategy of imitating top stock picks from hedge funds has shown significant outperformance, with a return of 373.4% since May 2014 [8] Company Highlights - **Americold Realty Trust, Inc. (NYSE:COLD)**: Recognized for its innovative cold-storage facility in Arkansas, which features advanced automated systems and sustainability measures [10][11] - **CubeSmart (NYSE:CUBE)**: Upgraded by Evercore ISI with a new price target of $48, citing attractive valuation metrics and potential housing market tailwinds [13][14] - **National Storage Affiliates Trust (NYSE:NSA)**: Received a price target increase from $31 to $32, indicating a recalibration of future cash flow expectations [15][16]