Stock Price & Analysis

Based on the analysis of EXR's current price trends, technical indicators, and analyst sentiment, the stock appears undervalued with potential upside. It is recommended to buy EXR stock as it may be positioned for a rebound.

EXR stock is predicted to reach $166 by 2025, reflecting a 12.8% upside from current levels. Analysts have set a mean price target of $165.59, with a range of $160 to $181, driven by factors like soft demand and supply pressures in the self-storage sector.

The S1 support level for EXR Stock is $143.66 ,The R1 resistant level for EXR Stock is $147.85.

As of the end of day on 2025-03-28, the price of EXR Stock was $144.25.

The target price for EXR Stock according to analyst rating is 166.08, with the highest price target at 184.00 and the lowest at 155.00. Analysts have a Hold rating on EXR Stock overall.

The market cap of EXR is $30.8B.

Analysis and Insights

Valuation Metrics:

EXR's valuation metrics suggest potential overvaluation. The stock trades at a P/E ratio of 34.59, which is significantly higher than the industry average for REITs. Additionally, the EV/EBITDA ratio of 22.97 indicates a premium valuation compared to peers. The price-to-sales (PS) ratio of 9.91 and price-to-book (PB) ratio of 2.18 further support the overvaluation thesis, as these metrics are above historical averages for the sector.

Financial Performance:

EXR has shown consistent revenue growth, with Q4 2024 revenue of $821.9 million, reflecting strong operational performance. However, net income has been volatile, with Q4 2024 net income of $262.1 million, down from Q3's $192.8 million. The company maintains a healthy dividend yield of 4.38%, but this alone may not justify the current valuation.

Technical Analysis:

The stock is currently in a bearish trend, with the RSI (14) at 35.34, indicating oversold conditions. The MACD is negative, and the stock is trading below its 50-day and 200-day moving averages, signaling weak technical momentum.

Analyst Sentiment:

Analysts have mixed views on EXR. While Barclays maintains a "Buy" rating with a price target of $181, Scotiabank and RBC Capital have lowered their price targets slightly, reflecting cautious optimism. The average analyst price target of $165 suggests limited upside from current levels.

Conclusion:

Based on the high valuation metrics, weak technical indicators, and mixed analyst sentiment, EXR appears overvalued at current levels. Investors should exercise caution and consider waiting for a price correction or improved market conditions before entering a position.

Extra Space Storage Inc. is a self-administered and self-managed real estate investment trust (REIT). The Company owns, operates, manages, provides lending to acquire, develop and redevelop self-storage properties. It offers customers a selection of located storage units across the country, including boat storage, recreational vehicle (RV) storage and business storage. The Company owns and/or operates 3,714 self-storage stores in 42 states and Washington, D.C. The Company operates through two segments: self-storage operations, and tenant reinsurance. Its self-storage operations activities include rental operations of wholly owned stores. Tenant reinsurance activities include the reinsurance of risks relating to the loss of goods stored by tenants in its stores. The Company’s stores comprise approximately 2.6 million units and approximately 283.0 million square feet of rentable space operating under the Extra Space, Life Storage and Storage Express brands.

Based on current trends and analyst projections, Extra Space Storage (EXR) could reach $180 per share by 2030, driven by strong demand in the self-storage sector and its leadership position. However, this prediction hinges on favorable market conditions and interest rate stability. A more conservative estimate suggests $160 per share, considering potential economic headwinds.

EXR has a total of 7618 employees.