National Storage Affiliates Trust (NSA) Shares Fall 1.1% Today — Is This a Bargain?

National Storage Affiliates Trust (NSA) - Fairly Valued With Strong Growth Indicators

National Storage Affiliates Trust (NSA) shares moved -46.2% over the last 52 weeks, with a high of $70.04 and a low of $35.37. During this time, the stock lagged the S&P 500 index by -26.4%. National Storage Affiliates Trust is a Maryland real estate investment trust focused on the ownership, operation and acquisition of self storage properties located within the top 100 metropolitan statistical areas throughout the United States. The mid-cap Real Estate company has 1,175 full time employees and is based in Greenwood Village, CO. National Storage Affiliates Trust has returned a 5.7% dividend yield over the last 12 months.

Exceptional Track Record of Eps Growth at the Expense of a Highly Leveraged Balance Sheet:

2018-12-31 2019-12-31 2020-12-31 2021-12-31
Revenue (MM) $331 $388 $432 $586
Revenue Growth n/a 17.2% 11.4% 35.5%
Operating Margins 30.72% 32.7% 34.04% 37.26%
Operating Margins Growth n/a 6.45% 4.1% 9.46%
Net Margins 4.26% 1.03% 11.25% 17.97%
Net Margins Growth n/a -75.82% 992.23% 59.73%
Earnings Per Share $0.07 $-0.15 $0.53 $0.98
EPS Growth n/a -314.29% 453.33% 84.91%
Free Cash Flow (MM) $142 $175 $204 $303
FCF Growth n/a 23.05% 16.38% 48.78%
Capital Expenditures (MM) $-19 $-21 $-17 $-28
Net Debt / EBITDA 6.68 6.65 7.21 7.65

The Market Is Fairly Valuing National Storage Affiliates Trust :

Compared to the Real Estate sector's average of 27.16, National Storage Affiliates Trust has a trailing twelve month price to earnings (P/E) ratio of 39.7 and, based on its Eps guidance of 1.27, an expected P/E ratio of 28.8. The firm's price to earnings growth (PEG) is 3.69, which indicates that it is overvalued in terms of its expected rate of earnings growth. . National Storage Affiliates Trust's price to book (P/B) ratio is 2.3 compared to its sector average of 2.39.

As of the date of publication, the company's shares are trading 99.3% above their fair value as expressed by Benjamin Graham's formula. We calculate the Graham number as follows:

√(22.5 * TTM earnings per share * book value per share) = √(22.5 * 0.92 * 16.219) = $18.32

National Storage Affiliates Trust Is the Subject of Mixed Market Indicators :

11 analysts are following National Storage Affiliates Trust and have set target prices ranging from $40 to $53 per share. On average, they have given the company a rating of buy. At the current price of $36.52, NSA is trading -19.98% away from its average analyst target price of $45.64 per share, implying an analyst consensus of some upside potential for the stock. The company has an average amount of shares sold short since 3.6% of the company's shares are tied to short positions. Institutions own 89.1% of National Storage Affiliates Trust's shares, while the insider ownership rate stands at 7.68%. The biggest shareholder is the Vanguard Group, Inc. with a 14.50% stake in the company worth approximately $481,131,394.00.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.