Extra Space Storage Readies for Q3 Earnings Report

Extra Space Storage Inc. (EXR), a prominent player in the self-storage industry, has a market cap of $36.23 billion and operates from its headquarters in Salt Lake City, Utah. The company will release its Q3 earnings on Tuesday, Oct. 29, after the market closes.

Expectations for Q3 Earnings

Analysts predict that EXR will achieve a profit of $2.03 per share for the upcoming quarter, a slight increase from last year’s $2.02. In recent quarters, EXR has had mixed results, exceeding Wall Street’s projections in two of the last four reports while falling short in the others.

Mixed Results from Last Quarter

Last quarter, the company reported adjusted earnings of $2.06 per share, which missed the consensus estimate by 3%. Its robust performance stemmed from rising rental income, tenant insurance fees, and increased occupancy rates.

Looking ahead to fiscal 2024, analysts forecast EPS of $8.08, a minor decline from $8.10 reported in fiscal 2023.

Performance Compared to Market

Year-to-date, EXR stock has gained 6.7%, yet this lags behind the broader S&P 500 Index’s ($SPX) 21.9% increase and the Real Estate Select Sector SPDR Fund’s (XLRE) 10.5% rise.

Overall Outlook

Despite some challenges, including operating expenses and interest costs, Extra Space Storage has demonstrated solid growth in occupancy and revenue over the past year. Following the release of its Q2 earnings report on Jul. 30, EXR’s stock closed slightly lower, even as revenues soared 58.5% year-over-year to $810.7 million.

The general sentiment toward EXR stock is moderately optimistic, holding a “Moderate Buy” rating. Among 18 analysts, six recommend a “Strong Buy,” one a “Moderate Buy,” nine suggest a “Hold,” while one each advocates for a “Moderate Sell” and a “Strong Sell.”

EXR’s average analyst price target stands at $176, indicating a potential upside of 2.8% based on current market levels.

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On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

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