InvestorsObserver
×
News Home

Should You Buy Extra Space Storage Inc (EXR) Stock Wednesday?

Wednesday, November 29, 2023 02:05 PM | InvestorsObserver Analysts

Mentioned in this article

Should You Buy Extra Space Storage Inc (EXR) Stock Wednesday?

Extra Space Storage Inc (EXR) receives a weak valuation ranking of 2 from InvestorsObserver data analysis. The proprietary ranking system focuses on the underlying health of a company through analysis of its stock price, earnings, and growth rate. EXR has a better value than 2% of stocks based on these valuation analytics. Investors primarily focused on buy-and-hold strategies will find the valuation ranking relevant to their goals when making investment decisions.

Valuation Rank - 2
EXR gets a 2 Valuation Rank today. Find out what this means to you and get the rest of the rankings on EXR!

Metrics Analysis

EXR has a trailing twelve month Price to Earnings (PE) ratio of 33.94 which places it above the histroical average of roughly 15. EXR is currently trading at a poor value due to investors paying more than what the stock is worth in relation to its earnings. EXR's trailing-12-month earnings per share (EPS) of 5.37 does not justify its share price in the market. Trailing PE ratios do not factor in the company's projected growth rate, thus, some firms will have high PE ratios caused by high growth recruiting more investors even if the underlying company has produced low earnings so far.
EXR has a 12 month forward PE to Growth (PEG) ratio of 13. Markets are overvaluing EXR in relation to its projected growth as its PEG ratio is currently above the fair market value of 1. 5.37's PEG comes from its forward price to earnings ratio being divided by its growth rate. PEG ratios are one of the most used valuation metrics due to its incorporation of more company fundamentals metrics and a focus on the firm's future rather than its past.

Summary

EXR' has a weak valuation at its current share price on account of a overvalued PEG ratio due to strong growth. EXR's PE and PEG are worse than the market average leading to a below average valuation score. Click Here to get the full Report on Extra Space Storage Inc (EXR) stock.

You May Also Like

Get the InvestorsObserver App

InvestorsObserver App
iOS App Android App