Should I Buy Extra Space Storage (EXR)? Finance YouTuber Analysis

The YouTuber recommends Extra Space Storage as a well-managed self-storage REIT that has historically created significant shareholder value. He notes that despite high interest rates, its Funds From Operations (FFO) have remained stable, and anticipates FFO will rise when interest rates fall during the next crisis. The stock is currently trading at 17 times earnings, below its historical average of 20 times.

“Extra Space Storage ha sido de las mejores gestionadas y de las que mejor ha ido en bolsa y de las que más valor ha creado para el accionista.”

The YouTuber likes Extra Space Storage as an individual name within the real estate sector, which he believes is undervalued and offers relative safety.

“But I also like individual names like AMT, American Tower, BXP, ticker BXP, Extra Space Storage, EXR, and Digital Realy, ticker DLR.”

The YouTuber advises avoiding Extra Space Storage, arguing that the self-storage sector has peaked after significant returns. He points to its current high valuation at 29 times FFO and a low dividend yield of 2.5%, suggesting the stock has run too far and is now too expensive.

“shares of exr now trade for 29 times on that funds from operations basis the stock has run so fast that the dividend just can't keep up and now pays just two and a half percent yield”

The YouTuber identifies Extra Space Storage as an interesting investment due to its crisis-resilient business model and strong FFO growth, driven by exploding rental prices and high occupancy rates. Despite a recent correction, its current dividend yield of 3.5% is above historical averages, and its valuation based on FFO is considered reasonable, making it an attractive buy.

“ich finde ich finde das auch eine sehr interessante Branche ich finde fast eine interessant und es gibt noch viele weitere interessante Aktien”