12:15 PM EST, 03/01/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We keep our target at $46 on a forward P/FFO of 17.0x our '24 FFO estimate, in line with self-storage REIT peers. We lower our '24 FFO view by $0.01 to $2.68 and trim '25's by $0.02 to $2.77. CUBE posted Q4 23 FFO of $0.70 vs. $0.67, a $0.02 consensus beat. Same-store NOI rose 1% Y/Y as a modest increase in realized occupied rent per sq. ft. ($23.12 vs. $22.72 Y/Y) was partially offset by a 110-bp drop in average occupancy (90.8% Y/Y). CUBE managed same-store operating expenses well, as they fell 2% Y/Y despite a 44% increase in property insurance expenses. However, advertising spend rose just 1% Y/Y, well below peers, leading us to believe higher growth in this expense line item is likely in '24. Leverage dropped to 4.1x vs. 4.4x Q/Q and CUBE maintains 99% fixed debt, leaving the balance sheet well positioned in this higher-rate environment. Looking to '24, we expect CUBE to benefit from concentration within the more resilient New York City market, partially offset by weak moving trends that weigh on demand.