Jefferies Raises Price target on CubeSmart (CUBE) Following Non-Deal Roadshow

Jefferies reiterated a Buy rating on CubeSmart (NYSE: CUBE), and raised the price target to $31.00 (from $30.00), following a non-deal roadshow. Effective rent growth now accounts for approximately 2/3 - 3/4 of revenue growth, with occupancy making up the remainder. This is in stark contrast to the past few years where occupancy was the primary driver of revenue growth.

Analyst George Hoglund commented, "We took CUBE on a non-deal roadshow (NDR) this week and our meetings reinforced our positive outlook for CUBE. Supply remains muted, effective rent growth has successfully taken the baton from occupancy growth to drive revenues, and management is confident that 2016 will be another strong year. Skeptics looking to poke holes in the bull thesis will likely remain frustrated. We are raising estimates and PT. We reiterate our Buy rating."

For an analyst ratings summary and ratings history on CubeSmart click here. For more ratings news on CubeSmart click here.

Shares of CubeSmart closed at $27.39 yesterday.

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