Public Storage Started as a “Sell” at Cantor Fitzgerald (PSA)

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Self-storage REIT Public Storage ( PSA ) on Friday caught some sharply negative commentary from analysts at Cantor Fitzgerald.

The firm initiated coverage on PSA with a "Sell" rating and a $133.50 price target, which suggests a 4% downside to the stock's Thursday closing price of $139.25.

A Cantor analyst commented, "Public Storage is the industry behemoth, with a ironclad balance sheet and ample liquidity. The stock trades with premiums to net asset value ( NAV ) given insulation from capital markets and defensive cash flows. Although well positioned for above-average growth longer-term, recent core performance has only slightly topped smaller peers. Given current pricing, we believe the stock to be fully valued. Our broad REIT call underwrites burn-off of the 'safety & liquidity premium' across 2012; as such, PSA could underperform peers."


Public Storage shares were unchanged in premarket trading Friday.

The Bottom Line
Shares of Public Storage ( PSA ) have a 2.73% dividend yield, based on last night's closing stock price of $139.25. The stock has technical support in the $130-$132 price area. The shares are trading right at all-time high levels.

Public Storage ( PSA ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.

Created by Dividend.com


This article appears in: Investing , Stocks

Referenced Stocks: NAV , PSA

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