WallStSmart

Public Storage (PSA)vsRLJ Lodging Trust (RLJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Public Storage generates 255% more annual revenue ($4.91B vs $1.38B). PSA leads profitability with a 41.6% profit margin vs 2.0%. RLJ appears more attractively valued with a PEG of 2.06. PSA earns a higher WallStSmart Score of 62/100 (C+).

PSA

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 8.5Value: 4.0Quality: 3.5
Piotroski: 3/9Altman Z: 1.00

RLJ

Buy

53

out of 100

Grade: C-

Growth: 5.3Profit: 4.5Value: 5.3Quality: 4.5
Piotroski: 5/9Altman Z: 0.60
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PSAOvervalued (-8.4%)

Margin of Safety

-8.4%

Fair Value

$270.94

Current Price

$296.31

$25.37 premium

UndervaluedFair: $270.94Overvalued
RLJUndervalued (+55.7%)

Margin of Safety

+55.7%

Fair Value

$18.99

Current Price

$10.79

$8.20 discount

UndervaluedFair: $18.99Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PSA5 strengths · Avg: 9.2/10
Profit MarginProfitability
41.6%10/10

Keeps 42 of every $100 in revenue as profit

Operating MarginProfitability
45.7%10/10

Strong operational efficiency at 45.7%

Market CapQuality
$55.40B9/10

Large-cap with strong market position

Return on EquityProfitability
22.2%9/10

Every $100 of equity generates 22 in profit

EPS GrowthGrowth
45.1%8/10

Earnings expanding 45.1% YoY

RLJ1 strengths · Avg: 10.0/10
Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Areas to Watch

PSA4 concerns · Avg: 3.8/10
P/E RatioValuation
28.1x4/10

Moderate valuation

Price/BookValuation
10.8x4/10

Trading at 10.8x book value

Revenue GrowthGrowth
3.3%4/10

3.3% revenue growth

Debt/EquityHealth
1.113/10

Elevated debt levels

RLJ4 concerns · Avg: 3.3/10
PEG RatioValuation
2.064/10

Expensive relative to growth rate

Market CapQuality
$1.66B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
1.1%3/10

ROE of 1.1% — below average capital efficiency

Profit MarginProfitability
2.0%3/10

2.0% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : PSA

The strongest argument for PSA centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 41.6% and operating margin at 45.7%.

Bull Case : RLJ

The strongest argument for RLJ centers on Price/Book.

Bear Case : PSA

The primary concerns for PSA are P/E Ratio, Price/Book, Revenue Growth.

Bear Case : RLJ

The primary concerns for RLJ are PEG Ratio, Market Cap, Return on Equity. A P/E of 1087.0x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

RLJ carries more volatility with a beta of 1.09 — expect wider price swings.

RLJ is growing revenue faster at 5.6% — sustainability is the question.

PSA generates stronger free cash flow (799M), providing more financial flexibility.

Monitor REIT - INDUSTRIAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PSA scores higher overall (62/100 vs 53/100), backed by strong 41.6% margins. RLJ offers better value entry with a 55.7% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Public Storage

REAL ESTATE · REIT - INDUSTRIAL · USA

Public Storage is an American international self storage company headquartered in Glendale, California, that is run as a real estate investment trust (REIT).

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RLJ Lodging Trust

REAL ESTATE · REIT - HOTEL & MOTEL · USA

RLJ Lodging Trust is a publicly traded and publicly traded real estate investment trust primarily owning premium brand, high margin, focused service and compact full service hotels.

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