WallStSmart

Public Storage (PSA)vsRLJ Lodging Trust (RLJ)

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Smart Verdict

WallStSmart Research — data-driven comparison

Public Storage generates 265% more annual revenue ($5.04B vs $1.38B). PSA leads profitability with a 37.7% profit margin vs 2.0%. RLJ appears more attractively valued with a PEG of 2.06. PSA earns a higher WallStSmart Score of 54/100 (C-).

PSA

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 8.5Value: 3.3Quality: 3.5
Piotroski: 3/9Altman Z: 1.00

RLJ

Buy

50

out of 100

Grade: C-

Growth: 5.3Profit: 4.5Value: 6.3Quality: 4.5
Piotroski: 5/9Altman Z: 0.60
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PSAOvervalued (-5.7%)

Margin of Safety

-5.7%

Fair Value

$277.93

Current Price

$333.39

$55.46 premium

UndervaluedFair: $277.93Overvalued
RLJUndervalued (+55.4%)

Margin of Safety

+55.4%

Fair Value

$18.86

Current Price

$12.59

$6.27 discount

UndervaluedFair: $18.86Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PSA4 strengths · Avg: 9.5/10
Profit MarginProfitability
37.7%10/10

Keeps 38 of every $100 in revenue as profit

Operating MarginProfitability
39.5%10/10

Strong operational efficiency at 39.5%

Market CapQuality
$60.68B9/10

Large-cap with strong market position

Return on EquityProfitability
22.2%9/10

Every $100 of equity generates 22 in profit

RLJ1 strengths · Avg: 10.0/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Areas to Watch

PSA4 concerns · Avg: 3.0/10
P/E RatioValuation
34.1x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.113/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.352/10

Expensive relative to growth rate

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

Expensive relative to growth rate

Market CapQuality
$1.93B3/10

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 37.7% and operating margin at 39.5%. Revenue growth of 10.8% demonstrates continued momentum.

Bull Case : RLJ

The strongest argument for RLJ centers on Price/Book.

Bear Case : PSA

The primary concerns for PSA are P/E Ratio, Debt/Equity, Piotroski F-Score.

Bear Case : RLJ

The primary concerns for RLJ are PEG Ratio, Market Cap, Return on Equity. Thin 2.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

PSA profiles as a mature stock while RLJ is a value play — different risk/reward profiles.

RLJ carries more volatility with a beta of 1.14 — expect wider price swings.

PSA is growing revenue faster at 10.8% — sustainability is the question.

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

Bottom Line

PSA scores higher overall (54/100 vs 50/100), backed by strong 37.7% margins and 10.8% revenue growth. RLJ offers better value entry with a 55.4% 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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