WallStSmart

Public Storage (PSA)vsRLJ Lodging Trust (RLJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Public Storage generates 261% more annual revenue ($4.91B vs $1.36B). PSA leads profitability with a 41.6% profit margin vs 1.8%. 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: 3.3Quality: 3.5
Piotroski: 3/9Altman Z: 1.00

RLJ

Hold

42

out of 100

Grade: D

Growth: 3.3Profit: 4.5Value: 6.3Quality: 3.5
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

$271.16

Current Price

$327.34

$56.18 premium

UndervaluedFair: $271.16Overvalued
RLJUndervalued (+55.6%)

Margin of Safety

+55.6%

Fair Value

$18.93

Current Price

$12.32

$6.61 discount

UndervaluedFair: $18.93Overvalued

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
$60.97B9/10

Large-cap with strong market position

Return on EquityProfitability
20.6%9/10

Every $100 of equity generates 21 in profit

EPS GrowthGrowth
45.1%8/10

Earnings expanding 45.1% YoY

RLJ1 strengths · Avg: 10.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Areas to Watch

PSA4 concerns · Avg: 3.8/10
P/E RatioValuation
31.1x4/10

Premium valuation, high expectations priced in

Price/BookValuation
11.9x4/10

Trading at 11.9x book value

Revenue GrowthGrowth
3.3%4/10

3.3% revenue growth

Debt/EquityHealth
1.053/10

Elevated debt levels

RLJ4 concerns · Avg: 3.5/10
PEG RatioValuation
2.064/10

Expensive relative to growth rate

Revenue GrowthGrowth
3.6%4/10

3.6% revenue growth

Market CapQuality
$1.88B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
1.1%3/10

ROE of 1.1% — below average capital efficiency

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, Revenue Growth, Market Cap. Thin 1.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

RLJ carries more volatility with a beta of 1.11 — expect wider price swings.

RLJ is growing revenue faster at 3.6% — sustainability is the question.

PSA generates stronger free cash flow (625M), providing more financial flexibility.

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

Bottom Line

PSA scores higher overall (62/100 vs 42/100), backed by strong 41.6% margins. RLJ offers better value entry with a 55.6% margin of safety. Both earn "Buy" and "Hold" 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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