Public Storage (PSA)vsSunstone Hotel Investors Inc (SHO)
PSA
Public Storage
$309.68
+0.98%
REAL ESTATE · Cap: $52.51B
SHO
Sunstone Hotel Investors Inc
$11.48
-0.17%
REAL ESTATE · Cap: $2.02B
Smart Verdict
WallStSmart Research — data-driven comparison
Public Storage generates 394% more annual revenue ($4.87B vs $985.77M). PSA leads profitability with a 39.1% profit margin vs 3.8%. SHO appears more attractively valued with a PEG of 3.00. PSA earns a higher WallStSmart Score of 62/100 (C+).
PSA
Buy62
out of 100
Grade: C+
SHO
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-2.6%
Fair Value
$286.49
Current Price
$309.68
$23.19 premium
Margin of Safety
+35.1%
Fair Value
$14.30
Current Price
$11.48
$2.82 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 39 of every $100 in revenue as profit
Strong operational efficiency at 46.0%
Large-cap with strong market position
Every $100 of equity generates 21 in profit
Earnings expanding 32.8% YoY
Reasonable price relative to book value
Earnings expanding 1170.0% YoY
Areas to Watch
Premium valuation, high expectations priced in
Trading at 11.1x book value
3.2% revenue growth
Elevated debt levels
ROE of 2.0% — below average capital efficiency
3.8% margin — thin
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : PSA
The strongest argument for PSA centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 39.1% and operating margin at 46.0%.
Bull Case : SHO
The strongest argument for SHO centers on Price/Book, EPS Growth. Revenue growth of 11.0% demonstrates continued momentum.
Bear Case : PSA
The primary concerns for PSA are P/E Ratio, Price/Book, Revenue Growth.
Bear Case : SHO
The primary concerns for SHO are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 98.4x leaves little room for execution misses. Thin 3.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
PSA carries more volatility with a beta of 0.98 — expect wider price swings.
SHO is growing revenue faster at 11.0% — 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 55/100), backed by strong 39.1% margins. SHO offers better value entry with a 35.1% 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).
Visit Website →Sunstone Hotel Investors Inc
REAL ESTATE · REIT - HOTEL & MOTEL · USA
Sunstone Hotel Investors, Inc. is a lodging real estate investment trust (REIT) that, as of the date of this release, has interests in 19 hotels with 9,997 rooms.
Visit Website →Compare with Other REIT - INDUSTRIAL Stocks
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