Skip to Content
MarketWatch

Don't fall into a REIT value trap — these 20 -2-

SBA Communications Corp. Class A SBAC  84%  11%  5%  $331.96  $346.67  4% 
Cousins Properties Inc. CUZ  60%  40%  0%  $40.16  $40.60  1% 
Life Storage Inc. LSI  80%  20%  0%  $111.90  $117.22  5% 
Lexington Realty Trust LXP  50%  33%  17%  $12.75  $13.40  5% 
Public Storage PSA  18%  76%  6%  $308.29  $311.85  1% 
Rexford Industrial Realty Inc. REXR  75%  25%  0%  $60.53  $62.88  4% 
Extra Space Storage Inc. EXR  69%  19%  13%  $167.45  $177.79  6% 
Source: FactSet 

Viewing the ratings and price targets, it appears that analysts believe these REITs are fully priced -- but the analysts' ratings are based in great part on their 12-month outlooks for the stocks. That's a short period for serious long-term investors.

Haggerty said the three components of this REIT scoring methodology (debt, dividend growth and payout ratio) have been "enduring factors" for investors. "They will serve you well over a long period," he said.

The screen is not designed to help investors time the market by scooping up challenged companies at a discount, he said, adding: "This is to identify higher-quality companies that should do better over time."

-Philip van Doorn; 415-439-6400; AskNewswires@dowjones.com

 

(END) Dow Jones Newswires

07-26-21 0754ET

Copyright (c) 2021 Dow Jones & Company, Inc.