Self Storage Could Be Limited, Analyst Recommends This Buying Stock

There are limited demand catalysts, such as housing turnover, in 2026, and this year is likely to be similar to 2025, "with portfolio footprint and market performance having an outsized impact on earnings," according to Goldman Sachs.

The Public Storage Analyst: Analyst Caitlin Burrows maintained a Buy rating on Public Storage (NYSE:PSA), while cutting the price target from $332 to $321.

Same-store revenue growth in 2026 could range from -1.0% to +1.2%, which excludes the "potential outsized performance" of Los Angeles, which would impact Public Storage more due to geography mix, "if wildfire pricing restrictions are removed," Burrows said in the note.

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Public Storage is outperforming rival Extra Space Storage Inc (NYSE:EXR) in the same markets, she added.

"Despite being in various overlapping markets, performance can vary greatly," which highlights the importance of location as well as company strategy and execution, the analyst stated.

Burrows said that both Public Storage and Extra Space Storage have stronger results than the broader market. "While PSA has more explicitly called out the headwind wildfire restrictions have on the LA market and pricing strategy, EXR faced larger headwinds in LA in 3Q25," she further wrote.

Price Action: PSA shares had risen by 0.80% to $ 290.07 at the time of publication on Thursday.

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