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Scotiabank upgrades Extra Space to Sector Perform on valuation
The Fly

Scotiabank upgrades Extra Space to Sector Perform on valuation

Scotiabank last night upgraded Extra Space Storage (EXR) to Sector Perform from Underperform with an unchanged price target of $167. The stock’s current relative valuation better reflects its “subdued” funds from operations growth outlook, the analyst tells investors in a research note. The firm says that with investor expectations on the stock having been reset lower after a “sluggish” 2024, it does not expect upcoming downside risk to Extra Space’s fiscal 2025 guidance. Meanwhile, this week’s operating update looked encouraging on occupancy, contends Scotiabank. The firm says the stock’s valuation is “now more compelling.”

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