WallStSmart

CubeSmart (CUBE)vsRLJ Lodging Trust (RLJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

RLJ Lodging Trust generates 20% more annual revenue ($1.35B vs $1.13B). CUBE leads profitability with a 29.6% profit margin vs 2.1%. RLJ appears more attractively valued with a PEG of 2.06. CUBE earns a higher WallStSmart Score of 51/100 (C-).

CUBE

Buy

51

out of 100

Grade: C-

Growth: 4.0Profit: 8.0Value: 6.0Quality: 3.0
Piotroski: 3/9Altman Z: 0.57

RLJ

Hold

45

out of 100

Grade: D+

Growth: 2.7Profit: 4.5Value: 5.3Quality: 4.0
Piotroski: 3/9Altman Z: 0.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CUBEUndervalued (+33.0%)

Margin of Safety

+33.0%

Fair Value

$57.58

Current Price

$40.48

$17.10 discount

UndervaluedFair: $57.58Overvalued
RLJUndervalued (+70.3%)

Margin of Safety

+70.3%

Fair Value

$28.34

Current Price

$8.24

$20.10 discount

UndervaluedFair: $28.34Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CUBE2 strengths · Avg: 9.5/10
Operating MarginProfitability
39.5%10/10

Strong operational efficiency at 39.5%

Profit MarginProfitability
29.6%9/10

Keeps 30 of every $100 in revenue as profit

RLJ1 strengths · Avg: 10.0/10
Price/BookValuation
0.7x10/10

Reasonable price relative to book value

Areas to Watch

CUBE4 concerns · Avg: 3.0/10
P/E RatioValuation
27.1x4/10

Moderate valuation

Debt/EquityHealth
1.263/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
5.332/10

Expensive relative to growth rate

RLJ4 concerns · Avg: 3.3/10
PEG RatioValuation
2.064/10

Expensive relative to growth rate

Market CapQuality
$1.26B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
1.3%3/10

ROE of 1.3% — below average capital efficiency

Profit MarginProfitability
2.1%3/10

2.1% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : CUBE

The strongest argument for CUBE centers on Operating Margin, Profit Margin. Profitability is solid with margins at 29.6% and operating margin at 39.5%.

Bull Case : RLJ

The strongest argument for RLJ centers on Price/Book.

Bear Case : CUBE

The primary concerns for CUBE are P/E Ratio, Debt/Equity, Piotroski F-Score.

Bear Case : RLJ

The primary concerns for RLJ are PEG Ratio, Market Cap, Return on Equity. A P/E of 827.0x leaves little room for execution misses. Thin 2.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

CUBE profiles as a mature stock while RLJ is a value play — different risk/reward profiles.

CUBE carries more volatility with a beta of 1.13 — expect wider price swings.

CUBE is growing revenue faster at 5.6% — sustainability is the question.

CUBE generates stronger free cash flow (122M), providing more financial flexibility.

Bottom Line

CUBE scores higher overall (51/100 vs 45/100), backed by strong 29.6% margins. RLJ offers better value entry with a 70.3% 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.

CubeSmart

REAL ESTATE · REIT - INDUSTRIAL · USA

CubeSmart is a self-managed and self-managed real estate investment trust.

Visit Website →

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.

Visit Website →

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