Public Storage (PSA) vs Terreno Realty Corporation (TRNO)

Public Storage and Terreno Realty Corporation are both Reit Industrial companies. Public Storage is the larger, with a market value of $53.2B against $7.2B — 7.3× the size. Terreno Realty Corporation trades at the lower P/E: 17.7× against 27.4×. Terreno Realty Corporation grew revenue faster over the last twelve months: 18.1% against 2.97%. Terreno Realty Corporation has the higher net margin (76.9% vs 37.7%) and the lower return on invested capital (2.42% vs 7.20%). Both pay a dividend; Public Storage yields more (4.22% vs 2.67%). Across the 22 metrics below, Public Storage leads on 12 and Terreno Realty Corporation on 10.

Valuation

Metric PSA TRNO Reit Industrial median
P/E 27.45 17.71 28.30
P/S 10.36 14.00 8.16
P/B 10.26 1.59 1.89
Price to free cash flow 19.63 n/m 21.44
EV/EBITDA 17.97 25.97 17.97
EV/Sales 12.45 15.87 11.71
Earnings yield 3.64% 5.65% 3.38%
Free cash flow yield 5.09% (9.75%) 2.71%

Profitability

Metric PSA TRNO Reit Industrial median
Gross margin 72.51% 76.17% 73.76%
Operating margin 45.25% 41.39% 39.85%
Net margin 37.74% 76.92% 28.04%
Free cash flow margin 52.76% (136.53%) 13.63%
Return on equity 36.68% 9.24% 6.83%
Return on assets 9.08% 7.23% 3.45%
Return on invested capital 7.20% 2.42% 2.92%

Growth

Metric PSA TRNO Reit Industrial median
Revenue growth (TTM) 2.97% 18.05% 3.86%
EPS growth (last fiscal year) (15.32%) 103.65% —
Revenue growth, 5-year CAGR 10.60% 20.58% 13.33%
Net income growth, 5-year CAGR 7.62% 38.26% 9.91%

Health

Metric PSA TRNO Reit Industrial median
Debt to equity 1.10 0.22 0.84
Current ratio 0.66 0.43 0.78
Net debt to EBITDA 2.92 3.36 4.76

Dividend

Metric PSA TRNO Reit Industrial median
Dividend yield 4.22% 2.67% 3.14%
Payout ratio 0.43 0.87 1.14

Size

Metric PSA TRNO Reit Industrial median
Market cap 53.17b 7.24b 8.24b

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