Financial Comparison: InvenTrust Properties (NYSE:IVT) vs. Extra Space Storage (NYSE:EXR)

InvenTrust Properties (NYSE:IVT) and Extra Space Storage (NYSE:EXR) are both finance companies, but which is the better business? We will compare the two companies based on the strength of their dividends, risk, institutional ownership, profitability, valuation, earnings and analyst recommendations.

Profitability

This table compares InvenTrust Properties and Extra Space Storage’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
InvenTrust Properties	35.66%	6.10%	3.95%
Extra Space Storage	27.66%	6.65%	3.28%

Dividends

InvenTrust Properties pays an annual dividend of $1.00 per share and has a dividend yield of 3.1%. Extra Space Storage pays an annual dividend of $6.48 per share and has a dividend yield of 4.6%. InvenTrust Properties pays out 70.9% of its earnings in the form of a dividend. Extra Space Storage pays out 145.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. InvenTrust Properties has increased its dividend for 4 consecutive years and Extra Space Storage has increased its dividend for 1 consecutive years.

Insider and Institutional Ownership

61.7% of InvenTrust Properties shares are owned by institutional investors. Comparatively, 99.1% of Extra Space Storage shares are owned by institutional investors. 0.7% of InvenTrust Properties shares are owned by insiders. Comparatively, 1.0% of Extra Space Storage shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Volatility & Risk

InvenTrust Properties has a beta of 0.8, indicating that its share price is 20% less volatile than the S&P 500. Comparatively, Extra Space Storage has a beta of 1.22, indicating that its share price is 22% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings for InvenTrust Properties and Extra Space Storage, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
InvenTrust Properties	0	1	4	0	2.80
Extra Space Storage	1	9	5	0	2.27

InvenTrust Properties currently has a consensus target price of $33.20, indicating a potential upside of 2.38%. Extra Space Storage has a consensus target price of $151.00, indicating a potential upside of 7.50%. Given Extra Space Storage’s higher possible upside, analysts plainly believe Extra Space Storage is more favorable than InvenTrust Properties.

Earnings & Valuation

This table compares InvenTrust Properties and Extra Space Storage”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
InvenTrust Properties	$299.17 million	8.45	$111.42 million	$1.41	23.00
Extra Space Storage	$3.38 billion	8.79	$974.00 million	$4.46	31.49

Extra Space Storage has higher revenue and earnings than InvenTrust Properties. InvenTrust Properties is trading at a lower price-to-earnings ratio than Extra Space Storage, indicating that it is currently the more affordable of the two stocks.

Summary

Extra Space Storage beats InvenTrust Properties on 12 of the 17 factors compared between the two stocks.

About InvenTrust Properties

InvenTrust Properties Corp. (the “Company,” “IVT,” or “InvenTrust”) is a premier Sun Belt, multi-tenant essential retail REIT that owns, leases, redevelops, acquires and manages grocery-anchored neighborhood and community centers as well as high-quality power centers that often have a grocery component. Management pursues the Company’s business strategy by acquiring retail properties in Sun Belt markets, opportunistically disposing of retail properties, maintaining a flexible capital structure, and enhancing environmental, social and governance (“ESG”) practices and standards. A trusted, local operator bringing real estate expertise to its tenant relationships, IVT has built a strong reputation with market participants across its portfolio. IVT is committed to leadership in ESG practices and has been a Global Real Estate Sustainability Benchmark (“GRESB”) member since 2013.

About Extra Space Storage

Extra Space Storage Inc., headquartered in Salt Lake City, Utah, is a self-administered and self-managed REIT and a member of the S&P 500. As of December 31, 2023, the Company owned and/or operated 3,714 self-storage stores in 42 states and Washington, D.C. The Company's stores comprise approximately 2.6 million units and approximately 283.0 million square feet of rentable space operating under the Extra Space, Life Storage and Storage Express brands. The Company offers customers a wide selection of conveniently located and secure storage units across the country, including boat storage, RV storage and business storage. It is the largest operator of self-storage properties in the United States.