CUBE vs NNN

For growth investors, NNN REIT, Inc.

(NNN) is the stronger pick with 6. 6% revenue growth year-over-year, versus 5. 3% for CubeSmart (CUBE). NNN REIT, Inc. (NNN) offers the better valuation at 21. 6x trailing P/E (21. 8x forward), making it the more compelling value choice. Analysts rate CubeSmart (CUBE) a "Hold" — based on 29 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, NNN REIT, Inc.

(NNN) is the cheapest at 21. 6x versus CubeSmart at 27. 6x. On forward P/E, NNN REIT, Inc. is actually cheaper at 21. 8x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: NNN REIT, Inc. wins at 1. 95x versus CubeSmart's 2. 49x — a reasonable growth-adjusted valuation.

Over the past 5 years, CubeSmart (CUBE) delivered a total return of +18.

6%, compared to +17. 7% for NNN REIT, Inc. (NNN). Over 10 years, the gap is even starker: CUBE returned +75. 0% versus NNN's +39. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), NNN REIT, Inc.

(NNN) is the lower-risk stock at 0. 15β versus CubeSmart's 0. 53β — meaning CUBE is approximately 249% more volatile than NNN relative to the S&P 500. On balance sheet safety, NNN REIT, Inc. (NNN) carries a lower debt/equity ratio of 109% versus 127% for CubeSmart — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), NNN REIT, Inc.

(NNN) is pulling ahead at 6. 6% versus 5. 3% for CubeSmart (CUBE). On earnings-per-share growth, the picture is similar: NNN REIT, Inc. grew EPS -3. 7% year-over-year, compared to -15. 1% for CubeSmart. Over a 3-year CAGR, NNN leads at 6. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

NNN REIT, Inc.

(NNN) is the more profitable company, earning 42. 1% net margin versus 29. 7% for CubeSmart — meaning it keeps 42. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: NNN leads at 61. 5% versus 40. 0% for CUBE. At the gross margin level — before operating expenses — NNN leads at 38. 0%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, NNN REIT, Inc. (NNN) is the more undervalued stock at a PEG of 1. 95x versus CubeSmart's 2. 49x. Both stocks trade at elevated growth-adjusted valuations, so expected growth needs to materialise. On forward earnings alone, NNN REIT, Inc. (NNN) trades at 21. 8x forward P/E versus 28. 4x for CubeSmart — 6. 7x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for CUBE: 3. 0% to $41. 50.

All stocks in this comparison pay dividends.

NNN REIT, Inc. (NNN) offers the highest yield at 5. 3%, versus 5. 2% for CubeSmart (CUBE).

For long-horizon retirement investors, NNN REIT, Inc.

(NNN) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 15), 5. 3% yield). Both have compounded well over 10 years (NNN: +39. 7%, CUBE: +75. 0%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Real Estate sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.