Wolfe Research on Monday elevated National Storage Affiliates Trust (NYSE: NSA) from an Underperform rating to Peerperform, signaling a more neutral view of the self-storage real estate investment trust. In line with Wolfe's policy for Peerperform-rated names, the research firm removed its price target for NSA.
The upgrade comes as Wolfe Research analyst Keegan Carl pointed to data suggesting the company's earnings may be starting to stabilize after a sustained period of declines. Wolfe specifically noted that NSA has posted three straight years of lower earnings, covering 2023 through 2025.
InvestingPro data cited alongside the research shows NSA trading at a price-to-earnings ratio of 54, which is materially higher than industry averages. At the same time, that data highlights a long-standing dividend track record for the REIT: an 11-year streak of dividend growth and a current yield of 6.98% for shareholders.
Market performance has reflected some resilience. The stock has returned 15.85% year to date, and investors are waiting for the next quarterly update, with the company expected to report earnings on February 25.
Recent company results offer a mixed picture. National Storage Affiliates Trust's third-quarter 2025 earnings per share came in at $0.17, beating consensus estimates of $0.15. Revenue for that quarter, however, missed expectations: the company reported $170.25 million in revenue versus forecasts of $188.95 million, a negative surprise of 9.9%.
Alongside Wolfe's move, Morgan Stanley has adjusted its view on NSA, upgrading the REIT from Underweight to Equalweight and raising its price target from $30.00 to $32.00. Morgan Stanley indicated that some of the earlier challenges faced by the company may already be reflected in its valuation, noting the stock trades at a discount to peers.
Taken together, the analyst actions and the most recent quarterly figures underline a period of transition for National Storage Affiliates Trust: earnings have weakened over the past three years, yet dividend continuity and positive year-to-date returns have prompted at least two firms to adopt more neutral or cautious-optimistic positions.
Investors and market participants will be watching the upcoming earnings release for further evidence on whether the companyâs earnings trajectory is indeed leveling off after the extended decline.