Wells Fargo, Evercore ISI Trim Extra Space Storage (EXR) Targets Ahead of Q1

Extra Space Storage Inc. (NYSE:EXR) is included among the 10 Fastest Growing Dividend Stocks to Buy Now.

Wells Fargo, Evercore ISI Trim Extra Space Storage (EXR) Targets Ahead of Q1

On April 16, Wells Fargo lowered its price recommendation on Extra Space Storage Inc. (NYSE:EXR) to $148 from $150. It reiterated an Overweight rating on the shares. The firm said it is becoming more cautious on storage REITs heading into Q1. It pointed to year-to-date outperformance and guidance that came in above its expectations. Into the print, Wells Fargo is watching the impact of higher inflation and interest rates. It does not expect any potential guidance cuts until the second half of 2026.

On April 13, Steve Sakwa of Evercore ISI lowered the firm’s price target on Extra Space Storage to $149 from $150 and maintained an In Line rating. The firm adjusted its estimates as part of its Q1 storage REIT preview.

During the Q4 2024 earnings call, CFO Jeff Norman said the company expected its 2026 same-store revenue to range from a decline of 0.5% to growth of 1.5%. He noted that expenses were projected to increase between 2% and 3.5%, reflecting a focus on cost discipline while continuing to invest in employees, properties, and the broader platform to support long-term revenue growth. He added that this outlook translated into same-store NOI ranging from a decline of 2.25% to growth of 1.25%.In terms of profitability, he said the company anticipated core FFO for 2026 to fall between $8.05 and $8.35 per share, which would be roughly flat year over year at the midpoint.

Management also said the guidance did not include any meaningful recovery in the housing market or changes to pricing restrictions in Los Angeles County. They added that most acquisitions planned for 2026 were expected to be structured as joint ventures.

CFO Jeff Norman is a self-administered and self-managed REIT. The company owns, operates, manages, finances, acquires, develops, and redevelops self-storage properties. Its facilities offer month-to-month storage rentals for personal and business use.

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