Public Storage

PSA

Market cap $49B

Investors looking for stocks in the REIT and Equity Trust - Other sector might want to consider either Outfront Media (OUT) or Public Storage (PSA). But which of these two stocks offers value investors a better bang for their buck right now?

As the calendar has already turned to 2026, many leading Wall Street firms have released their top stock picks for the new year.

Making economic forecasts is difficult at any time. But in an age where investors have access to more data than ever, there seems to be more uncertainty than ever before.

PSA's strong brand, recession-resistant model, tech-driven efficiencies and $3.76B in acquisitions position it well for steady long-term growth.

I increased my forward projected dividend income by $86.77 (1.4%) in December, reaching $6,289.66. My portfolio strategy blends high-growth names like Broadcom (AVGO), Microsoft, and Visa with high-yielders such as SPYI and MPLX. Dividend reinvestments and increases, especially from AVGO and EPRT, drove nearly 83% of new forward income this month.

REITs generate lots of stable income, the bulk of which they must pay out in dividends. Prologis should be the largest dividend payer in the REIT sector this year.

The U.S. government is increasingly funding deficits with short-term debt, making interest expenses highly sensitive to Fed policy. A declining average maturity in the sovereign bond index tightens the link between fiscal and monetary policy, amplifying market complexity. Artificially subdued long-term bond supply likely keeps long-term yields lower than they would be with more balanced issuance.

REITs remain attractively valued, with many trading at near 10-year high dividend yields. AFFO yield plus AFFO growth is utilized as a scoring system in this article. ARE leads in value but faces risks from declining occupancy and potential AFFO contraction. Others in the top 5 include VICI, IRM, EQIX and PSA.

Some REIT sectors recently suffered a dip. This includes self-storage and apartment REITs. I discuss my top picks.

Quality and growth dictate long-term returns. Industrial, data centers, self-storage, and co-working are great property sectors for long-term-oriented investors. If I had to pick just 3 REITs for the next 10 years, it would be these.