SAFEHOLD INC (SAFE) Stock Fundamental Analysis
NYSE:SAFE - US78646V1070 - REIT
16.12 USD
+0.24 (+1.51%)
15.99 USD
-0.13 (-0.81%)
Overall SAFE gets a fundamental rating of 5 out of 10. We evaluated SAFE against 30 industry peers in the Specialized REITs industry. SAFE has only an average score on both its financial health and profitability. SAFE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year SAFE was profitable.
In the past year SAFE had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: SAFE reported negative net income in multiple years.
SAFE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SAFE has a Return On Assets of 1.45%. This is comparable to the rest of the industry: SAFE outperforms 43.33% of its industry peers.
SAFE has a Return On Equity (4.33%) which is in line with its industry peers.
SAFE has a Return On Invested Capital of 3.40%. This is in the lower half of the industry: SAFE underperforms 63.33% of its industry peers.
SAFE had an Average Return On Invested Capital over the past 3 years of 3.16%. This is in line with the industry average of 5.07%.
The 3 year average ROIC (3.16%) for SAFE is below the current ROIC(3.40%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.45% | ||
| ROE | 4.33% | ||
| ROIC | 3.4% |
ROA(3y)1%
ROA(5y)0.63%
ROE(3y)2.79%
ROE(5y)1.88%
ROIC(3y)3.16%
ROIC(5y)2.78%
1.3 Margins
With a decent Profit Margin value of 27.45%, SAFE is doing good in the industry, outperforming 70.00% of the companies in the same industry.
In the last couple of years the Profit Margin of SAFE has declined.
SAFE's Operating Margin of 77.95% is amongst the best of the industry. SAFE outperforms 96.67% of its industry peers.
In the last couple of years the Operating Margin of SAFE has grown nicely.
The Gross Margin of SAFE (98.89%) is better than 96.67% of its industry peers.
SAFE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 77.95% | ||
| PM (TTM) | 27.45% | ||
| GM | 98.89% |
OM growth 3Y0.15%
OM growth 5Y29.95%
PM growth 3Y-9.56%
PM growth 5Y-13.81%
GM growth 3Y0.09%
GM growth 5Y11.05%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SAFE is destroying value.
The number of shares outstanding for SAFE has been increased compared to 1 year ago.
The number of shares outstanding for SAFE has been reduced compared to 5 years ago.
The debt/assets ratio for SAFE is higher compared to a year ago.
2.2 Solvency
SAFE has an Altman-Z score of 0.64. This is a bad value and indicates that SAFE is not financially healthy and even has some risk of bankruptcy.
SAFE's Altman-Z score of 0.64 is on the low side compared to the rest of the industry. SAFE is outperformed by 63.33% of its industry peers.
The Debt to FCF ratio of SAFE is 83.76, which is on the high side as it means it would take SAFE, 83.76 years of fcf income to pay off all of its debts.
SAFE has a worse Debt to FCF ratio (83.76) than 70.00% of its industry peers.
SAFE has a Debt/Equity ratio of 1.87. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.87, SAFE is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | 83.76 | ||
| Altman-Z | 0.64 |
ROIC/WACC0.58
WACC5.84%
2.3 Liquidity
SAFE has a Current Ratio of 6.70. This indicates that SAFE is financially healthy and has no problem in meeting its short term obligations.
SAFE has a better Current ratio (6.70) than 100.00% of its industry peers.
A Quick Ratio of 6.68 indicates that SAFE has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 6.68, SAFE belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.7 | ||
| Quick Ratio | 6.68 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.96% over the past year.
The earnings per share for SAFE have been decreasing by -15.29% on average. This is quite bad
The Revenue has been growing slightly by 0.64% in the past year.
Measured over the past years, SAFE shows a decrease in Revenue. The Revenue has been decreasing by -5.28% on average per year.
EPS 1Y (TTM)1.96%
EPS 3Y-23.67%
EPS 5Y-15.29%
EPS Q2Q%-4.88%
Revenue 1Y (TTM)0.64%
Revenue growth 3Y25.05%
Revenue growth 5Y-5.28%
Sales Q2Q%4.39%
3.2 Future
The Earnings Per Share is expected to grow by 4.56% on average over the next years.
The Revenue is expected to grow by 8.19% on average over the next years. This is quite good.
EPS Next Y5.05%
EPS Next 2Y3.69%
EPS Next 3Y3.37%
EPS Next 5Y4.56%
Revenue Next Year5.77%
Revenue Next 2Y5.41%
Revenue Next 3Y5.59%
Revenue Next 5Y8.19%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
SAFE is valuated reasonably with a Price/Earnings ratio of 10.33.
Based on the Price/Earnings ratio, SAFE is valued cheaper than 96.67% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.14. SAFE is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 9.55, which indicates a very decent valuation of SAFE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SAFE indicates a rather cheap valuation: SAFE is cheaper than 100.00% of the companies listed in the same industry.
SAFE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.33 | ||
| Fwd PE | 9.55 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SAFE is on the same level as its industry peers.
SAFE's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SAFE is cheaper than 73.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.8 | ||
| EV/EBITDA | 18.51 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of SAFE may justify a higher PE ratio.
PEG (NY)2.04
PEG (5Y)N/A
EPS Next 2Y3.69%
EPS Next 3Y3.37%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.58%, SAFE is a good candidate for dividend investing.
SAFE's Dividend Yield is comparable with the industry average which is at 6.02.
Compared to an average S&P500 Dividend Yield of 2.34, SAFE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.58% |
5.2 History
The dividend of SAFE decreases each year by -2.09%.
SAFE has been paying a dividend for at least 10 years, so it has a reliable track record.
SAFE has decreased its dividend recently.
Dividend Growth(5Y)-2.09%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
SAFE pays out 49.49% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP49.49%
EPS Next 2Y3.69%
EPS Next 3Y3.37%
16.12
+0.24 (+1.51%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners66.61%
Inst Owner Change0%
Ins Owners0.57%
Ins Owner Change0.37%
Market Cap1.16B
Analysts78.75
Price Target21.76 (34.99%)
Short Float %6.38%
Short Ratio8.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.58% |
Yearly Dividend0.71
Dividend Growth(5Y)-2.09%
DP49.49%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.16%
Min EPS beat(2)-5.51%
Max EPS beat(2)1.2%
EPS beat(4)1
Avg EPS beat(4)-2.13%
Min EPS beat(4)-5.51%
Max EPS beat(4)1.2%
EPS beat(8)4
Avg EPS beat(8)0.35%
EPS beat(12)6
Avg EPS beat(12)-65.35%
EPS beat(16)10
Avg EPS beat(16)30.78%
Revenue beat(2)0
Avg Revenue beat(2)-1.1%
Min Revenue beat(2)-2.18%
Max Revenue beat(2)-0.02%
Revenue beat(4)0
Avg Revenue beat(4)-1.53%
Min Revenue beat(4)-2.26%
Max Revenue beat(4)-0.02%
Revenue beat(8)2
Avg Revenue beat(8)1.56%
Revenue beat(12)5
Avg Revenue beat(12)8.2%
Revenue beat(16)7
Avg Revenue beat(16)11.17%
PT rev (1m)-3.03%
PT rev (3m)-9.22%
EPS NQ rev (1m)0.8%
EPS NQ rev (3m)-1.15%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)0.57%
Revenue NQ rev (1m)0.54%
Revenue NQ rev (3m)0.6%
Revenue NY rev (1m)0.27%
Revenue NY rev (3m)0.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.33 | ||
| Fwd PE | 9.55 | ||
| P/S | 3.09 | ||
| P/FCF | 21.8 | ||
| P/OCF | 21.8 | ||
| P/B | 0.49 | ||
| P/tB | 0.53 | ||
| EV/EBITDA | 18.51 |
EPS(TTM)1.56
EY9.68%
EPS(NY)1.69
Fwd EY10.47%
FCF(TTM)0.74
FCFY4.59%
OCF(TTM)0.74
OCFY4.59%
SpS5.21
BVpS33.07
TBVpS30.19
PEG (NY)2.04
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.45% | ||
| ROE | 4.33% | ||
| ROCE | 4.3% | ||
| ROIC | 3.4% | ||
| ROICexc | 3.41% | ||
| ROICexgc | 3.53% | ||
| OM | 77.95% | ||
| PM (TTM) | 27.45% | ||
| GM | 98.89% | ||
| FCFM | 14.18% |
ROA(3y)1%
ROA(5y)0.63%
ROE(3y)2.79%
ROE(5y)1.88%
ROIC(3y)3.16%
ROIC(5y)2.78%
ROICexc(3y)3.48%
ROICexc(5y)3.02%
ROICexgc(3y)3.65%
ROICexgc(5y)3.15%
ROCE(3y)4%
ROCE(5y)3.52%
ROICexcg growth 3Y8.93%
ROICexcg growth 5Y13.72%
ROICexc growth 3Y7.64%
ROICexc growth 5Y14.13%
OM growth 3Y0.15%
OM growth 5Y29.95%
PM growth 3Y-9.56%
PM growth 5Y-13.81%
GM growth 3Y0.09%
GM growth 5Y11.05%
F-Score4
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | 83.76 | ||
| Debt/EBITDA | 14.77 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 17.63% | ||
| Profit Quality | 51.68% | ||
| Current Ratio | 6.7 | ||
| Quick Ratio | 6.68 | ||
| Altman-Z | 0.64 |
F-Score4
WACC5.84%
ROIC/WACC0.58
Cap/Depr(3y)43.87%
Cap/Depr(5y)45.88%
Cap/Sales(3y)1.24%
Cap/Sales(5y)2.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1.96%
EPS 3Y-23.67%
EPS 5Y-15.29%
EPS Q2Q%-4.88%
EPS Next Y5.05%
EPS Next 2Y3.69%
EPS Next 3Y3.37%
EPS Next 5Y4.56%
Revenue 1Y (TTM)0.64%
Revenue growth 3Y25.05%
Revenue growth 5Y-5.28%
Sales Q2Q%4.39%
Revenue Next Year5.77%
Revenue Next 2Y5.41%
Revenue Next 3Y5.59%
Revenue Next 5Y8.19%
EBIT growth 1Y0.53%
EBIT growth 3Y25.23%
EBIT growth 5Y23.09%
EBIT Next Year39.07%
EBIT Next 3Y17.93%
EBIT Next 5Y19.61%
FCF growth 1Y817.05%
FCF growth 3Y12.04%
FCF growth 5YN/A
OCF growth 1Y391.32%
OCF growth 3Y12.04%
OCF growth 5YN/A