Safestore Holdings Plc (SAFE) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Hammerson Plc

Shaftesbury Capital Plc

LondonMetric Property Plc

The British Land Co. Plc

Assura Plc

Land Securities Group Plc

SEGRO PLC

Derwent London Plc

LXI REIT Plc

Safestore Holdings Plc

Big Yellow Group Plc

Why is Safestore Holdings Plc ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 5.40%

Poor long term growth as Operating profit has grown by an annual rate of 7.83%
The company has been able to generate a Return on Equity (avg) of 5.40% signifying low profitability per unit of shareholders funds

Poor long term growth as Operating profit has grown by an annual rate of 7.83%

Flat results in Apr 26

ROCE(HY) Lowest at 2.87%
INTEREST COVERAGE RATIO(Q) Lowest at 378.36
DIVIDEND PAYOUT RATIO(Y) Lowest at 0%

With ROE of 8.52%, it has a fair valuation with a 0.56 Price to Book Value

Over the past year, while the stock has generated a return of -7.30%, its profits have risen by 12.9% ; the PEG ratio of the company is 0.5

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -7.30% returns in the last 1 year, the stock has also underperformed FTSE 100 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Safestore Holdings Plc should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Realty)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Safestore Holdings Plc for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Safestore Holdings Plc

-7.3%

-0.85

29.31%

FTSE 100

18.59%

1.58

11.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.19%

EBIT Growth (5y)

7.83%

EBIT to Interest (avg)

5.62

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

1.94%

Dividend Payout Ratio

60.35%

Pledged Shares

Institutional Holding

0.12%

ROCE (avg)

6.68%

ROE (avg)

5.40%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.56

EV to EBIT

9.40

EV to EBITDA

9.27

EV to Capital Employed

0.56

EV to Sales

5.19

PEG Ratio

0.51

Dividend Yield

1052.65%

ROCE (Latest)

5.92%

ROE (Latest)

8.52%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 209.75 times

DIVIDEND PAYOUT RATIO(Y)

Highest at 66.71%

-8What is not working for the Company

ROCE(HY)

Lowest at 2.87%

INTEREST COVERAGE RATIO(Q)

Lowest at 378.36

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

DEBT-EQUITY RATIO (HY)

Highest at 48.42 %

DIVIDEND PER SHARE(HY)

Lowest at GBP 7.66

PRE-TAX PROFIT(Q)

Lowest at GBP 46.5 MM

Here's what is working for Safestore Holdings Plc

Inventory Turnover Ratio

Highest at 209.75 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend Payout Ratio

Highest at 66.71%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation

Highest at GBP 1.2 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (GBP MM)

Depreciation

At GBP 1.2 MM has Grown at 71.43%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (GBP MM)

Here's what is not working for Safestore Holdings Plc

Interest Coverage Ratio

Lowest at 378.36

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Pre-Tax Profit

Lowest at GBP 46.5 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (GBP MM)

Debt-Equity Ratio

Highest at 48.42 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Dividend per share

Lowest at GBP 7.66

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (GBP)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)