LSE:SAFE

Stock Analysis Report

Executive Summary

UK’s largest self storage group with 146 stores Safestore has 119 self storage centres in the UK including two business centres and a further 27 stores in the Paris region.

Snowflake

Fundamentals

Established dividend payer with proven track record.


Similar Companies

Share Price & News

How has Safestore Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

6.1%

LSE:SAFE

2.9%

GB REITs

0.4%

GB Market


1 Year Return

24.5%

LSE:SAFE

-7.9%

GB REITs

-6.2%

GB Market

SAFE outperformed the REITs industry which returned -7.6% over the past year.

SAFE outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -6.2% over the past year.


Share holder returns

SAFEIndustryMarket
7 Day6.1%2.9%0.4%
30 Day1.7%-3.7%-4.7%
90 Day2.8%-2.8%-2.3%
1 Year28.0%24.5%-3.8%-7.9%-1.7%-6.2%
3 Year99.6%82.8%8.2%-6.7%16.8%2.9%
5 Year256.7%207.3%22.4%-1.4%24.2%-2.3%

Price Volatility Vs. Market

How volatile is Safestore Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Safestore Holdings undervalued based on future cash flows and its price relative to the stock market?

2%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Safestore Holdings's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Safestore Holdings's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Safestore Holdings is good value based on earnings compared to the GB REITs industry average.

Safestore Holdings is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.


Price Based on Expected Growth

Safestore Holdings earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Safestore Holdings is overvalued based on assets compared to the GB REITs industry average.


Next Steps

Future Growth

How is Safestore Holdings expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

-9.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Safestore Holdings's revenue is expected to grow by 4% yearly, however this is not considered high growth (20% yearly).

Safestore Holdings's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Safestore Holdings's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.

Safestore Holdings's earnings are expected to decrease over the next 1-3 years, this is below the United Kingdom of Great Britain and Northern Ireland market average.

Safestore Holdings's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 1.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Safestore Holdings is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Safestore Holdings performed over the past 5 years?

16.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Safestore Holdings's year on year earnings growth rate has been positive over the past 5 years.

Safestore Holdings's 1-year earnings growth exceeds its 5-year average (22.2% vs 16.9%)

Safestore Holdings's earnings growth has exceeded the GB REITs industry average in the past year (22.2% vs -15.5%).


Return on Equity

Safestore Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Safestore Holdings used its assets more efficiently than the GB REITs industry average last year based on Return on Assets.


Return on Capital Employed

Safestore Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Safestore Holdings's financial position?


Financial Position Analysis

Safestore Holdings's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Safestore Holdings's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Safestore Holdings's level of debt (48.2%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (71.6% vs 48.2% today).

Debt is not well covered by operating cash flow (17%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 5.5x coverage).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.1x debt.


Next Steps

Dividend

What is Safestore Holdings's current dividend yield, its reliability and sustainability?

2.78%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Safestore Holdings's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.05%).

Safestore Holdings's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.65%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.9x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be thoroughly covered by earnings (347.2x coverage).


Next Steps

Management

What is the CEO of Safestore Holdings's salary, the management and board of directors tenure and is there insider trading?

6.3yrs

Average management tenure


CEO

Frederic Vecchioli 0

5.9yrs

Tenure

UK£1,590,000

Compensation

Mr. Frederic Vecchioli serves as the Chief Executive Officer and Director of Safestore Limited. Mr. Vecchioli has been the Chief Executive Officer of Safestore Holdings plc since September 4, 2013 and has  ...


CEO Compensation Analysis

Frederic's remuneration is about average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.

Frederic's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

6.3yrs

Average Tenure

The average tenure for the Safestore Holdings management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

4.8yrs

Average Tenure

53yo

Average Age

The tenure for the Safestore Holdings board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUK£371,05709 Apr 19
Frederic Vecchioli
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares59,843
Max PriceUK£6.20
SellUK£291,24409 Apr 19
Andrew Jones
EntityIndividual
Role
Member of the Board of Directors
CFO & Director
Shares46,971
Max PriceUK£6.20
BuyUK£59,57625 Mar 19
Ian Krieger
EntityIndividual
Role
Lead Director
Senior Independent Director
Shares10,000
Max PriceUK£5.96

Ownership Breakdown


Management Team

  • Frederic Vecchioli

    CEO & Director

    • Tenure: 5.9yrs
    • Compensation: UK£1.59m
  • David Davies

    Business Development Director

    • Tenure: 10.6yrs
  • Andy Jones (52yo)

    CFO & Director

    • Tenure: 6.6yrs
    • Compensation: UK£1.18m
  • Helen Bramall

    Interim Company Secretary

    • Tenure: 0.0yrs

Board Members

  • Alan Lewis

    Non-Executive Chairman of the Board

    • Tenure: 5.6yrs
    • Compensation: UK£135.00k
  • Jo Kenrick (53yo)

    Independent Non-Executive Director

    • Tenure: 4.8yrs
    • Compensation: UK£43.00k
  • Bill Oliver (62yo)

    Non-Executive Director

    • Tenure: 2.8yrs
    • Compensation: UK£43.00k
  • Claire Balmforth (51yo)

    Non-Executive Director

    • Tenure: 3.0yrs
    • Compensation: UK£53.00k
  • Frederic Vecchioli

    CEO & Director

    • Tenure: 5.9yrs
    • Compensation: UK£1.59m
  • Ian Krieger (67yo)

    Senior Independent Director

    • Tenure: 4.4yrs
    • Compensation: UK£53.00k
  • Andy Jones (52yo)

    CFO & Director

    • Tenure: 6.6yrs
    • Compensation: UK£1.18m

Company Information

Safestore Holdings plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Safestore Holdings plc
  • Ticker: SAFE
  • Exchange: LSE
  • Founded: 1998
  • Industry: Specialized REITs
  • Sector: Real Estate
  • Market Cap: UK£1.388b
  • Shares outstanding: 210.37m
  • Website: https://www.safestore.com

Number of Employees


Location

  • Safestore Holdings plc
  • Brittanic House
  • Stirling Way
  • Borehamwood
  • Hertfordshire
  • WD6 2BT
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SAFELSE (London Stock Exchange)YesOrdinary SharesGBGBPMar 2007
SFSH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDMar 2007
SAFELBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPMar 2007

Biography

UK’s largest self storage group with 146 stores Safestore has 119 self storage centres in the UK including two business centres and a further 27 stores in the Paris region. Safestore was founded in the UK  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/24 21:15
End of Day Share Price2019/08/23 00:00
Earnings2019/04/30
Annual Earnings2018/10/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.