Safestore Holdings Plc
🇬🇧 SAFE.LSE · London · GB00B1N7Z094
Real Estate
GBX 642.00 price at analysis
Scores
Key Metrics
Powered by EODHDP/E (TTM)
12.7
P/E (Price-to-Earnings)Shows how much investors pay for each $1 of profit. We display the TTM P/E (Trailing Twelve Months) which uses actual earnings from the last 4 quarters. This is more reliable than Forward P/E which uses analyst estimates.
Calculation: 642.00 ÷ 50.57 = 12.7
TTM period through: 2025-10-31
Forward P/E (estimated): 14.3
Based on analyst estimates
Reference: Provider P/E (Trailing): 12.6
Yield (Fwd)
4.83%
Dividend YieldThe Forward yield (Fwd) shows the next announced annual dividend / current price — what you'd earn going forward. The Trailing yield (TTM) in the tooltip shows dividends actually paid in the last 12 months. Forward is shown as primary because it reflects the company's current commitment to shareholders.
Trailing Yield (TTM): 4.76%
Div. Growth (5Y CAGR)
11.2%
Growth Streak
1 yrs
Consecutive years of increase
Net Debt/EBITDA (TTM)
6.6x
Latest quarter: 14.9x
Net Debt / EBITDAA leverage ratio showing how many years of EBITDA (earnings before interest, taxes, depreciation, and amortization) it would take to repay net debt. EBITDA approximates operating cash generation. Lower ratios (e.g., <3x) are generally safer; higher (e.g., >5x) may indicate more financial risk.
TTM through: 2025-10-31
Latest quarter (2025-10-31): 14.9x
The quarterly value can spike when quarterly EBITDA is very low (e.g., one-time charges).
Quick guide: <2x manageable, >4x can be risky (sector-dependent).
Payout (Fwd)
61.3%
Payout RatioDividends as a percentage of earnings. The Forward payout (Fwd) uses the announced dividend divided by actual past earnings (TTM) — it tells you if the company can afford what it promised. Very high payouts can be risky, especially if profits fall.
Announced dividend / actual earnings (TTM)
Payout (TTM): 60.0%
Cash Flow Payout (TTM): 66.7%
FCF Coverage (TTM): 1.45x
ROE
4.9%
ROE (Return on Equity)A profitability measure: how much profit is generated from shareholders’ equity. Higher isn’t always better if it comes from high debt.
EV/EBITDA
15.4x
EV/EBITDAA valuation ratio that compares total business value (including debt) to EBITDA. Lower can mean cheaper, but context matters.
Summary
Safestore Holdings is a high-quality self-storage operator with a flawless dividend history and expanding European footprint. Trading at 642 GBX, near the bottom of our fair value estimate of 628-898 GBX, it offers an attractive 4.8% yield and a massive 38% discount to NAV. Worth considering for new positions at current levels, as the resilient cash flows easily support the dividend despite broader macroeconomic headwinds affecting the real estate sector.
Sector Context
Safestore Holdings operates in the self-storage subsector of Real Estate, providing individuals and businesses with flexible storage space. Self-storage REITs are highly attractive for dividend investors due to their sticky tenant base, low capital expenditure requirements, and ability to frequently adjust pricing to match inflation, leading to highly predictable and growing cash flows.
Temporary Opportunity Identified
Rising interest rates have negatively impacted real estate valuations and GAAP earnings, driving a 38% discount to NAV despite highly resilient underlying cash flows and stable occupancy.
📊 Strategy Analysis
- • Trading at 642 GBX, near the bottom of our fair value range of 628-898 GBX, representing a deep 38% discount to Net Asset Value (NAV).
- • Outstanding dividend safety and growth, featuring a 10-year flawless track record, an 11.2% 5-year CAGR, and a highly sustainable AFFO payout ratio of 65.5%.
- • P/FFO of 14.3x represents fair valuation for a high-margin (68.8% EBITDA margin) self-storage REIT with expanding operations across Europe.
⚠ What to Watch
- • Net Debt/EBITDA is elevated at 6.56x, which creates refinancing headwinds in a higher interest rate environment and requires close monitoring.
- • Reported 5-year EPS CAGR has declined sharply (-22.1%), though this is a common accounting distortion in the real estate sector caused by non-cash property devaluation rather than cash flow deterioration.
📊 Historical Trends (10 Years)
Powered by EODHDThese charts show how key metrics have evolved over the past decade, helping you identify if the company is improving or deteriorating.
Debt Evolution (Net Debt / EBITDA)
Lower values are better. A declining trend indicates the company is reducing its debt (deleveraging).
Revenue & Earnings Growth
Consistent growth in revenueRevenue
The money a company brings in from selling its products or services. It’s the top line before costs. (blue) and earningsEarnings (Profit)
What’s left after expenses. Positive earnings mean the business made a profit; negative means a loss. (green) indicates a healthy business. Look for upward trends and recoveries after temporary dips.
Dividend Sustainability (FCF vs Dividends Paid)
Free cash flowFree Cash Flow
Cash left after the company pays for running the business and maintaining it. Often used to fund dividends, pay debt, or buy back shares. (FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., blue) should cover dividends paidDividends Paid
Cash the company paid out to shareholders. It’s not guaranteed and can change over time. (green). If dividends consistently exceed FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., the dividend may be at risk.
Analysis date: 2026-05-30
Disclaimer: This information is for educational purposes only. Not financial advice.