There's also an interesting angle here. Essentially these are property developers that build out and hold while sitting on high generating model. So if they were traders building out and selling instead, pe would be what we see here except that it would be cash rather than just increase in value of assets, which might attract more attention. However you look at it, this seems a good buy to me |
Our business model has proven to be highly resilient as we navigate the current economic backdrop. We believe the Group is strongly positioned with low leverage at 25.1% LTV, 57% fixed-rate debt, continued strong operating margins and the potential for material earnings growth through the opening of our pipeline space together with our existing stores. This is all underpinned by our 25-year track record of delivering market leading operational performance. |
These are stupid cheap IMO.
They have approx £3bn of property. And a LTV of 25%, so approx £2.2bn of equity in the property.
NAV is somewhere between 1000p and 1100p pet share. |
Let's see how many people are on this board. If you see this click like. Thanks |
I see the CEO bought more shares on Friday. Gives me some confidence when he already owns a chunk. And the CFO has been buying |
I think the key here is that they build their own units creating value by doing so. The future PE does not take account of what value they add to those buildings. So every time they build they multiply the value of the money they put in 2 or 3 times. |
Re "horific levels of debt":
Net Debt @ 900m is just over twice Operating profit @ 426m.
GLA. |
Yes, that cost Vecchioli £408,493. Clinton the CFO bought a few too as did Darzins, a Non Executive Director.
I think the fundamentals are strong. In the USA Household Storage is a big and thriving business. With rising prosperity Europe is bound to catch up. In my view it's not a simple property company but a discrete new kind of business. |
CEO bought 65k yesterday @ 6.28 |
This is essentially a UK listed property company that is (was) sitting on a PE of 17 yielding just 4.5%.
Normally that would be a stupid valuation if you care to look at the huge selection of REITS that are clearly far more attractive.
However, sadly for equity holders thats not quite the end of the story as the company also has horrific levels of debt, |
Any thoughts on today's results? I thought they were pretty flat but not deserving today's steep fall. It seems a good long term bet when real growth returns to the economy, if it ever does.... |
Bounced out at 740, saw me coming? |
Is Safe Store balance sheet safe? The quick ratio is 0.5. Can it default on its short term liabilities? |
Tks Waldron.
Long 763. |
Analysts' Consensus
Mean consensus
OUTPERFORM
Number of Analysts
12
Last Close Price
7.86 GBP
Average target price
9.838 GBP
Spread / Average Target
+25.16%
High Price Target
13.4 GBP
Spread / Highest target
+70.48%
Low Price Target
8.3 GBP
Spread / Lowest Target
+5.60% |
ENTERPRIZE VALUE EV INDICATES IT MIGHT WELL BE UNDERVALUED |
MIGHT THE FINAL DIVI PAYMENT PUT A SPRING IN ITS STEP |
any calculations on your premise ? |
Had bit more of a look. It has quite a bit more to fall before I would be interested |
I made an awful lot of money from Safestore nearly 20 years ago.
I haven't looked at it since as it always seemed too dear.
Quick look today. NTA seems to have galloped ahead in a very short space of time.
Id have to dig deeper to see if I believe it.
The price would still seem to be saucy compared too some of the REITS. 5% dividend a bit tight in todays market. I think I'll wait another while yet. |
Growth has slowed, but quite a few new openings to come. Need to look at more closely. Still a healthy dividend increase - nice compounder in recent years. |
Ex-dividend on 02/03/23 also, it will probably fall after this date as investers hit and run the stock for the 20.40p return. At current share price this only represents a 1.9% yield though. |
The run from October has been stellar! Expect some resitance around the 1100s, break this wil conviction and a return to 1200s. |
Interest rates up = more people needing storage including retailers who work on a just in time basis, have no storage, and less people buying their stuff. Need to keep it somewhere. |
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