Safehold Inc. New Common Stock (SAFE)

FairStock Score: 65/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I wear the Graham and Buffett lens: durable economics, conservative balance sheets, and a price that leaves room for error. Safehold is a ground-lease REIT—it owns land beneath buildings and leases it. That niche may be durable, but the figures are mixed. Because this is a REIT, depreciation distorts EPS and P/E, so I do not use the Graham Number or margin of safety; FFO/AFFO are the right measures, but they are not in the data. I lean instead on dividend yield, leverage, revenue trend, and price-to-book. The revenue trend is encouraging. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $114.6M, net income $30.2M, and diluted EPS $0.42. In fiscal Q2 2025, the quarter ended 2025-06-30, revenue was $93.8M, net income $27.9M, and diluted EPS $0.39. Full-year FY2025 revenue was $385.6M with net income of $114.5M, after an FY2023 net loss of $55.0M. FairStock’s Lynch category is TURNAROUND—returned to profit after a loss within the last three years. At the 2026-10-13 close of $11.97, FairStock’s P/B is 0.35 and ROE 4.64%; the stated dividend yield is 5.39% and debt-to-equity is 1.77. FairStock’s Piotroski F-Score is 7/9, but its Altman Z-Score is 0.58. A 0.35 P/B and 5.39% yield are eye-catching, but the Altman score signals distress risk and leverage is high. I would want FFO/AFFO and debt maturities before calling this a bargain.

In plain English: Safehold owns land under buildings and leases that land to the people who own the buildings. The company has been growing revenue and made a profit after a loss a few years ago, but it uses a lot of borrowed money and earns thin returns on its assets. At the recent price, the shares look cheap compared with the company’s accounting net worth and earnings, but the high debt and weak safety score suggest the low price may reflect real risks.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer