SAFE Earnings Prediction
The chart below shows how SAFE performed 10 days before and after its earnings report, based on data from the past quarters. Typically, SAFE sees a -0.69% change in stock price 10 days leading up to the earnings, and a -1.80% change 10 days following the report. On the earnings day itself, the stock moves by +0.29%. This data can give you a slight idea of what to expect for the next quarter's release.
SAFE Key Earning Data
SAFE Earnings Analysis
Positive
Multifamily Sector Growth: In 2024, new origination activity was $225 million, including ten new ground leases for $193 million, and one leasehold loan for $32 million, demonstrating strong growth in the multifamily sector.
Asset Appreciation and Leverage: The total portfolio reached $6.8 billion, with an estimated UCA of $9.1 billion, indicating significant asset appreciation and a healthy leverage ratio of 49%.
Solid Financial Performance: For the full year, GAAP revenue was $365.7 million, with net income of $105.8 million, reflecting a solid financial performance despite market challenges.
Earnings Per Share Increase: The company achieved an 8% year-over-year increase in adjusted earnings per share, rising from $1.45 to $1.57, showcasing effective cost management and revenue growth strategies.
Share Buyback Authorization: A new share buyback authorization of up to $50 million was approved, aimed at enhancing shareholder value and reflecting confidence in the company's long-term prospects.
Negative
Revenue Decline Analysis: GAAP revenue for Q4 2024 was $91.9 million, a decline attributed to a one-time $15.2 million derivative hedge gain recognized in Q4 2023, indicating a significant drop in recurring revenue.
Net Income Decline: Net income for Q4 2024 was $26.0 million, which reflects a decrease in profitability compared to the previous year, primarily due to the absence of the prior year's derivative hedge gain.
Revenue and Impairment Concerns: For the full year 2024, GAAP revenue was $365.7 million, but this was overshadowed by a $145.4 million non-cash impairment of goodwill, highlighting underlying asset value concerns.
GLTV Increase and Valuation Risks: The total portfolio's GLTV increased slightly in Q4 2024, indicating potential valuation pressures and a riskier capital structure as appraisal declines were noted.
Rising Credit Risk Indicators: The company reported a $6.8 million increase in non-cash general provisions, suggesting rising credit risk and potential future losses.
SAFE FAQs
How does SAFE typically perform around its earnings report dates?
SAFE's stock performance around earnings reports can vary, but historical data shows specific patterns, such as a -0.69% change leading up to the report and a -1.80% change in the 10 days following the release.
Is Safehold Inc (SAFE) Q4 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
SAFE Earning Call Sentiment
Safehold Inc. (NYSE:SAFE) Q4 2024 Earnings Call Transcript
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