Safehold Inc. (SAFE) vs W.P. Carey Inc. (WPC)

Safehold Inc. and W.P. Carey Inc. are both Reit Diversified companies. W.P. Carey Inc. is the larger, with a market value of $15.2B against $876.7M — 17.3× the size. Safehold Inc. trades at the lower P/E: 7.6× against 22.6×. Safehold Inc. grew revenue faster over the last twelve months: 12.2% against 8.96%. W.P. Carey Inc. has the higher net margin (36.3% vs 27.7%) and the lower return on invested capital (2.69% vs 5.53%). Both pay a dividend; W.P. Carey Inc. yields more (7.34% vs 3.44%). Across the 22 metrics below, Safehold Inc. leads on 13 and W.P. Carey Inc. on 9.

Valuation

Metric SAFE WPC Reit Diversified median
P/E 7.57 22.56 23.72
P/S 2.09 8.34 3.28
P/B 0.33 1.72 0.87
Price to free cash flow n/m n/m 9.21
EV/EBITDA 5.45 18.22 11.57
EV/Sales 4.36 13.19 6.64
Earnings yield 13.21% 4.43% 1.04%
Free cash flow yield (15.93%) (0.70%) 0.16%

Profitability

Metric SAFE WPC Reit Diversified median
Gross margin 92.63% 90.20% 77.09%
Operating margin 75.61% 41.78% 33.33%
Net margin 27.69% 36.34% 2.62%
Free cash flow margin (33.27%) (5.80%) 3.11%
Return on equity 4.61% 7.70% 3.13%
Return on assets 1.59% 3.55% 0.35%
Return on invested capital 5.53% 2.69% 2.80%

Growth

Metric SAFE WPC Reit Diversified median
Revenue growth (TTM) 12.15% 8.96% 5.49%
EPS growth (last fiscal year) 7.43% 0.96% —
Revenue growth, 5-year CAGR 3.53% 7.26% 4.83%
Net income growth, 5-year CAGR 0.00% 0.48% 0.00%

Health

Metric SAFE WPC Reit Diversified median
Debt to equity 1.77 1.02 1.13
Current ratio 34.36 0.22 1.47
Net debt to EBITDA 3.00 6.38 5.88

Dividend

Metric SAFE WPC Reit Diversified median
Dividend yield 3.44% 7.34% 7.13%
Payout ratio 7.14 1.19 1.37

Size

Metric SAFE WPC Reit Diversified median
Market cap 876.71m 15.16b 729.58m

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