Safestore (OTCMKTS:SFSHF) and IRSA Inversiones Y Representaciones (NYSE:IRS) Head to Head Survey

IRSA Inversiones Y Representaciones (NYSE:IRS) and Safestore (OTCMKTS:SFSHF) are both small-cap real estate companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, earnings, analyst recommendations, institutional ownership, profitability, valuation and risk.

Volatility & Risk

IRSA Inversiones Y Representaciones has a beta of 1.3, meaning that its share price is 30% more volatile than the S&P 500. Comparatively, Safestore has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500.

Earnings & Valuation

This table compares IRSA Inversiones Y Representaciones and Safestore”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
IRSA Inversiones Y Representaciones	$409.02 million	2.97	$195.18 million	$3.46	4.15
Safestore	$306.59 million	5.61	$145.42 million	N/A	N/A

IRSA Inversiones Y Representaciones has higher revenue and earnings than Safestore.

Institutional and Insider Ownership

45.5% of IRSA Inversiones Y Representaciones shares are held by institutional investors. 25.1% of IRSA Inversiones Y Representaciones shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and target prices for IRSA Inversiones Y Representaciones and Safestore, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
IRSA Inversiones Y Representaciones	0	1	0	1	3.00
Safestore	2	1	1	0	1.75

IRSA Inversiones Y Representaciones currently has a consensus target price of $23.00, indicating a potential upside of 60.06%. Given IRSA Inversiones Y Representaciones’ stronger consensus rating and higher probable upside, research analysts plainly believe IRSA Inversiones Y Representaciones is more favorable than Safestore.

Dividends

IRSA Inversiones Y Representaciones pays an annual dividend of $1.40 per share and has a dividend yield of 9.7%. Safestore pays an annual dividend of $0.09 per share and has a dividend yield of 1.2%. IRSA Inversiones Y Representaciones pays out 40.5% of its earnings in the form of a dividend.

Profitability

This table compares IRSA Inversiones Y Representaciones and Safestore’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
IRSA Inversiones Y Representaciones	67.46%	18.88%	9.20%
Safestore	N/A	N/A	N/A

Summary

IRSA Inversiones Y Representaciones beats Safestore on 12 of the 15 factors compared between the two stocks.

About IRSA Inversiones Y Representaciones

IRSA Inversiones y Representaciones Sociedad Anónima, together with its subsidiaries, engages in the diversified real estate activities in Argentina. It operates through five segments: Shopping Malls, Offices, Hotels, Sales and Developments, and Others. The company is involved in the acquisition, development, and operation of shopping malls, office buildings, and other non-shopping mall properties primarily for rental purposes. It also acquires and operates luxury hotels and resorts under the Intercontinental, Libertador, and Llao Llao names; develops and sells residential properties, including apartment tower complexes; and acquires undeveloped land reserves for future development or sale. In addition, the company engages in the development and operation of stadium; and provision of ¡appa!, a digital customer loyalty system platform, for consumption in shopping malls, use of parking spaces, and redemption of corporate benefits. The company was incorporated in 1943 and is headquartered in Buenos Aires, Argentina. IRSA Inversiones y Representaciones Sociedad Anónima operates as a subsidiary of Cresud S.A.C.I.F. y A.

About Safestore

Safestore is the UK’s largest self storage group with 190 stores on 31 October 2023, comprising 133 wholly owned stores in the UK (including 73 in London and the South East with the remainder in key metropolitan areas such as Manchester, Birmingham, Glasgow, Edinburgh, Liverpool, Sheffield, Leeds, Newcastle, and Bristol), 29 wholly owned stores in the Paris region, 11 stores in Spain, 11 stores in the Netherlands and 6 stores in Belgium. In addition, the Group operates 7 stores in Germany under a Joint Venture agreement with Carlyle. Safestore operates more self storage sites inside the M25 and in central Paris than any competitor providing more proximity to customers in the wealthiest and more densely populated UK and French markets. Safestore was founded in the UK in 1998. It acquired the French business “Une Pièce en Plus” (“UPP”) in 2004 which was founded in 1998 by the current Safestore Group CEO Frederic Vecchioli. Safestore has been listed on the London Stock Exchange since 2007. It entered the FTSE 250 index in October 2015. The Group provides storage to around 90,000 personal and business customers. As of 31 October 2023, Safestore had a maximum lettable area (“MLA”) of 8.090 million sq ft (excluding the expansion pipeline stores) of which 6.231 million sq ft was occupied. Safestore employs around 750 people in the UK, Paris, Spain, the Netherlands, and Belgium.