Safestay (FRA:5RI) Financial Strength: 2 (As of Dec. 2025) — 33% Below Median

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FRA:5RI Safestay PLC FRA:5RI
33 GF Score
Price €0.10
GF Value €0.19
! 4 Warning Signs
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What is Safestay Financial Strength?

Safestay FRA:5RI 33 Financial Strength is 2 as of Dec. 2025, which is 33% below its 10-year median of 3.00. GuruFocus rates FRA:5RI with a GF Score™ of 33/100 and a GF Value™ of €0.19. The stock has 4 warning signs investors should review.

Safestay has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

Safestay PLC displays poor financial strength. Usually, this is caused by too much debt for the company.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Safestay did not have earnings to cover the interest expense. Safestay's debt to revenue ratio for the quarter that ended in Dec. 2025 was 2.29. As of today, Safestay's Altman Z-Score is -0.52.


Safestay  (FRA:5RI) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Safestay has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


Safestay Financial Strength Related Terms


FRA:5RI vs MAR, HLT, H: Financial Strength Comparison

For the Lodging subindustry, Safestay's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Safestay Financial Strength vs Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Safestay's Financial Strength distribution charts can be found below:

* The bar in red indicates where Safestay's Financial Strength falls into.


FRA:5RI
33GF Score
Safestay PLC FRA:5RI
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Safestay Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Safestay's Interest Expense for the months ended in Dec. 2025 was €0.00 Mil. Its Operating Income for the months ended in Dec. 2025 was €-0.95 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was €52.18 Mil.

Safestay's Interest Coverage for the quarter that ended in Dec. 2025 is

GuruFocus does not calculate Safestay's interest coverage with the available data.

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Safestay's Debt to Revenue Ratio for the quarter that ended in Dec. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(3.1425920217974 + 52.182603090808) / 24.149295167878
=2.29

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Safestay has a Z-score of -0.52, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -0.52 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 2 mean?
Safestay (FRA:5RI) has a Financial Strength of 2 as of Dec. 2025. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Safestay and its competitors. This is 33% below median its historical median of 3.00. Over the past decade, Safestay's Financial Strength has ranged from 1.00 to 3.00.
Is Safestay's Financial Strength too high?
Safestay's current Financial Strength of 2 is 33% below median its 10-year median of 3.00. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 3.00. Overall, Safestay has a GF Score™ of 33/100, reflecting its overall financial health beyond just this single metric.
How does Safestay's Financial Strength compare to MAR and HLT?
Safestay's Financial Strength of 2 can be compared against companies in the Travel & Leisure industry. Historically, Safestay's own Financial Strength has ranged from 1.00 to 3.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Travel & Leisure company?
A good Financial Strength depends on the Travel & Leisure industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Safestay and its competitors. Safestay's current Financial Strength is 2, which is 33% below median its own 10-year median of 3.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Safestay stock overvalued right now?
Safestay (FRA:5RI) has a current Financial Strength of 2. The stock's GF Value™ is €0.19, compared to a current price of €0.10 — trading 46.8% below its estimated fair value. The current Financial Strength is 2, which is 33% below median its 10-year median of 3.00. Safestay's overall GF Score™ is 33/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Safestay (FRA:5RI), the current Financial Strength is 2 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Safestay (FRA:5RI) Overvalued in 2026?

Based on GuruFocus' analysis, Safestay stock appears to be undervalued. The current stock price of €0.10 is trading 46.8% below its estimated GF Value™ of €0.19.

Key valuation signals for FRA:5RI:

  • Financial Strength: 2 (33% below median its 10-year median of 3.00)
  • GF Value™: €0.19 vs. price of €0.10 (46.8% below fair value)
  • GF Score™: 33/100 with 4 warning signs

No single metric tells the full story. See the FRA:5RI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Safestay Business Description

Other Exchanges SSTY:UK
Address 1a Kingsley Way, London, GBR, N2 0FW
Safestay PLC owns and operates a luxurious hostel group in the United Kingdom. It operates backpacker tourist hostels under the Safestay brand. Its property portfolio includes Safestay London Elephant and Castle, Glasgow Charing Cross, Brussels Grand Place. and York among others providing four, six, eight, and twelve bunk bedded dorms with en-suite facilities, as well as single, twin, double, and family bunk rooms with tea and coffee making facilities and televisions. The company operates in the segment of hostel accommodation in the UK and Europe. It generates revenue through various products and services such as Hostel accommodation, which derives key revenue, Food and Beverage sales, and Others. Geographically, it generates a vast majority of its revenue from the United Kingdom.
33GF Score

Get the complete analysis for FRA:5RI

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€0.10
Price
€0.19
GF Value