Companies
We ignore market sentiment and look for businesses we believe are undervalued. We sell them when they reach our estimate of fair value. Here we provide our views on a selection of companies and sectors.
Articles in "Companies"
Putting heads in beds: Checking in on the hospitality sector
It has been said that travel is the only thing that one buys that makes you richer. Consumers seem to agree with this sentiment, evidenced by an increasing...
Consumer staples: Should they be portfolio staples?
Everyone is familiar with consumer staples – e.g. groceries, beverages, home and personal care items – and many have a strong affinity for the underlying...
Disney: The value of strong intellectual property in a changing world
Since March 2022, local unit trusts have been able to allocate up to 45% of their portfolios anywhere outside South Africa. The increase in offshore limits i...
Seeing the potential in Standard Bank
On various metrics, the valuations of South African banks have not recovered to pre- COVID-19 levels , suggesting there is value to be found . O f the Big 4 ...
Peering through the smoke
A lot has changed in the tobacco industry in the last decade or so. Despite the changes in what used to be a stable industry, the attractive aspects of tobac...
AB InBev: The king of beer
The market has several concerns about brewer Anheuser-Busch InBev which are currently weighing on its share price. We believe the company’s fundamentals are...
Capitec: The way to build a bank
Capitec has been an incredible South African success story in improving access to affordable banking services, and in delivering value for its investors....
What has gone wrong with Naspers?
For many years, Naspers was the star performer of the South African stock market. The onset of COVID-19 drove the Naspers and Tencent share prices to new...
Banking on green shoots at Nedbank
Siphesihle Zwane discusses the green shoots emerging at Nedbank and explains why they may reward investors who have enough conviction to stay the course.
Orbis: Global perspectives on Naspers
One of the largest positions in the Orbis Global Equity Fund is Naspers, whose key underlying asset is a 29% stake in the Chinese internet juggernaut Tencent...
Understanding the Naspers-Prosus transaction
Naspers and Prosus have announced a transaction that changes the group’s financial structure. They hope this will reduce the large discount at which Naspers...
Woolworths: Not so down under
Most of you will be more than familiar with the fashion, beauty, home and food offering of retailer Woolworths, affectionately referred to as Woolies, and on...
Glencore: Investigating the decarbonisation opportunity
In the midst of COVID-19, governments desperate to break the recessionary cycle are focusing on infrastructure programmes, with an expected uptick in demand...
To have and to hold?
If the value associated with a holding company is less than the sum of its parts, is it a worthwhile investment? Kamal Govan looks at the drivers of holding...
Naspers: It simply doesn’t add up
The discount between Naspers’ share price and the value of its underlying assets has widened further and now looks quite extreme. Being a large holding in bo...
Prosus marches forward: What should investors be looking out for?
Naspers, the world’s sixth largest internet company by market capitalisation, will list its foreign internet assets separately via Prosus NV, a newly created...
An opportunity in television?
The Top 40 got a new member this quarter when MultiChoice was unbundled from Naspers. MultiChoice owns the dominant pay-TV business in South Africa, DStv, wi...
Our Tencent(s) on VIE structures
As at 28 February 2019, Naspers made up just over 18% of the FTSE/JSE All Share Index. Because of its dominance, including or excluding the share will have a...
An investment case for Naspers
As at 30 September 2018, Naspers made up 18.2% of the JSE. Whether you are for or against the stock, adequate time needs to be devoted to considering the...
Corporate democracy: Moving beyond box-like thinking
At the 2018 Allan Gray Investment Summit, keynote speaker Ricardo Semler challenged delegates to find new solutions to problems: “We have become box people w...
How Allan Gray values a stock
Allan Gray is a strong proponent of value investing, the mantra famously championed by Warren Buffet. Put simply, value investing is the concept of buying...
The benefits of being counter-cyclical in a cyclical world
“Prediction is very difficult, especially about the future.” – Niels Bohr. In cyclical industries, understanding where we are in the cycle and acting...
The sentiment pendulum
Investor sentiment is a delicate thing, which changes with surprising rapidity. Kenyan banks… Three years ago Kenya and the Kenyan banks were very out of...
An alternative view of commodity demand and supply
In Quarterly Commentary 1, 2011 Sandy McGregor discussed how high commodity prices are being supported by the mining sector's inability to keep pace with...
You win some...
Building and managing a portfolio of investments inevitably includes shares that will prove to be winners but also those that will fail to deliver on their...
