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Discovery

Discovery is a financial services group company. They are known as the company who makes people healthier as they reward a healthy lifestyle so that individuals can benefit from their medical aid, investments, insurance and retirement portfolio’s. Their interim results for the 6 months ending December 2017 reported a 19% rise in profit from operations for the group. Discovery health reported a 12% rise in operating profit and Discovery card business revenue increased by 7%. The target of the falling…

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South 32

South 32, a well-diversified mining and metals company is listed in South Africa, London and Australia. Their latest quarterly report reported a better cash position. The company also managed to buy back 176m of their own shares. Their Brazil Alumina sales decreased by 1% for the nine months ending March 2018. The SA coal production decreased by 6%, while export sales increased by 11%. The price earnings ratio of the share is 12 and the dividend yield of the share…

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Mr Price

Mr Price Group is a publicly traded retail company with brands like Mr Price Clothing, Mr Price home and Mr Price Sport. Their group results for the year ending March 2018 reported an 8% rise in total revenue. They also reported a 21.1% rise in diluted headline earnings per share. The opened 57 new stores for the year and they had a total of 1 258 corporate owned stores at year end.   The 20 & 40 day moving averages…

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PSG

PSG the independent financial services group has PSG Wealth, PSG Asset management and PSG Insure under their umbrella. They have more than 200 offices in SA, 2 in Namibia and 1 in Mauritius. Their latest financial results for the year ending February 2018 reported a 7% rise in recurring earnings and their dividend for the year has risen by 11% to R4-15 per share. Their dividend yield is standing on 1.83%. The share has reached the top part of the…

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Grindrod

Grindrod has unbundled their shipping business into a separate listing, with the main listing of the shipping business on the Nasdaq in the US and the secondary listing on the JSE. On the 19th of June the company made the following announcement: “Shareholders are advised that total earnings per share for the six months ending 30 June 2018 is expected to be positive (an increase of more than 100%). The prior year comparative period, being the six months that ended…

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Steinhoff

Steinhoff continues to make news headlines with the amount of irregularities and fraudulent activities. Earlier this week it was reported that Steinhoff bought forest plantations in 2001 that were linked to executives and sold them three years later to the retailer for more than five times their original value. The forestry deal is similar to car dealership transactions Steinhoff carried out in 2007 where it bought properties from companies linked to Markus Jooste at a multiple of their initial value.…

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MTN

MTN is the second largest telecommunications company in South Africa according to market capitalization. The quarterly update (March 2018) for the group reported a 1.9% increase in subscribers on a quarter-on-quarter basis. Active mobile customers increased by 3.9% to 22.7 million subscribers. MTN South Africa increased service revenue by 2.5% and MTN Nigeria increased service revenue by 14.4%. Line A (R107-90) which has kept the momentum to the bottom in place since May 2018 has changed into a support which…

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Caterpillar

Caterpillar Inc. is an American corporation which designs, manufactures, markets and sells machinery, engines, financial products and insurance to customers via a worldwide dealer network. Caterpillar is the world’s leading manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives. The first quarter of 2018 reported a 31% rise in sales and revenue. They have also repurchased $500 million of their own shares.   The death cross (negative) was confirmed when the short 10 week moving average (blue line)…

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Tiger Brands

Tiger Brands, a top 40 listed company is one of the largest manufacturers and marketers of FMCG (fast-moving-consumer-goods) across the African continent. Some of their popular brands that you will recognize are Mrs Balls Chutney, Albany bread, Cross & Blackwell mayonnaise, Junglo Oats, Tastic rice, Black Cat peanut butter, Koo canned foods, Doom and All Gold products. Their latest financial results for the six months ending March 2018 reported a 4% decline in revenue. Operating income declined by 8% and…

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British American Tobacco

We wrote about British American Tobacco in the US but on the local exchange the British American Tobacco graph caught our attention. This company’s biggest threat is still the sale of illegal cigarettes. It results in a loss of between $40-50 billion in taxes globally.  The company of illegal cigarettes makes it the third largest tobacco company in the world. About 8 million adults in SA smoke 27 billion cigarettes a year. The latest stats show that the Western Cape…

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