Update shared on 03 Oct 2025
Fair value Increased 3.63%Analysts have raised their price target for OUTsurance Group from R82.59 to R85.58. They cite improved revenue growth projections, even though a slightly lower expected profit margin is anticipated.
What's in the News
- Special cash dividend of 33.1 cents per ordinary share announced. The net dividend is 26.48 cents per share after withholding tax for non-exempt shareholders (Key Developments).
- Gross final cash dividend of 149.0 cents per ordinary share declared. This results in a net dividend of 119.2 cents per share post-tax for most shareholders (Key Developments).
- The company issued earnings guidance for the six months ended June 30, 2025, forecasting EPS between 297.4 and 313.3 cents, NEPS between 299.8 and 313.6 cents, and HEPS between 290.3 and 304.1 cents (Key Developments).
Valuation Changes
- Fair Value: Increased from ZAR 82.59 to ZAR 85.58, reflecting a moderate rise in the estimated intrinsic value of the company.
- Discount Rate: Remained unchanged at 16.74 percent, indicating no adjustment in the assumed required rate of return.
- Revenue Growth: Increased significantly from 5.94 percent to 10.50 percent, indicating more optimistic projections for top-line expansion.
- Net Profit Margin: Declined from 13.59 percent to 12.63 percent, suggesting slightly lower expected profitability on sales.
- Future P/E: Marginally decreased from 31.95x to 31.40x, reflecting a small reduction in expected future price-to-earnings valuation.
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