Update shared on 27 Nov 2025
Fair value Increased 0.037%The analyst price target for Mr Price Group has risen slightly from ZAR 301.42 to ZAR 301.53. Analysts point to improving revenue growth forecasts and stable profit margins.
Analyst Commentary
Recent research activity has highlighted evolving analyst perspectives on Mr Price Group, especially following the upgraded investment rating and changes in price targets. These insights reflect varied views on the company's valuation, growth outlook, and strategic positioning.
Bullish Takeaways
- Bullish analysts point to the recent upgrade and rising price target as indicators of improving confidence in Mr Price Group’s near-term performance and revenue growth trajectory.
- Stabilizing profit margins are seen as a notable strength and support the potential for sustained earnings, reinforcing the company’s ability to execute in a competitive environment.
- Improvements in underlying revenue estimates suggest momentum in operational execution, which could translate into continued upward revisions for profit forecasts.
- The enhanced outlook may result in further upward revisions to the stock’s valuation if performance continues to meet or exceed updated expectations.
Bearish Takeaways
- Bearish analysts remain cautious about whether the recent improvements in revenue outlook are resilient and sustainable, particularly in a volatile economic climate.
- There is concern that profit margins, while currently stable, might face pressure from rising costs or intensifying sector competition.
- The pace of earnings growth may be constrained if market dynamics shift or if consumer demand weakens, adding risk to the current valuation.
- Some analysts note that after the recent upgrade, much of the near-term optimism could already be reflected in the share price, reducing the margin for upside surprise.
What's in the News
- Mr Price Group announced an interim gross cash dividend of 323.20 cents per share for the 26 weeks ended 27 September 2025. This represents a 6.5% increase from the previous year (Key Developments).
- Shareholders will receive a net dividend of 258.56 cents per share after a 20% dividend withholding tax, unless they are exempt or qualify for a reduced rate (Key Developments).
- Key dividend dates include the last date to trade cum-dividend on 09 December 2025, ex-dividend date on 10 December 2025, record date on 12 December 2025, and payment date on 15 December 2025 (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has risen slightly from ZAR 301.42 to ZAR 301.53.
- Discount Rate has edged up from 19.78% to 19.79%.
- Revenue Growth forecast increased from 6.63% to 7.70%.
- Net Profit Margin has improved marginally, from 10.17% to 10.20%.
- Future P/E ratio has fallen from 26.55x to 25.23x. This reflects a slightly more attractive valuation.
Disclaimer
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