DB:UG5A

Stock Analysis Report

Executive Summary

Tiger Brands Limited engages in the manufacture and marketing of fast-moving consumer goods primarily in Southern Africa.

Snowflake

Fundamentals

Flawless balance sheet 6 star dividend payer.

Risks

  • Tiger Brands has significant price volatility in the past 3 months.

Share Price & News

How has Tiger Brands's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-2.6%

DB:UG5A

1.5%

DE Food

0.2%

DE Market


1 Year Return

-28.2%

DB:UG5A

4.0%

DE Food

-10.0%

DE Market

UG5A underperformed the Food industry which returned 4% over the past year.

UG5A underperformed the Market in Germany which returned -10% over the past year.


Share holder returns

UG5AIndustryMarket
7 Day-2.6%1.5%0.2%
30 Day-16.2%6.4%-3.3%
90 Day-12.7%3.3%-3.9%
1 Year-24.1%-28.2%5.6%4.0%-7.1%-10.0%
3 Year-43.9%-49.8%-9.0%-14.5%11.3%1.7%
5 Year-31.2%-42.1%36.5%24.4%25.8%8.4%

Price Volatility Vs. Market

How volatile is Tiger Brands's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Tiger Brands undervalued based on future cash flows and its price relative to the stock market?

47%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Tiger Brands's share price is below the future cash flow value, and at a moderate discount (> 20%).

Tiger Brands's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Tiger Brands is good value based on earnings compared to the DE Food industry average.

Tiger Brands is good value based on earnings compared to the Germany market.


Price Based on Expected Growth

Tiger Brands is poor value based on expected growth next year.


Price Based on Value of Assets

Tiger Brands is good value based on assets compared to the DE Food industry average.


Next Steps

Future Growth

How is Tiger Brands expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

11.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Tiger Brands's revenue is expected to grow by 6.5% yearly, however this is not considered high growth (20% yearly).

Tiger Brands's earnings are expected to grow by 11.8% yearly, however this is not considered high growth (20% yearly).

Tiger Brands's revenue growth is expected to exceed the Germany market average.

Tiger Brands's earnings growth is positive but not above the Germany market average.

Tiger Brands's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Tiger Brands is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Tiger Brands performed over the past 5 years?

1.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Tiger Brands's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

Tiger Brands's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Tiger Brands's 1-year earnings growth is negative, it can't be compared to the DE Food industry average.


Return on Equity

Tiger Brands has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Tiger Brands used its assets more efficiently than the DE Food industry average last year based on Return on Assets.


Return on Capital Employed

Tiger Brands's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Tiger Brands's financial position?


Financial Position Analysis

Tiger Brands is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Tiger Brands's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Tiger Brands's level of debt (0.6%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (38.1% vs 0.6% today).

Debt is well covered by operating cash flow (2451.2%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 61.5x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 117.3x debt.


Next Steps

Dividend

What is Tiger Brands's current dividend yield, its reliability and sustainability?

4.97%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Tiger Brands's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.52%).

Tiger Brands's dividend is above the markets top 25% of dividend payers in Germany (4.2%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.8x coverage).


Next Steps

Management

What is the CEO of Tiger Brands's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Lawrence Mac Dougall (63yo)

3.4yrs

Tenure

SAR9,004,625

Compensation

Mr. Lawrence Charles Mac Dougall has been the Chief Executive Officer of Tiger Brands Limited since March 31, 2016 and has been its Executive Director since May 10, 2016. Mr. Dougall served as the Presiden ...


CEO Compensation Analysis

Lawrence's remuneration is lower than average for companies of similar size in Germany.

Lawrence's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

1.8yrs

Average Tenure

48.5yo

Average Age

The average tenure for the Tiger Brands management team is less than 2 years, this suggests a new team.


Board Age and Tenure

3.7yrs

Average Tenure

56yo

Average Age

The tenure for the Tiger Brands board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Noel Doyle (53yo)

    CFO & Executive Director

    • Tenure: 4.1yrs
    • Compensation: SAR6.48m
  • Mary-Jane Morifi (57yo)

    Chief Corporate Affairs and Sustainability Officer

    • Tenure: 1.8yrs
  • Lawrence Mac Dougall (63yo)

    CEO & Executive Director

    • Tenure: 3.4yrs
    • Compensation: SAR9.00m
  • Yokesh Maharaj (46yo)

    Chief Growth Officer

    • Tenure: 1.1yrs
    • Compensation: SAR2.21m
  • Patrick Sithole (51yo)

    Chief Supply Chain Officer

    • Tenure: 7.0yrs
    • Compensation: SAR4.47m
  • Nikki Catrakilis-Wagner (45yo)

    Investor Relations Director

    • Tenure: 4.8yrs
  • Pieter Spies (53yo)

    Chief Growth Officer of Grains and Consumer Brands

    • Tenure: 1.8yrs
    • Compensation: SAR4.78m
  • Kamal Harilal (45yo)

    Chief Strategy Officer

    • Tenure: 1.3yrs
  • Sinenhlanhla Magagula (45yo)

    Chief Human Resources Officer

    • Tenure: 1.3yrs
  • Becky Opdyke (39yo)

    Chief Marketing Officer

    • Tenure: 0.8yrs

Board Members

  • Maya Makanjee (57yo)

    Independent Non-Executive Director

    • Tenure: 9.0yrs
    • Compensation: SAR683.29k
  • Khotso Kenneth Mokhele (63yo)

    Chairman of the Board

    • Tenure: 2.5yrs
    • Compensation: SAR1.81m
  • Makhup Nyama (61yo)

    Independent Non-Executive Director

    • Tenure: 9.0yrs
    • Compensation: SAR572.60k
  • Noel Doyle (53yo)

    CFO & Executive Director

    • Tenure: 4.1yrs
    • Compensation: SAR6.48m
  • Mark Bowman (52yo)

    Independent Non-Executive Director

    • Tenure: 7.2yrs
    • Compensation: SAR647.39k
  • Gail Klintworth (55yo)

    Independent Non-Executive Director

    • Tenure: 1.0yrs
    • Compensation: SAR229.00k
  • Michael Ajukwu (62yo)

    Independent Non-Executive Director

    • Tenure: 4.4yrs
    • Compensation: SAR1.21m
  • Lawrence Mac Dougall (63yo)

    CEO & Executive Director

    • Tenure: 3.4yrs
    • Compensation: SAR9.00m
  • Cora Fernandez (46yo)

    Independent Non-Executive Director

    • Tenure: 0.4yrs
  • Emma Mashilwane (43yo)

    Independent Non-Executive Director

    • Tenure: 2.7yrs
    • Compensation: SAR555.89k

Company Information

Tiger Brands Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tiger Brands Limited
  • Ticker: UG5A
  • Exchange: DB
  • Founded: 1920
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: SAR35.437b
  • Listing Market Cap: SAR2.074b
  • Shares outstanding: 165.59m
  • Website: https://www.tigerbrands.com

Number of Employees


Location

  • Tiger Brands Limited
  • 3010 William Nicol Drive
  • Bryanston
  • Gauteng
  • 2196
  • South Africa

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TBLM.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
TBSJSE (The Johannesburg Securities Exchange)YesOrdinary SharesZAZARJan 1992
UG5ADB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
TBLM.YOTCPK (Pink Sheets LLC)SPON ADR NEWUSUSDSep 1995

Biography

Tiger Brands Limited engages in the manufacture and marketing of fast-moving consumer goods primarily in Southern Africa. The company offers baby care products under the Purity, Purity & Elizabeth Anne's,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 20:54
End of Day Share Price2019/08/20 00:00
Earnings2019/03/31
Annual Earnings2018/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.