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KAL

Kaap AgriJSE:KAL Stock Report

Market Cap

R2.9b

7D

-7.6%

1Y

96.2%

Updated

16 Oct, 2021

Data

Company Financials
KAL fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance4/6
Financial Health4/6
Dividends1/6

KAL Overview

Kaap Agri Limited trades in agricultural, fuel, and related retail markets in South Africa and Namibia.

Price History & Performance

Summary of all time highs, changes and price drops for Kaap Agri
Historical stock prices
Current Share PriceR41.20
52 Week HighR20.56
52 Week LowR47.00
Beta0.57
1 Month Change2.95%
3 Month Change3.28%
1 Year Change96.19%
3 Year Change7.43%
5 Year Changen/a
Change since IPO-35.52%

Recent News & Updates

Oct 04
I Built A List Of Growing Companies And Kaap Agri (JSE:KAL) Made The Cut

I Built A List Of Growing Companies And Kaap Agri (JSE:KAL) Made The Cut

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

Mar 29
Kaap Agri (JSE:KAL) Has A Pretty Healthy Balance Sheet

Kaap Agri (JSE:KAL) Has A Pretty Healthy Balance Sheet

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to...

Feb 27
Is Kaap Agri Limited's (JSE:KAL) Recent Stock Performance Influenced By Its Fundamentals In Any Way?

Is Kaap Agri Limited's (JSE:KAL) Recent Stock Performance Influenced By Its Fundamentals In Any Way?

Most readers would already be aware that Kaap Agri's (JSE:KAL) stock increased significantly by 32% over the past three...

Shareholder Returns

KALZA Consumer RetailingZA Market
7D-7.6%1.1%1.6%
1Y96.2%32.4%21.3%

Return vs Industry: KAL exceeded the ZA Consumer Retailing industry which returned 32.4% over the past year.

Return vs Market: KAL exceeded the ZA Market which returned 21.3% over the past year.

Price Volatility

Is KAL's price volatile compared to industry and market?
KAL volatility
KAL Beta0.57
Industry Beta0.57
Market Beta1

Stable Share Price: KAL is not significantly more volatile than the rest of ZA stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: KAL's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19123,333Sean Walshhttps://www.kaapagri.co.za

Kaap Agri Limited trades in agricultural, fuel, and related retail markets in South Africa and Namibia. It operates through Trade, Retail Fuel & Convenience, Grain Services, and Manufacturing segments. The Trade segment offers production inputs, mechanization equipment and services, and other goods to agricultural producers, as well as the general public.

Kaap Agri Fundamentals Summary

How do Kaap Agri's earnings and revenue compare to its market cap?
KAL fundamental statistics
Market CapR2.90b
Earnings (TTM)R315.96m
Revenue (TTM)R9.34b

9.2x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
KAL income statement (TTM)
RevenueR9.34b
Cost of RevenueR7.90b
Gross ProfitR1.44b
ExpensesR1.12b
EarningsR315.96m

Last Reported Earnings

Mar 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)4.50
Gross Margin15.38%
Net Profit Margin3.38%
Debt/Equity Ratio61.3%

How did KAL perform over the long term?

See historical performance and comparison

Dividends

1.9%

Current Dividend Yield

20%

Payout Ratio

Valuation

Is Kaap Agri undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KAL (ZAR41.2) is trading below our estimate of fair value (ZAR554.6)

Significantly Below Fair Value: KAL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KAL is good value based on its PE Ratio (9.2x) compared to the ZA Consumer Retailing industry average (28.8x).

PE vs Market: KAL is good value based on its PE Ratio (9.2x) compared to the ZA market (11.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate KAL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: KAL is good value based on its PB Ratio (1.3x) compared to the ZA Consumer Retailing industry average (6.2x).


Future Growth

How is Kaap Agri forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

22.9%

Forecasted Consumer Retailing industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Kaap Agri has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Kaap Agri performed over the past 5 years?

7.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KAL has high quality earnings.

Growing Profit Margin: KAL's current net profit margins (3.4%) are higher than last year (3.2%).


Past Earnings Growth Analysis

Earnings Trend: KAL's earnings have grown by 7.4% per year over the past 5 years.

Accelerating Growth: KAL's earnings growth over the past year (8.9%) exceeds its 5-year average (7.4% per year).

Earnings vs Industry: KAL earnings growth over the past year (8.9%) underperformed the Consumer Retailing industry 11.8%.


Return on Equity

High ROE: KAL's Return on Equity (14%) is considered low.


Financial Health

How is Kaap Agri's financial position?


Financial Position Analysis

Short Term Liabilities: KAL's short term assets (ZAR2.9B) exceed its short term liabilities (ZAR2.2B).

Long Term Liabilities: KAL's short term assets (ZAR2.9B) exceed its long term liabilities (ZAR865.9M).


Debt to Equity History and Analysis

Debt Level: KAL's debt to equity ratio (61.3%) is considered high.

Reducing Debt: KAL's debt to equity ratio has increased from 57.9% to 61.3% over the past 5 years.

Debt Coverage: KAL's debt is well covered by operating cash flow (48.4%).

Interest Coverage: KAL's interest payments on its debt are well covered by EBIT (91.7x coverage).


Balance Sheet


Dividend

What is Kaap Agri current dividend yield, its reliability and sustainability?

1.94%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KAL's dividend (1.94%) isn’t notable compared to the bottom 25% of dividend payers in the ZA market (3.07%).

High Dividend: KAL's dividend (1.94%) is low compared to the top 25% of dividend payers in the ZA market (8.09%).


Stability and Growth of Payments

Stable Dividend: KAL has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: KAL has only been paying a dividend for 4 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (20%), KAL's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.5yrs

Average board tenure


CEO

Sean Walsh (55 yo)

no data

Tenure

R5,903,000

Compensation

Sean Walsh serves as Chief Executive Officer at Kaap Agri (Pty) Ltd since November 2011 and Managing Director at Kaap Agri (Pty) Ltd. Sean Walsh served as Director of Operations at Kaap Agri (Pty) Ltd. Sea...


CEO Compensation Analysis

Compensation vs Market: Sean's total compensation ($USD403.69K) is about average for companies of similar size in the ZA market ($USD494.06K).

Compensation vs Earnings: Sean's compensation has been consistent with company performance over the past year.


Board Members

Experienced Board: KAL's board of directors are considered experienced (7.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Kaap Agri Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Kaap Agri Limited
  • Ticker: KAL
  • Exchange: JSE
  • Founded: 1912
  • Industry: Food Retail
  • Sector: Consumer Retailing
  • Market Cap: R2.896b
  • Shares outstanding: 70.28m
  • Website: https://www.kaapagri.co.za

Number of Employees


Location

  • Kaap Agri Limited
  • 1 Westhoven Street
  • Paarl
  • Western Cape
  • 7646
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/16 17:03
End of Day Share Price2021/10/15 00:00
Earnings2021/03/31
Annual Earnings2020/09/30


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.