company background image
GPL

Grand Parade InvestmentsJSE:GPL Stock Report

Market Cap

R1.5b

7D

9.0%

1Y

64.6%

Updated

19 Oct, 2021

Data

Company Financials
GPL fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance0/6
Financial Health3/6
Dividends0/6

GPL Overview

Grand Parade Investments Limited is a private equity and venture capital firm specializing in incubation, PIPE's, industry consolidation, recapitalizations, buyouts, and growth capital investments.

Price History & Performance

Summary of all time highs, changes and price drops for Grand Parade Investments
Historical stock prices
Current Share PriceR3.39
52 Week HighR2.00
52 Week LowR3.39
Beta0.24
1 Month Change14.92%
3 Month Change17.30%
1 Year Change64.56%
3 Year Change57.67%
5 Year Change-10.32%
Change since IPO-24.67%

Recent News & Updates

Apr 10
Here's Why Grand Parade Investments (JSE:GPL) Can Afford Some Debt

Here's Why Grand Parade Investments (JSE:GPL) Can Afford Some Debt

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Shareholder Returns

GPLZA HospitalityZA Market
7D9.0%7.3%1.0%
1Y64.6%104.6%20.8%

Return vs Industry: GPL underperformed the ZA Hospitality industry which returned 100.8% over the past year.

Return vs Market: GPL exceeded the ZA Market which returned 20.7% over the past year.

Price Volatility

Is GPL's price volatile compared to industry and market?
GPL volatility
GPL Beta0.24
Industry Beta1.22
Market Beta1

Stable Share Price: GPL is not significantly more volatile than the rest of ZA stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: GPL's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1997n/aMohsin Tajbhaihttps://www.grandparade.co.za

Grand Parade Investments Limited is a private equity and venture capital firm specializing in incubation, PIPE's, industry consolidation, recapitalizations, buyouts, and growth capital investments. It considers investments in seed and startup, middle market, mature, turnaround, and emerging growth stages. The firm typically invests in leisure, tourism, and gaming sectors and also considers investments in property, retail, food, manufacturing, real estate and entertainment.

Grand Parade Investments Fundamentals Summary

How do Grand Parade Investments's earnings and revenue compare to its market cap?
GPL fundamental statistics
Market CapR1.46b
Earnings (TTM)-R28.99m
Revenue (TTM)R1.68b

0.9x

P/S Ratio

-50.3x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GPL income statement (TTM)
RevenueR1.68b
Cost of RevenueR934.43m
Gross ProfitR741.40m
ExpensesR770.39m
Earnings-R28.99m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.067
Gross Margin44.24%
Net Profit Margin-1.73%
Debt/Equity Ratio19.9%

How did GPL perform over the long term?

See historical performance and comparison

Valuation

Is Grand Parade Investments undervalued compared to its fair value and its price relative to the market?

0.85x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate GPL's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate GPL's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: GPL is unprofitable, so we can't compare its PE Ratio to the African Hospitality industry average.

PE vs Market: GPL is unprofitable, so we can't compare its PE Ratio to the ZA market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GPL is good value based on its PB Ratio (0.9x) compared to the ZA Hospitality industry average (2.7x).


Future Growth

How is Grand Parade Investments forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

45.3%

Forecasted Consumer Services 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 Grand Parade Investments 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 Grand Parade Investments performed over the past 5 years?

-65.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GPL is currently unprofitable.

Growing Profit Margin: GPL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: GPL is unprofitable, and losses have increased over the past 5 years at a rate of 65% per year.

Accelerating Growth: Unable to compare GPL's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: GPL is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (23.9%).


Return on Equity

High ROE: GPL has a negative Return on Equity (-1.83%), as it is currently unprofitable.


Financial Health

How is Grand Parade Investments's financial position?


Financial Position Analysis

Short Term Liabilities: GPL's short term assets (ZAR331.1M) do not cover its short term liabilities (ZAR401.7M).

Long Term Liabilities: GPL's short term assets (ZAR331.1M) do not cover its long term liabilities (ZAR521.9M).


Debt to Equity History and Analysis

Debt Level: GPL's debt to equity ratio (19.9%) is considered satisfactory.

Reducing Debt: GPL's debt to equity ratio has reduced from 25.2% to 19.9% over the past 5 years.

Debt Coverage: GPL's debt is well covered by operating cash flow (22.7%).

Interest Coverage: Insufficient data to determine if GPL's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Grand Parade Investments's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate GPL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate GPL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if GPL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if GPL's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: GPL is not paying a notable dividend for the ZA market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of GPL's dividend in 3 years as they are not forecast to pay a notable one for the ZA market.


Next Steps

Management

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

2.1yrs

Average board tenure


CEO

Mohsin Tajbhai (41 yo)

2.25yrs

Tenure

R4,075,000

Compensation

Mr. Mohsin Tajbhai serves as Chief Executive Officer at Grand Parade Investments Limited since July 01, 2019 and serves as Executive Director since November 28, 2018. He had been Acting Chief Executive Off...


CEO Compensation Analysis

Compensation vs Market: Mohsin's total compensation ($USD280.49K) is about average for companies of similar size in the ZA market ($USD278.96K).

Compensation vs Earnings: Mohsin's compensation has increased whilst the company is unprofitable.


Board Members

Experienced Board: GPL's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


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.


Ownership Breakdown

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


Top Shareholders

Company Information

Grand Parade Investments Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Grand Parade Investments Limited
  • Ticker: GPL
  • Exchange: JSE
  • Founded: 1997
  • Industry: Restaurants
  • Sector: Consumer Services
  • Market Cap: R1.457b
  • Shares outstanding: 429.72m
  • Website: https://www.grandparade.co.za

Number of Employees


Location

  • Grand Parade Investments Limited
  • 33 Heerengracht Street
  • Foreshore
  • Cape Town
  • Western Cape
  • 8001
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/19 21:44
End of Day Share Price2021/10/19 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.