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SUR

SpurJSE:SUR Stock Report

Market Cap

R1.7b

7D

0.1%

1Y

23.2%

Updated

24 Oct, 2021

Data

Company Financials
SUR fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance4/6
Financial Health6/6
Dividends3/6

SUR Overview

Spur Corporation Ltd, together with its subsidiaries, operates as a restaurant franchisor in South Africa and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for Spur
Historical stock prices
Current Share PriceR20.20
52 Week HighR13.93
52 Week LowR23.50
Beta0.58
1 Month Change4.88%
3 Month Change9.19%
1 Year Change23.25%
3 Year Change-14.04%
5 Year Change-37.36%
Change since IPO708.00%

Recent News & Updates

Shareholder Returns

SURZA HospitalityZA Market
7D0.1%1.8%-0.03%
1Y23.2%99.1%19.0%

Return vs Industry: SUR underperformed the ZA Hospitality industry which returned 99.1% over the past year.

Return vs Market: SUR exceeded the ZA Market which returned 19% over the past year.

Price Volatility

Is SUR's price volatile compared to industry and market?
SUR volatility
SUR Beta0.58
Industry Beta1.22
Market Beta1

Stable Share Price: SUR is not significantly more volatile than the rest of ZA stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: SUR's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1967n/aVal Nichashttps://www.spurcorporation.com

Spur Corporation Ltd, together with its subsidiaries, operates as a restaurant franchisor in South Africa and internationally. The company operates and franchises restaurants under the Spur Steak Ranches, Panarottis Pizza Pasta, John Dory’s Fish Grill Sushi, The Hussar Grill, RocoMamas, Casa Bella, and Nikos brands. It operates through a network of approximately 600 outlets across South Africa.

Spur Fundamentals Summary

How do Spur's earnings and revenue compare to its market cap?
SUR fundamental statistics
Market CapR1.70b
Earnings (TTM)R93.08m
Revenue (TTM)R681.44m

18.2x

P/E Ratio

2.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SUR income statement (TTM)
RevenueR681.44m
Cost of RevenueR165.53m
Gross ProfitR515.91m
ExpensesR422.83m
EarningsR93.08m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.11
Gross Margin75.71%
Net Profit Margin13.66%
Debt/Equity Ratio0.03%

How did SUR perform over the long term?

See historical performance and comparison

Dividends

3.9%

Current Dividend Yield

70%

Payout Ratio

Valuation

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

18.22x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SUR (ZAR20.2) is trading above our estimate of fair value (ZAR7.87)

Significantly Below Fair Value: SUR is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SUR is good value based on its PE Ratio (18.2x) compared to the African Hospitality industry average (26x).

PE vs Market: SUR is poor value based on its PE Ratio (18.2x) compared to the ZA market (11.3x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SUR's PB Ratio (2.7x) is in line with the ZA Hospitality industry average.


Future Growth

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

45.7%

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 Spur 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 Spur performed over the past 5 years?

-18.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SUR has high quality earnings.

Growing Profit Margin: SUR's current net profit margins (13.7%) are higher than last year (8.8%).


Past Earnings Growth Analysis

Earnings Trend: SUR's earnings have declined by 18.1% per year over the past 5 years.

Accelerating Growth: SUR's earnings growth over the past year (39.1%) exceeds its 5-year average (-18.1% per year).

Earnings vs Industry: SUR earnings growth over the past year (39.1%) exceeded the Hospitality industry 23.7%.


Return on Equity

High ROE: SUR's Return on Equity (15.7%) is considered low.


Financial Health

How is Spur's financial position?


Financial Position Analysis

Short Term Liabilities: SUR's short term assets (ZAR409.0M) exceed its short term liabilities (ZAR157.9M).

Long Term Liabilities: SUR's short term assets (ZAR409.0M) exceed its long term liabilities (ZAR116.3M).


Debt to Equity History and Analysis

Debt Level: SUR's debt to equity ratio (0.03%) is considered satisfactory.

Reducing Debt: SUR's debt to equity ratio has reduced from 3.1% to 0.03% over the past 5 years.

Debt Coverage: SUR's debt is well covered by operating cash flow (53100.5%).

Interest Coverage: SUR earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Spur current dividend yield, its reliability and sustainability?

3.86%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SUR's dividend (3.86%) is higher than the bottom 25% of dividend payers in the ZA market (3.14%).

High Dividend: SUR's dividend (3.86%) is low compared to the top 25% of dividend payers in the ZA market (7.52%).


Stability and Growth of Payments

Stable Dividend: SUR's dividend payments have been volatile in the past 10 years.

Growing Dividend: SUR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (70.4%), SUR's dividend payments are 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?

1.8yrs

Average management tenure


CEO

Val Nichas (59 yo)

0.75

Tenure

R2,600,000

Compensation

Ms. Valentine Bourdos Nichas, also known as Val, serves as Group Chief Executive Officer and Executive Director at Spur Corporation Limited since January 1, 2021. She is Founder and originator of VBN Consu...


CEO Compensation Analysis

Compensation vs Market: Val's total compensation ($USD175.85K) is below average for companies of similar size in the ZA market ($USD278.61K).

Compensation vs Earnings: Insufficient data to compare Val's compensation with company performance.


Leadership Team

Experienced Management: SUR's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: SUR's board of directors are not considered experienced ( 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

Spur Corporation Ltd's employee growth, exchange listings and data sources


Key Information

  • Name: Spur Corporation Ltd
  • Ticker: SUR
  • Exchange: JSE
  • Founded: 1967
  • Industry: Restaurants
  • Sector: Consumer Services
  • Market Cap: R1.696b
  • Shares outstanding: 83.97m
  • Website: https://www.spurcorporation.com

Location

  • Spur Corporation Ltd
  • Century Gate Business Park
  • 14 Edison Way
  • Cape Town
  • Western Cape
  • 7446
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/24 17:05
End of Day Share Price2021/10/22 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.