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NVE

NVest Financial HoldingsJSE:NVE Stock Report

Market Cap

R477.1m

7D

-7.6%

1Y

17.6%

Updated

20 Oct, 2021

Data

Company Financials
NVE fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance3/6
Financial Health6/6
Dividends2/6

NVE Overview

NVest Financial Holdings Limited, together with its subsidiaries, provides financial products and services in South Africa.

Price History & Performance

Summary of all time highs, changes and price drops for NVest Financial Holdings
Historical stock prices
Current Share PriceR1.94
52 Week HighR1.47
52 Week LowR2.50
Beta-0.16
1 Month Change-7.18%
3 Month Change-7.62%
1 Year Change17.58%
3 Year Change7.78%
5 Year Change-26.79%
Change since IPO-11.01%

Recent News & Updates

Mar 31
Does NVest Financial Holdings Limited (JSE:NVE) Have A Place In Your Dividend Portfolio?

Does NVest Financial Holdings Limited (JSE:NVE) Have A Place In Your Dividend Portfolio?

Dividend paying stocks like NVest Financial Holdings Limited ( JSE:NVE ) tend to be popular with investors, and for...

Shareholder Returns

NVEZA Capital MarketsZA Market
7D-7.6%4.2%1.0%
1Y17.6%57.5%20.8%

Return vs Industry: NVE underperformed the ZA Capital Markets industry which returned 57.5% over the past year.

Return vs Market: NVE underperformed the ZA Market which returned 20.8% over the past year.

Price Volatility

Is NVE's price volatile compared to industry and market?
NVE volatility
NVE Beta-0.16
Industry Beta0.89
Market Beta1

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

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

About the Company

FoundedEmployeesCEOWebsite
1985n/aAnthony Godwinhttps://www.nvestholdings.co.za

NVest Financial Holdings Limited, together with its subsidiaries, provides financial products and services in South Africa. The company offers short-term insurance brokerage; financial advisory and intermediary services in personal and commercial lines in the short term insurance industry; wealth management; and portfolio management services, as well as investments in direct equity/shares and listed property stocks. The company also engages in the preparation of wills, managed accounts, and the administration of deceased estates and testamentary trusts; and rental of commercial properties.

NVest Financial Holdings Fundamentals Summary

How do NVest Financial Holdings's earnings and revenue compare to its market cap?
NVE fundamental statistics
Market CapR477.13m
Earnings (TTM)R62.79m
Revenue (TTM)R276.23m

7.6x

P/E Ratio

1.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NVE income statement (TTM)
RevenueR276.23m
Cost of RevenueR94.51m
Gross ProfitR181.72m
ExpensesR118.94m
EarningsR62.79m

Last Reported Earnings

Feb 28, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.26
Gross Margin65.79%
Net Profit Margin22.73%
Debt/Equity Ratio21.0%

How did NVE perform over the long term?

See historical performance and comparison

Dividends

5.9%

Current Dividend Yield

56%

Payout Ratio

Valuation

Is NVest Financial Holdings undervalued compared to its fair value and its price relative to the market?

7.6x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NVE (ZAR1.94) is trading above our estimate of fair value (ZAR1.08)

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


Price To Earnings Ratio

PE vs Industry: NVE is good value based on its PE Ratio (7.6x) compared to the ZA Capital Markets industry average (11.5x).

PE vs Market: NVE is good value based on its PE Ratio (7.6x) compared to the ZA market (11.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: NVE is overvalued based on its PB Ratio (0.9x) compared to the ZA Capital Markets industry average (0.7x).


Future Growth

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

7.6%

Forecasted Diversified Financials 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 NVest Financial Holdings 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 NVest Financial Holdings performed over the past 5 years?

0.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NVE has high quality earnings.

Growing Profit Margin: NVE's current net profit margins (22.7%) are higher than last year (21.1%).


Past Earnings Growth Analysis

Earnings Trend: NVE's earnings have grown by 0.9% per year over the past 5 years.

Accelerating Growth: NVE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NVE had negative earnings growth (-4.1%) over the past year, making it difficult to compare to the Capital Markets industry average (35.2%).


Return on Equity

High ROE: NVE's Return on Equity (12.5%) is considered low.


Financial Health

How is NVest Financial Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: NVE's short term assets (ZAR223.2M) exceed its short term liabilities (ZAR96.6M).

Long Term Liabilities: NVE's short term assets (ZAR223.2M) exceed its long term liabilities (ZAR61.9M).


Debt to Equity History and Analysis

Debt Level: NVE's debt to equity ratio (21%) is considered satisfactory.

Reducing Debt: NVE's debt to equity ratio has reduced from 47.1% to 21% over the past 5 years.

Debt Coverage: NVE's debt is well covered by operating cash flow (62.2%).

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


Balance Sheet


Dividend

What is NVest Financial Holdings's current dividend yield, its reliability and sustainability?

5.93%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: NVE's dividend (5.93%) is higher than the bottom 25% of dividend payers in the ZA market (3.11%).

High Dividend: NVE's dividend (5.93%) is low compared to the top 25% of dividend payers in the ZA market (8.07%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, NVE has been paying a dividend for less than 10 years.

Growing Dividend: NVE's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (55.5%), NVE'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?

3.8yrs

Average management tenure


CEO

Anthony Godwin (61 yo)

no data

Tenure

R5,251,687

Compensation

Mr. Anthony Denis Godwin serves as the Chief Executive Officer of Nvest Financial Holdings Limited and has been its Executive Director since July 3, 2008.


CEO Compensation Analysis

Compensation vs Market: Insufficient data to establish whether Anthony's total compensation is reasonable compared to companies of similar size in the ZA market.

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


Leadership Team

Experienced Management: NVE's management team is considered experienced (3.8 years average tenure).


Board Members

Experienced Board: NVE's board of directors are considered experienced (3.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: NVE insiders have only sold shares 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

NVest Financial Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: NVest Financial Holdings Limited
  • Ticker: NVE
  • Exchange: JSE
  • Founded: 1985
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: R477.129m
  • Shares outstanding: 245.94m
  • Website: https://www.nvestholdings.co.za

Number of Employees


Location

  • NVest Financial Holdings Limited
  • NFB House
  • 42 Beach Road
  • East London
  • Eastern Cape
  • 5241
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/20 22:10
End of Day Share Price2021/10/20 00:00
Earnings2021/02/28
Annual Earnings2021/02/28


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.