company background image
ZCL

Zarclear HoldingsJSE:ZCL Stock Report

Market Cap

R1.0b

7D

0%

1Y

5.0%

Updated

18 Oct, 2021

Data

Company Financials
ZCL fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance3/6
Financial Health6/6
Dividends0/6

ZCL Overview

Zarclear Holdings Limited, an investment holding company, invests in hedge funds and other investments, including loans to private equity portfolio companies in South Africa and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for Zarclear Holdings
Historical stock prices
Current Share PriceR4.60
52 Week HighR3.25
52 Week LowR6.00
Beta0.14
1 Month Change0%
3 Month Change9.52%
1 Year Change5.02%
3 Year Change26.03%
5 Year Changen/a
Change since IPO17.95%

Recent News & Updates

Shareholder Returns

ZCLZA Capital MarketsZA Market
7D0%4.4%1.6%
1Y5.0%55.5%21.3%

Return vs Industry: ZCL underperformed the ZA Capital Markets industry which returned 55.5% over the past year.

Return vs Market: ZCL underperformed the ZA Market which returned 21.3% over the past year.

Price Volatility

Is ZCL's price volatile compared to industry and market?
ZCL volatility
ZCL Beta0.14
Industry Beta0.89
Market Beta1

Stable Share Price: ZCL is less volatile than 75% of ZA stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: ZCL's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2000n/aWarren Chapmanhttps://www.zarclear.com

Zarclear Holdings Limited, an investment holding company, invests in hedge funds and other investments, including loans to private equity portfolio companies in South Africa and internationally. The investments are likely to be in regulated exchanges, trade repositories, clearing houses, securities depositories and investment and technology platforms within the financial markets sector in general and South Africa. Zarclear Holdings Limited was formerly known as Sandown Capital Limited and changed its name in December 2018.

Zarclear Holdings Fundamentals Summary

How do Zarclear Holdings's earnings and revenue compare to its market cap?
ZCL fundamental statistics
Market CapR1.04b
Earnings (TTM)R36.50m
Revenue (TTM)R96.64m

28.5x

P/E Ratio

10.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ZCL income statement (TTM)
RevenueR96.64m
Cost of RevenueR58.69m
Gross ProfitR37.95m
ExpensesR1.44m
EarningsR36.50m

Last Reported Earnings

Jun 30, 2020

Next Earnings Date

n/a

Earnings per share (EPS)0.16
Gross Margin39.27%
Net Profit Margin37.77%
Debt/Equity Ratio0.0%

How did ZCL perform over the long term?

See historical performance and comparison

Valuation

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

28.49x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

PE vs Industry: ZCL is poor value based on its PE Ratio (28.5x) compared to the ZA Capital Markets industry average (11.3x).

PE vs Market: ZCL is poor value based on its PE Ratio (28.5x) compared to the ZA market (11.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ZCL's PB Ratio (0.8x) is in line with the ZA Capital Markets industry average.


Future Growth

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

7.5%

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 Zarclear 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 Zarclear Holdings performed over the past 5 years?

51.6%

Last years revenue growth


Earnings and Revenue History

Quality Earnings: ZCL has high quality earnings.

Growing Profit Margin: ZCL became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: ZCL has become profitable over the past 5 years.

Accelerating Growth: ZCL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: ZCL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Capital Markets industry (35.2%).


Return on Equity

High ROE: ZCL's Return on Equity (2.9%) is considered low.


Financial Health

How is Zarclear Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: ZCL's short term assets (ZAR1.9B) exceed its short term liabilities (ZAR1.1B).

Long Term Liabilities: ZCL's short term assets (ZAR1.9B) exceed its long term liabilities (ZAR96.0K).


Debt to Equity History and Analysis

Debt Level: ZCL is debt free.

Reducing Debt: ZCL has no debt compared to 5 years ago when its debt to equity ratio was 1.7%.

Debt Coverage: ZCL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: ZCL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

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


Dividend Yield vs Market

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

High Dividend: Unable to evaluate ZCL'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 ZCL's dividends per share have been stable in the past.

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


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ZCL'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?

3.1yrs

Average board tenure


CEO

Warren Chapman (49 yo)

3.08yrs

Tenure

R912,000

Compensation

Mr. Warren Hampden Chapman, B. Com, CFA., has been Chief Executive Officer and Executive Director of Zarclear Holdings Limited (also known as Sandown Capital Limited) since September 5, 2018. Mr. Chapman i...


CEO Compensation Analysis

Compensation vs Market: Warren's total compensation ($USD62.10K) is below average for companies of similar size in the ZA market ($USD280.19K).

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


Board Members

Experienced Board: ZCL's board of directors are considered experienced (3.1 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.


Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Zarclear Holdings Limited
  • Ticker: ZCL
  • Exchange: JSE
  • Founded: 2000
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: R1.040b
  • Shares outstanding: 226.07m
  • Website: https://www.zarclear.com

Location

  • Zarclear Holdings Limited
  • Katherine Towers
  • 9th floor
  • Sandton
  • Gauteng
  • 2196
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/18 21:45
End of Day Share Price2021/10/18 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.