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LBR

Libstar HoldingsJSE:LBR Stock Report

Market Cap

R4.5b

7D

-4.0%

1Y

-0.8%

Updated

25 Oct, 2021

Data

Company Financials +
LBR fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance0/6
Financial Health6/6
Dividends2/6

LBR Overview

Libstar Holdings Limited manufactures, imports, exports, and supplies various food and beverage, household, and personal care products in South Africa and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for Libstar Holdings
Historical stock prices
Current Share PriceR6.55
52 Week HighR5.52
52 Week LowR7.50
Beta0.39
1 Month Change2.34%
3 Month Change2.99%
1 Year Change-0.76%
3 Year Change-3.68%
5 Year Changen/a
Change since IPO-46.92%

Recent News & Updates

Shareholder Returns

LBRZA FoodZA Market
7D-4.0%-1.3%-0.3%
1Y-0.8%2.8%19.5%

Return vs Industry: LBR underperformed the ZA Food industry which returned 2.4% over the past year.

Return vs Market: LBR underperformed the ZA Market which returned 19% over the past year.

Price Volatility

Is LBR's price volatile compared to industry and market?
LBR volatility
LBR Beta0.39
Industry Beta0.32
Market Beta1

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

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

About the Company

FoundedEmployeesCEOWebsite
2005n/aAndries Van Rensburghttps://www.libstar.co.za

Libstar Holdings Limited manufactures, imports, exports, and supplies various food and beverage, household, and personal care products in South Africa and internationally. It offers dairy products, such as cheeses, yoghurts, milk, butters, dips, spreads, and creams and sauces; meat and chicken products; mushrooms; prepared meals; natural and flavored waters, carbonated soft drinks, and bar mixes; disposable paper cups; paper and plastic containers and polystyrene trays; and cutlery and accessories. The company also provides chutneys, table sauces, vinegars, tomato pastes, salad dressings, and mayonnaise and marinades; salt, pepper, herbs and spices, and curry powders and seasoning mixes; pastas and noodles; pasta sauces and cook-in-sauces; soups, canned fruit, vegetables, legumes, and antipasti; honey, jams, and peanut and nut butters; and teas.

Libstar Holdings Fundamentals Summary

How do Libstar Holdings's earnings and revenue compare to its market cap?
LBR fundamental statistics
Market CapR4.47b
Earnings (TTM)R49.67m
Revenue (TTM)R10.70b

89.9x

P/E Ratio

0.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
LBR income statement (TTM)
RevenueR10.70b
Cost of RevenueR8.24b
Gross ProfitR2.46b
ExpensesR2.41b
EarningsR49.67m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.073
Gross Margin22.97%
Net Profit Margin0.46%
Debt/Equity Ratio38.3%

How did LBR perform over the long term?

See historical performance and comparison

Dividends

3.8%

Current Dividend Yield

300%

Payout Ratio

Valuation

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

17.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LBR (ZAR6.55) is trading below our estimate of fair value (ZAR7.94)

Significantly Below Fair Value: LBR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: LBR is poor value based on its PE Ratio (89.9x) compared to the ZA Food industry average (11.3x).

PE vs Market: LBR is poor value based on its PE Ratio (89.9x) compared to the ZA market (11.3x).


Price to Earnings Growth Ratio

PEG Ratio: LBR is poor value based on its PEG Ratio (2.3x)


Price to Book Ratio

PB vs Industry: LBR is good value based on its PB Ratio (0.8x) compared to the ZA Food industry average (1.2x).


Future Growth

How is Libstar Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

39.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LBR's forecast earnings growth (39.5% per year) is above the savings rate (8.8%).

Earnings vs Market: LBR's earnings (39.5% per year) are forecast to grow faster than the ZA market (12.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: LBR's revenue (5.6% per year) is forecast to grow slower than the ZA market (6.4% per year).

High Growth Revenue: LBR's revenue (5.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LBR's Return on Equity is forecast to be low in 3 years time (9.5%).


Past Performance

How has Libstar Holdings performed over the past 5 years?

-10.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LBR has a large one-off loss of ZAR259.8M impacting its June 30 2021 financial results.

Growing Profit Margin: LBR's current net profit margins (0.5%) are lower than last year (3.4%).


Past Earnings Growth Analysis

Earnings Trend: LBR's earnings have declined by 10.1% per year over the past 5 years.

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

Earnings vs Industry: LBR had negative earnings growth (-85.2%) over the past year, making it difficult to compare to the Food industry average (0.6%).


Return on Equity

High ROE: LBR's Return on Equity (0.9%) is considered low.


Financial Health

How is Libstar Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: LBR's short term assets (ZAR3.9B) exceed its short term liabilities (ZAR1.7B).

Long Term Liabilities: LBR's short term assets (ZAR3.9B) exceed its long term liabilities (ZAR3.2B).


Debt to Equity History and Analysis

Debt Level: LBR's debt to equity ratio (38.3%) is considered satisfactory.

Reducing Debt: LBR's debt to equity ratio has reduced from 58.2% to 38.3% over the past 5 years.

Debt Coverage: LBR's debt is well covered by operating cash flow (36.7%).

Interest Coverage: LBR's interest payments on its debt are well covered by EBIT (3.7x coverage).


Balance Sheet


Dividend

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

3.82%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: LBR's dividend (3.82%) is higher than the bottom 25% of dividend payers in the ZA market (3.14%).

High Dividend: LBR's dividend (3.82%) is low compared to the top 25% of dividend payers in the ZA market (7.52%).


Stability and Growth of Payments

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

Growing Dividend: LBR's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (299.9%), LBR's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: LBR's dividends in 3 years are forecast to be well covered by earnings (29.8% payout ratio).


Next Steps

Management

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

3.6yrs

Average management tenure


CEO

Andries Van Rensburg (66 yo)

no data

Tenure

R7,639,000

Compensation

Mr. Andries Vlok van Rensburg is a Co-founder and Chief Executive Officer of Libstar Holdings Limited and serves as its Executive Director since June 9, 2014. He is the Chief Executive Officer of Libstar O...


CEO Compensation Analysis

Compensation vs Market: Andries's total compensation ($USD519.31K) is about average for companies of similar size in the ZA market ($USD723.41K).

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


Leadership Team

Experienced Management: LBR's management team is considered experienced (3.6 years average tenure).


Board Members

Experienced Board: LBR's board of directors are considered experienced (3.4 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

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


Key Information

  • Name: Libstar Holdings Limited
  • Ticker: LBR
  • Exchange: JSE
  • Founded: 2005
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: R4.467b
  • Shares outstanding: 681.92m
  • Website: https://www.libstar.co.za

Number of Employees


Location

  • Libstar Holdings Limited
  • 62 Hume Road
  • 1st Floor
  • Johannesburg
  • 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 Analysis2021/10/25 21:44
End of Day Share Price2021/10/25 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.