Tiger Brands Limited

JSE:TBS Stock Report

Market Cap: R42.7b

Tiger Brands Valuation

Is TBS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of TBS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
R118.11
Fair Value
132.8% overvalued intrinsic discount
4
Number of Analysts

Below Fair Value: TBS (ZAR274.95) is trading above our estimate of fair value (ZAR118.11)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TBS?

Key metric: As TBS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for TBS. This is calculated by dividing TBS's market cap by their current earnings.
What is TBS's PE Ratio?
PE Ratio14.6x
EarningsR2.93b
Market CapR42.73b

Price to Earnings Ratio vs Peers

How does TBS's PE Ratio compare to its peers?

The above table shows the PE ratio for TBS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average11x
AVI AVI
14.1x7.9%R31.9b
PMR Premier Group
15.1x10.4%R16.0b
RCL RCL Foods
7.6xn/aR9.0b
OCE Oceana Group
7.3xn/aR8.1b
TBS Tiger Brands
14.6x6.3%R42.7b

Price-To-Earnings vs Peers: TBS is expensive based on its Price-To-Earnings Ratio (14.6x) compared to the peer average (11x).

Price to Earnings Ratio vs Industry

How does TBS's PE Ratio compare vs other companies in the African Food Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
TBS 14.6xIndustry Avg. 10.0xNo. of Companies12PE0816243240+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: TBS is expensive based on its Price-To-Earnings Ratio (14.6x) compared to the African Food industry average (10x).

Price to Earnings Ratio vs Fair Ratio

What is TBS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TBS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio14.6x
Fair PE Ratio11.8x

Price-To-Earnings vs Fair Ratio: TBS is expensive based on its Price-To-Earnings Ratio (14.6x) compared to the estimated Fair Price-To-Earnings Ratio (11.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst TBS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentR274.95
R296.00
+7.7%
9.4%R330.00R253.00n/a4
Feb ’26R276.15
R296.00
+7.2%
9.4%R330.00R253.00n/a4
Jan ’26R289.02
R310.33
+7.4%
4.7%R330.00R295.00n/a3
Dec ’25R252.67
R275.67
+9.1%
2.4%R284.00R268.00n/a3
Nov ’25R240.50
R271.50
+12.9%
1.3%R275.00R268.00n/a2
Oct ’25R241.90
R236.00
-2.4%
0.4%R237.00R235.00n/a2
Sep ’25R235.60
R236.00
+0.2%
0.4%R237.00R235.00n/a2
Aug ’25R222.00
R219.75
-1.0%
9.9%R237.00R183.00n/a4
Jul ’25R211.81
R211.00
-0.4%
9.5%R235.00R183.00n/a4
Jun ’25R195.00
R208.25
+6.8%
9.0%R235.00R183.00n/a4
May ’25R205.57
R207.50
+0.9%
9.6%R235.00R180.00n/a4
Apr ’25R200.59
R201.50
+0.5%
11.8%R235.00R178.00n/a4
Mar ’25R198.97
R193.75
-2.6%
12.3%R235.00R178.00n/a4
Feb ’25R206.01
R188.75
-8.4%
8.1%R215.00R178.00R276.154
Jan ’25R201.29
R181.94
-9.6%
10.6%R215.00R154.70R289.025
Dec ’24R180.45
R172.54
-4.4%
8.3%R195.00R154.70R252.675
Nov ’24R171.20
R172.54
+0.8%
8.3%R195.00R154.70R240.505
Oct ’24R153.45
R169.54
+10.5%
10.5%R195.00R145.00R241.905
Sep ’24R163.74
R169.54
+3.5%
10.5%R195.00R145.00R235.605
Aug ’24R159.64
R163.18
+2.2%
8.5%R178.00R145.00R222.004
Jul ’24R167.23
R184.54
+10.4%
18.3%R230.00R145.00R211.815
Jun ’24R150.99
R200.75
+33.0%
16.4%R230.00R145.00R195.004
May ’24R198.19
R203.25
+2.6%
6.6%R218.00R182.00R205.574
Apr ’24R200.52
R203.25
+1.4%
6.6%R218.00R182.00R200.594
Mar ’24R222.71
R212.60
-4.5%
8.6%R230.00R182.00R198.975
Feb ’24R211.42
R212.60
+0.6%
8.6%R230.00R182.00R206.015
Analyst Price Target
Consensus Narrative from 4 Analysts
R296.00
Fair Value
7.1% undervalued intrinsic discount
4
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/11 23:05
End of Day Share Price 2025/02/11 00:00
Earnings2024/09/30
Annual Earnings2024/09/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Tiger Brands Limited is covered by 19 analysts. 5 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Sidharth SabooArqaam Capital Research Offshore S.A.L.
Detlef WinckelmannArqaam Capital Research Offshore S.A.L.
Mpho MatlalaBNP Paribas Securities (Asia)