Rand Merchant Investment Holdings Limited, an investment holding company, provides various financial products and services in South Africa, rest of Africa, the United Kingdom, China, Singapore, Australia, Japan, Europe, the United States, and New Zealand.
No risks detected for RMI from our risk checks.
Price History & Performance
|Historical stock prices|
|Current Share Price||R37.83|
|52 Week High||R28.24|
|52 Week Low||R39.00|
|1 Month Change||22.79%|
|3 Month Change||23.43%|
|1 Year Change||26.02%|
|3 Year Change||5.55%|
|5 Year Change||-4.66%|
|Change since IPO||202.40%|
Recent News & Updates
|RMI||ZA Insurance||ZA Market|
Return vs Industry: RMI matched the ZA Insurance industry which returned 26.8% over the past year.
Return vs Market: RMI exceeded the ZA Market which returned 21.3% over the past year.
Stable Share Price: RMI is not significantly more volatile than the rest of ZA stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: RMI's weekly volatility (5%) has been stable over the past year.
About the Company
Rand Merchant Investment Holdings Limited, an investment holding company, provides various financial products and services in South Africa, rest of Africa, the United Kingdom, China, Singapore, Australia, Japan, Europe, the United States, and New Zealand. It operates through Discovery, Momentum Metropolitan, OUTsurance, and Hastings segments. The company’s Discovery segment develops integrated financial products and services for healthcare funding, insurance, and banking markets under the Discovery Health, Discovery Life, Discovery Insure, Discovery Invest, Discovery Vitality, VitalityHealth, VitalityLife, Ping An Health, and Discovery Bank brand names.
Rand Merchant Investment Holdings Fundamentals Summary
|RMI fundamental statistics|
Is RMI overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|RMI income statement (TTM)|
|Cost of Revenue||R9.50b|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
|Earnings per share (EPS)||1.89|
|Net Profit Margin||15.21%|
How did RMI perform over the long term?See historical performance and comparison
1.2%Current Dividend Yield
Does RMI pay a reliable dividends?See RMI dividend history and benchmarks
|Rand Merchant Investment Holdings dividend dates|
|Ex Dividend Date||Oct 20 2021|
|Dividend Pay Date||Oct 25 2021|
|Days until Ex dividend||1 day|
|Days until Dividend pay date||6 days|
Does RMI pay a reliable dividends?See RMI dividend history and benchmarks
Is Rand Merchant Investment Holdings undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: RMI (ZAR37.83) is trading above our estimate of fair value (ZAR16.16)
Significantly Below Fair Value: RMI is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: RMI is good value based on its PE Ratio (20x) compared to the ZA Insurance industry average (20.5x).
PE vs Market: RMI is poor value based on its PE Ratio (20x) compared to the ZA market (11.2x).
Price to Earnings Growth Ratio
PEG Ratio: RMI is good value based on its PEG Ratio (0.5x)
Price to Book Ratio
PB vs Industry: RMI's PB Ratio (2.1x) is in line with the ZA Insurance industry average.
How is Rand Merchant Investment Holdings forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RMI's forecast earnings growth (36.5% per year) is above the savings rate (8.8%).
Earnings vs Market: RMI's earnings (36.5% per year) are forecast to grow faster than the ZA market (12.2% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: Insufficient data to determine if RMI's revenue is forecast to grow faster than the ZA market.
High Growth Revenue: Insufficient data to determine if RMI's revenue is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RMI's Return on Equity is forecast to be low in 3 years time (18.2%).
How has Rand Merchant Investment Holdings performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RMI has high quality earnings.
Growing Profit Margin: RMI's current net profit margins (15.2%) are higher than last year (9%).
Past Earnings Growth Analysis
Earnings Trend: RMI's earnings have declined by 8% per year over the past 5 years.
Accelerating Growth: RMI's earnings growth over the past year (94.4%) exceeds its 5-year average (-8% per year).
Earnings vs Industry: RMI earnings growth over the past year (94.4%) underperformed the Insurance industry 117.2%.
Return on Equity
High ROE: RMI's Return on Equity (11.1%) is considered low.
How is Rand Merchant Investment Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: RMI's short term assets (ZAR12.6B) exceed its short term liabilities (ZAR10.6B).
Long Term Liabilities: RMI's short term assets (ZAR12.6B) do not cover its long term liabilities (ZAR14.4B).
Debt to Equity History and Analysis
Debt Level: RMI's debt to equity ratio (39.6%) is considered satisfactory.
Reducing Debt: RMI's debt to equity ratio has increased from 12% to 39.6% over the past 5 years.
Debt Coverage: RMI's debt is well covered by operating cash flow (31.2%).
Interest Coverage: RMI's interest payments on its debt are well covered by EBIT (6.3x coverage).
What is Rand Merchant Investment Holdings's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RMI's dividend (1.19%) isn’t notable compared to the bottom 25% of dividend payers in the ZA market (3.07%).
High Dividend: RMI's dividend (1.19%) is low compared to the top 25% of dividend payers in the ZA market (8.09%).
Stability and Growth of Payments
Stable Dividend: RMI is not paying a notable dividend for the ZA market, therefore no need to check if payments are stable.
Growing Dividend: RMI is not paying a notable dividend for the ZA market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: RMI is not paying a notable dividend for the ZA market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of RMI's dividend in 3 years as they are not forecast to pay a notable one for the ZA market.
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Herman Bosman (51 yo)
Mr. Hermanus Lambertus Bosman, also known as Herman, BCom (Law), LLB, LLM, CFA has been Non-Independent & Non-Executive Chairman at OUTsurance Holdings Limited since July 1, 2020. Mr. Bosman has been the C...
CEO Compensation Analysis
Compensation vs Market: Herman's total compensation ($USD934.38K) is about average for companies of similar size in the ZA market ($USD1.28M).
Compensation vs Earnings: Herman's compensation has been consistent with company performance over the past year.
Experienced Board: RMI's board of directors are considered experienced (7.4 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Rand Merchant Investment Holdings Limited's employee growth, exchange listings and data sources
- Name: Rand Merchant Investment Holdings Limited
- Ticker: RMI
- Exchange: JSE
- Founded: 1977
- Industry: Life and Health Insurance
- Sector: Insurance
- Market Cap: R57.866b
- Shares outstanding: 1.53b
- Website: https://www.rmih.co.za
Number of Employees
- Rand Merchant Investment Holdings Limited
- The Bank Building
- 12th Floor
- South Africa
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/10/18 21:44|
|End of Day Share Price||2021/10/18 00:00|
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.