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FVT

Fairvest Property HoldingsJSE:FVT Stock Report

Market Cap

R1.9b

7D

-2.0%

1Y

5.9%

Updated

18 Oct, 2021

Data

Company Financials
FVT fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance2/6
Financial Health1/6
Dividends4/6

FVT Overview

Fairvest Property Holdings Limited is a property investment holding company and Real Estate Investment Trust ("REIT"), with a unique focus on retail assets weighted toward non-metropolitan and rural shopping centres, as well as convenience and community shopping centres servicing the lower-LSM market, in high-growth nodes close to commuter networks.

Fairvest Property Holdings Competitors

Resilient REIT

JSE:RES

R20.6b

Vukile Property Fund

JSE:VKE

R11.3b

Hyprop Investments

JSE:HYP

R10.3b

Growthpoint Properties

JSE:GRT

R47.2b

Price History & Performance

Summary of all time highs, changes and price drops for Fairvest Property Holdings
Historical stock prices
Current Share PriceR1.96
52 Week HighR1.41
52 Week LowR2.20
Beta0.59
1 Month Change-2.00%
3 Month Change12.00%
1 Year Change5.95%
3 Year Change-5.31%
5 Year Change10.11%
Change since IPO201.54%

Recent News & Updates

Shareholder Returns

FVTZA REITsZA Market
7D-2.0%-0.4%1.6%
1Y5.9%39.5%21.3%

Return vs Industry: FVT underperformed the ZA REITs industry which returned 39.5% over the past year.

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

Price Volatility

Is FVT's price volatile compared to industry and market?
FVT volatility
FVT Beta0.59
Industry Beta0.89
Market Beta1

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

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

About the Company

FoundedEmployeesCEOWebsite
1998n/aDarren Wilderhttps://fairvest.co.za

Fairvest Property Holdings Limited is a property investment holding company and Real Estate Investment Trust ("REIT"), with a unique focus on retail assets weighted toward non-metropolitan and rural shopping centres, as well as convenience and community shopping centres servicing the lower-LSM market, in high-growth nodes close to commuter networks.

Fairvest Property Holdings Fundamentals Summary

How do Fairvest Property Holdings's earnings and revenue compare to its market cap?
FVT fundamental statistics
Market CapR1.94b
Earnings (TTM)R289.34m
Revenue (TTM)R550.11m

6.7x

P/E Ratio

3.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
FVT income statement (TTM)
RevenueR550.11m
Cost of RevenueR214.52m
Gross ProfitR335.59m
ExpensesR46.25m
EarningsR289.34m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.29
Gross Margin61.00%
Net Profit Margin52.60%
Debt/Equity Ratio51.3%

How did FVT perform over the long term?

See historical performance and comparison

Dividends

11.3%

Current Dividend Yield

81%

Payout Ratio

Valuation

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

47.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FVT (ZAR1.96) is trading below our estimate of fair value (ZAR3.76)

Significantly Below Fair Value: FVT is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FVT is good value based on its PE Ratio (6.7x) compared to the ZA REITs industry average (9.9x).

PE vs Market: FVT is good value based on its PE Ratio (6.7x) compared to the ZA market (11.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: FVT is overvalued based on its PB Ratio (0.9x) compared to the ZA REITs industry average (0.6x).


Future Growth

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

11.9%

Forecasted Real Estate 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 Fairvest Property 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 Fairvest Property Holdings performed over the past 5 years?

-9.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FVT has a large one-off gain of ZAR72.6M impacting its June 30 2021 financial results.

Growing Profit Margin: FVT's current net profit margins (52.6%) are higher than last year (23.3%).


Past Earnings Growth Analysis

Earnings Trend: FVT's earnings have declined by 9% per year over the past 5 years.

Accelerating Growth: FVT's earnings growth over the past year (132.9%) exceeds its 5-year average (-9% per year).

Earnings vs Industry: FVT earnings growth over the past year (132.9%) underperformed the REITs industry 132.9%.


Return on Equity

High ROE: FVT's Return on Equity (13.6%) is considered low.


Financial Health

How is Fairvest Property Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: FVT's short term assets (ZAR210.6M) do not cover its short term liabilities (ZAR691.8M).

Long Term Liabilities: FVT's short term assets (ZAR210.6M) do not cover its long term liabilities (ZAR689.6M).


Debt to Equity History and Analysis

Debt Level: FVT's debt to equity ratio (51.3%) is considered high.

Reducing Debt: FVT's debt to equity ratio has increased from 44.2% to 51.3% over the past 5 years.

Debt Coverage: FVT's debt is not well covered by operating cash flow (19.7%).

Interest Coverage: FVT's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet


Dividend

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

11.26%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FVT's dividend (11.26%) is higher than the bottom 25% of dividend payers in the ZA market (3.07%).

High Dividend: FVT's dividend (11.26%) is in the top 25% of dividend payers in the ZA market (8.09%)


Stability and Growth of Payments

Stable Dividend: FVT's dividend payments have been volatile in the past 10 years.

Growing Dividend: FVT's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (80.9%), FVT's 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?

7.3yrs

Average board tenure


CEO

Darren Wilder (52 yo)

no data

Tenure

R3,590,000

Compensation

Mr. Darren M. Wilder serves as the Chief Executive Officer of Fairvest Property Holdings Ltd. Mr. Wilder Co-founded Spearhead Property Holdings Ltd. and served as its Chief Operating Officer since 1999.He...


CEO Compensation Analysis

Compensation vs Market: Darren's total compensation ($USD244.44K) is about average for companies of similar size in the ZA market ($USD280.19K).

Compensation vs Earnings: Darren's compensation has increased by more than 20% in the past year.


Board Members

Experienced Board: FVT's board of directors are considered experienced (7.3 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

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


Key Information

  • Name: Fairvest Property Holdings Limited
  • Ticker: FVT
  • Exchange: JSE
  • Founded: 1998
  • Industry: Retail REITs
  • Sector: Real Estate
  • Market Cap: R1.939b
  • Shares outstanding: 989.25m
  • Website: https://fairvest.co.za

Location

  • Fairvest Property Holdings Limited
  • The Terraces
  • 8th Floor
  • Cape Town
  • Western Cape
  • 8001
  • 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 21:40
End of Day Share Price2021/10/18 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.