Spear Reit (JSE:SEA) - Stock Price, News & Analysis

SEA Stock Overview

No business description

SEA fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	4/6
Financial Health	0/6
Dividends	4/6

Rewards

Trading at 20.2% below our estimate of its fair value

Earnings grew by 3.1% over the past year

Risk Analysis

Interest payments are not well covered by earnings

Earnings have declined by 11.6% per year over past 5 years

Latest financial reports are more than 6 months old

Unstable dividend track record

+ 1 more risk

Spear Reit Limited Competitors

Oasis Crescent Property Fund

JSE:OAS

R1.3b

Octodec Investments

JSE:OCT

R2.6b

Heriot REIT

JSE:HET

R3.4b

Emira Property Fund

JSE:EMI

R4.6b

Price History & Performance

Summary of all time highs, changes and price drops for Spear Reit
Historical stock prices
Current Share Price	R7.77
52 Week High	R8.99
52 Week Low	R6.72
Beta	0.37
1 Month Change	-3.24%
3 Month Change	-7.50%
1 Year Change	7.92%
3 Year Change	14.26%
5 Year Change	-20.80%
Change since IPO	-17.34%

Recent updates

Read This Before Selling Spear Reit Limited (JSE:SEA) Shares

Mar 15

Spear Reit (JSE:SEA) Shareholders Received A Total Return Of Negative 24% In The Last Three Years

Jan 21

Michael Flax Is The Non-Executive Deputy Chairman of Spear Reit Limited (JSE:SEA) And They Just Picked Up 6.5% More Shares

Nov 27

Shareholder Returns

	SEA	ZA REITs	ZA Market
7D	0.8%	2.6%	1.9%
1Y	7.9%	-1.0%	-1.8%

Return vs Industry: SEA exceeded the ZA REITs industry which returned -0.7% over the past year.

Return vs Market: SEA exceeded the ZA Market which returned -1.3% over the past year.

Price Volatility

Is SEA's price volatile compared to industry and market?
SEA volatility
SEA Average Weekly Movement	2.8%
REITs Industry Average Movement	2.8%
Market Average Movement	4.9%
10% most volatile stocks in ZA Market	11.6%
10% least volatile stocks in ZA Market	2.8%

Stable Share Price: SEA has not had significant price volatility in the past 3 months.

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

About the Company

Founded	Employees	CEO	Website
n/a	n/a	Quintin Rossi	www.spearprop.co.za

Spear Reit Limited Fundamentals Summary

How do Spear Reit's earnings and revenue compare to its market cap?
SEA fundamental statistics
Market cap	R1.73b
Earnings (TTM)	R199.70m
Revenue (TTM)	R580.93m

8.7x

P/E Ratio

3.0x

P/S Ratio

Is SEA overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
SEA income statement (TTM)
Revenue	R580.93m
Cost of Revenue	R198.34m
Gross Profit	R382.59m
Other Expenses	R182.90m
Earnings	R199.70m

Last Reported Earnings

Aug 31, 2023

Next Earnings Date

May 22, 2024

Earnings per share (EPS)	0.89
Gross Margin	65.86%
Net Profit Margin	34.38%
Debt/Equity Ratio	68.7%

How did SEA perform over the long term?

See historical performance and comparison

Dividends

9.9%

Current Dividend Yield

65%

Payout Ratio

SEA Stock Overview

Rewards

Risk Analysis

Spear Reit Limited Competitors

JSE:OAS

R1.3b

JSE:OCT

R2.6b

JSE:HET

R3.4b

JSE:EMI

R4.6b

Price History & Performance

Recent News & Updates

Now 21% undervalued after recent price drop

Now 22% undervalued after recent price drop

New minor risk - Financial data availability

Now 20% undervalued after recent price drop

CFO & Executive Director recently bought R209k worth of stock

Recent updates

Now 21% undervalued after recent price drop

Now 22% undervalued after recent price drop

New minor risk - Financial data availability

Now 20% undervalued after recent price drop

CFO & Executive Director recently bought R209k worth of stock

Chief Operating Officer recently sold R420k worth of stock

New minor risk - Insider selling

CEO, MD & Director recently bought R89k worth of stock

CFO & Executive Director recently bought R71k worth of stock

Now 20% undervalued

Upcoming dividend of R0.38 per share at 9.8% yield

CEO, MD & Director recently sold R532k worth of stock

New major risk - Financial position

Spear Reit Limited Declares Interim Dividend for the Six Months Ended 31 August 2023. Payable on 20 November 2023

Spear Reit Limited to Report First Half, 2024 Results on Oct 24, 2023

Chief Operating Officer recently sold R261k worth of stock

Now 21% undervalued

CEO, MD & Director recently bought R88k worth of stock

Now 23% undervalued after recent price drop

CEO, MD & Director recently bought R134k worth of stock

CEO, MD & Director recently bought R4.6m worth of stock

Spear Reit Limited, Annual General Meeting, Jun 30, 2023

Upcoming dividend of R0.39 per share at 11% yield

CEO, MD & Director recently bought R72k worth of stock

Spear Reit Limited Announces Dividend Declaration for the Year Ended 28 February 2023, Payable on 12 June 2023

CEO, MD & Director recently bought R116k worth of stock

Capitec Bank Limited entered into a sale of rental enterprise agreement to acquire The Liberty Life Building, Century City Boulevard from Spear Reit Limited (JSE:SEA) for ZAR 400 million.

Spear Reit Limited Appoints Bongani Raziya as an Independent Non-Executive Director, and as Member of the Social and Ethics, Audit and Risk, Remuneration and Investment Committees

CFO & Executive Director recently sold R3.4m worth of stock

Spear Reit Limited Announces Resignation of Niclas Kjellström-Matseke as Independent Non-Executive Director

Non-Executive Deputy Chairman recently bought R193k worth of stock

Standard Bank Group Limited (JSE:SBK) acquired an unknown stake in Spear Reit Limited (JSE:SEA).

Less than half of directors are independent

Upcoming dividend of R0.37 per share

Spear Reit Limited (JSE:SEA) entered into a sale of rental enterprise agreement to acquire The Island Milnerton, Western Cape from Inospace 2 Proprietary Limited for SAR 185 million.

CEO, MD & Director recently bought R1.6m worth of stock

Rex Trueform Group Limited (JSE:RTN) entered in to an agreement to acquire ERF 176024 Cape Town situated at 5 Fitzmaurice Avenue from Spear Reit Limited (JSE:SEA) for ZAR 85 million.

Upcoming dividend of R0.35 per share

Spear Reit Limited Declares Final Gross Dividend, Payable 20 June 2022

Spear Reit Limited, Annual General Meeting, Jun 30, 2022

Spear Reit Limited to Report First Half, 2023 Results on Oct 25, 2022

Spear Reit Limited to Report Fiscal Year 2022 Results on May 26, 2022

Less than half of directors are independent

Snow Storm Investments Proprietary Limited entered into a sale of letting enterprise agreement to acquire Erf 17611 Cape Town at 8 Section Street, Paarden Eiland from Spear Reit Limited (JSE:SEA) for ZAR 22.5 million.

CEO, MD & Director recently bought R112k worth of stock

CEO, MD & Director recently sold R840k worth of stock

CEO, MD & Director recently sold R840k worth of stock

GMCC Investments Proprietary Limited entered into a sale of letting enterprise agreement to acquire Erf 21623 Bellville from Spear Reit Limited (JSE:SEA) for ZAR 71.4 million.

Spear Reit Limited (JSE:SEA) entered into an agreement to acquire Property at 27 Junction Road, Parow, Cape Town for BRL 65 million.

CEO, MD & Director recently bought R136k worth of stock

CEO, MD & Director recently bought R203k worth of stock

CEO, MD & Director recently bought R72k worth of stock

Independent Non-Executive Director recently sold R4.5m worth of stock

Upcoming dividend of R0.33 per share

CEO, MD & Director recently sold R645k worth of stock

CEO, MD & Director recently sold R2.2m worth of stock

CEO, MD & Director exercised options to buy R1.3m worth of stock.

CEO, MD & Director recently bought R58k worth of stock

Inospace 5 Proprietary Limited entered into an agreement to acquire Island Business Park in Cape Town from Spear Reit Limited (JSE:SEA) for R20 million.

CEO, MD & Director recently bought R226k worth of stock