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TEX

Texton Property Fund JSE:TEX Stock Report

Last Price

R3.10

Market Cap

R1.1b

7D

-6.9%

1Y

-13.9%

Updated

30 Sep, 2022

Data

Company Financials
TEX fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance1/6
Financial Health1/6
Dividends2/6

TEX Stock Overview

Texton Property Fund Limited is a Real Estate Investment Trust (“REIT”) listed on the JSE Limited.

Texton Property Fund Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Texton Property Fund
Historical stock prices
Current Share PriceR3.10
52 Week HighR4.25
52 Week LowR3.09
Beta0.78
1 Month Change-13.89%
3 Month Change-16.22%
1 Year Change-13.89%
3 Year Change-4.61%
5 Year Change-55.71%
Change since IPO-56.94%

Recent News & Updates

Shareholder Returns

TEXZA REITsZA Market
7D-6.9%-5.3%-2.6%
1Y-13.9%-12.5%-7.0%

Return vs Industry: TEX underperformed the ZA REITs industry which returned -12.5% over the past year.

Return vs Market: TEX underperformed the ZA Market which returned -7% over the past year.

Price Volatility

Is TEX's price volatile compared to industry and market?
TEX volatility
TEX Average Weekly Movement4.5%
REITs Industry Average Movement4.5%
Market Average Movement5.5%
10% most volatile stocks in ZA Market10.0%
10% least volatile stocks in ZA Market3.1%

Stable Share Price: TEX is not significantly more volatile than the rest of ZA stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: TEX's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2006n/aH. S. Wellemanhttps://www.texton.co.za

Texton Property Fund Limited is a Real Estate Investment Trust (“REIT”) listed on the JSE Limited. The company internally manages its R4,5 billion portfolio of retail, office and industrial property assets located in South Africa (“SA”) and the United Kingdom (“UK”). The Fund was formed in 2006 and listed on the JSE in August 2011.

Texton Property Fund Fundamentals Summary

How do Texton Property Fund's earnings and revenue compare to its market cap?
TEX fundamental statistics
Market CapR1.06b
Earnings (TTM)R52.45m
Revenue (TTM)R324.83m

20.2x

P/E Ratio

3.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TEX income statement (TTM)
RevenueR324.83m
Cost of RevenueR152.01m
Gross ProfitR172.82m
Other ExpensesR120.37m
EarningsR52.45m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.15
Gross Margin53.20%
Net Profit Margin16.15%
Debt/Equity Ratio64.0%

How did TEX perform over the long term?

See historical performance and comparison

Dividends

6.5%

Current Dividend Yield

111%

Payout Ratio

Does TEX pay a reliable dividends?

See TEX dividend history and benchmarks
When do you need to buy TEX by to receive an upcoming dividend?
Texton Property Fund dividend dates
Ex Dividend DateOct 19 2022
Dividend Pay DateOct 24 2022
Days until Ex dividend18 days
Days until Dividend pay date23 days

Does TEX pay a reliable dividends?

See TEX dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

TEX key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue6.2x
Enterprise Value/EBITDA13.2x
PEG Ration/a

Price to Earnings Ratio vs Peers

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

TEX PE Ratio vs Peers
The above table shows the PE ratio for TEX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average8.1x
OAS Oasis Crescent Property Fund
6.5xn/aR1.3b
TPF Transcend Residential Property Fund
9.8xn/aR1.0b
SAR Safari Investments RSA
5.5xn/aR1.4b
SEA Spear Reit
10.5xn/aR1.7b
TEX Texton Property Fund
20.2xn/aR1.1b

Price-To-Earnings vs Peers: TEX is expensive based on its Price-To-Earnings Ratio (20.2x) compared to the peer average (8.1x).


Price to Earnings Ratio vs Industry

How does TEX's PE Ratio compare vs other companies in the ZA REITs Industry?

Price-To-Earnings vs Industry: TEX is expensive based on its Price-To-Earnings Ratio (20.2x) compared to the ZA REITs industry average (7.5x)


Price to Earnings Ratio vs Fair Ratio

What is TEX'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.

TEX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.2x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate TEX's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

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

Below Fair Value: TEX (ZAR3.1) is trading below our estimate of fair value (ZAR3.77)

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


Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


4.7%

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 Texton Property Fund 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.


Discover growth companies

  • Take a look at our analysis of TEX’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.

Past Performance

How has Texton Property Fund performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-32.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TEX has a large one-off loss of ZAR54.0M impacting its December 31 2021 financial results.

Growing Profit Margin: TEX became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: TEX's earnings have declined by 32.2% per year over the past 5 years.

Accelerating Growth: TEX has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: TEX has become profitable in the last year, making it difficult to compare its past year earnings growth to the REITs industry (146%).


Return on Equity

High ROE: TEX's Return on Equity (2.6%) is considered low.


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Financial Health

How is Texton Property Fund's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TEX's short term assets (ZAR993.1M) exceed its short term liabilities (ZAR100.9M).

Long Term Liabilities: TEX's short term assets (ZAR993.1M) do not cover its long term liabilities (ZAR1.3B).


Debt to Equity History and Analysis

Debt Level: TEX's net debt to equity ratio (47.1%) is considered high.

Reducing Debt: TEX's debt to equity ratio has increased from 60.3% to 64% over the past 5 years.

Debt Coverage: TEX's debt is not well covered by operating cash flow (8.9%).

Interest Coverage: TEX's interest payments on its debt are not well covered by EBIT (1.5x coverage).


Balance Sheet


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Dividend

What is Texton Property Fund current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


6.45%

Current Dividend Yield

Upcoming Dividend Payment

TodaySep 30 2022Ex Dividend DateOct 19 2022Dividend Pay DateOct 24 20225 days from Ex DividendBuy in the next 18 days to receive the upcoming dividend

Dividend Yield vs Market

Texton Property Fund Dividend Yield vs Market
How does Texton Property Fund dividend yield compare to the market?
SegmentDividend Yield
Company (Texton Property Fund)6.5%
Market Bottom 25% (ZA)3.5%
Market Top 25% (ZA)8.9%
Industry Average (REITs)10.4%
Analyst forecast in 3 Years (Texton Property Fund)n/a

Notable Dividend: TEX's dividend (6.45%) is higher than the bottom 25% of dividend payers in the ZA market (3.52%).

High Dividend: TEX's dividend (6.45%) is low compared to the top 25% of dividend payers in the ZA market (8.94%).


Stability and Growth of Payments

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

Growing Dividend: TEX's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (111.2%), TEX's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (59.8%), TEX's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

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

3.9yrs

Average board tenure


CEO

H. S. Welleman (34 yo)

no data

Tenure

R2,908,000

Compensation

Mr. H. S. Pienaar Welleman serves as Chief Executive Officer & Executive Director at Texton Property Fund Limited. He served as Interim Chief Executive Officer at Texton Property Fund Limited since April 2...


CEO Compensation Analysis

H. S. Welleman's Compensation vs Texton Property Fund Earnings
How has H. S. Welleman's remuneration changed compared to Texton Property Fund's earnings?
DateTotal Comp.SalaryCompany Earnings
Dec 31 2021n/an/a

R52m

Sep 30 2021n/an/a

R127m

Jun 30 2021R3mR3m

R202m

Dec 31 2020n/an/a

-R87m

Sep 30 2020n/an/a

-R109m

Jun 30 2020R2mR1m

-R131m

Compensation vs Market: H. S.'s total compensation ($USD161.40K) is below average for companies of similar size in the ZA market ($USD296.92K).

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


Board Members

Experienced Board: TEX's board of directors are considered experienced (3.9 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

JSE:TEX Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
03 May 22BuyR4,830,365Kloof Capital South Africa (Pty) LtdCompany1,360,665R3.55

Ownership Breakdown

What is the ownership structure of TEX?
Owner TypeNumber of SharesOwnership Percentage
General Public73,341,53121.5%
Private Companies84,619,26624.8%
Individual Insiders85,890,83725.2%
Institutions97,244,04928.5%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 8 shareholders own 78.5% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
24.81%
Oak Tech Trading Proprietary Limited
84,619,266ZAR262.3m0%no data
20.94%
Public Investment Corporation Limited
71,426,884ZAR221.4m0%0.03%
14.47%
Steven Herring
49,365,782ZAR153.0m0%no data
10.44%
Robert Franco
35,605,597ZAR110.4m0%no data
6.62%
Kloof Capital South Africa (Pty) Ltd
22,592,769ZAR70.0m6.41%no data
0.95%
Ninety One UK Limited
3,224,396ZAR10.0m0%no data
0.26%
Marcell Jonathan Golding
887,533ZAR2.8m0%no data
0.0094%
John Macey
31,925ZAR99.0k0%no data

Company Information

Texton Property Fund Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Texton Property Fund Limited
  • Ticker: TEX
  • Exchange: JSE
  • Founded: 2006
  • Industry: Office REITs
  • Sector: Real Estate
  • Implied Market Cap: R1.057b
  • Shares outstanding: 341.10m
  • Website: https://www.texton.co.za

Number of Employees


Location

  • Texton Property Fund Limited
  • Investment Place
  • Block C, Hyde Park
  • Johannesburg
  • Gauteng
  • 2196
  • South Africa


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TEXJSE (The Johannesburg Securities Exchange)YesLinked UnitsZAZARDec 2011
VUVA.FOTCPK (Pink Sheets LLC)YesLinked UnitsUSUSDDec 2011

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/30 00:00
End of Day Share Price2022/09/30 00:00
Earnings2021/12/31
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.