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VKE

Vukile Property FundJSE:VKE Stock Report

Market Cap

R11.5b

7D

3.5%

1Y

139.8%

Updated

21 Oct, 2021

Data

Company Financials +
VKE fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance1/6
Financial Health1/6
Dividends4/6

VKE Overview

Vukile Property Fund Limited is a property company, which was listed on the JSE Limited on 24 June 2004 ( JSE code : VKE ) and on the Namibian Stock Exchange on 11 July 2007 ( NSX code : VKN ).

Vukile Property Fund Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Vukile Property Fund
Historical stock prices
Current Share PriceR11.99
52 Week HighR4.60
52 Week LowR13.45
Beta1
1 Month Change1.18%
3 Month Change16.98%
1 Year Change139.80%
3 Year Change-42.47%
5 Year Change-35.19%
Change since IPO139.80%

Recent News & Updates

Aug 24
Vukile Property Fund Limited's (JSE:VKE) CEO Might Not Expect Shareholders To Be So Generous This Year

Vukile Property Fund Limited's (JSE:VKE) CEO Might Not Expect Shareholders To Be So Generous This Year

Vukile Property Fund Limited ( JSE:VKE ) has not performed well recently and CEO Laurence Rapp will probably need to up...

Shareholder Returns

VKEZA REITsZA Market
7D3.5%-0.5%-0.7%
1Y139.8%35.0%19.0%

Return vs Industry: VKE exceeded the ZA REITs industry which returned 36.1% over the past year.

Return vs Market: VKE exceeded the ZA Market which returned 19.9% over the past year.

Price Volatility

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

Stable Share Price: VKE is less volatile than 75% of ZA stocks over the past 3 months, typically moving +/- 4% a week.

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

About the Company

FoundedEmployeesCEOWebsite
n/a40Laurence Rapphttps://www.vukile.co.za

Vukile Property Fund Limited is a property company, which was listed on the JSE Limited on 24 June 2004 ( JSE code : VKE ) and on the Namibian Stock Exchange on 11 July 2007 ( NSX code : VKN ). Vukile's market capitalisation was approximately R11.0 billion at 31 March 2015 and its property portfolio was valued at R13.3 billion at year-end. There were 572 747 744 shares in issue at year-end. on 1 April 2013, Vukile became the first property company to be awarded Real Estate Investment Trust (REIT) status by the JSE Limited.

Vukile Property Fund Fundamentals Summary

How do Vukile Property Fund's earnings and revenue compare to its market cap?
VKE fundamental statistics
Market CapR11.47b
Earnings (TTM)R584.00m
Revenue (TTM)R3.04b

19.6x

P/E Ratio

3.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
VKE income statement (TTM)
RevenueR3.04b
Cost of RevenueR1.20b
Gross ProfitR1.83b
ExpensesR1.25b
EarningsR584.00m

Last Reported Earnings

Mar 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.61
Gross Margin60.36%
Net Profit Margin19.24%
Debt/Equity Ratio83.5%

How did VKE perform over the long term?

See historical performance and comparison

Dividends

8.4%

Current Dividend Yield

39%

Payout Ratio

Valuation

Is Vukile Property Fund undervalued compared to its fair value and its price relative to the market?

20.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VKE (ZAR11.99) is trading below our estimate of fair value (ZAR15.03)

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


Price To Earnings Ratio

PE vs Industry: VKE is poor value based on its PE Ratio (19.6x) compared to the ZA REITs industry average (10.2x).

PE vs Market: VKE is poor value based on its PE Ratio (19.6x) compared to the ZA market (11.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: VKE's PB Ratio (0.7x) is in line with the ZA REITs industry average.


Future Growth

How is Vukile Property Fund forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

2.2%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if VKE's forecast earnings growth is above the savings rate (8.8%).

Earnings vs Market: Insufficient data to determine if VKE's earnings are forecast to grow faster than the ZA market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: VKE's revenue (2.2% per year) is forecast to grow slower than the ZA market (6.3% per year).

High Growth Revenue: VKE's revenue (2.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VKE's Return on Equity is forecast to be low in 3 years time (8.7%).


Past Performance

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

-28.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VKE has a large one-off loss of ZAR632.0M impacting its March 31 2021 financial results.

Growing Profit Margin: VKE became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: VKE's earnings have declined by 28.8% per year over the past 5 years.

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

Earnings vs Industry: VKE has become profitable in the last year, making it difficult to compare its past year earnings growth to the REITs industry (132.9%).


Return on Equity

High ROE: VKE's Return on Equity (2.2%) is considered low.


Financial Health

How is Vukile Property Fund's financial position?


Financial Position Analysis

Short Term Liabilities: VKE's short term assets (ZAR2.0B) do not cover its short term liabilities (ZAR3.7B).

Long Term Liabilities: VKE's short term assets (ZAR2.0B) do not cover its long term liabilities (ZAR13.4B).


Debt to Equity History and Analysis

Debt Level: VKE's debt to equity ratio (83.5%) is considered high.

Reducing Debt: VKE's debt to equity ratio has increased from 43.2% to 83.5% over the past 5 years.

Debt Coverage: VKE's debt is not well covered by operating cash flow (7.5%).

Interest Coverage: VKE's interest payments on its debt are well covered by EBIT (3.6x coverage).


Balance Sheet


Dividend

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

8.43%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: VKE's dividend (8.43%) is higher than the bottom 25% of dividend payers in the ZA market (3.08%).

High Dividend: VKE's dividend (8.43%) is in the top 25% of dividend payers in the ZA market (8.02%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (39.1%), VKE's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VKE's dividends in 3 years are forecast to be covered by earnings (71.1% payout ratio).


Next Steps

Management

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

6.2yrs

Average management tenure


CEO

Laurence Rapp (50 yo)

10.17yrs

Tenure

R14,005,934

Compensation

Mr. Laurence Gary Rapp, B Com (Hons), has been the Chief Executive Officer of Vukile Property Fund Limited since August 1, 2011. Mr. Rapp has been Executive Director at Vukile Property Fund Limited since A...


CEO Compensation Analysis

Compensation vs Market: Laurence's total compensation ($USD960.75K) is about average for companies of similar size in the ZA market ($USD906.57K).

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


Leadership Team

Experienced Management: VKE's management team is seasoned and experienced (6.2 years average tenure).


Board Members

Experienced Board: VKE's board of directors are considered experienced (3.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: VKE insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Vukile Property Fund Limited
  • Ticker: VKE
  • Exchange: JSE
  • Founded: NaN
  • Industry: Retail REITs
  • Sector: Real Estate
  • Market Cap: R11.465b
  • Shares outstanding: 956.23m
  • Website: https://www.vukile.co.za

Number of Employees


Location

  • Vukile Property Fund Limited
  • 104 Oxford Road
  • 4th Floor
  • Johannesburg
  • Gauteng
  • 2198
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/21 21:00
End of Day Share Price2021/10/21 00:00
Earnings2021/03/31
Annual Earnings2021/03/31


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.