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TFG

Foschini GroupJSE:TFG Stock Report

Market Cap

R42.8b

7D

-0.2%

1Y

44.1%

Updated

19 Oct, 2021

Data

Company Financials +
TFG fundamental analysis
Snowflake Score
Valuation0/6
Future Growth4/6
Past Performance0/6
Financial Health5/6
Dividends0/6

TFG Overview

The Foschini Group Limited, together with its subsidiaries, operates independent chain-stores in South Africa and internationally.

Rewards

Earnings are forecast to grow 57.76% per year

Risk Analysis

No risks detected for TFG from our risk checks.

Foschini Group Competitors

Pepkor Holdings

JSE:PPH

R86.5b

Mr Price Group

JSE:MRP

R53.1b

Truworths International

JSE:TRU

R22.1b

Industria de Diseño Textil

BME:ITX

€98.9b

Price History & Performance

Summary of all time highs, changes and price drops for Foschini Group
Historical stock prices
Current Share PriceR132.40
52 Week HighR84.05
52 Week LowR166.88
Beta1.1
1 Month Change-2.97%
3 Month Change-12.67%
1 Year Change44.15%
3 Year Change-16.03%
5 Year Change-1.19%
Change since IPO1,039.53%

Recent News & Updates

Shareholder Returns

TFGZA Specialty RetailZA Market
7D-0.2%1.8%1.0%
1Y44.1%68.7%20.8%

Return vs Industry: TFG underperformed the ZA Specialty Retail industry which returned 66.7% over the past year.

Return vs Market: TFG exceeded the ZA Market which returned 20.7% over the past year.

Price Volatility

Is TFG's price volatile compared to industry and market?
TFG volatility
TFG Beta1.1
Industry Beta0.91
Market Beta1

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

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

About the Company

FoundedEmployeesCEOWebsite
19246,508Anthony Thunströmhttps://www.tfglimited.co.za

The Foschini Group Limited, together with its subsidiaries, operates independent chain-stores in South Africa and internationally. The company operates through four segments: TFG Africa Retail, Credit, TFG London, and TFG Australia. It offers clothing for men, ladies, and kids; jewelry; cellphones; accessories; cosmetics; sporting and outdoor apparel and equipment; and homeware and furniture.

Foschini Group Fundamentals Summary

How do Foschini Group's earnings and revenue compare to its market cap?
TFG fundamental statistics
Market CapR42.82b
Earnings (TTM)-R1.86b
Revenue (TTM)R32.95b

1.3x

P/S Ratio

-23.0x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TFG income statement (TTM)
RevenueR32.95b
Cost of RevenueR17.96b
Gross ProfitR14.99b
ExpensesR16.85b
Earnings-R1.86b

Last Reported Earnings

Mar 31, 2021

Next Earnings Date

Nov 11, 2021

Earnings per share (EPS)-5.76
Gross Margin45.49%
Net Profit Margin-5.65%
Debt/Equity Ratio35.8%

How did TFG perform over the long term?

See historical performance and comparison

Valuation

Is Foschini Group undervalued compared to its fair value and its price relative to the market?

2.49x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: TFG (ZAR132.4) is trading above our estimate of fair value (ZAR64.74)

Significantly Below Fair Value: TFG is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: TFG is unprofitable, so we can't compare its PE Ratio to the ZA Specialty Retail industry average.

PE vs Market: TFG is unprofitable, so we can't compare its PE Ratio to the ZA market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: TFG is overvalued based on its PB Ratio (2.5x) compared to the ZA Specialty Retail industry average (1.6x).


Future Growth

How is Foschini Group forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

57.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TFG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (8.8%).

Earnings vs Market: TFG is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: TFG's is expected to become profitable in the next 3 years.

Revenue vs Market: TFG's revenue (10.9% per year) is forecast to grow faster than the ZA market (6.1% per year).

High Growth Revenue: TFG's revenue (10.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TFG's Return on Equity is forecast to be low in 3 years time (18.2%).


Past Performance

How has Foschini Group performed over the past 5 years?

-14.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TFG is currently unprofitable.

Growing Profit Margin: TFG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TFG is unprofitable, and losses have increased over the past 5 years at a rate of 14.6% per year.

Accelerating Growth: Unable to compare TFG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TFG is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (137.3%).


Return on Equity

High ROE: TFG has a negative Return on Equity (-10.82%), as it is currently unprofitable.


Financial Health

How is Foschini Group's financial position?


Financial Position Analysis

Short Term Liabilities: TFG's short term assets (ZAR21.2B) exceed its short term liabilities (ZAR12.0B).

Long Term Liabilities: TFG's short term assets (ZAR21.2B) exceed its long term liabilities (ZAR10.1B).


Debt to Equity History and Analysis

Debt Level: TFG's debt to equity ratio (35.8%) is considered satisfactory.

Reducing Debt: TFG's debt to equity ratio has reduced from 82.4% to 35.8% over the past 5 years.

Debt Coverage: TFG's debt is well covered by operating cash flow (132.9%).

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


Balance Sheet


Dividend

What is Foschini Group current dividend yield, its reliability and sustainability?

4.58%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate TFG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TFG's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TFG's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TFG's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: TFG is not paying a notable dividend for the ZA market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TFG's dividend in 3 years as they are not forecast to pay a notable one for the ZA market.


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

Anthony Thunström (49 yo)

3.08yrs

Tenure

R17,910,000

Compensation

Mr. Anthony E. Thunström, BCom (Hons Acc), CA(SA), serves as Chief Executive Officer at The Foschini Group Limited since September 03, 2018. He had been the Chief Financial Officer of The Foschini Group Li...


CEO Compensation Analysis

Compensation vs Market: Anthony's total compensation ($USD1.23M) is about average for companies of similar size in the ZA market ($USD1.27M).

Compensation vs Earnings: Anthony's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: TFG's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: TFG's board of directors are considered experienced (8.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: TFG 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

The Foschini Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: The Foschini Group Limited
  • Ticker: TFG
  • Exchange: JSE
  • Founded: 1924
  • Industry: Apparel Retail
  • Sector: Retail
  • Market Cap: R42.821b
  • Shares outstanding: 323.42m
  • Website: https://www.tfglimited.co.za

Number of Employees


Location

  • The Foschini Group Limited
  • Stanley Lewis Centre
  • 340 Voortrekker Road
  • Cape Town
  • Western Cape
  • 7500
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/19 21:37
End of Day Share Price2021/10/19 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.