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LAB

Labat AfricaJSE:LAB Stock Report

Market Cap

R119.0m

7D

4.3%

1Y

-42.9%

Updated

20 Oct, 2021

Data

Company Financials
LAB fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance0/6
Financial Health5/6
Dividends0/6

LAB Overview

Labat Africa Limited, an investment holding company, designs and markets integrated circuits South Africa.

Price History & Performance

Summary of all time highs, changes and price drops for Labat Africa
Historical stock prices
Current Share PriceR0.24
52 Week HighR0.21
52 Week LowR0.68
Beta1.2
1 Month Change-7.69%
3 Month Change-4.00%
1 Year Change-42.86%
3 Year Change-42.86%
5 Year Change-7.69%
Change since IPO-76.00%

Recent News & Updates

May 04
We Think Labat Africa Limited's (JSE:LAB) CEO Compensation Package Needs To Be Put Under A Microscope

We Think Labat Africa Limited's (JSE:LAB) CEO Compensation Package Needs To Be Put Under A Microscope

Shareholders will probably not be too impressed with the underwhelming results at Labat Africa Limited ( JSE:LAB...

Shareholder Returns

LABZA SemiconductorZA Market
7D4.3%6.4%1.0%
1Y-42.9%43.6%20.8%

Return vs Industry: LAB underperformed the ZA Semiconductor industry which returned 43.6% over the past year.

Return vs Market: LAB underperformed the ZA Market which returned 20.8% over the past year.

Price Volatility

Is LAB's price volatile compared to industry and market?
LAB volatility
LAB Beta1.2
Industry Beta1.13
Market Beta1

Stable Share Price: LAB is more volatile than 75% of ZA stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: LAB's weekly volatility has decreased from 16% to 11% over the past year, but is still higher than 75% of ZA stocks.

About the Company

FoundedEmployeesCEOWebsite
199526Brian van Rooyenhttps://labat.co.za

Labat Africa Limited, an investment holding company, designs and markets integrated circuits South Africa. The company operates through Technology, Bulk Logistics, and Healthcare segments. It engages in the transportation of coals and minerals for mines in South Africa; and healthcare business.

Labat Africa Fundamentals Summary

How do Labat Africa's earnings and revenue compare to its market cap?
LAB fundamental statistics
Market CapR118.99m
Earnings (TTM)-R43.86m
Revenue (TTM)n/a

-0.8x

P/S Ratio

-2.7x

P/E Ratio

Valuation

Is Labat Africa undervalued compared to its fair value and its price relative to the market?

33.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LAB (ZAR0.24) is trading below our estimate of fair value (ZAR0.36)

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


Price To Earnings Ratio

PE vs Industry: LAB is unprofitable, so we can't compare its PE Ratio to the Global Semiconductor industry average.

PE vs Market: LAB 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 LAB's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: LAB is good value based on its PB Ratio (1.9x) compared to the XX Semiconductor industry average (3x).


Future Growth

How is Labat Africa forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.7%

Forecasted Semiconductors 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 Labat Africa 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 Labat Africa performed over the past 5 years?

-74.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LAB is currently unprofitable.

Growing Profit Margin: LAB is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: LAB is unprofitable, and losses have increased over the past 5 years at a rate of 74.2% per year.

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

Earnings vs Industry: LAB is unprofitable, making it difficult to compare its past year earnings growth to the Semiconductor industry (57.2%).


Return on Equity

High ROE: LAB has a negative Return on Equity (-61.15%), as it is currently unprofitable.


Financial Health

How is Labat Africa's financial position?


Financial Position Analysis

Short Term Liabilities: LAB's short term assets (ZAR43.0M) exceed its short term liabilities (ZAR41.4M).

Long Term Liabilities: LAB's short term assets (ZAR43.0M) do not cover its long term liabilities (ZAR74.7M).


Debt to Equity History and Analysis

Debt Level: LAB's debt to equity ratio (6.6%) is considered satisfactory.

Reducing Debt: LAB's debt to equity ratio has reduced from 14.9% to 6.6% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable LAB has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: LAB is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 27.3% per year.


Dividend

What is Labat Africa current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate LAB'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 LAB's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of LAB'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?

4.2yrs

Average board tenure


CEO

Brian van Rooyen (61 yo)

no data

Tenure

R3,645,000

Compensation

Mr. Brian George van Rooyen serves as the Chief Executive Officer of Labat Africa Limited and has been its Executive Director since June 10, 1999. Mr. van Rooyen served as Chairman of the Board of Labat Af...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD252.24K) is about average for companies of similar size in the ZA market ($USD276.78K).

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


Board Members

Experienced Board: LAB's board of directors are considered experienced (4.2 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 been diluted in the past year, with total shares outstanding growing by 26.5%.


Top Shareholders

Company Information

Labat Africa Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Labat Africa Limited
  • Ticker: LAB
  • Exchange: JSE
  • Founded: 1995
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: R118.989m
  • Shares outstanding: 495.79m
  • Website: https://labat.co.za

Number of Employees


Location

  • Labat Africa Limited
  • 23 Kroton Avenue
  • Weltevreden Park
  • Roodepoort
  • Gauteng
  • 1709
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/20 22:02
End of Day Share Price2021/10/20 00:00
Earnings2021/02/28
Annual Earnings2020/08/31


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.