When a company trades at almost half its net asset value (NAV), a low single historical p:e and an almost 8% dividend yield, it should warrant a look. This applies doubly so if it has been a dependable profit producer and cash-flow generator for more than three decades.

Such a company is Nu-World Holdings. It recently released its full-year results for the year ended August 2020, which illustrated a challenging year with revenue declining 13.3% to R2.6bn and headline earnings dropping 16% to 635c a share. But can the latest set of results and future prospects justify a roughly 26.5% drop in share price this year?..

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as articles from our international business news partners; ProfileData financial data; and digital access to the Sunday Times and Sunday Times Daily.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now