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 exclusive Financial Times articles, 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