Simon's stock tips
Finweek English|11 June 2021
Founder and director of investment website JustOneLap.com, Simon Brown, is finweek’s resident expert on the stock markets. In this column he provides insight into recent market developments.
Simon Brown
Simon's stock tips

HOSPITAL GROUPS

No sign of recovery

Results from the local hospital groups were all bleak as elective surgeries, the main source of income, are still under pressure due to the pandemic. I have long not liked the hospital sector, owing to the risk of regulation due to price increases well ahead of inflation over the last decade, and I see no reason to change this view. All three listed hospital groups, namely Mediclinic, Life Healthcare and Netcare, are trading at multi-year lows with share prices back where they were ten years ago. But over that period all three have also had disastrous ventures offshore with Mediclinic the last to pull the plug. Mediclinic received an offer for its 29.9% stake in Spire Health at £2.40 per share. Mediclinic has agreed to take the offer and will receive a net £287.7m after they paid £432m for the stake in 2015. The market liked the deal, even as it is a large loss. But I continue to stay away from this part of the healthcare sector.

CASHBUILD

Acquisition vetoed

The deal whereby Cashbuild would buy The Building Company from Pepkor has seen the Competition Commission recommend the deal be prohibited on 28 May. This is a major setback for both parties, but likely more so for Pepkor. Cashbuild has a strong footprint even as The Building Company would have added several new provinces. This was a large deal, and my view is that they seldom deliver on the promised synergies, so shareholders are probably better off.

AFRIMAT

Earnings jump

Bu hikaye Finweek English dergisinin 11 June 2021 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

Bu hikaye Finweek English dergisinin 11 June 2021 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

FINWEEK ENGLISH DERGISINDEN DAHA FAZLA HIKAYETümünü görüntüle
THE HEALTH OF SA'S MEDICAL SCHEMES
Finweek English

THE HEALTH OF SA'S MEDICAL SCHEMES

As the Covid-19 pandemic abates, finweek takes a look at the financial performance of some of the largest players.

time-read
7 dak  |
5 November 2021
The effect of Gilbertson's departure
Finweek English

The effect of Gilbertson's departure

With Ntsimbintle Holdings now the major shareholder of Jupiter Mines, it could change SA’s manganese industry.

time-read
3 dak  |
5 November 2021
Making money from music
Finweek English

Making money from music

Why investors are increasingly drawn to the music industry.

time-read
3 dak  |
5 November 2021
Conviction is key
Finweek English

Conviction is key

Sandy Rheeder plays a critical role in Mukuru’s mission to open up financial services to the emerging consumer market in Africa through tailor-made technology solutions and platforms.

time-read
5 dak  |
5 November 2021
The post-pandemic toolkit
Finweek English

The post-pandemic toolkit

How CFOs can use technology to support growth.

time-read
4 dak  |
5 November 2021
Big city living exodus
Finweek English

Big city living exodus

Mini cities like Waterfall City and Steyn City are redefining city-style apartment living.

time-read
3 dak  |
5 November 2021
Big compact, big value
Finweek English

Big compact, big value

Handsome, with a hefty level of standard specification, the roomy Haval Jolion compact crossover is a great value proposition.

time-read
3 dak  |
5 November 2021
On barriers to entry
Finweek English

On barriers to entry

There are various ways in which a company or sector can achieve competitive dominance. They usually make for good investments.

time-read
2 dak  |
5 November 2021
Fear and greed in one index
Finweek English

Fear and greed in one index

To buck the trend, when markets are hot or cold, is a tough thing to do. However, it can deliver solid returns.

time-read
3 dak  |
5 November 2021
Africa's largest data centre facility coming soon
Finweek English

Africa's largest data centre facility coming soon

Vantage Data Centers plans to invest over R15bn for its first African data centre facility in Attacq’s Waterfall City.

time-read
3 dak  |
5 November 2021