Five rough diamonds are sleeping on the JSE
CAPE TOWN – Deep value investing has become de rigueur among many asset managers, so I’ve listed five unloved and low-priced shares I believe will in time surrender great value to the market.
The first of these is the private equity firm Brait. Majority-held by Christo Wiese’s Titan, this was once an investor favourite on the JSE and its share price peaked at more than R170 on the JSE in 2016.
Unfortunately, net asset value has fallen by almost a third every year since then, and net asset value was at R41.80 on March 31. It is also sitting on a pile of debt of about R12billion.
The share price was trading 1.24percent higher on Friday morning at R17.20, which puts the discount that the share is trading for at more than 100percent.
Brait holds majority stakes in Virgin Active, Premier, Iceland Foods as well as about 18percent in New Look in the UK.
Source: iol.co.za