Ratings Dis-Chem Pharmacies Limited

Equities

DCP

ZAE000227831

End-of-day quote Johannesburg S.E. Other stock markets 06:00:00 2024-04-25 pm EDT			5-day change	1st Jan Change
32.54 ^ZAR	+5.62%		+4.63%	+6.03%

Feb. 23	South Africa's Dis-Chem sales rise 12.2% on strong retail revenue	RE
Feb. 23	Dis-Chem Pharmacies Limited Announces Group Revenue Results for the Period from 1 September 2023 to 28 January 2024	CI

Summary

The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
The company presents an interesting fundamental situation from a short-term investment perspective.

Strengths

The company has attractive valuation levels with a low EV/sales ratio compared with its peers.
Consensus analysts have strongly revised their opinion of the company over the past 12 months.
There is high visibility into the group's activities for the coming years. Outlooks on future revenues from analysts covering the equity remain similar. Such hardly dispersed estimates support highly predictable sales for the current and upcoming fiscal years.

Weaknesses

As a percentage of sales and without taking into account depreciation and amortization, the company has relatively low margins.
The company does not generate enough profits, which is an alarming weak point.
The firm trades with high earnings multiples: 28.09 times its 2024 earnings per share.
In relation to the value of its tangible assets, the company's valuation appears relatively high.
The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.
The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.
The overall consensus opinion of analysts has deteriorated sharply over the past four months.
Financial statements have repeatedly disappointed market stakeholders. Most often, they were below expectations.

Ratings chart - Surperformance

Chart ESG Refinitiv

Sector: Drug Retailers

	1st Jan change	Capi.	Investor Rating	ESG Refinitiv
DIS-CHEM PHARMACIES LIMITED	+6.03%	1.49B		C
WALGREENS BOOTS ALLIANCE, INC.	-32.21%	15.27B		B-
JD HEALTH INTERNATIONAL INC.	-31.97%	10.84B		B
ALIBABA HEALTH INFORMATION TECHNOLOGY LIMITED	-30.42%	6.06B		B
YIFENG PHARMACY CHAIN CO., LTD.	+8.14%	6.04B		C
MATSUKIYOCOCOKARA & CO.	-11.41%	5.86B		C+
NAHDI MEDICAL COMPANY	-0.88%	4.71B		D-
CORPORATIVO FRAGUA, S.A.B. DE C.V.	+52.19%	4.29B	-	C
CLICKS GROUP LIMITED	-12.31%	3.61B		B
DASHENLIN PHARMACEUTICAL GROUP CO., LTD.	-14.86%	3.33B		C-

Investor Rating

Trading Rating

ESG Refinitiv

Financials

Sales growth

Earnings Growth

EBITDA / Sales

Profitability

Finances

Valuation

P/E ratio

EV / Sales

Price to Book

Price to Free Cash Flow

Yield

Momentum

1 year Revenue revision

4 months Revenue revision

7 days Revenue revision

1 year EPS revision

4 months EPS revision

Consensus

Analyst Opinion

Potential Price Target

4m Target Price Revision

4m Revision of opinion

12m Revision of opinion

Business Predictability

Analyst Coverage

Divergence of Estimates

Divergence of analysts' opinions

Divergence of Target Price

Earnings quality

Environment

Emissions

Innovation

Use of resources

Governance

CSR Strategy

Management

Shareholders

Controversy

Technical analysis

ST Timing

MT Timing

LT Timing

RSI

Bollinger Spread

Unusual volumes