Finweek English Edition - - INVESTMENT -

FNB Se­cu­ri­ties i s posit i ve on the out­look for the group, not­ing: “Illovo is well-di­ver­si­fied ge­o­graph­i­cally and al­though South Africa cur­rently con­trib­utes about 35% of to­tal pro­duc­tion, only 12% of op­er­at­ing in­come em­anates from SA. Illovo’s African sales are well-di­ver­sif ied be­tween lo­cal and ad­ja­cent Africa and also ben­e­fit from solid EU pric­ing sup­port struc­tures. We be­lieve that this strong busi­ness case of­fers good value that out­weighs risks in­her­ent to agri­cul­ture busi­nesses. Illovo is trad­ing on a for­ward P/E of 12.8 times and a for­ward div­i­dend yield of 3.9%.”

Newspapers in English

Newspapers from South Africa

© PressReader. All rights reserved.