Business Day TV Daily Stock Picks (August 2023)
Bid Corp, Glencore, Absa, Richemont, Standard Bank, Nedbank, Investec, Grindrod, Ashmore PLC, Sasol, Mr Price, Stor-Age Property REIT, African Rainbow Minerals, Sibanye-Stillwater, etc.
Business Day TV is South Africa's most watched business news TV channel who does short (usually 1-3 minutes long) Daily Stock Pick video pitches mostly about South African stock picks (this post won’t cover any USA based ones, but does cover their other non-South African picks).
Stocks featured in their August Daily Stock Pick videos (from newest to oldest) and covered in this post include:
Motus Holdings and Bid Corporation; Stadio Holdings; Curro Holdings and ASML Holding; MultiChoice Group; Netcare and Glencore; Adcock Ingram and iShares SemiConductor ETF; Absa, Ethos Capital (EPE Capital Partners) and ASML; Occidental Petroleum, Kering and Taiwan Semiconductor Manufacturing; British American Tobacco and Caxton and CTP Publishers and Printers; Standard Bank; Nedbank and Home Depot; Teleperformance SE and Investec Group; Grindrod and Ashmore PLC; Sasol; Tencent; Super Group & Illinois Tool Works; Quilter PLC; Zeda, Barloworld and Bidvest Group; Mr Price Group & Lewis Group; AB Inbev and Omnia Holdings; Richemont; Stor-Age Property REIT; African Rainbow Minerals & ASML Holding; & Sibanye Stillwater
Aside from individual stocks having operations beyond South Africa (or foreign listings), many of these stocks have low P/Es and relatively high dividend yields. This can help to offset some of the currency concerns foreign investors might have as the Rand more or less continues a long term downward trend against major currencies:
Nevertheless, the overall South African stock market has performed better than the Rand:
Albeit, it is off its all time highs:
Historically, the South Africa Stock Market (SAALL) reached an all time high of 81337.95 in January of 2023. South Africa Stock Market (SAALL) - data, forecasts, historical chart - was last updated on September of 2023.
The South Africa Stock Market (SAALL) is expected to trade at 71380.31 points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 65655.21 in 12 months time.
Inflation has also eased which should help South Africa’s economy and many individual South African stocks:
To make your life easier, this post includes:
A quick description of the stock pick with links to the IR page and stock quote(s) on Yahoo! Finance.
A link to any Wikipedia page (for what it might be worth…)
The title of the Business Day TV Daily Stock Pick video and their very brief summary of who is making the pitch.
The embedded video (again, they are usually 1-3 minutes long).
Forward or trailing P/E and dividend yields linked back to the Yahoo! Finance statistics page.
The latest long term technical chart linked back to Yahoo! Finance.
And as always, this post is provided for informational purposes only (and to make your life easier by providing you with relevant information, links, and charts). It does not constitute investment advice and/or a recommendation…
UPDATE: Circa late October or early November 2023, and without any explanation, the Business Day TV YouTube channel was terminated. The YouTube channel contained separate individual videos with just the few minute long stock picks without the need to watch the whole show (Note: The stock picks were usually during the last few minutes of the show) they were from (although the whole shows would be interesting for anyone investing in South African stocks). The Business Day TV website still contains the entire shows in video and/or podcast format.
Motus Holdings and Bid Corporation
Motus Holdings Ltd (JSE: MTH) is a multi-national provider of automotive mobility solutions and vehicle products and services, with a leading market presence in South Africa as well as a selected international offering in the United Kingdom, Australia, South East Asia and Southern and East Africa.
Motus employs over 19,800 people globally and has a track record for steady growth and dependable value creation that spans over 75 years. Motus is a diversified (non-manufacturing) business in the automotive sector and is South Africa’s leading automotive group, with unrivalled scale and scope across the automotive value chain.
Motus offers a differentiated value proposition to OEMs, customers and business partners with a business model that integrates our four business segments, Import and Distribution, Retail and Rental, Mobility Solutions and Aftermarket Parts to meet customers’ mobility needs across the vehicle’s lifecycle.
Bid Corporation Ltd (JSE: BID) is an international broad-line foodservice group, listed on the JSE, South Africa, and present in developed and developing economies in five continents.
Bidcorp, operating as Bidfood in most geographies, has adopted a decentralised model which encourages the entrepreneurial spirit contained in each of its businesses. Each business is directly responsible for its product range, its buying and sales approach. Businesses retain their local brand, tone of voice, look and feel.
WATCH: Stock Picks - Motus and BidCorp
Wayne McCurrie from FNB Wealth & Investments chose Motus as his stock pick of the day and David Shapiro from Sasfin Securities chose BidCorp as his stock pick for the day
Trailing P/E: 4.86 (no forward P/E) / Forward Annual Dividend Yield: 8.75% (Yahoo! Finance)
Trailing P/E: 20.94 / Forward Annual Dividend Yield: 2.32% (Yahoo! Finance)
Stadio Holdings
Stadio Holdings Ltd (JSE: SDO) is a leading provider of undergraduate to postgraduate programmes. STADIO Holdings started as a subsidiary of Curro Holdings Limited (Curro). Curro has been a proud provider of pre-school and school-based education since 1998 and was listed on the JSE in 2011.
On 28 February 2017, Curro announced its intention to unbundle its entire interest in STADIO Holdings and to list STADIO Holdings on the JSE. The intention of the unbundling and listing was to create a separate listed business, focusing on higher education, with a strong management team and a dedicated anchor shareholder (namely PSG Alpha Investments Proprietary Limited) in order to become a leader in the higher education market in South Africa.
Today, the Group services around 41,000 students across a diverse range of 86 accredited programmes, ranging from undergraduate (higher certificates, diplomas and degrees) to postgraduate programmes (honours, masters and doctorates) at three higher education institutions: Stadio, Milpark and AFDA (See: Stadio Holdings (JSE: SDO): An Asset Light Distance Learning Model Pays Off).
Simbongile Nyangintsimbi from Catersian Capital chose Stadio as her stock pick of the day
Trailing P/E: 25.26 / Forward Annual Dividend Yield: 1.78% (Yahoo! Finance)
Curro Holdings and ASML Holding
Curro Holdings (JSE: COH / FRA: 24P) is a leading for profit independent schools provider in southern Africa. Curro develops, acquires and manages schools that provide quality education for learners from three months to Grade 12 (See: Curro Holdings (JSE: COH / FRA: 24P): Performing Significantly Better After Expanding Too Quickly).
ASML Holding NV (NASDAQ: ASML) is a Dutch MNC that specializes in the development and manufacturing of photolithography machines which are used to produce computer chips.
WATCH: Stock picks - Curro Holdings and ASML
Grant Nader from Benguela Global Fund Managers chose Curro Holdings as his stock pick of the day and Ricus Reeders from PSG Wealth Ruimsig chose ASML
Trailing P/E: 22.54 (no forward P/E) / Forward Annual Dividend Yield: 1.08% (Yahoo! Finance)
Forward P/E: 1.34% / Forward Annual Dividend Yield: 24.51 (Yahoo! Finance)
