75.22 0.00 (0.00%)
After hours: 6:08PM EDT
|Bid||75.45 x 900|
|Ask||75.46 x 800|
|Day's Range||75.11 - 75.61|
|52 Week Range||52.15 - 79.48|
|Beta (3Y Monthly)||1.26|
|PE Ratio (TTM)||52.09|
|Forward Dividend & Yield||0.30 (0.40%)|
|1y Target Est||N/A|
(Bloomberg) -- It’s been a tough year for South African retail stocks, battered by gloomy economic news. But hope is on the way.The South African Reserve Bank is expected to reduce its key interest rate Thursday for the first time since March 2018, starting a series of cuts that economists forecast could total as much as 75 basis points over six months. That will support a fragile recovery in sales and consumer confidence by loosening the cost of debt.Retail stocks reflect the strain on South African shoppers: an index of general retailers has dropped 10% this year, compared with gains of almost 30% for their emerging-market peers. Durban-based Mr Price Group Ltd. and Cape Town-based Truworths International Ltd. were both among the five worst-performing shares in the developing countries gauge as of July 17.“Retailers have been among the hardest hit by the consumer being under financial pressure, so any reprieve, even small, will help,” said Nolwandle Mthombeni, an analyst at Mergence Investment Managers in Cape Town. Households spent 9.3% of their disposable income on interest payments on debt in the first quarter and a lower key rate would increase their spending power.The implications are less positive for South African banking stocks, which have retreated 7% from their 2019 peak in June as expectations build for rate cuts. That’s even offset some of the positive effects of a strengthening rand, which is typically reflected in shares of both lenders and retailers. The correlation between the two sectors has dropped to 0.56 from 0.7 in June, with a reading of 1 indicating the sub-indexes are moving in lockstep.Bank of America Merrill Lynch strategists, who said July 15 they foresee 75 basis points of cuts within the next six months, estimate the reductions could lift total returns by as much as 20% for retailers. They also see bank stock returns climbing 15% as the rand benefits disproportionately from a risk-on environment in emerging markets.Casparus Treurnicht, a money manager at Gryphon Asset Management, is less optimistic.“The SARB cutting rates would have a negative effect on bank earnings,” said Treurnicht. “Also bear in mind that the SARB usually cuts rates when economic growth slows down, which might also mean that the net interest margin decreases, and provisions must be made for higher insolvencies.”To contact the reporter on this story: Adelaide Changole in Nairobi at firstname.lastname@example.orgTo contact the editors responsible for this story: Blaise Robinson at email@example.com, John Viljoen, James ConeFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
TransUnion (TRU) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Today we'll evaluate TransUnion (NYSE:TRU) to determine whether it could have potential as an investment idea. To be...
Is TransUnion (NYSE:TRU) a good stock to buy right now? We at Insider Monkey like to examine what billionaires and hedge funds think of a company before doing days of research on it. Given their 2 and 20 payment structure, hedge funds have more incentives and resources than the average investor. The funds have access […]
Let's talk about the popular TransUnion (NYSE:TRU). The company's shares saw significant share price movement during...
TransUnion (TRU) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
Once primarily used for financing purchases such as washing machines or winter coats when the economy was floundering, layaway has a whole new look. Now called point-of-sale loans, installment payments are shaking up how consumers finance purchases.
Moody's Investors Service ("Moody's") affirmed Trans Union, LLC's (an indirect subsidiary of publicly-traded TransUnion, "TransUnion") Ba2 Corporate Family Rating ("CFR"), Ba3-PD Probability of Default Rating ("PDR"), Ba2 senior secured credit facilities rating and SGL-1 Speculative Grade Liquidity ("SGL") rating. The rating outlook was changed to stable from negative.
President and CEO of Transunion (NYSE:TRU) James M Peck sold 124,070 shares of TRU on 04/26/2019 at an average price of $68.8 a share.
TransUnion earnings edged past views Tuesday for the big credit-reporting agency. TransUnion stock fell below a buy point on weak Q2 guidance.
On a per-share basis, the Chicago-based company said it had net income of 37 cents. Earnings, adjusted for one-time gains and costs, came to 60 cents per share. The results surpassed Wall Street expectations. ...
TransUnion's (NYSE:TRU) announced its latest earnings update in December 2018, which confirmed that the company endured a immense headwind with earnings d...
A credit freeze is the most effective way to stop fraudulent accounts from being opened in your name, so here’s what you need to know about it.
Our extensive research has shown that imitating the smart money can generate significant returns for retail investors, which is why we track nearly 750 active prominent money managers and analyze their quarterly 13F filings. The stocks that are heavily bought by hedge funds historically outperformed the market, though there is no shortage of high profile […]