Latest news with #SunInternationalLimited
Yahoo
06-05-2025
- Business
- Yahoo
Owning 33% shares,institutional owners seem interested in Sun International Limited (JSE:SUI),
Key Insights Significantly high institutional ownership implies Sun International's stock price is sensitive to their trading actions 53% of the business is held by the top 4 shareholders Insiders have sold recently Our free stock report includes 3 warning signs investors should be aware of before investing in Sun International. Read for free now. To get a sense of who is truly in control of Sun International Limited (JSE:SUI), it is important to understand the ownership structure of the business. With 33% stake, institutions possess the maximum shares in the company. Put another way, the group faces the maximum upside potential (or downside risk). Since institutional have access to huge amounts of capital, their market moves tend to receive a lot of scrutiny by retail or individual investors. Hence, having a considerable amount of institutional money invested in a company is often regarded as a desirable trait. Let's delve deeper into each type of owner of Sun International, beginning with the chart below. See our latest analysis for Sun International JSE:SUI Ownership Breakdown May 6th 2025 What Does The Institutional Ownership Tell Us About Sun International? Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices. We can see that Sun International does have institutional investors; and they hold a good portion of the company's stock. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Sun International, (below). Of course, keep in mind that there are other factors to consider, too. JSE:SUI Earnings and Revenue Growth May 6th 2025 We note that hedge funds don't have a meaningful investment in Sun International. Samuel Sithole is currently the largest shareholder, with 18% of shares outstanding. For context, the second largest shareholder holds about 17% of the shares outstanding, followed by an ownership of 11% by the third-largest shareholder. Additionally, the company's CEO Anthony Leeming directly holds 0.5% of the total shares outstanding. On looking further, we found that 53% of the shares are owned by the top 4 shareholders. In other words, these shareholders have a meaningful say in the decisions of the company. While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. While there is some analyst coverage, the company is probably not widely covered. So it could gain more attention, down the track.
Yahoo
01-04-2025
- Business
- Yahoo
Sun International's (JSE:SUI) Shareholders Will Receive A Bigger Dividend Than Last Year
Sun International Limited (JSE:SUI) has announced that it will be increasing its dividend from last year's comparable payment on the 14th of April to ZAR2.37. This takes the dividend yield to 9.6%, which shareholders will be pleased with. Impressive dividend yields are good, but this doesn't matter much if the payments can't be sustained. The last payment made up 80% of earnings, but cash flows were much higher. Since the dividend is just paying out cash to shareholders, we care more about the cash payout ratio from which we can see plenty is being left over for reinvestment in the business. If the trend of the last few years continues, EPS will grow by 9.4% over the next 12 months. Assuming the dividend continues along the course it has been charting recently, our estimates show the payout ratio being 75% which brings it into quite a comfortable range. Check out our latest analysis for Sun International Although the company has a long dividend history, it has been cut at least once in the last 10 years. Since 2015, the dividend has gone from ZAR2.08 total annually to ZAR3.98. This means that it has been growing its distributions at 6.7% per annum over that time. A reasonable rate of dividend growth is good to see, but we're wary that the dividend history is not as solid as we'd like, having been cut at least once. Growing earnings per share could be a mitigating factor when considering the past fluctuations in the dividend. It's encouraging to see that Sun International has been growing its earnings per share at 9.4% a year over the past five years. EPS has been growing at a reasonable rate, although with most of the profits being paid out to shareholders, growth prospects could be more limited in the future. Overall, we always like to see the dividend being raised, but we don't think Sun International will make a great income stock. The company is generating plenty of cash, which could maintain the dividend for a while, but the track record hasn't been great. This company is not in the top tier of income providing stocks. Companies possessing a stable dividend policy will likely enjoy greater investor interest than those suffering from a more inconsistent approach. At the same time, there are other factors our readers should be conscious of before pouring capital into a stock. Taking the debate a bit further, we've identified 2 warning signs for Sun International that investors need to be conscious of moving forward. Looking for more high-yielding dividend ideas? Try our collection of strong dividend payers. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
24-03-2025
- Business
- Yahoo
Sun International (JSE:SUI) Is Posting Promising Earnings But The Good News Doesn't Stop There
Shareholders appeared to be happy with Sun International Limited's (JSE:SUI) solid earnings report last week. Looking deeper at the numbers, we found several encouraging factors beyond the headline profit numbers. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. As finance nerds would already know, the accrual ratio from cashflow is a key measure for assessing how well a company's free cash flow (FCF) matches its profit. In plain english, this ratio subtracts FCF from net profit, and divides that number by the company's average operating assets over that period. You could think of the accrual ratio from cashflow as the 'non-FCF profit ratio'. That means a negative accrual ratio is a good thing, because it shows that the company is bringing in more free cash flow than its profit would suggest. While having an accrual ratio above zero is of little concern, we do think it's worth noting when a company has a relatively high accrual ratio. Notably, there is some academic evidence that suggests that a high accrual ratio is a bad sign for near-term profits, generally speaking. Over the twelve months to December 2024, Sun International recorded an accrual ratio of -0.10. That indicates that its free cash flow was a fair bit more than its statutory profit. To wit, it produced free cash flow of R2.1b during the period, dwarfing its reported profit of R1.21b. Sun International's free cash flow improved over the last year, which is generally good to see. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. Sun International's accrual ratio is solid, and indicates strong free cash flow, as we discussed, above. Based on this observation, we consider it likely that Sun International's statutory profit actually understates its earnings potential! Better yet, its EPS are growing strongly, which is nice to see. Of course, we've only just scratched the surface when it comes to analysing its earnings; one could also consider margins, forecast growth, and return on investment, among other factors. If you want to do dive deeper into Sun International, you'd also look into what risks it is currently facing. At Simply Wall St, we found 2 warning signs for Sun International and we think they deserve your attention. This note has only looked at a single factor that sheds light on the nature of Sun International's profit. But there is always more to discover if you are capable of focussing your mind on minutiae. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio