Financials Discovery Limited

Equities

DSY

ZAE000022331

Life & Health Insurance

End-of-day quote Johannesburg S.E. Other stock markets 06:00:00 2024-05-30 pm EDT			5-day change	1st Jan Change
109.7 ^ZAR	-1.04%		-6.80%	-23.66%

May. 15	South Africa's president signs health insurance bill into law	RE
Apr. 19	South African insurer Old Mutual gets green light to establish bank	RE

Valuation

Fiscal Period: June	2019	2020	2021	2022	2023	2024	2025	2026
Capitalization ¹	96,185	68,648	82,934	84,149	96,028	72,626	-	-
Enterprise Value (EV) ¹	111,726	84,808	97,318	100,081	111,024	93,212	93,623	94,043
P/E ratio	14.9 x	711 x	26.6 x	15.7 x	18.7 x	10.2 x	8.01 x	6.53 x
Yield	1.44%	0.97%	-	-	-	1.68%	1.99%	2.29%
Capitalization / Revenue	2.57 x	1.58 x	1.75 x	1.67 x	1.94 x	1.39 x	1.34 x	1.29 x
EV / Revenue	2.98 x	1.95 x	2.05 x	1.98 x	2.24 x	1.79 x	1.72 x	1.67 x
EV / EBITDA	-	-	-	-	12.7 x	8.11 x	6.88 x	6.03 x
EV / FCF	-	-	-	-	-	-	-	-
FCF Yield	-	-	-	-	-	-	-	-
Price to Book	2.27 x	1.54 x	1.79 x	1.6 x	1.53 x	1.33 x	1.18 x	1.04 x
Nbr of stocks (in thousands)	645,058	656,603	656,800	656,900	658,400	662,100	-	-
Reference price ²	149.1	104.6	126.3	128.1	145.8	109.7	109.7	109.7
Announcement Date	9/4/19	9/16/20	9/2/21	9/7/22	9/21/23	-	-	-

¹ZAR in Million²ZAR

Estimates

Income Statement Evolution (Annual data)

Fiscal Period: June	2019	2020	2021	2022	2023	2024	2025	2026
Net sales ¹	37,441	43,467	47,383	50,520	49,535	52,204	54,322	56,354
EBITDA ¹	-	-	-	-	8,718	11,488	13,600	15,601
EBIT ¹	-	-	-	-	8,662	11,488	13,600	15,601
Operating Margin	-	-	-	-	17.49%	22.01%	25.04%	27.68%
Earnings before Tax (EBT) ¹	7,919	800	4,195	6,944	7,372	9,905	10,864	11,584
Net income ¹	6,533	97	3,157	5,422	5,258	7,008	8,256	9,480
Net margin	17.45%	0.22%	6.66%	10.73%	10.61%	13.42%	15.2%	16.82%
EPS ²	10.01	0.1470	4.754	8.178	7.815	10.75	13.70	16.81
Free Cash Flow	-	-	-	-	-	-	-	-
FCF margin	-	-	-	-	-	-	-	-
FCF Conversion (EBITDA)	-	-	-	-	-	-	-	-
FCF Conversion (Net income)	-	-	-	-	-	-	-	-
Dividend per Share ²	2.150	1.010	-	-	-	1.845	2.181	2.514
Announcement Date	9/4/19	9/16/20	9/2/21	9/7/22	9/21/23	-	-	-

¹ZAR in Million²ZAR

Estimates

Income Statement Evolution (Quarterly data)

Fiscal Period: June	2021 S1	2022 S1
Net sales	-	-
EBITDA	-	-
EBIT	4,250	-
Operating Margin	-	-
Earnings before Tax (EBT)	-	-
Net income	-	-
Net margin	-	-
EPS	-	-
Dividend per Share ¹	-	-
Announcement Date	2/25/21	2/24/22

¹ZAR

Estimates

Balance Sheet Analysis

Fiscal Period: June	2019	2020	2021	2022	2023	2024	2025	2026
Net Debt ¹	15,541	16,160	14,384	15,932	14,996	20,586	20,998	21,418
Net Cash position ¹	-	-	-	-	-	-	-	-
Leverage (Debt/EBITDA)	-	-	-	-	1.72 x	1.792 x	1.544 x	1.373 x
Free Cash Flow	-	-	-	-	-	-	-	-
ROE (net income / shareholders' equity)	16.2%	8.55%	7.49%	10.8%	8.95%	13.4%	14.1%	14.3%
ROA (Net income/ Total Assets)	2.98%	1.92%	1.49%	2.25%	2.68%	-	-	-
Assets ¹	219,420	5,055	211,808	241,418	196,297	-	-	-
Book Value Per Share ²	65.60	67.90	70.70	80.10	95.10	82.50	93.10	105.0
Cash Flow per Share	-	-	-	-	-	-	-	-
Capex	-	-	-	-	-	-	-	-
Capex / Sales	-	-	-	-	-	-	-	-
Announcement Date	9/4/19	9/16/20	9/2/21	9/7/22	9/21/23	-	-	-

¹ZAR in Million²ZAR

Estimates

EPS & Dividend

Year-on-year evolution of the PER

Year-on-year evolution of the Yield

Change in Enterprise Value/EBITDA

Ratings for Discovery Limited

Trading Rating

Investor Rating

ESG Refinitiv

More Ratings

Analysts' Consensus

Sell

Buy

Mean consensus

BUY

Number of Analysts

Last Close Price

109.7 ZAR

Average target price

183.5 ZAR

Spread / Average Target

+67.27%

Consensus

EPS Revisions

Estimates Revisions

Annual profits - Rate of surprise

Company calendar

Sector Other Life & Health Insurance

	1st Jan change	Capi.
DISCOVERY LIMITED	-23.66%	3.86B
AXA	+12.07%	78.88B
METLIFE, INC.	+9.44%	51.46B
AFLAC INCORPORATED	+8.93%	51.07B
MANULIFE FINANCIAL CORPORATION	+20.90%	46.59B
PRUDENTIAL FINANCIAL, INC.	+16.04%	43.21B
GENERALI	+23.53%	39.69B
SUN LIFE FINANCIAL INC.	-0.60%	29.1B
GREAT-WEST LIFECO INC.	-6.79%	27.94B
PRUDENTIAL PLC	-15.80%	26.05B

Other Life & Health Insurance