Growthpoint Properties Limited (GRT.JO) stock analysis

In our weekly check, Growthpoint Properties Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 11 pass, warnings: 7, red flags: 7.

About Growthpoint Properties Limited

Growthpoint Properties Limited is a Real Estate company (REIT - Diversified) based in South Africa, listed on JNB as GRT.JO.

What our checks show for GRT.JO

Red flags

• Operating profit does not cover the interest bill (0.1x): interest is paid from cash or new debt.
• Operating cash flow is only 0.07x net profit: part of the reported profit does not arrive as cash.
• Analysts expect revenue to shrink about 12.8% a year.
• Revenue fell 2.1% a year over the last 3 years.
• The dividend takes 1160% of profit: little cushion if profit falls.
• A small company (market value $32 million): usually riskier and followed by fewer analysts.
• The stock has fallen as much as 70% from a peak. Would you have held through that?

Warning signs

• Net debt is 4.4x a year of EBITDA (debt/equity 0.86). That limits room in a downturn and raises refinancing risk.
• The net margin fell by 2.1 points over 5 years, to 58.7%: the company keeps less of each sale as profit.
• The gross margin fell by 2.2 points, to 70.2%: costs are rising faster than prices.
• Analysts expect earnings per share to shrink about 9% a year.
• Free cash flow is only 3.4% of revenue.
• The stock is still below its previous peak.
• Return on capital (ROCE) is only 5.4%.

Strengths

• Analysts expect the net margin to improve by 8.8 points from today's 58.7%.
• Earnings per share grew 48.1% a year over the last 3 years.
• Net profit grew 47.5% a year over the last 3 years.
• The company keeps 58.7% of its revenue as net profit.
• The price is 7 times earnings (P/E), reasonable for its growth.
• Beta 0.58: the stock usually moves less than the market.

Similar companies

GMG.AX · RDF.JO · VICI · FUNO11.MX · WPC

Questions

What grade does Growthpoint Properties Limited (GRT.JO) have?

In our weekly check, Growthpoint Properties Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 11 pass, warnings: 7, red flags: 7. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of GRT.JO stock?

This week's biggest flags for Growthpoint Properties Limited: Weak interest cover, Profits not backed by cash, Weak revenue forecast. In total 14 of 25 checks show a warning or a red flag.

What does Growthpoint Properties Limited do?

Growthpoint Properties Limited is a Real Estate company (REIT - Diversified) based in South Africa, listed on JNB as GRT.JO.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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