Pepkor Holdings Limited (PPH.JO) stock analysis

In our weekly check, Pepkor Holdings Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 14 pass, warnings: 6, red flags: 5.

About Pepkor Holdings Limited

Pepkor Holdings Limited is a Consumer Cyclical company (Department Stores) based in South Africa, listed on JNB as PPH.JO.

What our checks show for PPH.JO

Red flags

• Operating profit does not cover the interest bill (0.2x): interest is paid from cash or new debt.
• The dividend takes 530% of profit: little cushion if profit falls.
• A small company (market value $41 million): usually riskier and followed by fewer analysts.
• The stock has fallen as much as 63% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 4.4 years.

Warning signs

• The net margin fell by 0.4 points over 5 years, to 5.9%: the company keeps less of each sale as profit.
• Operating cash flow is only 0.79x net profit: part of the reported profit does not arrive as cash.
• Earnings per share fell 2.7% a year over the last 3 years.
• Net profit fell 2.7% a year over the last 3 years.
• The net margin is only 5.9%: little room if costs rise.
• Free cash flow is only 1.7% of revenue.

Strengths

• The gross margin is 39.8% and has risen by 5.5 points: pricing power is holding.
• Analysts expect earnings per share to grow about 11.4% a year over the next years.
• The price is 11.4 times earnings (P/E), reasonable for its growth.
• Beta 0.35: the stock usually moves less than the market.
• Actively traded: about 14.1 million shares a day.

Next earnings report: 2026-11-24

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Questions

What grade does Pepkor Holdings Limited (PPH.JO) have?

In our weekly check, Pepkor Holdings Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 14 pass, warnings: 6, red flags: 5. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of PPH.JO stock?

This week's biggest flags for Pepkor Holdings Limited: Weak interest cover, Dividend stretched, Small company. In total 11 of 25 checks show a warning or a red flag.

What does Pepkor Holdings Limited do?

Pepkor Holdings Limited is a Consumer Cyclical company (Department Stores) based in South Africa, listed on JNB as PPH.JO.

When does Pepkor Holdings Limited report earnings next?

The next earnings report is expected on 2026-11-24. We re-run the checks every week, so the grade can change after it.

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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