Naspers (NPSNY)

Naspers (NPSNY)

Postby winston » Tue May 22, 2018 8:00 pm

not vested

The World's Best Investment Deal – No Kidding

By Dr. Steve Sjuggerud

Naspers is one of the world's 100 largest stocks – with a market value of $110 billion.

It owns dozens of high-tech businesses in media and e-commerce. One of those businesses is a Chinese tech giant called Tencent (TCEHY). I've written about this company many times... It's one of the fastest-growing companies in the world right now.

Naspers currently owns $154 billion worth of Tencent shares.

So with some simple math, you can see that Naspers' stock sells at a $44 billion discount to its stake in Tencent alone – and you get dozens of other businesses FOR FREE.

While a $44 billion discount sounds great on its own, you might wonder what these other businesses are worth. The answer is, they're worth a lot...

For instance, retail behemoth Walmart (WMT) recently reached out to Naspers. It was interested in Naspers' stake in a tech company called Flipkart, which is like the Amazon of India.

Just two weeks ago, Walmart announced a big deal... Naspers ended up selling its stake in Flipkart to Walmart – for a $1.6 billion profit. (Yes, a $1.6 billion profit, not a $1.6 billion sales price.)

This is just one example of the value of Naspers' other businesses. Naspers is also a world leader in online classifieds (businesses like Craigslist). And it's quickly becoming a leader in food delivery with iFood, a mobile delivery platform in Latin America.

This is barely scratching the surface of what Naspers does.

Naspers' other businesses are mostly private companies, so it's not easy to value them. But if you value them around $20 billion total (which is roughly what analysts say they're worth), and add that to Naspers' $154 billion stake in Tencent, then you have a business that's worth $174 billion today – but that's selling for $110 billion in the stock market.

So Naspers is selling for a $64 billion discount today.

I'm not sure where else on Earth you can get a $64 billion discount on anything. But you can – right now – by buying shares of Naspers.

Naspers is actually a South African company, so its shares primarily trade in South Africa. However, you can buy it over-the-counter in the U.S. with the symbol NPSNY.

Source: Daily Wealth

http://dailytradealert.com/2018/05/23/t ... unt-today/
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Re: Naspers (NPSNY)

Postby winston » Sat Jun 23, 2018 10:02 am

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Naspers lines up $8.2b war chest to scale up e-commerce ventures

Naspers plans to deploy its $8.2 billion war chest to step up growth in its e-commerce ventures, its chief executive said on Friday, part of a push to cut the company’s dependence on its Chinese money spinner Tencent.

Founded more than 100 years ago in Stellenbosch, South Africa, Naspers has transformed itself from a newspaper publisher into Africa’s biggest company, a $104 billion behemoth with private equity-style investments in e-commerce platforms such as auction sites, classified and online retail.

Naspers owes its hefty valuation to a 31 percent stake in Tencent, which is worth $149 billion, or roughly 40 percent more than Naspers. The discount has prompted some investors to urge Chief Executive Bob van Dyk to find ways to narrow it.

Van Dyk, at the helm since 2014, has ruled out spinning off the Tencent stake, saying the discount would be closed when the company’s other e-commerce ventures swing into profit.

“We will use our strong balance sheet to accelerate the growth of our classifieds, food delivery and fintech businesses globally,” van Dyk said in a statement. “Also to pursue other growth opportunities when they arise.”

While the cash will be used primarily to grow existing businesses, he said, it could also be used for mergers and acquisitions. Naspers netted $1.6 billion from the sale of its 11 percent stake in Indian e-commerce start-up Flipkart in May, almost two months after raising around $10 billion from the sale of a 2 percent stake in Tencent.

“Until we see these e-commerce businesses actually contributing meaningfully to the bottom line the problem won’t go away.” Naspers said its e-commerce division, which excludes Tencent and houses assets such as OLX, the biggest classifieds site in India and Brazil, narrowed its core losses, or losses on the EBITDA level, by 10 percent to $615 million.

The business grew its top line by 36 percent to $3.6 billion rand in the year to end March, a similar contribution to the group’s $20.1 billion total sales from its de facto African pay-TV monopoly, Multichoice.

Naspers’ problems mirror the dilemma faced by Yahoo, where its core business ended up being worth 10 times less than its stake in Alibaba and Yahoo Japan. Yahoo fixed that by selling its core operating business to Verizon in 2016 and re-branding what was left as Altaba, a conflation of ‘alternative’ and ‘Alibaba’.

Naspers also reported a 72 percent rise in core headline earnings to $2.5 billion, or 581 cents per share, in the year ended March compared with $1.5 billion, or 337 cents per share, a year ago. Core headline EPS is Naspers’ main profit measure that strips out non-operational and one-off items.

Source: Reuters

https://www.dealstreetasia.com/stories/ ... 69cc61b4c8
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Re: Naspers (NPSNY)

Postby winston » Mon Jul 09, 2018 9:34 pm

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Naspers up 4% after revenue, profit boost

Jun 22, 2018

Naspers ADRs (OTCPK:NPSNY) are up 4% after announcing its earnings report with solid double-digit growth in revenue and earnings.

“We benefited from scale effects in e-commerce and a positive contribution from Tencent," says chair Koos Bekker.

"Video entertainment’s results were steady.”

Fiscal-year revenues on economic interest basis were up 38%, to $20.1B.

Core headline earnings rose 72%.

Revenues in its key Internet segment (now 79% of group revenues) were up 50% to $15.9B.

The company recommends an increase in annual gross dividend of 12%.

Final dividend per share is $6.50.

Source: Seeking Alpha

https://www.investing.com/news/stock-ma ... st-1504074
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