Risk factor
Very poor trading liquidity
Profitability factor
Excellent dividends
About
Established in 2005 and headquartered in Plattekloof, South Africa, Libstar Holdings Limited operates as a major player in the global consumer goods market. The company is engaged in the manufacturing, importation, exportation, and supply of an extensive range of products, spanning food and beverage, household, and personal care categories. Libstar's operations are strategically divided into several key segments: Perishables, Groceries, Snacks and Confectionery, Baking and Baking Aids, and Household and Personal Care. Its diverse food offerings include a broad spectrum of dairy products, such as various cheeses, yogurts, milk, butters, dips, spreads, creams, and sauces. The portfolio also encompasses meat and chicken products, fresh mushrooms, and convenient prepared meals. Within its grocery division, Libstar provides a wide array of condiments, including chutneys, table sauces, vinegars, tomato pastes, salad dressings, mayonnaise, and marinades. It also supplies a comprehensive selection of spices, herbs, seasoning mixes, curry powders, salt, and pepper. Pasta and noodles, along with complementary pasta and cook-in sauces, are prominent offerings, as are canned goods like soups, fruits, vegetables, legumes, and antipasti. Sweet spreads, such as honey, jams, and various peanut and nut butters, also feature prominently. The beverage line includes different teas (packaged and otherwise), natural and flavored waters, carbonated soft drinks, and bar mixes. For snacking, consumers can find cereals, nuts, snack bars, potato snacks, and confectionery items. The company also caters to bakers with a range of specialized products and aids. Beyond food, Libstar's personal care products include cotton wool, cotton buds, cosmetic facial pads, beauty soaps, and bath additives. Its household cleaning segment offers laundry detergents, fabric softeners, dishwashing liquids, all-purpose cleaners, bleach, and various cleaning tools like sponges and steel wool, with options often extending to organic and biodegradable formulations. Libstar Holdings distributes these packaged consumer goods to a diverse clientele across retail, food service, industrial, and export channels.
Company Valuation
From both historical and forecast perspectives, the stock is underpriced compared to similar stocks. Specifically, the stock is fairly valued on P/E, undervalued on EV/EB
Target Price
The average target price of LBR.JO is 490 and suggests 20% upside potential. Usually, this means a BUY recommendation among investment firms, or a recommendation to incre