Fact based stock research
Life Healthcare Group (JSE:LHC)
ZAE000145892
How to read the free ranks
For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".
Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".
Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.
Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.
(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).
(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.
Life Healthcare Group stock research in summary
ANALYSIS: With an Obermatt Combined Rank of 74 (better than 74% compared with investment alternatives), Life Healthcare Group (Health Care Facilities, South Africa) shares have above-average financial characteristics compared with similar stocks. Shares of Life Healthcare Group are a good value (attractively priced) with a consolidated Value Rank of 79 (better than 79% of alternatives), are safely financed (Safety Rank of 53, which means low debt burdens), but show below-average growth (Growth Rank of 43). ...read more
RECOMMENDATION: A Combined Rank of 74, is a buy recommendation based on Life Healthcare Group's financial characteristics. As the company Life Healthcare Group's key financial metrics exhibit good value (Obermatt Value Rank of 79) but low growth (Obermatt Growth Rank of 43) while being safely financed (Obermatt Safety Rank of 53), it may be a safer investment because companies with low debt can better withstand times of crises. Yet the good value, better than 79% of comparable companies, may also indicate that the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity and the downside is limited due to below-average financing risks. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
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360° Viewnew| Country | South Africa |
| Industry | Health Care Facilities |
| Index | Low Emissions, Good Governace Growth Markets, Independent Boards Growth Markets, JSE All Shares |
| Size class | Large |
This stock has achievements: Top 10 Stock.
19-Dec-2024. Stock data may be delayed. Log in or sign up to get the most recent research.
Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.
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Review the performance ranks of the individual metrics that form each investment strategy.
Research History: Life Healthcare Group
| RESEARCH HISTORY | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 21 |
|
91 |
|
84 |
|
79 |
|
| GROWTH | ||||||||
| GROWTH | 40 |
|
85 |
|
39 |
|
43 |
|
| SAFETY | ||||||||
| SAFETY | 38 |
|
14 |
|
10 |
|
53 |
|
| SENTIMENT | ||||||||
| SENTIMENT | n/a |
|
86 |
|
16 |
|
new |
|
| 360° VIEW | ||||||||
| 360° VIEW | n/a |
|
99 |
|
17 |
|
new |
|
Combined financial peformance in Detail
ANALYSIS: With an Obermatt Combined Rank of 74 (better than 74% compared with investment alternatives), Life Healthcare Group (Health Care Facilities, South Africa) shares have above-average financial characteristics compared with similar stocks. Shares of Life Healthcare Group are a good value (attractively priced) with a consolidated Value Rank of 79 (better than 79% of alternatives), are safely financed (Safety Rank of 53, which means low debt burdens), but show below-average growth (Growth Rank of 43). ...read more
RECOMMENDATION: A Combined Rank of 74, is a buy recommendation based on Life Healthcare Group's financial characteristics. As the company Life Healthcare Group's key financial metrics exhibit good value (Obermatt Value Rank of 79) but low growth (Obermatt Growth Rank of 43) while being safely financed (Obermatt Safety Rank of 53), it may be a safer investment because companies with low debt can better withstand times of crises. Yet the good value, better than 79% of comparable companies, may also indicate that the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity and the downside is limited due to below-average financing risks. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
| RESEARCH HISTORY | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 21 |
|
91 |
|
84 |
|
79 |
|
| GROWTH | ||||||||
| GROWTH | 40 |
|
85 |
|
39 |
|
43 |
|
| SAFETY | ||||||||
| SAFETY | 38 |
|
14 |
|
10 |
|
53 |
|
| COMBINED | ||||||||
| COMBINED | 1 |
|
90 |
|
37 |
|
74 |
|
Value Metrics in Detail
ANALYSIS: With an Obermatt Value Rank of 79 (better than 79% compared with alternatives) for 2024, Life Healthcare Group shares are significantly less expensive than comparable stocks. The Value Rank is based on consolidating four value indicators that are all above average for Life Healthcare Group. Price-to-Sales is 82 which means that the stock price compared with what market professionals expect for future sales is lower than for 82% of comparable companies, indicating a good value for Life Healthcare Group's revenue size. The same is valid for expected Price-to-Profits, more favorable than for 71% of alternatives, and this is also true for the Price-to-Book capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 67. Compared with other companies in the same industry, dividend yields of Life Healthcare Group are expected to be higher than for 84% of all competitors (a Dividend Yield rank of 84). ...read more
RECOMMENDATION: The overall picture with a consolidated Value Rank of 79, is a buy recommendation based on Life Healthcare Group's stock price compared with the company's operational size and dividend yields. Since all value metrics are above the industry average, there is no objection to investing in Life Healthcare Group based on its detailed value metrics. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more
| VALUE METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| PRICE VS. REVENUES (P/S) | ||||||||
| PRICE VS. REVENUES (P/S) | 64 |
|
89 |
|
82 |
|
82 |
|
| PRICE VS. PROFITS (P/E) | ||||||||
| PRICE VS. PROFITS (P/E) | 1 |
|
69 |
|
74 |
|
71 |
|
| PRICE VS. CAPITAL (Market-to-Book) | ||||||||
| PRICE VS. CAPITAL (Market-to-Book) | 64 |
|
82 |
|
76 |
|
67 |
|
| DIVIDEND YIELD | ||||||||
| DIVIDEND YIELD | 1 |
|
92 |
|
89 |
|
84 |
|
| CONSOLIDATED RANK: VALUE | ||||||||
| CONSOLIDATED RANK: VALUE | 21 |
|
91 |
|
84 |
|
79 |
|
Growth Metrics in Detail
ANALYSIS: With an Obermatt Growth Rank of 43 (better than 43% compared with alternatives), Life Healthcare Group shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with three out of four indicators below average for Life Healthcare Group. Sales Growth has a below market rank of 32, which means that, currently, professionals expect the company to grow less than 68% of its competitors. The same is valid for Capital Growth, with a rank of 35, and Profit Growth, with a rank of 6. Currently, professionals expect the company to grow its profits less than 94% of its competitors). Only shareholders are optimistic. Stock Returns are above average at a rank of 87, which means that the stock returns have recently been above 87% of alternative investments. ...read more
RECOMMENDATION: The overall picture with a consolidated Growth Rank of 43, is a hold recommendation for growth and momentum investors. That picture may be the result for a company that has reached the bottom. All went south for Life Healthcare Group, and it still looks bad, but some investors already see light at the end of the tunnel, rewarding the stock with recent above-market stock returns. It could also mean that investors are correcting an overreaction to negative news. If that were the case, the positive stock returns are not yet a sign of recovery. Investors should look closely at the Value and Sentiment indicators before they make a stock purchasing decision, because growth is unlikely to be the driving argument behind this investment. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is low here. ...read more
| GROWTH METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| REVENUE GROWTH | ||||||||
| REVENUE GROWTH | 29 |
|
27 |
|
15 |
|
32 |
|
| PROFIT GROWTH | ||||||||
| PROFIT GROWTH | 58 |
|
63 |
|
58 |
|
6 |
|
| CAPITAL GROWTH | ||||||||
| CAPITAL GROWTH | n/a |
|
85 |
|
56 |
|
35 |
|
| STOCK RETURNS | ||||||||
| STOCK RETURNS | 55 |
|
79 |
|
49 |
|
87 |
|
| CONSOLIDATED RANK: GROWTH | ||||||||
| CONSOLIDATED RANK: GROWTH | 40 |
|
85 |
|
39 |
|
43 |
|
Safety Metrics in Detail
ANALYSIS: With an Obermatt Safety Rank of 53 (better than 53% compared with alternatives), the company Life Healthcare Group has financing practices on the safer side, which mean that their overall debt burden is lower than average. This doesn't mean that the business of Life Healthcare Group is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with two out of three indicators above-average for Life Healthcare Group. Refinancing is at 53, meaning the portion of the debt that is about to be refinanced is below average. It has less debt in the refinancing stage than 53% of its competitors. Liquidity is also good at 50, meaning the company generates more profit to service its debt than 50% of its competitors. This indicates that the company is safer when it comes to debt service. However, Leverage is rather large at 36, which means the company has an above-average debt-to-equity ratio. It has more debt than 64% of its competitors. ...read more
RECOMMENDATION: With a consolidated Safety Rank of 53 (better than 53% compared with alternatives), Life Healthcare Group has a financing structure that is safer than that of its competitors. This is not bad if things go well. The higher debt level means better returns to shareholders if things go well. Many top-performing companies operate with higher debt levels, and Life Healthcare Group could be in that group. But if you expect the environment to turn rougher, the higher leverage could become a problem. The same is valid if you expect interest rates to rise. That could squeeze shareholder returns, which so far have benefitted from better conditions. In the long-term, investors may have a debt challenge with Life Healthcare Group and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more
| SAFETY METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| LEVERAGE | ||||||||
| LEVERAGE | 42 |
|
22 |
|
34 |
|
36 |
|
| REFINANCING | ||||||||
| REFINANCING | 38 |
|
9 |
|
7 |
|
53 |
|
| LIQUIDITY | ||||||||
| LIQUIDITY | 30 |
|
39 |
|
37 |
|
50 |
|
| CONSOLIDATED RANK: SAFETY | ||||||||
| CONSOLIDATED RANK: SAFETY | 38 |
|
14 |
|
10 |
|
53 |
|
Sentiment Metrics in Detail
| SENTIMENT | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| ANALYST OPINIONS | ||||||||
| ANALYST OPINIONS | n/a |
|
44 |
|
27 |
|
new |
|
| OPINIONS CHANGE | ||||||||
| OPINIONS CHANGE | n/a |
|
30 |
|
5 |
|
new |
|
| PRO HOLDINGS | ||||||||
| PRO HOLDINGS | n/a |
|
94 |
|
19 |
|
new |
|
| MARKET PULSE | ||||||||
| MARKET PULSE | n/a |
|
73 |
|
84 |
|
new |
|
| CONSOLIDATED RANK: SENTIMENT | ||||||||
| CONSOLIDATED RANK: SENTIMENT | n/a |
|
86 |
|
16 |
|
new |
|
Free stock analysis by the purely fact based Obermatt Method for Life Healthcare Group from December 19, 2024.
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