Investment group Corion Capital has published an infographic tracking the five best-performing companies trading on the JSE over the last 15 years, showing how much a R1 million investment in each group would be worth today.
While Naspers is often considered the greatest success story on the JSE in recent years, growing its share price from around R950 per share in 2005 to over R3,400 in August, according to Corion’s data, it’s actually Capitec which would have given investors the biggest growth in value.
Looking back to 2005, Capitec shares were trading at R20.78 per share in October – fast forward to today, and the same shares are worth R1,373, representing growth of over 6,500% (or 66 times greater in value).
Naspers, meanwhile, has seen its share value increase by 1,993% over the same period – with the share price peaking at R3,453.80 (3,270% growth) before the unbundling of its internet businesses in September.
The other three groups highlighted by Corion include retail groups Clicks (2,781% growth) and Mr Price (1,000% growth) as well as PSG Group, which has seen its share price increase 1,878% over the same time.
The table below outlines how the five companies’ share prices have changed over the last 15 years:
|Company||October 2005||October 2019||% Increase|
According to Corion, if an investor pumped R1 million into Capitec in October 2005, by the end of October 2019, that investment would have been worth R66.1 million today.
This is more than double the return an investor would have seen from Naspers (R31.7 million), and almost six times bigger than the return from Mr Price over the same period (R11.2 million).
While Naspers’ shares have since fallen from its highs of R3,400-plus in August following the unbundling of its internet companies into Prosus (making it the third-highest in terms of share price growth), the Corion calculation adjusts and takes into account the group’s stake in Prosus after the unbundling.
Taking just the straight Naspers share value, the return would be closer to R21 million – or a third of the Capitec return.
This is how a R1 million investment in each of these companies in 2005 would have looked today: