{"id":40358,"date":"2013-06-24T07:19:25","date_gmt":"2013-06-24T05:19:25","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=40358"},"modified":"2013-06-24T09:08:30","modified_gmt":"2013-06-24T07:08:30","slug":"naspers-has-upside-potential-analysts","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/internet\/40358\/naspers-has-upside-potential-analysts\/","title":{"rendered":"Naspers has upside potential: analysts"},"content":{"rendered":"

Despite forging to new highs in recent weeks, and carrying a price to earnings ratio of 51.5%, analysts believe that SA media and internet giant Naspers<\/a> still has upside, and is worth more than its current elevated levels.<\/p>\n

Naspers expects to publish its results for the year ending March 2013, next week (25 June). By close of play on Friday (21 June)\u00a0shares\u00a0in Naspers closed a touch below R700, having shed 2.93% \u00a0in intraday trade giving the company a market cap of R288.8 billion.<\/p>\n

Naspers shares are 50% or R231.50 up on the year however, having reached a best figure of R765 earlier in June.<\/p>\n

Speaking on CNBC Africa\u2019s Hot Stoxx show,\u00a0Paul Theron<\/a> from Vestact said of Naspers: “It\u2019s a fantastic success story.”<\/p>\n

\u201cThey’ve\u00a0done all these bolt on deals\u2026a fabulous array of assets including Tencent<\/a> and Mail.Ru<\/a>,\u201d he said.<\/p>\n

The real issue is the combination of Tencent, Dstv Multichoice<\/a>, worth that much (market cap)? I still think it\u2019s got plenty of upside,\u201d said Paul Theron from Vestact.<\/p>\n

Chris Gilmour<\/a> from Absa Investments added: \u201cI have to agree with Paul, this is a tremendous South African success story. Yes its expensive, but you are buying quality and you are buying a proven track record.<\/p>\n

When questioned how much Naspers could grow buy, Gilmour said: \u201cI think much depends on where you see the Internet economy going, and I think we are really still at the very early stages frankly, I think its got an awful long way to go.<\/p>\n

“They (Naspers) have been very clever in getting into the world\u2019s biggest population, with the second biggest economy in the world.”<\/p>\n

Gilmour also pointed out that the group’s operations in South Africa is often neglected. “Dstv has no real competition. TopTV<\/a> has had to resort to pornography, it was rescued (financially).”<\/p>\n

“Content really is the key, whether its in internet, or TV, or whether its in the print side,” the analyst said.<\/p>\n

Valuing Naspers is \u201ctricky\u201d said Theron due to the business of putting a real value on Tencent, and the future with regard to its other businesses.<\/p>\n

\u201cBut, what I honestly think what is being built here is the preeminent portfolio of emerging market internet and data and content assets.<\/p>\n

“And in the fullness of time, China will liberalize, all these other assets will come to the fore, and countries like Turkey and Brazil, Poland, Russia will be very attractive to the global internet giants, so there could be some realignment with Google<\/a> and Amazon<\/a>, and e-bay and all these guys getting interested in this portfolio,” Theron said.<\/p>\n

The group\u00a0says it expects core headline earnings per share for the year ending March 2013, to be between 15% and 25% higher than the comparable period’s R18.50.<\/p>\n

Nasper\u2019s principal operations are in internet platforms, pay-television and the provision of related technologies and print media including publishing, distribution and printing of magazines, newspapers and books.<\/p>\n

Locally, it owns online retailers,\u00a0Kalahari.com<\/a>\u00a0and PriceCheck, pay television operation\u00a0DStv<\/a>, and Supersport, and\u00a0Mweb<\/a>.<\/p>\n

The group holds interests in Russian Internet firm\u00a0Mail.Ru Group, and Chinese group,\u00a0Tencent.<\/p>\n

More on Naspers<\/h3>\n

Naspers to buy India\u2019s RedBus for R1.4bn: report<\/strong><\/a><\/p>\n

Naspers sees full-year earnings rise<\/strong><\/a><\/p>\n

Naspers hits new record on Tencent profit rise<\/strong><\/a><\/p>\n

Naspers in $570m Russian internet deal<\/strong><\/a><\/p>\n

Mail.Ru a cash cow for SA firm<\/a><\/strong><\/p>\n

Naspers associate to pay out special dividend<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Despite record levels, analysts believe that SA media and internet giant Naspers still has upside, and is worth more than its current elevated levels.<\/p>\n","protected":false},"author":9,"featured_media":15768,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9882],"tags":[6109,657,3691,6110,53,26,3092,2946,107,5141,1977,35],"class_list":["post-40358","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-internet","tag-absa-investments","tag-amazon","tag-chris-gilmour","tag-e-bay","tag-google","tag-headline","tag-kalahari-com","tag-mail-ru-group","tag-naspers","tag-paul-theron","tag-tencent","tag-toptv"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/40358","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=40358"}],"version-history":[{"count":11,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/40358\/revisions"}],"predecessor-version":[{"id":40495,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/40358\/revisions\/40495"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/15768"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=40358"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=40358"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=40358"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}