I will provide a detailed fianancial analysis of Prosus stocks and company, including their current financial situation, future prospects, and P/E ratio.
Introduction:
Prosus is a Dutch multinational conglomerate founded in 2019 as a spin-off of the South African company Naspers. It is listed on the Euronext Amsterdam stock exchange and has a primary listing on the Johannesburg Stock Exchange. The company has a diverse portfolio of investments in various sectors, including e-commerce, food delivery, online classifieds, and payments and fintech.
Industry Overview:
Prosus operates in the technology sector, which has experienced rapid growth and disruption in recent years. According to Statista, the global e-commerce market is projected to reach $6.38 trillion by 2024, up from $3.53 trillion in 2019 [1]. Furthermore, the food delivery market is expected to grow at a CAGR of 12% between 2021 and 2025 [2].
Financial Performance:
Prosus has reported strong financial results over the past few years. In 2021, the company reported revenue of $29.2 billion, up from $22.1 billion in 2020, representing a YoY growth of 32.1% [3]. The company’s net profit for 2021 was $6.1 billion, up from $2.2 billion in 2020, representing a YoY growth of 177.3%.
P/E Ratio:
As of March 14, 2023, Prosus has a P/E ratio of 18.2 [4]. This indicates that the market values the company at 18.2 times its earnings.
EPS:
Prosus reported earnings per share (EPS) of $3.54 in 2021, up from $1.31 in 2020 [3].
ROE:
Prosus reported a return on equity (ROE) of 19.8% in 2021, up from 11.1% in 2020 [3]. This indicates that the company is efficiently utilizing shareholder funds to generate profits.
Conclusion:
Prosus is a multinational conglomerate with a diverse portfolio of investments in the technology sector. The company has reported strong financial results in recent years, with YoY growth in both revenue and net profit. The P/E ratio of 18.2 indicates that the market values the company at 18.2 times its earnings. Prosus reported EPS of $3.54 and ROE of 19.8% in 2021. Overall, Prosus appears to be a well-managed company with a strong financial performance.
References: [1] Statista. “Online Shopping.” Retrieved from https://www.statista.com/topics/871/online-shopping/. [2] PR Newswire. “Food Delivery Market 2021-2025.” Retrieved from https://www.prnewswire.com/. [3] Prosus. “Full Year Results 2021.” Retrieved from https://www.prosus.com/
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Financial Analysis of Prosus Stocks and Company by Analym.com