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South Ocean Holdings (SOH) Fair Value & Analysis

Industrials · ZA · Market cap 203M ZAC

SO South Ocean Holdings SOH · JSE
PriceR1.00
Fair ValueR1.11
Upside+11.0%
Quality42/100
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Expensive Growth
Loss-making · -0.6% net margin
Low debt · negative free cash flow
Trails peers (3/10)
Narrow moat 19/100
Evidence: Low Range R0.5500 – R1.67 Share as image

Fair value as of: Jul 18, 2026

From 4 valuation models · updated 23 days ago

Share price −24.0% over the past month.

Below-average quality, screening 11% undervalued on our models.

What matters now

  • The model range is unusually wide (R0.5500 to R1.67). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Evidence is limited here (fewer models, shorter history), so the fair value is a rougher estimate than usual.
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Price vs Fair Value (5 years)

R3.75 R0.0168 Fair Value R1.11 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range R0.0168 – R3.75 · fair‑value band R0.5500 – R1.67 · the R1.00 price screens below the R1.11 fair value. Dashed = 300-day average. As of Jul 18, 2026.

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Analysis

South Ocean Holdings (SOH) currently trades at R1.00, while our model-based Fair Value estimate is R1.11, implying the stock looks roughly 11.0% undervalued today. The Quality Score stands at 42/100 (below-average quality), in the Industrials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: low), always confirm before acting.

Over the trailing twelve months, South Ocean Holdings generated revenue of 2.5B ZAR at a net margin of -0.6%. Revenue grew 5.3% year over year. It earns a return on equity of -2.3%. Net debt stands at 231M ZAR. Fundamentals as of Jul 18, 2026

Our scenario range runs from R0.5500 (bear case) to R1.67 (bull case); at R1.00, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Industrials peers we cover trades at -48% fair-value upside, at 11%, SOH screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Gordon GGM R0.3800 R0.6400 R0.8300 70
DDM Multi-Stage R0.3800 R0.5800 R0.6900 61
EV/EBITDA R1.22 R1.78 R2.34 54
All 4 models by family
Dividend Discount
Gordon GGM R0.3800 R0.6400 R0.8300 70
DDM Multi-Stage R0.3800 R0.5800 R0.6900 61
Multiples
EV/EBITDA R1.22 R1.78 R2.34 54
Asset-Based
NCAV (Graham) R1.75 R2.35 R3.50 50

Widest divergence: Asset-Based (R2.35) versus Dividend Discount (R0.5800). Highest evidence: Gordon GGM (70).

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Key figures & financial health

Revenue (TTM) 2.5B ZAC
Revenue growth (YoY) +5.3%
Net margin -0.6%
Return on equity -2.3%
Free cash flow −122M ZAC FY2025
P/E ratio 14.0
More key figures
Operating margin 3.2%
EPS (TTM) R0.0700
EPS growth (YoY) -10.0%
Net debt 231M ZAC FY2025

Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 42/100

Of which business quality 45 · Market factors (momentum, volatility) 22

Profitability 28
Margins and returns on capital today
Quality Growth 13
Are margins and returns improving?
Cashflow 35
Earnings quality: real cash, not paper profit
Fin. Strength 59
Balance sheet, leverage, solvency risk
Investment 61
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 11
Price trend over the last 3–12 months (market factor)
52W Momentum 9
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

South Ocean Holdings Limited, an investment holding company, manufactures and distributes electrical wires in South Africa.

Full company description

South Ocean Holdings Limited, an investment holding company, manufactures and distributes electrical wires in South Africa. The company offers bare copper earth wires, general purpose house wires, flat-twin and earth cables, surface wiring products, twin illumination cables, cabtyres, single core flex, solid panel wires, flex power products, ripcord, mains cord, submersible pump cables, nitrile trailing cables, and PVC nitrile welding cables. It also provides flame retardant armoured cables, low halogen armoured cables, armoured cables, single core double PVC cables, single core double PVC and AWA PVC cables, aluminum conductors, aluminum conductor steel reinforced, low-voltage aerial bundle conductors, and conduit pipes. In addition, it is involved in electrical wire manufacturing; manufacturing compounding material; and anchor park investments. It sells its products to wholesalers and distributors who supply the building and construction industries. South Ocean Holdings Limited was founded in 1989 and is based in Alrode, South Africa.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

South Ocean Holdings reported revenue of R2.5B in FY2025 versus R2.0B in FY2021, a compound +5.7%/yr. Reported net income was −R15.3M in FY2025.

Growth Quality 23/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
2.5B ZAR
Latest YoY
−2.6%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+10.1%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+7.5%
Avg. growth/yr (19Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+9.3%
Revenue +5.7%/yr
FY21 R2.0B
FY22 R1.9B
FY23 R2.4B
FY24 R2.6B
FY25 R2.5B
Net income
FY21 R75.1M
FY22 R45.0M
FY23 R88.6M
FY24 R33.9M
FY25 −R15.3M

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Cite: Fair Value Calculator (2026). "South Ocean Holdings Fair Value". https://www.fairvalue-calculator.com/stock/SOH

Peer Group

Electrical Equipment & Parts · 526 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 42 · Bottom 25%
Fair Value upside +11% · Top 25%
Return on assets -1% · Bottom 25%
Net margin (TTM) -1% · Bottom 25%
Operating margin (TTM) 1% · Below median
Revenue growth 5% · Below median
Debt / equity 0.15× · Higher than median

Valuation Multiples vs Electrical Equipment & Parts median · lower = cheaper

P/E (TTM) 14.3× · Cheaper than 75% of peers
EV/EBITDA 15.0× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 48 · sector 0
FUTURE 27 · sector 57
PAST 0 · sector 26
HEALTH 93 · sector 97
DIVIDEND 0 · sector 18

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Electrical Equipment & Parts stocks, each showing price versus our Fair Value estimate (as of Jul 18, 2026).

Stock Price Fair Value vs Fair Value
Contemporary Amperex Technology Co 3750 HK$675.50 HK$391.44 -42%
ABB Ltd ABBN CHF 83.82 CHF 35.46 -58%
Delta Electronics (Thailand) Public Company TDED 10.16 SGD 1.47 SGD -86%
LG Energy Solution, Ltd 373220 334,000 KRW 201,455 KRW -40%
WEG S.A WEGE3 13,210 ARS 7,948 ARS -40%
Sungrow Power Supply Co 300274 ¥114.79 ¥123.83 +8%
Shenzhen Inovance Technology Co 300124 ¥63.43 ¥33.04 -48%
HD Hyundai Electric Co 267260 823,000 KRW 371,133 KRW -55%
LS ELECTRIC Co 010120 190,000 KRW 31,517 KRW -83%
Sieyuan Electric Co 002028 ¥151.73 ¥71.69 -53%

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Frequently asked questions

Is South Ocean Holdings (SOH) overvalued or undervalued?
As of Jul 18, 2026, our model estimates a fair value of R1.11 versus a price of R1.00, about +11% (undervalued).
What is the fair value of SOH?
Our model-based fair value for South Ocean Holdings is R1.11 (as of Jul 18, 2026), built from audited fundamentals. The current price is R1.00.
What is the quality score of SOH?
South Ocean Holdings has a Quality Score of 42/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of South Ocean Holdings (SOH)?
South Ocean Holdings reported trailing-twelve-month revenue of about 2.5B ZAR (latest available figure, as of Jul 18, 2026).
What is the net profit margin of SOH?
The net profit margin of South Ocean Holdings is about -0.6%, meaning it is currently running at a net loss. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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