Investec might be undervalued by 25 percent, RMB Morgan Stanley analyst Greg Saffy said.
“Most South Africa operating divisions have reached scale, product and service is being rolled out in the UK, the balance sheet is reasonably robust and the bank is highly liquid, but this is not reflected in the market value,” Saffy said on Monday.
The 25 percent estimate “could prove to be conservative”. An interim management statement is due to be released tomorrow. Shares closed 0.4 percent lower at R16.40. – Bloomberg