Our opinion on the current state of OUT

Outsurance (OUT) took over the listing of Rand Merchant Insurance (RMI) with effect from 7th December 2022. RMI unbundled its stakes in Discovery (DSY), and Mommet (MTM) and sold its 30% stake in Hastings Plc for R14,6bn. By March 2023, all that was left was the insurance business of Outsurance. In its results for the year to 30th June 2023 the company reported a 62,1% increase in normalised earnings per share (EPS) from continuing operations. The company said, "On an aggregated basis, Youi delivered strong gross written premium growth of 31.4% and 21.5% measured in Rand and Australian Dollar terms respectively". Technically the share has been climbing steadily since the unbundling and we believe it will continue to perform.