South African Consumer Feedback from the UK and European investors

Research evidence excerpt

South African Consumer Feedback from the UK and European investors

J P M O R G A N CEEMEA Equity Research

22 June 2026

South African Consumer

Feedback from the UK and European investors

Over the past week, we met with UK and European investors. Investor feedback South African Consumer

AClargely reinforces our constructive stance on South African food producer names: Shaun Chauke

Premier Group is increasingly viewed as a stand‑alone, high‑conviction growth (27-11) 507-0735

story (despite liquidity), while Tiger Brands remains our top Overweight on clear shaun.chauke@jpmorgan.com

operational progress and compelling valuation upside (notably Super Bakeries), J.P. Morgan Equities South Africa (Pty) Ltd.

with AVI still held back by softer top‑line momentum. In food retail, Shoprite and Elena Jouronova, CFA

Boxer are the clear favourites—Boxer for faster earnings growth and Shoprite as (971) 4561-2010

elena.jouronova@jpmorgan.com

a structural market‑share winner—while Spar and Pick n Pay remain “turnaround J.P. Morgan Securities plc

or avoid” debates. In drug retail, sentiment aligns with staying on the sidelines as

the price war looks early and likely prolonged (18–24 months) while in apparel,

low valuations haven’t yet sparked a broad re‑rating as gambling-driven wallet

pressure and Chinese e‑commerce weigh on the sector, leaving Pepkor the default

pick, Mr Price constrained by NKD, TFG dependent on disposal catalysts,

Truworths overlooked for lack of growth, and Woolworths viewed more neutrally

with attention on food margin upside and potential CRG disposal.

We remain broadly constructive on South African food producers, and

investor feedback was largely aligned with our bullish stance. One of the more