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Purple Group Limited

PPE.JO
55
Financial - Conglomerates · Financial Services
Exchange
Johannesburg Stock Exchange
Winston Score
55
Winston is curious
A decent business — some strong pillars, some weaker.
Data as of Aug 23, 2026 · filings through Feb 28, 2026
How the score breaks down
Quality
Strong
Growth
Strong
Cash Flow
Weak
Stability
Good
Valuation
Weak

Winston Score History

The full picture

Purple Group Limited is a South African financial services company that helps everyday people invest in stocks and other assets. Its main product is EasyEquities, a low-cost investment platform that lets regular consumers buy fractional shares on South African and international stock exchanges. The company also runs Emperor Asset Management, which handles investment portfolios for larger clients.

Purple Group makes money by charging small fees on trades and through account-based revenue on its platforms. It operates primarily in South Africa but has expanded EasyEquities into markets like Australia and the Philippines. The platform's low minimum investment amounts and simple design have helped it attract millions of retail investors, giving it a strong brand in the emerging South African retail investing space. The key growth driver is continued expansion of its user base, but the company faces risks from competition with global fintech platforms and from economic pressures that reduce how much ordinary South Africans can afford to invest.

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+11.0% YoY

YoY Growth Rate

Steady revenue growth

EPS Growth

+21.2% YoY

YoY Growth Rate

Steady EPS growth

Cash Position

Cash flow positive

533M ZAC cash & investments

Quarterly Free Cash Flow

↓ Burn rate worsening

Company generates more cash than it spends — no dilution risk from fundraising

Growth + cash flow

Purple Group Limited is a rare growth stock that's already generating positive cash flow while growing at 11%. The Winston Score doesn't fully credit this transition from "burner" to "earner."

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Profit per sale
Gross Margin
74.2%
Premium pricing power — 74.2% gross margin
Profit after running costs
Operating Margin
28.1%
Excellent — 28.1% operating margin
Return on the money invested
ROCE
14.8%
Good — 14.8% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

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Growth

Sales growth
Sales YoY
+18.5%
Fast-growing sales (+18.5% YoY)
Profit growth
EPS YoY
+43.3%
Earnings growing fast (+43.3% YoY)

Earnings growing 25%+ a year. The compounder zone.

How steady the profit is
EPS Consistency
5/8 quarters
Mixed — about half the quarters showed growth

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Cash Flow

Profit that turns into cash
Cash Conversion
-44%
Weak — only -44% of profit becomes cash
Spare cash per sale
FCF Margin
-6.2%
Burning cash (-6.2%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

What it owes vs what it owns
Debt / Equity
N/A
Data not available
Covers its interest
Interest Cover
108.42x
Comfortably covers interest (108.4x)

Interest coverage above 8. Profits cover interest many times over.

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Valuation

Price vs profit
P/E Ratio (TTM)
41.9x
no trend
Pricey — P/E 41.9

P/E over 35. The market is pricing in heavy, sustained growth.

Cheaper or dearer next year
P/E vs Forward
N/A
not available
Data not available

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Dividends

Not applicable for this business.
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