Foreign News
South Africa’s richest man, Johan Rupert, gains $2.7 billion in one month.
Johan Rupert, South Africa’s wealthiest individual and the current richest person in Africa according to Forbes’ real-time billionaire index, has seen a significant increase in his net worth, gaining $2.7 billion in just one month.
At the beginning of January, Rupert’s wealth was estimated at $11.3 billion, based on December’s data on Africa’s richest, according to a report by Nairametrics.
However, as of Thursday, February 6, 2025, new assessments place his fortune at $14 billion, surpassing Nigerian billionaire Aliko Dangote, whose net worth stands at $10.9 billion.
The 74-year-old tycoon, who built his fortune through luxury goods company Compagnie Financière Richemont SA, has benefited from a significant rise in the company’s stock.
Over the past month, Richemont’s shares have soared by 27.36%, contributing to the substantial increase in Rupert’s net worth.
Some context on Rupert’s net worth rise: On Wednesday, Morgan Stanley analysts upgraded Richemont’s stock rating from equal-weight to overweight, indicating strong growth prospects for the company.
The investment bank also raised its price target for Richemont shares from CHF 148.00 to CHF 200.00, citing the company’s solid financial health and positive momentum. Richemont’s stock currently trades at CHF 177.10, marking a 28% year-to-date return and nearing its 52-week high of $19.61. Analysts highlight the company’s strong financial position, with a current ratio of 2.52 and an impressive 67.6% gross profit margin.
Morgan Stanley’s positive outlook on Richemont is driven by three key factors: the company’s strong financials, the potential for stock valuation increases, and revised earnings estimates for fiscal years 2025 to 2027 that exceed market expectations.
What we know about Richemont’s market performance: The Swiss luxury group, known for its brands Cartier, Buccellati, Van Cleef & Arpels, and Vhernier, reported €6.15 billion ($6.32 billion) in third-quarter sales, marking a 10% year-over-year increase.
Strong jewelry sales helped offset a decline in watch sales, a segment impacted by changing consumer trends.
Regionally, Richemont experienced double-digit growth in the Americas, Europe, the Middle East and Africa, and Japan.
However, sales in Asia Pacific faced challenges, declining 18%, largely due to ongoing economic difficulties in China, Hong Kong, and Macau.
China, a key driver of luxury goods sales in recent years, has been struggling with an economic slowdown, affecting discretionary spending among affluent consumers. Richemont’s performance remains strong in other markets.
