Should I buy Shoprite Holdings stock in 2025?

What is Shoprite Holdings?

How much is the Shoprite Holdings stock?

The price of Shoprite Holdings stock is rising this week. As of now, Shoprite Holdings trades at 29,181 ZAR per share, showing a strong 3.94% gain over the past 24 hours and a 1.72% increase for the week.

The company’s market capitalisation stands at 158.87 billion ZAR, with an average trading volume of 1.75 million shares over the past three months.

With steady financial performance and modest price swings, Shoprite is considered a stable choice on the JSE for ZA investors seeking resilient growth.

Our full analysis on the Shoprite Holdings stock

After a rigorous review of Shoprite Holdings’ latest financial disclosures and an in-depth assessment of its stock performance over the past three years, it is clear that Shoprite remains a bellwether for South Africa’s retail sector. Utilising a blend of fundamental metrics, technical indicators, peer benchmarking, and proprietary algorithmic screening, we observe a compelling realignment of bullish forces across Shoprite’s business and its share price. So, why might Shoprite Holdings stock once again become a strategic entry point into the Southern African retail landscape in 2025?

Recent Performance and Market Context

Elevating Market Leadership Amid Sector Resilience

The Shoprite Holdings share (JSE: SHP) has demonstrated robust resilience, closing at 29,181 ZAR as of 30 May 2025—a year-to-date gain of +10.35% and maintaining a strong position within its 52-week range of 23,421–31,569 ZAR. Despite a modest 1.35% pullback over six months, recent trading sessions have signalled clear upside, with an intraday spike of nearly 4%. Analyst consensus targets suggest further upside toward 31,233 ZAR, with some models projecting as high as 37,935 ZAR (+30% from current levels).

Key Drivers of Positive Momentum:

• Earnings Outperformance: Both Shoprite’s annual and interim results delivered high single-digit to double-digit growth across revenue (+12% full-year 2024) and diluted earnings per share (+7.4% full-year, +9.9% H2 2024), decisively beating market expectations.
• Strategic Milestones: Expansion by net 283 new stores and creation of 3,000 jobs highlight management's commitment to scale and market penetration.
• Favourable Sector Dynamics: While consumer spending faces macro pressures, food retail remains comparatively defensive within the JSE, with Shoprite’s scale, brand resonance, and rapid digital innovation further insulating it from cyclical risk.
• Structural Tailwinds: The group’s exposure to 10 African countries and its digital Checkers Sixty60 platform signal diversified growth and operational agility across both developed and emerging markets within Africa.

Technical Analysis

Momentum Gathering on Bullish Technical Setups

• Momentum Indicators: Current 14-day RSI sits at 51.87—a neutral position that points to room for further upside and avoids immediate overbought conditions, despite a short-term STOCH reading (96.5) suggestive of overextension.
• Trend Confirmation: The MACD (54.8) continues to issue a clear buy signal, underpinned by the share price’s breakout above the pivotal 200-day moving average. Technically, this marks the resumption of a bullish cycle.
• Key Levels:
• Strong Support: 27,550 ZAR – representing a robust level where buying interest should intensify on any short-term weakness.
• Key Resistance: 31,620 ZAR – a sustained close above could trigger further acceleration as technical traders re-engage.
• Short/Medium-Term Structure: Rebounding from recent consolidations, Shoprite appears to offer an ideal technical positioning for accumulation, especially as the price action begins to re-test upper trading band limits.

Fundamental Analysis

Operational Excellence Underpinning Investor Conviction

• Sustained Revenue and Earnings Growth: Shoprite’s top-line rose +12% in FY24 (to 246.1bn ZAR), with profit growth keeping pace—demonstrating successful pricing, cost management, and volume retention even in a tough economic climate.
• Valuation Remains Well-Balanced: At a trailing P/E of 22.17, Price/Sales of 0.61, and yield of 2.60%, Shoprite trades at a premium to emerging market retail peers, but this is justified given its return on equity, market dominance, and consistent EPS delivery. The price-to-book multiple reflects both tangible and intangible strength, including its Xtra Savings loyalty base (31 million active users) and leading e-commerce capabilities.
• Structural Advantages:
• Market Leadership: Shoprite ranks as Africa’s largest food retailer, serving over 30 million customers, with brand strength across Shoprite, Checkers, and Usave banners.
• Innovation: Continued investment into e-commerce (Sixty60) and supply chain technology sets Shoprite apart competitively, streamlining last-mile logistics and driving revenue via higher-margin categories (fresh, private label, and digital fulfilment).
• Resilience and Adaptability: Shoprite has consistently grown even during periods of rolling blackouts and inflation pressures, highlighting operational adaptability.

Volume and Liquidity

Deep Tradeability and Healthy Free Float Support Valuations

• Volume Confidence: Average daily turnover of 1.75 million shares underscores robust institutional participation and investor confidence. Such liquidity facilitates attractive entry and exit points for retail and institutional investors alike.
• Favourable Free Float: Out of 591.3 million shares outstanding, a float of 423 million enables dynamic price discovery and minimises volatility risk, compared to more tightly held sector peers—supporting a valuation that can respond efficiently to positive catalysts.

Catalysts and Positive Outlook

Multiple Value-Unlocking Catalysts Ahead

• Digital Expansion: The ongoing success of Checkers Sixty60 continues to exceed adoption benchmarks, reinforcing Shoprite’s digital ambitions and providing a high-growth margin lever on top of the core supermarket business.
• ESG and Efficiency Initiatives: Substantial investment in greener technologies, supply chain optimisation, and community-focused programmes enhances Shoprite’s public profile amidst investor scrutiny on sustainability.
• Portfolio Optimisation: The sale of OK Furniture and House & Home to Pepkor sharpens Shoprite’s focus on core high-margin food and grocery retail, while potential acquisition of the remaining stake in Pingo Delivery promises further delivery excellence.
• Innovation and New Formats: Continued rollout of advanced POS (point of sale) and further development of private label/fresh offerings fortify category leadership and customer loyalty.
• Balanced Geographical Exposure: Shoprite’s established footprint in 10 African countries increases resilience to isolated market shocks, while positioning the group to capture incremental pan-African retail growth.

Investment Strategies

Entry Points for Different Investment Horizons

• Short-Term Positioning: Technical momentum and the MACD buy signal suggest timely entries around pullbacks toward 27,550 ZAR support, with potential for rapid upside as the next set of quarterly results or new strategic disclosures approach.
• Medium-Term Opportunity: With a moderate P/E and defensible market advantages, Shoprite’s track record of outperforming expectations can offer attractive risk/reward over a 6–12 month view, especially for investors seeking exposure to South Africa’s resilient consumption theme.
• Long-Term Conviction: Structural competitive advantages, synergistic innovation, and the group’s pan-African vision provide a compelling long-duration thesis. Ongoing digital transformation and an embedded loyalty base suggest sustained double-digit growth potential.

Ideal Positioning: The current phase, wedged between technical support and a probable new breakout, seems to represent an excellent opportunity for strategic investors to accumulate exposure ahead of further catalysts—be it further e-commerce gains, successful integration of delivery assets, or broader macro recovery.

Is it the Right Time to Buy Shoprite Holdings?

An Exceptional Combination of Technical, Fundamental, and Strategic Strengths

Shoprite Holdings demonstrates sustained leadership and robust financial health, with consistently growing earnings and revenues, effective portfolio optimisation, and a proactive digital agenda. Supported by high trading liquidity and well-distributed float, the share price enjoys both technical resilience and sharp reactivity to positive catalysts. The alignment of analyst consensus targets with current trends, coupled with the group’s successful track record in execution across key geographies, indicates that Shoprite stock may be entering a new bullish phase.

For investors seeking a blend of growth, defensiveness, and strategic differentiation within the South African context, Shoprite Holdings stands out as a uniquely positioned vehicle. The convergence of technical momentum, impressive market fundamentals, and visible catalysts for further value creation—especially in digital retail—suggests that the stock merits renewed attention from both medium-term tacticians and long-term conviction investors.

As the company continues to deliver beyond expectations and further solidifies its digital and geographic footprint, Shoprite Holdings seems poised to offer an ideal entry point for those looking to participate in the next chapter of African retail evolution. The stars appear to be aligning for a new phase of outperformance, making Shoprite a stock to watch with keen interest moving into 2025.

How to buy Shoprite Holdings stock in South Africa?

Buying Shoprite Holdings shares online is both simple and secure when you use a regulated broker in South Africa. Today, investors have two main options: you can buy the actual Shoprite Holdings shares ("spot buying"), making you a shareholder in the company, or you can trade Contracts for Difference (CFDs), which lets you speculate on the share price's movement with leverage. Each method has its own advantages and fee structure. To make the best choice for your goals, it's important to compare brokers—see the comparison table further down this page for details.

Spot Buying

Spot buying means purchasing real Shoprite Holdings shares—listed on the Johannesburg Stock Exchange (JSE)—and becoming a direct shareholder. This is the most traditional way to invest, giving you ownership rights, potential dividends, and voting privileges. South African brokers typically charge a fixed commission per trade (for example, around R100 to R150 per order), plus a small regulatory or platform fee.

Example

If the Shoprite Holdings share price is R29,181 and you invest $1,000 (about R18,500), you can buy approximately 0.63 shares (Shoprite is a high-priced stock and brokers may allow fractional share purchases). After a brokerage fee of roughly R100 (~$5), your total investment is about $995.

✔️ Gain scenario

If the share price rises by 10%, your holding is now worth about $1,100.
Result: That’s a $100 gross gain, or +10% on your initial investment.

Trading via CFD

CFD trading on Shoprite Holdings allows you to speculate on the share price without owning the underlying shares. CFDs are contracts between you and your broker, letting you open larger positions using leverage. Instead of a fixed commission, brokers charge a "spread" (a small difference between buy and sell price), and if you keep positions open overnight, you pay a daily financing fee.

Example

You invest $1,000 in a CFD position on Shoprite Holdings, using 5x leverage. This gives you $5,000 market exposure. If the Shoprite Holdings share price moves up 8%, as you hold a leveraged CFD, your position gains 8% × 5 = 40%.

✔️ Gain scenario

You would earn $400 (on your $1,000 margin, excluding costs like spread and financing fees).

Final Advice

Before investing, always compare broker fees, minimum deposits, and available services—costs can make a significant difference to your net returns. Your investment approach—whether you prefer long-term direct ownership or the flexible, leveraged style of CFDs—should match your financial objectives and risk profile. Refer to the broker comparison further down the page to find the option that suits your needs best.

Our 7 tips for buying Shoprite Holdings stock

The latest news about Shoprite Holdings

Shoprite Holdings’ share price has gained 1.72% over the last week, outpacing its 6-month performance. This recent upward momentum on the JSE reflects strong investor confidence, underpinned by robust trading volumes—averaging 1.747 million shares over three months—and a bullish technical profile. Notably, the share price recently broke through its 200-day moving average, commonly regarded by market participants as a sign of sustained positive trend. The MACD technical indicator continues to flash a buy signal, suggesting that market sentiment remains favorable for further price appreciation, with the analyst consensus target sitting comfortably above the current price at 31,233 ZAR.

Shoprite reported semi-annual revenue growth of 9.4% and a diluted EPS increase of 9.9%, exceeding analysts’ forecasts. For the 26-week period ended December 2024, revenue reached 130.8 billion ZAR, driven by resilient merchandise sales and strong operational leverage across its supermarket base in South Africa. Diluted earnings per share rose nearly 10% and the interim dividend was increased by 6.7%, aligning with management’s ongoing commitment to shareholder returns. This strong set of results was well-received by the market and helped reaffirm Shoprite’s leading position in the domestic food retail sector.

The group’s strategic expansion continued, with the net opening of 283 stores and the creation of roughly 3,000 new jobs. This aggressive footprint growth, largely concentrated in South Africa but also present in nine other African countries, reinforces Shoprite’s unrivaled distribution network and market reach. The group not only bolstered its operational scale but reinforced its leadership position among South African retailers, further supporting long-term volume and sales growth. This expansion, along with Shoprite’s differentiated multi-brand portfolio, secures a diversified customer base and increases loyalty.

Shoprite is enhancing its digital and supply chain capabilities to drive future efficiency and customer engagement. The retailer’s ongoing investment in technology was highlighted by the successful nationwide rollout of a new point-of-sale system and continued scaling of its Checkers Sixty60 on-demand delivery platform. These digital initiatives support operational optimization and create a competitive edge in both online and offline retail experiences—vital in a maturing South African consumer market. Furthermore, the company is in advanced talks to acquire the remaining 50% stake in Pingo Delivery, a strategic move to secure control over last-mile logistics.

The divestiture of non-core assets, including OK Furniture and House & Home, streamlines Shoprite’s retail focus. The signed agreement to sell its furniture operations to Pepkor Holdings marks a major portfolio simplification, allowing Shoprite to double down on its core supermarket and grocery businesses. This realignment is expected to improve operational efficiency and capital allocation, freeing up resources for higher-return initiatives in its mainstay markets. The move is seen as constructive by analysts, who view it as an opportunity for Shoprite to reinforce its leadership in the food retail sector, enhance profitability, and sustain future growth.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.