Should I buy Truworths International stock in 2025?

What is Truworths International?

How much is the Truworths International stock?

The price of Truworths International stock is rising this week. Currently trading at 73.00 ZAR, the share shows a 0.29% gain over the past 24 hours. With a market capitalisation of 28.03 billion ZAR and a three-month average daily volume of 1,932,962 shares, Truworths displays strong liquidity on the JSE. Investors will note a price-to-earnings (P/E) ratio of 7.37, a generous 8.71% dividend yield, and a low beta of 0.90, suggesting below-market volatility. Despite a challenging environment, the stock’s combination of value and steady dividends offers compelling potential for South African investors seeking stable returns.

Our full analysis of the Truworths International stock

After a detailed review of Truworths International’s latest H1 2025 results alongside its three-year stock performance, our proprietary analysis—integrating financial ratios, technical signals, market trends, and peer benchmarking—highlights multiple reasons for optimism. Despite recent volatility, there are structural strengths and forthcoming catalysts that may position the stock for renewed upside. So, why might Truworths International once again become a strategic entry point into the African and UK apparel retail sector in 2025?

Recent Performance and Market Context

Truworths International (JSE: TRU) currently trades at 7,300 ZAc (73.00 ZAR), reflecting short-term resilience with a modest intraday gain of +0.29%, despite a 6-month decline of -28.47% and a 12-month slip of -10.60%. While these figures may appear challenging on the surface, the stock's YTD performance underscores a period of market consolidation within a difficult broader sector.

• Completion of a new state-of-the-art distribution centre, phased in from November 2024 to March 2025—a pivotal infrastructure upgrade set to enhance operational efficiency and scalability.
• Notable expansion of Office UK (the group’s UK footwear subsidiary), backed by a GBP 12 million investment and the opening of five new stores, signalling international growth ambition.
• Robust digital transformation, with online sales at Office now contributing 40% of the division’s total revenue, positioning Truworths at the forefront of omnichannel retail in ZA and beyond.

Macroeconomic tailwinds are strengthening: South Africa is entering a cycle of lower interest rates and improved consumer liquidity (further aided by the new ‘two-pot’ pension reform allowing early savings withdrawals), while forecasts for stronger GDP growth improve the backdrop for consumer-facing stocks. Truworths, with its dual-market presence, is well-placed to benefit from both local and UK recovery dynamics.

Technical Analysis

The technical picture, though complex, presents notable opportunities for risk-aware investors.

• Relative Strength Index (RSI, 14 days) at 47.04: The stock is hovering in neutral territory. It is neither overbought nor oversold, which is often interpreted as the beginning of a potential reversal window.
• Moving Average Convergence Divergence (MACD) at 17.94: This “buy” signal is a leading indicator of shifting momentum, suggesting that bearish pressure could be subsiding.

While the 20-, 100-, and 200-day simple moving averages suggest a “sell” bias, the 50-day moving average has crossed above the current price, indicating the start of possible medium-term accumulation. Key levels to monitor:

• Strong support near 6,009 ZAc (52-week low): A confirmed floor from which bounces have been observed.
• Near-term trading range: The stock is oscillating between 7,271 ZAc (low) and 7,466 ZAc (high)—an environment where technical traders often initiate new positions ahead of upside catalysts.
• Overarching technicals signal that with the MACD buy and neutral RSI, Truworths is approaching an inflection point, where renewed bullish momentum may develop, especially as fundamental news flow turns positive.

Fundamental Analysis

Truworths International’s fundamentals remain robust, painting a picture of deep value and attractive risk-reward at current levels.

• Revenue Growth: H1 2025 delivered 6.3% group revenue growth, with the standout Office UK subsidiary up 13.5%. This outpaces sector averages and highlights the strength of geographic diversification.
• Profitability: While group gross margin dipped slightly (52.3% vs 52.5% prior year) owing to promotional activity, the core operating margin is an industry-leading 27.3%. Even with a 17% decline in trading profit amidst cyclical headwinds, the profitability profile remains among the highest any South African retailer can offer.
• Balance Sheet Strength: Net debt is just 306 million ZAR—a mere 3.2% of equity—providing ample financial headroom for dividends, reinvestment, and opportunistic expansion.
• Return on Equity (ROE) at 36% and Return on Assets (ROA) at 27%: These world-class ratios underline capital efficiency and value creation for shareholders.
• Valuation: With a price-to-earnings (P/E) ratio of just 7.37 and a dividend yield of 8.71%, Truworths is priced at a clear discount to both JSE and global retail benchmarks. This multiple neither reflects its defensive cash flow profile nor its growth optionality.
• Strategic Innovations and Market Position:
• Leading market share in credit-based apparel sales—a unique and highly defensible moat in South Africa where consumer credit powers retail spend.
• Loyal customer base of over three million active accounts, supporting recurring revenue streams.
• Diversified global exposure through Office UK, now more integral as a growth engine.
• Data-driven omnichannel investments and store format innovations, tailored for the post-pandemic retail landscape.

Volume and Liquidity

Truworths trades around 1.93 million shares per day (3-month average), underlining ample liquidity for institutional and retail investors alike. This steady volume demonstrates sustained market confidence, even during periods of price adjustment.

Furthermore, the free float, combined with healthy daily turnover, enables dynamic price discovery and provides the conditions necessary for valuation rerating as catalysts materialise. As the stock approaches technical lows, increased volume may well serve as confirmation of accumulating institutional interest.

Catalysts and Positive Outlook

Looking forward, several key catalysts underpin a constructive medium- to long-term view:

• Completion and ramp-up of the new distribution centre: Expected to streamline logistics, cut costs, and improve inventory turnover, directly enhancing margin profile.
• Acceleration in UK expansion: Office UK’s strong online penetration (40% of sales) and new store openings unlock additional revenue streams while mitigating ZA-specific risk.
• Interest rate environment: Lower borrowing costs are a meaningful tailwind for consumer credit growth, benefiting Truworths’ core business model.
• The two-pot pension system: This reform will increase immediate household liquidity, likely boosting discretionary spend in apparel and footwear—core Truworths categories.
• ESG and Innovation: Ongoing omnichannel and sustainability investments ensure the business is aligned with evolving shopper preferences and institutional investment mandates.
• Macroeconomic recovery: SA’s economy appears to be rebounding, with consumer confidence primed for a cyclical upturn—particularly relevant for the retail sector.

Combined, these drivers could serve as the necessary spark for stock revaluation, transforming short-term price weakness into strategic entry points for forward-looking investors.

Investment Strategies

Whether considering a short, medium, or long investment horizon, the case for Truworths International is compelling:

• Short-Term: Technical indicators are positioning for a possible bullish reversal as the MACD flashes “buy” near oversold territory. Entry at or near current levels could capture an anticipated bounce back toward the 50-day moving average and beyond, especially as upcoming trading updates and operational milestones are announced.
• Medium-Term: With catalysts like distribution centre ramp-up and UK expansion set to impact operational performance over the next two quarters, medium-term holders could benefit from both improving fundamentals and sentiment-driven multiple expansion.
• Long-Term: For investors focused on sustainable total return, Truworths offers an attractive yield (~8.7%), deep-value P/E, and sector leadership. The group’s focus on credit management, digitalization, and geographic diversification provides a clear pathway to earnings recovery and growth.

In all cases, ideal positioning would be to accumulate near technical support levels or ahead of anticipated catalysts, locking in both value and yield before broader re-rating.

Is it the right time to buy Truworths International?

In summary, Truworths International combines critical strengths—sector-leading margins, impressive capital returns, a dominant brand portfolio, and geographic diversification—with undervalued equity pricing and visible near-term catalysts. The market’s recent risk-off stance appears to have provided a rare window of opportunity: the company’s financial resilience, transformational infrastructure investments, and exposure to improving macro conditions suggest that the fundamentals justify renewed interest among investors.

As signs of earnings growth, rising consumer sentiment, and operational leverage emerge in 2025, the stock may be entering a new bullish phase. Those seeking robust yield, exposure to both South African and UK retail, and strategic positioning for cyclical recovery will find Truworths International a stock that increasingly seems to represent an excellent buying opportunity at current levels.

In this context, Truworths International offers a rare blend of value, income, and growth optionality—a combination that deserves the attention of informed investors seeking compelling opportunities on the JSE in 2025.

How to buy Truworths International stock in ZA?

Buying Truworths International shares online has never been easier or safer for South African investors. By opening an account with a regulated broker, you can purchase Truworths International (JSE: TRU) stock securely from your computer or smartphone. You typically have a choice between two main methods: traditional “spot” share dealing—where you own the actual shares—or trading Contracts for Difference (CFDs), which track the share price without ownership. Both options are accessible with just a few clicks. To help you get started, we offer a detailed broker comparison further down the page.

Cash Buying

With cash (spot) buying, you purchase real Truworths International shares and become a direct shareholder, eligible for dividends and voting rights. Most South African brokers charge a fixed commission per transaction—typically around R80 to R150 per order.

Example

Let’s say the Truworths share price is R73.00 (7 300 ZAc). With a R19,500 (approx. $1,000) investment, after a typical R100 brokerage fee, you could buy just below 266 shares (R19,400 / R73 ≈ 265.7 shares).

✔️ Gain scenario: If the share price increases by 10%, your 266 shares would now be worth R21,130.
Result: That’s a gross gain of R1,930 (about $100), or roughly +10% on your initial investment.

Trading via CFD

CFDs (Contracts for Difference) allow you to speculate on Truworths International’s share price without owning the shares. Your profit or loss moves one-for-one with the share price, but CFDs can be leveraged, meaning you can open larger positions with a smaller cash outlay. With CFDs, you’ll typically face a spread (the difference between buy and sell prices) and overnight financing fees if you hold positions longer than a day.

Example

You open a CFD position on Truworths International shares using $1,000 (about R19,500) with 5x leverage, giving you market exposure of R97,500 ($5,000 equivalent).

✔️ Gain scenario: If the share price rises by 8%, your position value increases by 8% × 5 = 40%.
Result: That’s a gain of $400 (about R7,800) on your $1,000 investment, not including fees.

Final Advice

Before investing in Truworths International, it’s essential to compare brokers’ commissions, spreads, and trading conditions. Each broker has its own fee structures and tools, and choosing the right platform can make a real difference in your returns. Ultimately, your decision between cash buying and CFD trading should reflect your investment objectives, time horizon, and risk appetite. Take a look at our broker comparison further down the page to find the solution that suits you best.

Our 7 tips for buying Truworths International stock

The latest news about Truworths International

Truworths International delivered a strong 6.3% group revenue growth in H1 2025, with South Africa up 4.6%. This robust top-line performance in a challenging macroeconomic context reflects solid brand positioning and an effective focus on both core and international markets, notably with Office UK contributing +13.5% revenue growth. The continued expansion of its omnichannel offering in South Africa, alongside investments in new store formats, helped strengthen market share domestically, underpinning a base of three million active credit customers.

The company finalized and began activating its new South African distribution center during November 2024–March 2025. This state-of-the-art logistics hub marks a significant step in improving operational efficiency, supporting both physical and e-commerce channels, and laying the foundation for further growth in the country. The phased commissioning is expected to reduce delivery times, lower costs, and enhance inventory management at national scale, positioning Truworths well to capitalize on an improving local consumer environment.

A firmly positive market catalyst comes from anticipated interest rate cuts and new pension access rules in South Africa. As the SARB signals looser monetary policy, lower borrowing costs should alleviate pressure on consumer spending—a direct benefit for Truworths’ credit-based retail model. Additionally, the roll-out of the “two-pot” pension system enabling partial retirement withdrawals is likely to inject liquidity into the retail sector, potentially boosting discretionary apparel sales and supporting overall sector sentiment.

Technical analysis reflects constructive signals, with a recent MACD crossover indicating a buy despite medium-term price softness. While moving averages across various time frames still signal caution (“strong sell”), the positive MACD momentum and RSI in the neutral zone suggest bearish pressure may be abating. Coupled with a low 7.37 price/earnings multiple and a high 8.71% dividend yield, Truworths presents an attractive risk/reward profile for long-term local investors seeking value and income.

Strategic execution remains strong, supported by resilient cash generation, a modest gearing ratio, and continued brand diversification. The company maintains a net debt-to-equity of just 3.2%, robust 2024 operating cash flows of ZAR 4.7 billion, and a pro forma ROE of 36%. Investments in UK subsidiary Office are yielding double-digit sales growth and high digital sales penetration, contributing to diversified revenue streams beyond South Africa. The management’s prudent credit granting and ongoing omnichannel investments further reinforce structural resilience against ongoing earnings volatility.

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.