Sasol Shares 2021, Investor Guide

Founded in 1950, and currently employing more than 30,000 people, Sasol is still one of the best companies in South Africa with a market value of more than 20 billion USD (around 300 billion Rands).

Sasol’s major shareholders include the Government Employees Pension fund, the IDC (Industrial Development Corporation of South Africa), Allan Gray Investment Counsel, Coronation Fund Managers, Investec Asset Management, and others.

With more than 350 companies listed on the JSE, other top companies include Anglo American, Shoprite Holding, MTN Group, Naspers, and the Standard Bank Group to mention a few. Click here for a full list.

Sasol’s debt burden is estimated to be more than 8 billion USD (120 billion Rands), with a debt ratio of 0.92 in 2021 vs 1.3 in 2020. (according to Investopedia.com a good debt ratio is between 0.3 and 0.6)

In early 2020, we saw an overnight plummet of oil prices globally due to the COVID-19 pandemic, Sasol’s share price plummeted by more than 45% in a single day taking it back to the level of 2004 and trading below R100 at 9500c. However, the company made a good recovery in 2021 trading around R250 at the end of Aril 2021.

As a listed and top performing company on the JSE: SOL (Johannesburg Stock Exchange) and the New York Stock Exchange (NYSE: SSL), Sasol shares are available for the public to buy.

According to sashares, the one-year consensus forecast on SOL shares currently shows a 16% sell, 42% hold, and 42% buy, with the majority consensus leaning towards investors holding the shares that they currently have in Sasol.

How to buy Sasol Shares?

SSA is Sasol’s largest operating company and houses our synthetic fuels, chemicals, and gas operations, which are currently strong, cash generative assets.

You can buy and trade Sasol shares on the JSE. Sasol has three types of shares:

SASOL ORDINARY (SOL) SHARES - Bought or traded by anyone

SASOL BEE ORDINARY (SOLBE1) SHARES - Bought or traded among *Black South Africans only

SASOL KHANYISA ORDINARY SHARES - Only available to Black* South Africans who previously participated in Sasol Inzalo and elected to retain their SOLBE1 shares and accept the free share allocation

In September 2018 the SIPBEE (Sasol Inzalo) shares came to an end after the launch of the Sasol Kanyisa.

Sasol Khanyisa is Sasol’s flagship Broad-Based Black Economic Empowerment ownership structure that holds a 25% direct and indirect shareholding in Sasol South Africa Limited (SSA). Sasol Khanyisa Public has around 230 000 public shareholders and owns approximately 9,2% of Sasol SA Limited

SASOL KHANYISA GROUP STRUCTURE

Sasol Khanyisa Ordinary shares are not publicly traded. If dividends are declared by SSA you will receive your share of such dividends on your Sasol Khanyisa shares

The most notable characteristic of Sasol Khanyisa is that your Khanyisa share ownership will ultimately be in SSA, which is a subsidiary of Sasol Limited.

Click here to see some of the benefits of owning the Sasol Khanyisa share.

Does Sasol pay dividends and much?

A dividend is a distribution of earnings by a company to its shareholders. The dividend per share is the part of the profit that is allocated to each share which is paid to shareholders.

According to netcials.com

Sasol Ltd (SSL) paid a dividend of 0.13 per share on Mar 14, 2019. Assume, you had bought 1000$ worth of shares before one year on Mar 14, 2018.

The closing price during Mar 14, 2018 was 34.22. For 1000$ you would have purchased 29 number of shares.

On Mar 14, 2019 your payout can be calculated as shown below.

The payout for 29 shares = 29 shares x 0.13 dividend per share
= $3.77

Sasol dividends were at their highest during the 2011 – 2013 period.

Just remember there is no guarantee that dividends will be declared.