Brait PLC (JSE: BAT) Eyes ZAR 2.28 as Virgin Active, Premier Drive Growth Amid SA Headwinds

Brait PLC (JSE: BAT) is holding steady at ZAR 2.11 on the back of strong results from Virgin Active and Premier Group. Virgin Active grew 13% year-on-year in March 2025 with EBITDA of £119m, largely driven by UK and Italy. Premier Group is expected to grow headline EPS by 20-30% this year despite inflation eating into consumer spending. These results come at a time when Brait’s diversified portfolio is proving defensive in a volatile market. Despite weak results in SA and Australia, Brait’s global exposure and sector mix (fitness and food production) is shielding it from local macro drag. SA Economic Challenges Pose Short-Term Risk SA’s economic backdrop is still a hurdle. BankservAfrica Transaction Index fell 0.6% in April to 136.4 – lowest reading of the year. 2025 growth forecast has been cut by 0.5% as US tariffs and inflation is impacting consumer activity. Manufacturing is in a technical recession but vehicle sales and stable mining is a selective positive. This mixed picture presents both risk and opportunity for investors. Companies like Brait with strategic stakes in resilient sectors will continue to outperform if global growth stabilises. Key Indicators: Brait PLC Technical Outlook: Breakout Watch at ZAR 2.12 From a technical perspective Brait is showing early signs of a breakout. The stock is trading just below ZAR 2.12 resistance and supported by a steady trend and 50-hour EMA at ZAR 2.08. Momentum is building as seen in the MACD’s mild positive bias. For newbies this is a textbook breakout setup: