Allan Gray says it views Shoprite, Mr Price and Dis-Chem as high-quality businesses trading at meaningful discounts to their history, according to Daily Investor, citing Allan Gray portfolio manager Tim Acker in the overview of the Allan Gray Equity Fund for the first half of 2026, where the fund continued rotating into domestically focused SA Inc shares.
This is commentary on how the fund sees these three listed retailers, not an announcement of a new investment, financing or capital injection. Allan Gray manages retirement and investment funds for individuals and institutions, and the report says it approached the opportunity in these stocks with caution and selectivity.
What the fund said about its approach
According to Daily Investor, Acker said the fund took profits in areas of strength, such as precious metals and British American Tobacco, and moved capital into domestic businesses where valuations looked more compelling. “SA Inc” refers to JSE-listed companies that earn most of their income locally.
Shoprite Holdings is South Africa’s largest grocery retailer. Mr Price Group operates value-priced fashion and homeware outlets, while Dis-Chem is a leading health-and-beauty retailer with real presence in both urban and township markets. All three rely on extensive networks of local manufacturers, distributors and logistics providers, which means continued financial strength at the top of that chain helps keep payment terms stable and shelf space secure for the smaller producers feeding into it.
How the three shares have moved
Daily Investor reports that Shoprite’s share price was up 12% for the year to date, Mr Price was down 5% and Dis-Chem was down 17%. The article does not give the date of those year-to-date figures. It also cites Shoprite’s 19.4% return on invested capital and Mr Price’s record operating profit above R6 billion in its 2026 financial year, and notes that Dis-Chem’s trading profit passed R1 billion in its 2026 financial year.
That mix helps explain why the commentary is framed around valuation: a share that has fallen can look cheaper against its own history, while one that has risen has less room for that argument. The fund’s view is its own opinion rather than a guarantee of future returns, and Daily Investor states that its content is not financial advice.
For suppliers to any of the three retailers, the practical point is that listed retailers’ share prices do not directly change payment terms or procurement policy. Those are set in contracts, and suppliers should keep watching each retailer’s own results and announcements.
For related coverage of a different consumer-facing retail investment this period, see this site’s report on iStore’s premium mall reopening, and the JSE’s own market data lets any reader check current share prices for these three companies directly.
