Primary Health Properties gives investors exposure to healthcare properties in the UK and Ireland, such as the Eastergate Medical Centre (above) in West Sussex. (Photo: LinkedIn) 
The Stock Exchange News Service (SENS) got off to a slow start this year, but we’ve been treated to a few impressive company updates. With Primary Health Properties as a defensive dividend hero vs Northam Platinum and Grindrod as great examples of cyclical plays, we saw almost the full risk spectrum on display in the past week.
A 30-year dividend growth track record
There’s a lot to be said for including a dependable dividend payer in a portfolio, particularly when it brings additional diversification vs other things you would typically own. This is why it’s great to have a company like Primary Health Properties on the JSE, because it gives local investors the ability to obtain exposure to healthcare properties in the UK and Ireland without their money even leaving the country.
2025 was a big year for Primary Health Properties. They completed the Assura deal after a tough fight to be the preferred bidder. Blockbuster M&A transactions can be tough on near-term earnings, but the company made sure that the deal didn’t ruin an impressive run of increasing the dividend in each of the past 30 years.
Achieving a 2.8% increase in the dividend per share is a solid performance after such a transformative transaction. This dividend growth was achieved through rental growth of 2.7% on a like-for-like basis. The legacy Primary Health Properties portfolio contributed 2.6% and the Assura portfolio was good for 2.8%, so that’s a solid outcome that should help investors sleep at night.
It’s also great to see that 60% of the planned annualised synergies of £9-million have already been delivered. The remaining 40% will almost certainly be more difficult, but it’s still a good start and they didn’t waste any time in getting it done.
Given the importance of debt to property funds, it’s important that they get the leverage ratio back to the sustainable targeted range. A near-term spike after a major deal isn’t unusual, but it also cannot be ignored. Fitch has rated the company’s debt as BBB- with a negative outlook, with the main risks being related to timing and pricing of asset disposals. The sooner the group can recycle capital and reduce debt, the better.
The share price has been trading in a tight range for the past few months, but it broke higher in the past week based on this update. That’s an encouraging sign!
In mining, it’s all about the production numbers
Mining houses cannot control the prices of commodities. This is one of the main reasons the sector is seen as a risky, cyclical play that requires careful timing and position sizing. But management can certainly be held responsible for production numbers and the way in which they allocate capital in response to supply and demand fundamentals in commodity markets.
Platinum prices rose magnificently towards the end of 2025. That’s great news not just for investors in the sector, but for the South African economy at large. Prices are only half the battle won though: we also need to get the stuff out of the ground and sell it to international customers. The production performance of each company is what drives variance in share price performance.
Northam Platinum got it right at the end of 2025, with a 3.7% increase in total equivalent refined platinum group metals (PGMs). A 14.8% increase in chrome concentrate production doesn’t hurt either, but the focus right now is firmly on PGMs.
Performance at individual mine level will always vary, with Eland as the highlight in this period with a 19.6% increase in PGM concentrate production.
In case you’re wondering, Northam’s share price is up 233% over the past year. And no, that’s not a typo. If you time the cycle correctly you can make a fortune. It’s much easier said than done though!
Grindrod’s pit-to-port strategy is working
Grindrod is also a cyclical stock, but with far more diversification than a PGM-focused player like Northam Platinum. Instead of getting commodities out of the ground, Grindrod is focused on moving them around. They have a pit-to-port strategy that speaks directly to their logistics-heavy business model. It’s taken a lot of work for them to get to this point, since Grindrod used to own significant non-core assets that needed to be cleaned up.
With the share price up 43% in the past year, investors are clearly happy with the strategy. The latest update certainly won’t hurt, with the Port of Maputo (in which Grindrod holds a 24.7% stake) achieving record volumes in 2025. A 3.4% increase in total volumes was made possible by infrastructure upgrades and overall improvements to the logistics corridor.
Mozambique isn’t a low-risk country by any means, but the government generates plenty of revenue from the port and is therefore incentivised to help protect this financial gem. That’s good news for Grindrod investors. DM