Returns On Capital Signal Tricky Times Ahead For Primeserv Group (JSE:PMV)
May 04
South African (JSE) Industrials Sector Analysis
UpdatedMay 05, 2024
DataAggregated Company Financials
Companies29
- 7D3.2%
- 3M3.0%
- 1Y0.7%
- YTD-0.2%
The Industrials industry is up 3.2% in the last week, with Bidvest Group up 5.3%. Overall in the last year, the industry is flat. As for the next few years, earnings are expected to grow by 11% per annum.
Sector Valuation and Performance
Has the South African Industrials Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sun, 05 May 2024 | R179.9b | R440.3b | R19.8b | 5.4x | 9.1x | 0.4x |
| Tue, 02 Apr 2024 | R168.5b | R419.1b | R20.7b | 5.7x | 8.1x | 0.4x |
| Thu, 29 Feb 2024 | R164.3b | R410.5b | R20.7b | 5.4x | 7.9x | 0.4x |
| Sat, 27 Jan 2024 | R178.4b | R423.1b | R28.0b | 6.5x | 6.4x | 0.4x |
| Mon, 25 Dec 2023 | R180.2b | R422.9b | R28.0b | 6.1x | 6.4x | 0.4x |
| Wed, 22 Nov 2023 | R188.0b | R420.0b | R27.7b | 6.3x | 6.8x | 0.4x |
| Fri, 20 Oct 2023 | R182.7b | R408.9b | R25.5b | 5.3x | 7.2x | 0.4x |
| Sun, 17 Sep 2023 | R186.1b | R409.0b | R25.5b | 5.7x | 7.3x | 0.5x |
| Tue, 15 Aug 2023 | R190.3b | R411.2b | R27.6b | 5.4x | 6.9x | 0.5x |
| Thu, 13 Jul 2023 | R188.8b | R410.7b | R27.5b | 5.7x | 6.9x | 0.5x |
| Sat, 10 Jun 2023 | R183.5b | R410.1b | R27.6b | 5.7x | 6.6x | 0.4x |
| Mon, 08 May 2023 | R178.5b | R401.0b | R25.5b | 5.9x | 7x | 0.4x |
| Wed, 05 Apr 2023 | R186.5b | R399.1b | R25.3b | 5.7x | 7.4x | 0.5x |
| Fri, 03 Mar 2023 | R179.9b | R388.6b | R25.3b | 5.4x | 7.1x | 0.5x |
| Sun, 29 Jan 2023 | R174.4b | R389.1b | R25.2b | 5.5x | 6.9x | 0.4x |
| Tue, 27 Dec 2022 | R172.7b | R388.9b | R25.2b | 5.6x | 6.8x | 0.4x |
| Thu, 24 Nov 2022 | R174.7b | R374.4b | R25.0b | 6.6x | 7x | 0.5x |
| Sat, 22 Oct 2022 | R165.0b | R372.2b | R24.8b | 6.2x | 6.6x | 0.4x |
| Mon, 19 Sep 2022 | R172.9b | R372.1b | R24.8b | 6.6x | 7x | 0.5x |
| Wed, 17 Aug 2022 | R192.3b | R369.7b | R21.2b | 7x | 9.1x | 0.5x |
| Fri, 15 Jul 2022 | R177.5b | R368.0b | R20.5b | 7.3x | 8.7x | 0.5x |
| Sun, 12 Jun 2022 | R185.8b | R365.7b | R20.3b | 8.1x | 9.1x | 0.5x |
| Tue, 10 May 2022 | R182.5b | R363.1b | R19.9b | 8.5x | 9.2x | 0.5x |
| Thu, 07 Apr 2022 | R203.8b | R415.9b | R20.8b | 8.5x | 9.8x | 0.5x |
| Sat, 05 Mar 2022 | R203.0b | R438.4b | R22.9b | 8.3x | 8.9x | 0.5x |
| Mon, 31 Jan 2022 | R258.5b | R428.0b | R21.8b | 9.3x | 11.8x | 0.6x |
| Wed, 29 Dec 2021 | R263.8b | R427.6b | R21.6b | 8.9x | 12.2x | 0.6x |
| Fri, 26 Nov 2021 | R197.2b | R428.4b | R21.0b | 8.4x | 9.4x | 0.5x |
| Sun, 24 Oct 2021 | R196.9b | R438.2b | R16.5b | 8.3x | 11.9x | 0.4x |
| Tue, 21 Sep 2021 | R182.8b | R429.7b | R17.4b | 7.9x | 10.5x | 0.4x |
| Thu, 19 Aug 2021 | R189.2b | R426.8b | R16.3b | 7.6x | 11.6x | 0.4x |
| Thu, 03 Jun 2021 | R185.2b | R418.7b | R11.7b | 7.6x | 15.8x | 0.4x |
Price to Earnings Ratio
15.8x
Current Industry PE
- Investors are relatively neutral on the South African Industrials industry at the moment, indicating that they anticipate long term growth rates to remain steady.
- The industry is trading close to its 3-year average PE ratio of 8.7x.
- The industry is trading close to its 3-year average PS ratio of 0.46x.
Past Earnings Growth
- The earnings for companies in the Industrials industry have grown 19% per year over the last three years, while revenues have remained mostly flat.
- This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.
Industry Trends
Which industries have driven the changes within the South African Industrials sector?
| ZA Market | 1.90% | |
| Industrials | 3.19% | |
| Professional Services | 10.52% | |
| Industrials | 4.19% | |
| Transportation | 3.92% | |
| Logistics | 3.42% | |
| Machinery | 2.08% | |
| Construction | 1.17% | |
| Trade Distributors | 1.12% | |
| Building | 0.64% | |
| Aerospace & Defense | 0% | |
| Airlines | 0% | |
| Marine and Shipping | 0% | |
| Infrastructure | -0.39% | |
| Electrical | -2.68% | |
| Commercial Services | -7.19% | |
Industry PE
- Investors are most optimistic about the Construction industry which is trading above its 3-year average PE ratio of 10.1x.
- Analysts are expecting annual earnings growth of 27.3%, which is higher than its past year's earnings growth of 22.9% per year.
Forecasted Growth
- Analysts are most optimistic on the Construction industry, expecting annual earnings growth of 27% over the next 5 years.
- This is roughly in line with its past earnings growth rate.
- In contrast, the Transportation industry is expected to see its earnings grow by 6.6% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| BVT Bidvest Group | R252.60 | 5.3% +R4.3b | 1.2% | PE14x | |
| TCP Transaction Capital | R3.15 | 15.0% +R321.6m | -71.6% | PS0.1x | |
| KAP KAP | R2.60 | 3.2% +R199.5m | -11.3% | PE64.2x | |
| BAW Barloworld | R87.61 | 1.2% +R193.4m | 0.2% | PE8.4x | |
| FTH Frontier Transport Holdings | R6.40 | 6.7% +R116.5m | 16.4% | PE5.4x |
