Earnings Tell The Story For TOTVS S.A. (BVMF:TOTS3)
Apr 03
Brazilian (BOVESPA) Tech Sector Analysis
UpdatedApr 26, 2024
DataAggregated Company Financials
Companies9
- 7D-1.5%
- 3M-6.5%
- 1Y1.1%
- YTD-9.6%
The Tech industry has been flat over the last week, but ClearSale has lost 20%. In line with that, the industry has also been flat over the past 12 months. As for the next few years, earnings are expected to grow by 33% per annum.
Sector Valuation and Performance
Has the Brazilian Tech Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 26 Apr 2024 | R$31.2b | R$24.8b | R$473.3m | 11.4x | 65.9x | 1.3x |
| Sun, 24 Mar 2024 | R$33.9b | R$25.1b | R$592.9m | 12.6x | 57.2x | 1.4x |
| Tue, 20 Feb 2024 | R$32.7b | R$24.8b | R$550.6m | 12.5x | 59.4x | 1.3x |
| Thu, 18 Jan 2024 | R$41.2b | R$28.6b | R$1.2b | 13.4x | 34.9x | 1.4x |
| Sat, 16 Dec 2023 | R$43.2b | R$28.6b | R$1.2b | 13.7x | 36.5x | 1.5x |
| Mon, 13 Nov 2023 | R$40.4b | R$28.7b | R$1.5b | 12x | 27.1x | 1.4x |
| Wed, 11 Oct 2023 | R$38.1b | R$28.7b | R$1.5b | 15.5x | 26.2x | 1.3x |
| Fri, 08 Sep 2023 | R$41.2b | R$28.7b | R$1.5b | 17.4x | 28.3x | 1.4x |
| Sun, 06 Aug 2023 | R$42.7b | R$29.4b | R$1.6b | 19.6x | 26.3x | 1.5x |
| Tue, 04 Jul 2023 | R$44.8b | R$29.4b | R$1.6b | 20.2x | 27.9x | 1.5x |
| Thu, 01 Jun 2023 | R$42.0b | R$29.4b | R$1.6b | 17.6x | 26.2x | 1.4x |
| Sat, 29 Apr 2023 | R$36.7b | R$29.5b | R$2.1b | 16.7x | 17.6x | 1.2x |
| Mon, 27 Mar 2023 | R$38.1b | R$29.6b | R$2.4b | 16.4x | 15.9x | 1.3x |
| Wed, 22 Feb 2023 | R$56.6b | R$41.3b | R$3.5b | 10.4x | 16.2x | 1.4x |
| Fri, 20 Jan 2023 | R$58.5b | R$41.8b | R$3.5b | 9.7x | 16.9x | 1.4x |
| Sun, 18 Dec 2022 | R$52.8b | R$41.8b | R$3.5b | 8.1x | 15.2x | 1.3x |
| Tue, 15 Nov 2022 | R$62.6b | R$41.9b | R$3.4b | 10.9x | 18.7x | 1.5x |
| Thu, 13 Oct 2022 | R$67.5b | R$41.4b | R$3.4b | 10.5x | 19.8x | 1.6x |
| Sat, 10 Sep 2022 | R$63.5b | R$41.4b | R$3.4b | 10.5x | 18.7x | 1.5x |
| Mon, 08 Aug 2022 | R$60.9b | R$40.5b | R$3.7b | 8.8x | 16.5x | 1.5x |
| Wed, 06 Jul 2022 | R$50.6b | R$40.0b | R$3.3b | 8.3x | 15.3x | 1.3x |
| Fri, 03 Jun 2022 | R$55.2b | R$39.5b | R$3.4b | 8.6x | 16x | 1.4x |
| Sun, 01 May 2022 | R$56.1b | R$38.3b | R$3.5b | 9.5x | 15.9x | 1.5x |
| Tue, 29 Mar 2022 | R$60.6b | R$38.3b | R$3.7b | 10.9x | 16.5x | 1.6x |
| Thu, 24 Feb 2022 | R$59.0b | R$37.7b | R$3.7b | 10.5x | 15.9x | 1.6x |
| Sat, 22 Jan 2022 | R$52.7b | R$37.4b | R$3.7b | 11.3x | 14.4x | 1.4x |
| Mon, 20 Dec 2021 | R$59.3b | R$37.4b | R$3.7b | 11.9x | 16.2x | 1.6x |
| Wed, 17 Nov 2021 | R$70.0b | R$37.1b | R$3.8b | 12.8x | 18.5x | 1.9x |
| Fri, 15 Oct 2021 | R$71.1b | R$33.2b | R$3.3b | 17.7x | 21.8x | 2.1x |
| Sun, 12 Sep 2021 | R$72.7b | R$33.2b | R$3.3b | 18.3x | 22.3x | 2.2x |
| Tue, 10 Aug 2021 | R$78.9b | R$33.2b | R$3.3b | 18.8x | 24.2x | 2.4x |
| Mon, 03 May 2021 | R$58.9b | R$25.1b | R$1.9b | 21.5x | 31.8x | 2.3x |
Price to Earnings Ratio
31.8x
Current Industry PE
- Investors are optimistic on the Brazilian Information Technology industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 65.8x which is higher than its 3-year average PE of 24.9x.
- The 3-year average PS ratio of 1.6x is higher than the industry's current PS ratio of 1.3x.
Past Earnings Growth
- The earnings for companies in the Information Technology industry have declined 37% per year over the last three years.
- Meanwhile revenues have remained mostly flat.
- This means that although sales have remained flat, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the Brazilian Tech sector?
| BR Market | -0.20% | |
| Tech | -1.45% | |
| Communications | 1.75% | |
| Semiconductors | 0% | |
| Electronic Equipment and Components | -0.67% | |
| Software | -1.06% | |
| IT | -5.95% | |
| Tech Hardware | -6.45% | |
Industry PE
- Investors are most optimistic about the Software industry even though it's trading below its 3-year average PE ratio of 55.4x.
- Analysts are expecting annual earnings growth of 25.3%, which is higher than its past year's earnings decline of 39.6% per year.
Forecasted Growth
- Analysts are most optimistic on the Tech Hardware industry, expecting annual earnings growth of 123% over the next 5 years.
- This is better than its past earnings decline of 19% per year.
- In contrast, the Communications industry is expected to see its earnings grow by 14% 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 | |
|---|---|---|---|---|---|
| INTB3 Intelbras - Indústria de Telecomunicação Eletrônica Brasileira | R$18.99 | 1.9% +R$117.9m | -15.9% | PE11.4x | |
| SQIA3 Sinqia | R$27.37 | 0.8% +R$17.8m | 34.5% | PE208.5x |
