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Malaysian (KLSE) Financials Sector Analysis

UpdatedDec 07, 2021
DataAggregated Company Financials
Companies36
  • 7D0.9%
  • 3M-2.2%
  • 1Y3.7%
  • YTD-0.5%

Over the last 7 days, the Financials industry has remained flat. As for the the longer term, the industry is up 3.7% over the past 12 months.

Sector Valuation and Performance

Has the Malaysian Financials Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPE
Thu, 09 Dec 2021RM360.6bRM97.0bRM25.5b9.5x
Sat, 06 Nov 2021RM366.5bRM96.0bRM25.7b10.1x
Mon, 04 Oct 2021RM364.8bRM97.0bRM25.9b9.9x
Wed, 01 Sep 2021RM369.9bRM96.9bRM26.8b10.1x
Thu, 08 Jul 2021RM362.2bRM96.9bRM26.8b9.5x
Wed, 31 Mar 2021RM361.1bRM91.4bRM23.2b11.4x
Sat, 02 Jan 2021RM361.2bRM87.9bRM25.1b11.3x
Tue, 06 Oct 2020RM294.6bRM89.1bRM27.3b11.4x
Fri, 10 Jul 2020RM302.7bRM90.3bRM27.1b11.5x
Thu, 02 Apr 2020RM292.0bRM95.7bRM30.1b8.6x
Sun, 05 Jan 2020RM367.8bRM97.9bRM31.6b11.8x
Wed, 09 Oct 2019RM363.4bRM96.2bRM31.2b11.7x
Tue, 02 Jul 2019RM395.6bRM95.0bRM31.6b12.4x
Fri, 05 Apr 2019RM399.6bRM93.8bRM32.2b12.1x
Mon, 07 Jan 2019RM405.4bRM93.7bRM32.2b10.9x
PE Ratio

10.9x

Total Market Cap: RM405.4bTotal Earnings: RM32.2bTotal Revenue: RM93.7b0%0%0%3 Year10 Year
20202021

Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 11.1x. It appears they believe that earnings will grow in-line with historical growth rates.

Past Earnings Growth: The earnings for companies in the Financials industry have declined 7.5% per year over the last three years, while 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 Malaysian Financials sector?

Banks1.13%
Diversified Financial0.12%
Capital Markets-0.70%
Insurance-0.75%
Consumer Finance-2.54%

Industry PE: Investors are most optimistic about the Insurance industry, which is trading close to its 3-year average PE ratio of 11.8x. However analysts are expecting annual earnings growth of 6.2%, which is lower than the prior year's growth of 9.5% per year. So the market might believe that analysts are underestimating future growth. Meanwhile, investors are most pessimistic about the Diversified Financial industry, which is trading below its 3-year average of 33.1x.

Forecasted Growth: Analysts are most optimistic on the Banks industry, expecting annual earnings growth of 12% over the next 5 years. This is better than it's past earnings growth rate of 8.6% per year. Meanwhile, the Capital Markets industry is expected to see its earnings decline 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?

Company7D1YValuation
MAYBANK Malayan Banking Berhad1.9%+RM1.8b-3.3%PB1.1x
PBBANK Public Bank Berhad1.8%+RM1.4b-1.5%PB1.6x
CIMB CIMB Group Holdings Berhad2.3%+RM1.2b23.4%PB0.9x
RHBBANK RHB Bank Berhad2.7%+RM580.0m-8.0%PB0.8x
AMBANK AMMB Holdings Berhad2.5%+RM261.6m-7.7%PB0.7x
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MBSB

RM0.54

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7D

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1Y

-25.0%