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South African (JSE) Financials Sector Analysis

UpdatedNov 09, 2025
DataAggregated Company Financials
Companies36
  • 7D0.6%
  • 3M6.4%
  • 1Y8.4%
  • YTD10.8%

Over the last 7 days, the Financials industry has remained flat. The past year has been better, since the industry has gained 8.4% in that time. As for the next few years, earnings are expected to grow by 11% per annum.

Sector Valuation and Performance

Has the South African Financials Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 09 Nov 2025R2.5tR1.2tR223.7b9.1x11.2x2x
Tue, 07 Oct 2025R2.4tR1.2tR223.8b9x10.8x2x
Thu, 04 Sep 2025R2.3tR1.2tR218.4b9.3x10.7x2x
Sat, 02 Aug 2025R2.4tR1.2tR215.6b8.7x10.9x2x
Mon, 30 Jun 2025R2.4tR1.2tR215.9b9.2x10.9x2x
Wed, 28 May 2025R2.3tR1.2tR216.3b9.1x10.8x2x
Fri, 25 Apr 2025R2.3tR1.2tR216.8b8.8x10.4x1.9x
Sun, 23 Mar 2025R2.3tR1.2tR207.5b9.4x11.1x2x
Tue, 18 Feb 2025R2.2tR1.1tR195.7b11.3x11.5x2x
Thu, 16 Jan 2025R2.3tR1.1tR195.6b11.5x11.6x2x
Sat, 14 Dec 2024R2.4tR1.1tR192.6b11.9x12.4x2.1x
Mon, 11 Nov 2024R2.3tR1.1tR190.8b11.4x12.3x2.1x
Wed, 09 Oct 2024R2.3tR1.1tR191.3b12.3x12.1x2.1x
Fri, 06 Sep 2024R2.3tR1.2tR180.9b11.4x12.4x1.9x
Sun, 04 Aug 2024R2.1tR1.2tR182.7b9.9x11.6x1.8x
Tue, 02 Jul 2024R2.1tR1.2tR182.6b9.8x11.5x1.8x
Thu, 30 May 2024R1.9tR1.2tR182.5b9.7x10.1x1.6x
Sat, 27 Apr 2024R1.8tR1.2tR182.6b9.4x9.6x1.5x
Mon, 25 Mar 2024R1.8tR1.2tR181.3b9.2x9.8x1.5x
Wed, 21 Feb 2024R1.9tR1.2tR178.4b9.8x10.6x1.6x
Fri, 19 Jan 2024R1.9tR1.2tR178.9b10.2x10.5x1.6x
Sun, 17 Dec 2023R1.9tR1.2tR178.3b9.9x10.7x1.6x
Tue, 14 Nov 2023R1.8tR1.2tR179.6b10.2x10.1x1.6x
Thu, 12 Oct 2023R1.8tR1.2tR179.8b10.2x10.1x1.6x
Sat, 09 Sep 2023R1.9tR1.1tR183.7b10.1x10.1x1.7x
Mon, 07 Aug 2023R1.9tR990.2bR176.4b9.9x10.6x1.9x
Wed, 05 Jul 2023R1.8tR1.0tR176.7b10.1x9.9x1.7x
Fri, 02 Jun 2023R1.6tR1.0tR178.8b9.7x8.8x1.5x
Sun, 30 Apr 2023R1.7tR1.0tR178.8b9.1x9.5x1.7x
Tue, 28 Mar 2023R1.7tR1.0tR180.6b9.2x9.3x1.7x
Thu, 23 Feb 2023R1.8tR1.1tR173.2b9.2x10.6x1.7x
Sat, 21 Jan 2023R1.8tR1.1tR172.7b9.4x10.3x1.7x
Mon, 19 Dec 2022R1.7tR1.1tR172.9b8.6x9.7x1.6x
Wed, 16 Nov 2022R1.8tR1.0tR174.2b8.9x10.1x1.7x
Price to Earnings Ratio

10.1x


Total Market Cap: R1.8tTotal Earnings: R174.2bTotal Revenue: R1.0tTotal Market Cap vs Earnings and Revenue0%0%0%
South African Financials Sector Price to Earnings3Y Average 10.7x202320242025
Current Industry PE
  • Investors are relatively neutral on the South African Financials 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 10.7x.
  • The 3-year average PS ratio of 1.8x is lower than the industry's current PS ratio of 2.0x.
Past Earnings Growth
  • The earnings for companies in the Financials industry have grown 8.7% per year over the last three years.
  • Revenues for these companies have grown 6.3% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the South African Financials sector?

ZA Market-0.37%
Financials0.62%
Consumer Finance11.40%
Banks2.23%
Capital Markets1.20%
Mortgage Finance0%0
Insurance-0.37%
Diversified Financial-1.74%
Industry PE
  • Investors are most optimistic about the Diversified Financial industry, which is trading close to its 3-year average PE ratio of 11.3x.
    • Analysts are expecting annual earnings growth of 11.5%, which is lower than the prior year's growth of 25.5% per year.
  • Investors are most pessimistic about the Consumer Finance industry, which is trading below its 3-year average of 152x.
Forecasted Growth
  • Analysts are most optimistic on the Banks industry, expecting annual earnings growth of 12% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the Capital Markets industry is expected to see its earnings grow by 7.8% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
CPI Capitec Bank HoldingsR3.94k2.9%
+R12.7b		19.6%PB8.5x
SBK Standard Bank GroupR258.001.4%
+R5.6b		6.8%PB1.5x
NED Nedbank GroupR245.744.1%
+R4.5b		-16.2%PB1x
ABG Absa GroupR196.731.5%
+R2.4b		16.6%PB0.9x
INL Investec GroupR131.871.1%
+R1.2b		-5.2%PE7.9x

Latest News

SBK
R258.00
Standard Bank Group
7D
1.4%
1Y
6.8%

SBK: Future Performance Will Balance Efficiency Gains With Economic Headwinds

Narrative Update on Standard Bank Group Analysts have reaffirmed their price target for Standard Bank Group at R279.32 per share, citing stable revenue growth and ongoing improvements in profitability as justification for maintaining their valuation outlook. Analyst Commentary Market observers have weighed current performance indicators and strategic execution when evaluating Standard Bank Group's outlook.
DSY
R218.58
Discovery
7D
0.4%
1Y
19.2%

DSY: Stable Margins And Dividend Declaration Will Support Future Shareholder Value

Analysts have maintained their price target for Discovery at $245.50, citing stable profit margin outlooks and unchanged growth expectations as supporting factors. What's in the News Discovery Limited declared a final dividend of ZAR 2.1 per share for the 12 months ended June 30, 2025 (Key Developments).
CPI
R3,942.00
Capitec Bank Holdings
7D
2.9%
1Y
19.6%

CPI: Dividend Increase And Profit Margins Will Support Fair Valuation

Analysts have raised their price target for Capitec Bank Holdings from R4,051 to R4,143, citing incremental improvements in expected revenue growth. This comes despite a slight dip in forecast profit margins and a modestly higher forward valuation multiple.
ACT
R1.24
AfroCentric Investment
7D
-18.4%
1Y
-52.9%

The Market Doesn't Like What It Sees From AfroCentric Investment Corporation Limited's (JSE:ACT) Revenues Yet

Nov 05
The Market Doesn't Like What It Sees From AfroCentric Investment Corporation Limited's (JSE:ACT) Revenues Yet
FSR
R80.40
FirstRand
7D
-2.2%
1Y
2.0%

FSR: Stable Discount Rate And Political Stability Will Drive Future Market Confidence

Narrative Update on FirstRand: Analyst Price Target Change FirstRand's analyst price target remains unchanged at R93.89. Analysts note that updated assumptions for discount rate, revenue growth, and profitability have not meaningfully impacted their overall valuation outlook.
REM
R173.09
Remgro
7D
0.5%
1Y
14.7%
SLM
R91.42
Sanlam
7D
0.5%
1Y
3.0%

Assupol Integration And Digital Shift Will Unlock Future Potential

Analysts have raised their price target for Sanlam from R99.21 to R101.55, citing significantly improved profit margin forecasts, even though there are expectations of steeper revenue contraction. Valuation Changes Fair Value increased from ZAR 99.21 to ZAR 101.55, reflecting a modest upward revision.
OMU
R13.46
Old Mutual
7D
-0.7%
1Y
6.4%

Digital Transformation And Sustainability Will Reshape Financial Services

Old Mutual's analyst price target has been raised from R13.18 to R13.98. This reflects increased optimism from analysts based on improved profit margin projections and a lower discount rate.
OUT
R70.53
OUTsurance Group
7D
-3.4%
1Y
16.0%
SBP
R124.30
Sabvest Capital
7D
-0.6%
1Y
42.9%
AFH
R8.10
Alexander Forbes Group Holdings
7D
-1.6%
1Y
9.8%

Alexander Forbes Group Holdings Limited's (JSE:AFH) Shareholders Might Be Looking For Exit

Oct 01
Alexander Forbes Group Holdings Limited's (JSE:AFH) Shareholders Might Be Looking For Exit
CLI
R13.70
Clientèle
7D
-2.2%
1Y
11.8%
INL
R131.87
Investec Group
7D
1.1%
1Y
-5.2%
NED
R245.74
Nedbank Group
7D
4.1%
1Y
-16.2%

Digital Banking And African Expansion Will Unlock Future Potential

Nedbank Group's consensus price target saw a slight decrease to ZAR277.58 as both the future P/E and discount rate remained virtually unchanged, indicating stable fundamental expectations. What's in the News Nedbank Group declared an interim dividend of 1,028 cents per ordinary share for the six months ended 30 June 2025, resulting in a net dividend of 822.4 cents per share after 20% withholding tax.
ABG
R196.73
Absa Group
7D
1.5%
1Y
16.6%

Pan-African Integration And Digital Transformation Will Unlock Potential

With both the Future P/E ratio and Consensus Revenue Growth forecasts for Absa Group holding steady, the analyst price target likewise remains unchanged at ZAR224.19. What's in the News Absa Group declared an interim ordinary dividend of 785 cents per share for the period ended 30 June 2025, payable on 15 September 2025.
BAT
R2.09
Brait
7D
-1.9%
1Y
21.5%