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South African (JSE) Financials Sector Analysis

UpdatedJul 08, 2026
DataAggregated Company Financials
Companies35
  • 7D1.8%
  • 3M3.3%
  • 1Y22.9%
  • YTD5.8%

In the last week, the Financials industry is flat overall, with Absa Group standing out by going down 4.2%. The past year has been better, since the industry has gained 24% in that time. Earnings are forecast to grow by 14% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 08 Jul 2026R2.9tR1.3tR219.4b11.2x13.3x2.2x
Fri, 05 Jun 2026R2.8tR1.3tR219.2b10.7x12.6x2.1x
Sun, 03 May 2026R2.8tR1.3tR219.2b10.7x12.8x2.2x
Tue, 31 Mar 2026R2.7tR1.3tR217.2b10.3x12.4x2.1x
Thu, 26 Feb 2026R3.0tR1.2tR220.0b11.2x13.6x2.4x
Sat, 24 Jan 2026R2.9tR1.2tR223.4b10.7x12.8x2.3x
Mon, 22 Dec 2025R2.7tR1.2tR223.7b10.2x12.2x2.2x
Wed, 19 Nov 2025R2.6tR1.2tR224.3b9.1x11.7x2.1x
Fri, 17 Oct 2025R2.5tR1.2tR223.9b8.9x11.1x2x
Sun, 14 Sep 2025R2.4tR1.2tR221.4b9.2x10.8x2x
Tue, 12 Aug 2025R2.4tR1.2tR214.4b9x11x2x
Thu, 10 Jul 2025R2.4tR1.2tR215.7b9.1x11x2x
Sat, 07 Jun 2025R2.4tR1.2tR213.8b9.1x11.2x2x
Mon, 05 May 2025R2.3tR1.2tR216.3b9.3x10.8x2x
Wed, 02 Apr 2025R2.3tR1.2tR213.9b9.2x10.7x2x
Fri, 28 Feb 2025R2.3tR1.1tR195.7b10.9x11.6x2x
Sun, 26 Jan 2025R2.2tR1.1tR195.6b11.7x11.3x2x
Tue, 24 Dec 2024R2.3tR1.1tR193.0b11.3x12x2.1x
Thu, 21 Nov 2024R2.4tR1.1tR192.4b11.4x12.3x2.1x
Sat, 19 Oct 2024R2.4tR1.1tR191.3b12.2x12.4x2.1x
Mon, 16 Sep 2024R2.2tR1.2tR186.0b11.1x12.1x1.9x
Wed, 14 Aug 2024R2.1tR1.2tR182.5b9.8x11.6x1.8x
Fri, 12 Jul 2024R2.1tR1.2tR182.6b9.9x11.5x1.8x
Sun, 09 Jun 2024R1.8tR1.2tR183.3b9x9.7x1.5x
Tue, 07 May 2024R1.8tR1.2tR182.4b9.5x9.9x1.5x
Thu, 04 Apr 2024R1.7tR1.2tR181.3b9x9.6x1.5x
Sat, 02 Mar 2024R1.9tR1.2tR180.2b9.6x10.5x1.6x
Mon, 29 Jan 2024R1.9tR1.2tR178.7b9.9x10.7x1.6x
Wed, 27 Dec 2023R1.9tR1.2tR178.5b9.9x10.7x1.6x
Fri, 24 Nov 2023R1.9tR1.2tR177.1b10.3x10.6x1.6x
Sun, 22 Oct 2023R1.7tR1.2tR179.8b9.9x9.6x1.5x
Tue, 19 Sep 2023R1.8tR1.2tR185.1b9.9x9.6x1.5x
Thu, 17 Aug 2023R1.8tR996.9bR177.9b10x10.3x1.8x
Sat, 15 Jul 2023R1.8tR1.0tR176.2b10.2x10.2x1.8x
Price to Earnings Ratio

10.2x


Total Market Cap: R1.8tTotal Earnings: R176.2bTotal Revenue: R1.0tTotal Market Cap vs Earnings and Revenue0%0%0%
South African Financials Sector Price to Earnings3Y Average 11.3x202420252026
Current Industry PE
  • Investors are optimistic on the South African Financials industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 13.4x which is higher than its 3-year average PE of 11.3x.
  • The 3-year average PS ratio of 1.9x is lower than the industry's current PS ratio of 2.3x.
Past Earnings Growth
  • The earnings for companies in the Financials industry have grown 7.6% per year over the last three years.
  • Revenues for these companies have grown 8.4% 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 Market0.82%
Financials1.85%
Consumer Finance3.85%
Capital Markets2.77%
Diversified Financial2.07%
Banks1.76%
Insurance1.45%
Mortgage Finance0%0
Industry PE
  • Investors are most optimistic about the Consumer Finance industry even though it's trading below its 3-year average PE ratio of 156x.
    • It looks like they are confident that earnings will grow faster in the future than they have historically.
  • Investors are most pessimistic about the Capital Markets industry, which is trading close to its 3-year average of 9.4x.
Forecasted Growth
  • Analysts are most optimistic on the Diversified Financial industry, expecting annual earnings growth of 16% over the next 5 years.
  • This is better than its past earnings growth rate of 10% per year.
  • In contrast, the Insurance industry is expected to see its earnings grow by 11% 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
FSR FirstRandR97.362.7%
+R14.4b		28.7%PE12.3x
SBK Standard Bank GroupR323.052.8%
+R14.2b		42.0%PB1.8x
CPI Capitec Bank HoldingsR4.79k1.4%
+R7.6b		35.9%PB9.3x
SLM SanlamR89.463.0%
+R5.5b		1.6%PE11.7x
INL Investec GroupR133.083.3%
+R3.6b		0.4%PE7.8x

Latest News

DNB
R2.21
Deneb Investments
7D
-11.6%
1Y
13.3%
DSY
R260.62
Discovery
7D
-0.05%
1Y
18.0%
Analysis Article • Jul 05

What Does The Future Hold For Discovery Limited (JSE:DSY)? These Analysts Have Been Cutting Their Estimates

Market forces rained on the parade of Discovery Limited ( JSE:DSY ) shareholders today, when the analysts downgraded...
NED
R270.11
Nedbank Group
7D
1.6%
1Y
12.5%
Narrative Update • Jul 02

NED: Lower P/E Assumptions Will Support Future Upside Potential

Analysts have reduced their fair value estimate for Nedbank Group to ZAR379.29 from ZAR392.11, citing updated assumptions for the discount rate, revenue growth, profit margin and future P/E multiples. What’s in the News for Nedbank Group No recent Nedbank Group specific news items were available from the provided sources.
CPI
R4,794.44
Capitec Bank Holdings
7D
1.4%
1Y
35.9%
ZED
R1.08
Zeder Investments
7D
-6.1%
1Y
-13.6%
INL
R133.08
Investec Group
7D
3.3%
1Y
0.4%
Narrative Update • Jun 26

INL: FTSE 100 Inclusion And Higher Margins Will Support Future Upside

Analysts have lifted their price target for Investec Group to ZAR167.53 from ZAR136.01, citing updated assumptions that include a lower discount rate, a higher projected profit margin at 36.20% and a reduced future P/E of 10.57x. What's in the News Investec Group has been added to the FTSE 100 Index, reflecting its inclusion in the large cap benchmark in London.
FSR
R97.36
FirstRand
7D
2.7%
1Y
28.7%
Narrative Update • Jun 23

FSR: Earnings Resilience And Citi Downgrade Will Shape Future Upside

Analysts have nudged their price target for FirstRand slightly higher, with fair value moving from ZAR104.41 to ZAR105.13. This reflects updated views on the discount rate, revenue growth, profit margin and future P/E assumptions following recent research that included a downgrade from Citi.
SBP
R149.98
Sabvest Capital
7D
-2.6%
1Y
53.5%
OUT
R80.39
OUTsurance Group
7D
2.9%
1Y
1.8%
Narrative Update • Jun 22

OUT: Stable Leadership Transition Will Support Future Earnings And Dividend Strength

Analysts have made only marginal adjustments to their valuation inputs for OUTsurance Group, leaving the implied fair value effectively unchanged around ZAR86.26. A largely stable discount rate, revenue growth outlook, profit margin assumptions and future P/E of about 29.16x underpin the steady price target view.
BAT
R2.06
Brait
7D
-1.9%
1Y
-7.2%
SLM
R89.46
Sanlam
7D
3.0%
1Y
1.6%
SBK
R323.05
Standard Bank Group
7D
2.8%
1Y
42.0%
Narrative Update • Jun 10

SBK: Dividend Strength And Refined Risk Assumptions Will Support Post Downgrade Stability

Analysts have nudged their fair value estimate for Standard Bank Group slightly higher from ZAR336.77 to about ZAR341.01, citing refreshed assumptions on discount rates and future P/E in spite of recent bearish Street research. Analyst Commentary Bullish Takeaways Bullish analysts see the refreshed discount rate and P/E assumptions as better aligned with current risk pricing, which supports the modest uplift in fair value to about ZAR341.01.
SYG
R32.17
Sygnia
7D
-3.2%
1Y
6.8%
KST
R32.80
PSG Financial Services
7D
4.0%
1Y
51.0%
OMU
R13.12
Old Mutual
7D
-1.8%
1Y
7.5%
REM
R192.42
Remgro
7D
-0.7%
1Y
11.1%