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South African (JSE) Banks Industry Analysis
UpdatedNov 23, 2024
DataAggregated Company Financials
Companies5
- 7D2.7%
- 3M6.8%
- 1Y32.7%
- YTD32.7%
In the last week, the Banks industry is up 2.7%, with Capitec Bank Holdings up 3.4%. This takes the industry's 12 month performance to a gain of 35%. As for the next few years, earnings are expected to grow by 13% per annum.
Industry Valuation and Performance
Has the South African Banks Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sat, 23 Nov 2024 | R1.1t | R349.1b | R90.6b | 8.9x | 11.9x | 3.1x |
| Mon, 21 Oct 2024 | R1.1t | R349.6b | R91.0b | 9x | 11.6x | 3x |
| Wed, 18 Sep 2024 | R1.0t | R345.2b | R89.2b | 9x | 11.4x | 3x |
| Fri, 16 Aug 2024 | R977.0b | R341.9b | R90.6b | 8.7x | 10.8x | 2.9x |
| Sun, 14 Jul 2024 | R920.4b | R339.9b | R90.0b | 8x | 10.2x | 2.7x |
| Tue, 11 Jun 2024 | R783.5b | R339.9b | R90.0b | 6.8x | 8.7x | 2.3x |
| Thu, 09 May 2024 | R798.5b | R339.9b | R90.0b | 7.1x | 8.9x | 2.3x |
| Sat, 06 Apr 2024 | R781.7b | R337.9b | R89.6b | 6.8x | 8.7x | 2.3x |
| Mon, 04 Mar 2024 | R829.6b | R335.8b | R86.3b | 7x | 9.6x | 2.5x |
| Wed, 31 Jan 2024 | R806.3b | R335.8b | R86.3b | 6.9x | 9.3x | 2.4x |
| Fri, 29 Dec 2023 | R817.1b | R335.8b | R86.3b | 7.1x | 9.5x | 2.4x |
| Sun, 26 Nov 2023 | R818.5b | R335.8b | R86.3b | 7.8x | 9.5x | 2.4x |
| Tue, 24 Oct 2023 | R748.6b | R335.7b | R86.4b | 7.2x | 8.7x | 2.2x |
| Thu, 21 Sep 2023 | R767.4b | R334.6b | R86.0b | 7.6x | 8.9x | 2.3x |
| Sat, 19 Aug 2023 | R744.3b | R334.6b | R86.4b | 7x | 8.6x | 2.2x |
| Mon, 17 Jul 2023 | R745.5b | R312.7b | R79.3b | 7.3x | 9.4x | 2.4x |
| Wed, 14 Jun 2023 | R693.7b | R312.7b | R79.3b | 7.5x | 8.7x | 2.2x |
| Fri, 12 May 2023 | R651.8b | R312.7b | R79.3b | 6.8x | 8.2x | 2.1x |
| Sun, 09 Apr 2023 | R745.3b | R313.0b | R78.9b | 7.6x | 9.4x | 2.4x |
| Tue, 07 Mar 2023 | R794.8b | R293.3b | R71.5b | 8.9x | 11.1x | 2.7x |
| Thu, 02 Feb 2023 | R797.9b | R293.3b | R71.5b | 8.9x | 11.2x | 2.7x |
| Sat, 31 Dec 2022 | R757.9b | R293.3b | R71.5b | 8.1x | 10.6x | 2.6x |
| Mon, 28 Nov 2022 | R815.1b | R293.3b | R71.5b | 8.6x | 11.4x | 2.8x |
| Wed, 26 Oct 2022 | R766.2b | R293.3b | R71.5b | 8.1x | 10.7x | 2.6x |
| Fri, 23 Sep 2022 | R685.4b | R292.3b | R70.7b | 8.3x | 9.7x | 2.3x |
| Sun, 21 Aug 2022 | R775.6b | R282.1b | R64.8b | 9.5x | 12x | 2.7x |
| Tue, 19 Jul 2022 | R706.2b | R276.9b | R62.5b | 9.2x | 11.3x | 2.6x |
| Thu, 16 Jun 2022 | R755.8b | R276.9b | R62.5b | 10.8x | 12.1x | 2.7x |
| Sat, 14 May 2022 | R754.3b | R276.9b | R62.5b | 9.5x | 12.1x | 2.7x |
| Mon, 11 Apr 2022 | R818.7b | R274.4b | R61.7b | 9.7x | 13.3x | 3x |
| Wed, 09 Mar 2022 | R722.7b | R296.2b | R55.5b | 11.3x | 13x | 2.4x |
| Fri, 04 Feb 2022 | R726.2b | R296.1b | R55.5b | 12.3x | 13.1x | 2.5x |
| Sun, 02 Jan 2022 | R674.6b | R296.1b | R55.5b | 11.3x | 12.2x | 2.3x |
| Tue, 30 Nov 2021 | R601.6b | R296.1b | R55.5b | 10.4x | 10.8x | 2x |
Price to Earnings Ratio
10.8x
Current Industry PE
- Investors are optimistic on the South African Banks industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 11.9x which is higher than its 3-year average PE of 10.4x.
- The 3-year average PS ratio of 2.5x is lower than the industry's current PS ratio of 3.1x.
Past Earnings Growth
- The earnings for companies in the Banks industry have grown 18% per year over the last three years.
- Revenues for these companies have grown 5.6% 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 industry?
| ZA Market | 2.25% | |
| Financials | 2.26% | |
| Banks | 2.68% | |
| Diversified Banks | 2.68% | |
| Regional Banks | 0% | |
Industry PE
- Investors are most optimistic about the Diversified Banks industry which is trading above its 3-year average PE ratio of 10.4x.
- Analysts are expecting annual earnings growth of 12.7%, which is higher than its past year's earnings growth of 8.6% per year.
- Investors are most pessimistic about the Diversified Banks industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 10.4x.
Forecasted Growth
- Analysts are most optimistic on the Diversified Banks industry, expecting annual earnings growth of 13% over the next 5 years.
- This is better than its past earnings growth rate of 8.6% per year.
- In contrast, the Diversified Banks industry is expected to see its earnings grow by 13% 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 | |
|---|---|---|---|---|---|
| CPI Capitec Bank Holdings | R3.36k | 3.4% +R13.0b | 68.1% | PB8.5x | |
| SBK Standard Bank Group | R244.32 | 2.0% +R7.7b | 22.5% | PB1.6x | |
| ABG Absa Group | R172.00 | 3.5% +R4.8b | -3.0% | PB0.9x | |
| NED Nedbank Group | R294.90 | 1.8% +R2.5b | 36.9% | PB1.3x | |
| SFN Sasfin Holdings | R28.01 | 0.04% +R306.7k | 1.5% | PB0.5x |