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South African (JSE) Banks Industry Analysis

UpdatedMay 28, 2026
DataAggregated Company Financials
Companies4
  • 7D2.5%
  • 3M-5.4%
  • 1Y30.6%
  • YTD6.5%

All of the companies in the Banks industry have been up over the last week, with the industry up 3.0%. This means that the industry has gained 31% over the past year. Looking forward, earnings are forecast to grow by 14% annually.

Industry Valuation and Performance

Has the South African Banks Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 28 May 2026R1.4tR385.0bR95.9b12.9x14.2x3.5x
Sat, 25 Apr 2026R1.3tR385.0bR95.9b12.9x13.9x3.5x
Mon, 23 Mar 2026R1.3tR381.9bR94.4b12.7x13.5x3.3x
Wed, 18 Feb 2026R1.4tR378.5bR100.5b10.3x14x3.7x
Fri, 16 Jan 2026R1.3tR378.5bR100.5b9.5x12.8x3.4x
Sun, 14 Dec 2025R1.2tR378.5bR100.5b9x12.1x3.2x
Tue, 11 Nov 2025R1.2tR378.5bR100.5b8.3x11.6x3.1x
Thu, 09 Oct 2025R1.1tR378.5bR100.5b7.8x10.9x2.9x
Sat, 06 Sep 2025R1.0tR374.9bR99.0b7.6x10.5x2.8x
Mon, 04 Aug 2025R1.0tR363.2bR95.8b7.8x10.9x2.9x
Wed, 02 Jul 2025R1.0tR363.2bR95.8b7.7x10.9x2.9x
Fri, 30 May 2025R1.1tR363.2bR95.8b8x11x2.9x
Sun, 27 Apr 2025R1.0tR363.2bR95.8b7.8x10.8x2.8x
Tue, 25 Mar 2025R1.0tR359.1bR94.4b8.1x10.9x2.9x
Thu, 20 Feb 2025R1.0tR348.4bR90.9b8.3x11.2x2.9x
Sat, 18 Jan 2025R1.0tR348.4bR90.9b8.4x11.1x2.9x
Mon, 16 Dec 2024R1.1tR348.7bR90.6b8.6x11.8x3.1x
Wed, 13 Nov 2024R1.1tR349.1bR90.6b8.8x11.7x3x
Fri, 11 Oct 2024R1.0tR349.6bR91.0b8.9x11.3x2.9x
Sun, 08 Sep 2024R994.2bR345.2bR89.2b8.8x11.1x2.9x
Tue, 06 Aug 2024R928.6bR339.9bR90.0b8.2x10.3x2.7x
Thu, 04 Jul 2024R911.6bR339.9bR90.0b7.9x10.1x2.7x
Sat, 01 Jun 2024R773.9bR339.9bR90.0b6.9x8.6x2.3x
Mon, 29 Apr 2024R766.9bR339.9bR90.0b6.8x8.5x2.3x
Wed, 27 Mar 2024R780.3bR337.9bR89.6b6.9x8.7x2.3x
Fri, 23 Feb 2024R841.7bR335.8bR86.3b7.3x9.8x2.5x
Sun, 21 Jan 2024R806.4bR335.8bR86.3b6.8x9.3x2.4x
Tue, 19 Dec 2023R795.0bR335.8bR86.3b6.6x9.2x2.4x
Thu, 16 Nov 2023R824.2bR335.8bR86.3b8x9.5x2.5x
Sat, 14 Oct 2023R762.0bR335.7bR86.4b7.3x8.8x2.3x
Mon, 11 Sep 2023R774.2bR334.6bR86.0b7.6x9x2.3x
Wed, 09 Aug 2023R784.3bR312.7bR79.3b7.5x9.9x2.5x
Fri, 07 Jul 2023R710.5bR312.7bR79.3b7.3x9x2.3x
Sun, 04 Jun 2023R643.6bR312.7bR79.3b6.9x8.1x2.1x
Price to Earnings Ratio

8.1x


Total Market Cap: R643.6bTotal Earnings: R79.3bTotal Revenue: R312.7bTotal Market Cap vs Earnings and Revenue0%0%0%
South African Banks Industry Price to Earnings3Y Average 10.7x202420252026
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 14.2x which is higher than its 3-year average PE of 10.7x.
  • The 3-year average PS ratio of 2.8x is lower than the industry's current PS ratio of 3.5x.
Past Earnings Growth
  • The earnings for companies in the Banks industry have grown 6.5% per year over the last three years.
  • Revenues for these companies have grown 7.2% 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 Market1.42%
Financials2.31%
Banks2.53%
Diversified Banks2.53%
Industry PE
  • Investors are most optimistic about the Diversified Banks industry which is trading above its 3-year average PE ratio of 10.7x.
    • Analysts are expecting annual earnings growth of 14.1%, which is higher than its past year's earnings growth of 7.7% 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 10.7x.
Forecasted Growth
  • Analysts are most optimistic on the Diversified Banks industry, expecting annual earnings growth of 14% over the next 5 years.
  • This is better than its past earnings growth rate of 7.7% per year.
  • In contrast, the Diversified Banks 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?

CompanyLast Price7D1YValuation
CPI Capitec Bank HoldingsR4.51k3.1%
+R15.8b		31.4%PB8.8x
SBK Standard Bank GroupR321.972.6%
+R13.1b		37.0%PB1.8x
ABG Absa GroupR239.812.0%
+R4.0b		36.4%PB1.1x
NED Nedbank GroupR260.130.6%
+R740.2m		0.1%PB1x

Latest News

SBK
R321.97
Standard Bank Group
7D
2.6%
1Y
37.0%
Narrative Update • May 27

SBK: Future Dividend And Earnings Resilience Will Offset Recent Bearish Downgrade

Analysts have slightly reduced their fair value estimate for Standard Bank Group to about ZAR336.77 from roughly ZAR337.10, reflecting updated assumptions for the discount rate, revenue growth, profit margin and future P/E following more cautious recent research on the stock. Analyst Commentary Bullish Takeaways Bullish analysts see the current fair value adjustment as relatively small, which, in their view, suggests that recent research has not materially changed the long term outlook for the stock.
NED
R260.13
Nedbank Group
7D
0.6%
1Y
0.1%
Narrative Update • May 19

NED: Neutral Reinstatement And Guidance Will Frame A Cautious Forward Outlook

Analysts have kept their fair value estimate for Nedbank Group steady at ZAR275.00, citing only minor model tweaks to the discount rate, revenue growth, profit margin and future P/E assumptions following a recent Neutral rating update from the Street. Analyst Commentary Recent Street research, including a Neutral reinstatement from Goldman Sachs, has reinforced a cautious tone around Nedbank Group.
CPI
R4,507.01
Capitec Bank Holdings
7D
3.1%
1Y
31.4%
Narrative Update • May 17

CPI: Higher Margin And P/E Assumptions Will Sustain Overpriced Shares

Analysts have lifted their fair value estimate for Capitec Bank Holdings from ZAR3,417.99 to ZAR3,817.98, citing updated assumptions for discount rates, revenue growth, profit margins, and future P/E expectations. Valuation Changes Fair Value: Updated from ZAR3,417.99 to ZAR3,817.98, reflecting a higher central estimate of worth per share.
ABG
R239.81
Absa Group
7D
2.0%
1Y
36.4%
Narrative Update • Apr 28

ABG: Dividend Strength And Digital Remittances Will Support Future Upside Potential

Analysts have kept Absa Group's fair value estimate broadly unchanged at about ZAR273.25 per share, reflecting only marginal tweaks to assumptions such as the discount rate, revenue growth, profit margin and future P/E. What's in the News Declared a final ordinary dividend of ZAR8.50 per share for the financial period ended 31 December 2025, with the last day to trade cum dividend on 21 April 2026, ex-dividend date on 22 April 2026, record date on 24 April 2026, and payment on 28 April 2026 (Key Developments).