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Sep 10
South African (JSE) Capital Markets Industry Analysis
UpdatedNov 29, 2022
DataAggregated Company Financials
Companies21
- 7D1.3%
- 3M13.3%
- 1Y7.6%
- YTD-1.9%
In the last week, the Capital Markets industry is up 1.3%, with Investec Group up 3.3%. This means that the industry has gained 7.6% over the past year. Looking forward, earnings are forecast to decline by 8.3% per year.
Industry Valuation and Performance
Has the South African Capital Markets Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 30 Nov 2022 | R171.1b | R71.6b | R24.8b | 8.7x | 6.9x | 2.4x |
| Fri, 28 Oct 2022 | R157.7b | R69.6b | R21.2b | 8.3x | 7.5x | 2.3x |
| Sun, 25 Sep 2022 | R146.3b | R67.2b | R20.6b | 7.8x | 7.1x | 2.2x |
| Tue, 23 Aug 2022 | R154.1b | R68.0b | R21.0b | 7.9x | 7.3x | 2.3x |
| Thu, 21 Jul 2022 | R231.1b | R138.8b | R28.4b | 8x | 8.1x | 1.7x |
| Sat, 18 Jun 2022 | R157.4b | R67.8b | R19.9b | 9x | 7.9x | 2.3x |
| Mon, 16 May 2022 | R165.4b | R65.7b | R18.1b | 10.2x | 9.1x | 2.5x |
| Wed, 13 Apr 2022 | R175.5b | R63.5b | R18.9b | 10.2x | 9.3x | 2.8x |
| Fri, 11 Mar 2022 | R163.6b | R64.6b | R18.2b | 10x | 9x | 2.5x |
| Sun, 06 Feb 2022 | R181.8b | R66.7b | R18.7b | 10.7x | 9.7x | 2.7x |
| Tue, 04 Jan 2022 | R176.2b | R67.4b | R17.8b | 11x | 9.9x | 2.6x |
| Thu, 02 Dec 2021 | R163.2b | R67.4b | R17.6b | 10.9x | 9.3x | 2.4x |
| Sat, 30 Oct 2021 | R151.6b | R60.8b | R13.7b | 11.4x | 11.1x | 2.5x |
| Mon, 27 Sep 2021 | R136.3b | R59.3b | R12.8b | 11.5x | 10.6x | 2.3x |
| Wed, 25 Aug 2021 | R132.7b | R61.3b | R12.8b | 11.2x | 10.4x | 2.2x |
| Thu, 01 Jul 2021 | R129.2b | R61.3b | R12.8b | 11.3x | 10.1x | 2.1x |
| Sun, 04 Apr 2021 | R116.3b | R61.1b | R12.8b | 9.8x | 9.1x | 1.9x |
| Wed, 06 Jan 2021 | R101.0b | R57.5b | R9.6b | 9.5x | 10.5x | 1.8x |
| Sat, 10 Oct 2020 | R85.6b | R59.8b | R6.7b | 8.1x | 12.8x | 1.4x |
| Fri, 03 Jul 2020 | R91.9b | R63.5b | R5.8b | 10.7x | 15.8x | 1.4x |
| Mon, 06 Apr 2020 | R88.0b | R68.8b | R5.6b | 8.3x | 15.6x | 1.3x |
| Thu, 09 Jan 2020 | R149.3b | R60.6b | R8.0b | 10.3x | 18.6x | 2.5x |
Price to Earnings Ratio
18.4x
Current Industry PE
- Investors are pessimistic on the South African Capital Markets industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 6.9x which is lower than its 3-year average PE of 11.8x.
- The 3-year average PS ratio of 2.1x is lower than the industry's current PS ratio of 2.4x.
Past Earnings Growth
- The earnings for companies in the Capital Markets industry have grown 44% per year over the last three years.
- Revenues for these companies have grown 5.9% 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 | 1.62% | |
| Financials | 1.92% | |
| Capital Markets | 1.35% | |
| Diversified Capital Markets | 3.33% | |
| Investment Banking and Brokerage | 0% | |
| Asset Management | -0.95% | |
| Financial Exchanges and Data | -1.59% | |
Industry PE
- Investors are most optimistic about the Financial Exchanges and Data industry even though it's trading below its 3-year average PE ratio of 13.1x.
- It looks like they are confident that earnings will grow faster in the future than they have historically.
- Investors are most pessimistic about the Diversified Capital Markets industry, which is trading below its 3-year average of 12.0x.
Forecasted Growth
- Analysts are most optimistic on the Asset Management industry, expecting annual earnings growth of 17% over the next 5 years.
- However this is lower than its past earnings growth rate of 35% per year.
- In contrast, the Diversified Capital Markets industry is expected to see its earnings decline by 9.8% 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 | |
|---|---|---|---|---|---|
| INL Investec Group | R103.67 | 3.9% +R3.2b | 28.4% | PE6.5x | |
| CML Coronation Fund Managers | R34.42 | 4.9% +R566.7m | -37.0% | PE9.4x | |
| AEE African Equity Empowerment Investments | R0.88 | 10.0% +R39.3m | -3.3% | PS0.2x | |
| SYG Sygnia | R17.08 | 1.3% +R33.1m | -2.1% | PE9.4x | |
| SBP Sabvest Capital | R84.25 | 0.3% +R10.7m | 56.0% | PE4.9x |