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South African (JSE) Materials Sector Analysis

UpdatedMar 16, 2026
DataAggregated Company Financials
Companies30
  • 7D-6.8%
  • 3M4.8%
  • 1Y84.9%
  • YTD0.4%

Over the last 7 days, the Materials industry has dropped 5.6%, driven by pullbacks in Harmony Gold Mining and Valterra Platinum of 19% and 8.2%, respectively. On the other hand Sasol is actually up 27%. This takes the industry's 12 month performance to a gain of 86%. Looking forward, earnings are forecast to grow by 21% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 16 Mar 2026R2.1tR1.2tR123.0b10.7x17x1.8x
Wed, 11 Feb 2026R2.3tR1.1tR66.0b11.8x34.5x2.1x
Fri, 09 Jan 2026R2.1tR1.1tR63.1b12.6x32.8x1.9x
Sun, 07 Dec 2025R2.0tR1.1tR63.3b12.5x30.8x1.8x
Tue, 04 Nov 2025R1.8tR1.1tR68.1b10.9x25.8x1.6x
Thu, 02 Oct 2025R1.9tR1.1tR68.0b10.4x28.2x1.7x
Sat, 30 Aug 2025R1.5tR1.1tR73.2b10.4x20.4x1.3x
Mon, 28 Jul 2025R1.4tR1.1t-R11,968,025,808.057.5x-118.7x1.3x
Wed, 25 Jun 2025R1.3tR1.1t-R11,914,366,463.377.7x-108.1x1.1x
Fri, 23 May 2025R1.2tR1.1t-R11,294,758,827.277.3x-110.2x1.1x
Sun, 20 Apr 2025R1.3tR1.1t-R8,498,214,232.337.6x-152.4x1.1x
Tue, 18 Mar 2025R1.1tR1.1t-R8,555,997,726.638.3x-132.2x1x
Thu, 13 Feb 2025R1.1tR1.1t-R49,680,628,365.768.5x-22.1x1x
Sat, 11 Jan 2025R1.0tR1.1t-R51,777,577,890.619.6x-19.5x0.9x
Mon, 09 Dec 2024R957.2bR1.1t-R52,628,782,692.559.7x-18.2x0.8x
Wed, 06 Nov 2024R1.1tR1.1t-R58,812,546,978.109.7x-18.8x1x
Fri, 04 Oct 2024R1.1tR1.1t-R59,807,236,406.8810x-17.7x0.9x
Sun, 01 Sep 2024R985.1bR1.1t-R43,076,637,763.1610.1x-22.9x0.9x
Tue, 30 Jul 2024R1.1tR1.2tR13.0b8.9x84.8x0.9x
Thu, 27 Jun 2024R1.1tR1.2tR15.3b9x69.3x0.9x
Sat, 25 May 2024R1.2tR1.2tR15.6b8.8x75.1x1x
Mon, 22 Apr 2024R1.2tR1.2tR17.0b8.4x71.2x1x
Wed, 20 Mar 2024R1.0tR1.2tR16.6b8.3x60.8x0.9x
Fri, 16 Feb 2024R1.0tR1.2tR96.6b9x10.9x0.9x
Sun, 14 Jan 2024R1.2tR1.2tR106.1b9.6x11x0.9x
Tue, 12 Dec 2023R1.1tR1.3tR107.3b10x10.7x0.9x
Thu, 09 Nov 2023R1.1tR1.3tR108.6b8.3x10.1x0.9x
Sat, 07 Oct 2023R1.0tR1.3tR109.5b8.5x9.5x0.8x
Mon, 04 Sep 2023R1.2tR1.3tR116.5b7.9x10.5x0.9x
Wed, 02 Aug 2023R1.4tR1.4tR190.7b5.4x7.3x1x
Fri, 30 Jun 2023R1.4tR1.4tR215.7b4.9x6.3x1x
Sun, 28 May 2023R1.6tR1.4tR231.0b4.9x6.7x1.1x
Tue, 25 Apr 2023R1.6tR1.4tR234.0b5.5x6.9x1.1x
Thu, 23 Mar 2023R1.5tR1.4tR219.6b5.7x6.7x1x
Price to Earnings Ratio

6.7x


Total Market Cap: R1.5tTotal Earnings: R219.6bTotal Revenue: R1.4tTotal Market Cap vs Earnings and Revenue0%0%0%
South African Materials Sector Price to Earnings3Y Average -4.7x202420252026
Current Industry PE
  • Investors are pessimistic on the South African Materials 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 17.0x which is higher than its 3-year average PE of -4.7x.
  • The 3-year average PS ratio of 1.1x is lower than the industry's current PS ratio of 1.8x.
Past Earnings Growth
  • The earnings for companies in the Materials industry have declined 18% per year over the last three years,
  • Revenues have also declined 5.5% per year.
  • This means overall sales from these companies are declining and profits are subsequently falling as well.

Industry Trends

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

ZA Market-2.06%
Materials-6.76%
Chemicals17.24%
Paper and Forestry Products4.92%
Packaging0.13%
Basic Materials-0.72%
Metals and Mining-8.36%
Industry PE
  • Investors are most optimistic about the Chemicals industry which is trading above its 3-year average PE ratio of 7.7x.
    • Analysts are expecting annual earnings growth of 51.7%, which is higher than its past year's earnings growth of 12.9% per year.
Forecasted Growth
  • Analysts are most optimistic on the Paper and Forestry Products industry, expecting annual earnings growth of 93% over the next 5 years.
  • However this is lower than its past earnings growth rate of 426% per year.
  • In contrast, the Packaging industry is expected to see its earnings grow by 4.7% 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
SOL SasolR192.0021.3%
+R21.8b		146.2%PE51.4x
ARI African Rainbow MineralsR216.003.3%
+R1.3b		49.1%PE22x
SAP SappiR17.065.6%
+R550.2m		-59.1%PS0.1x
OMN Omnia HoldingsR88.322.0%
+R264.2m		35.0%PE12x
THA TharisaR25.551.4%
+R103.7m		68.1%PE5.6x

Latest News

HAR
R256.90
Harmony Gold Mining
7D
-16.0%
1Y
16.7%
SSW
R53.61
Sibanye Stillwater
7D
-5.7%
1Y
193.8%
ARI
R216.00
African Rainbow Minerals
7D
3.3%
1Y
49.1%

ARI: Higher Earnings Guidance And PGM Price Shift Will Support Upside Potential

The analyst price target for African Rainbow Minerals has shifted from about ZAR233.33 to ZAR249.00. Analysts point to updated assumptions for discount rates, revenue growth, profit margins and future P/E to justify the change.
VAL
R1,460.00
Valterra Platinum
7D
-7.7%
1Y
110.8%
SOL
R192.00
Sasol
7D
21.3%
1Y
146.2%
PPC
R5.67
PPC
7D
-2.9%
1Y
38.6%

PPC: Stable Assumptions And Regulatory Overhang Will Shape Future Upside Potential

Analysts have lifted their PPC price target by ZAR2, citing updated assumptions around the discount rate, revenue growth, profit margins and future P/E that are broadly consistent with prior estimates. Analyst Commentary Recent price target revisions for PPC reflect updated inputs on discount rates, revenue assumptions, profit margins and the future P/E that still align with earlier broad expectations.
KIO
R316.11
Kumba Iron Ore
7D
-4.3%
1Y
-8.5%

KIO: Fair Value Will Persist As Dividends Balance Logistics Production Risks

Analysts have trimmed their ZAR340 fair value estimate for Kumba Iron Ore to about ZAR320.70, reflecting updated assumptions for revenue growth, margins, discount rate, and future P/E levels. What's in the News Kumba Iron Ore declared a gross final cash dividend of ZAR15.43 per share for the year ended 31 December 2025.
OMN
R88.32
Omnia Holdings
7D
2.0%
1Y
35.0%
AFT
R35.71
Afrimat
7D
0.6%
1Y
-42.7%
NPH
R345.64
Northam Platinum Holdings
7D
-9.2%
1Y
180.8%

NPH: Constructive HSBC Upgrade Will Support Higher Margins And Earnings Quality

Narrative Update Analysts have lifted their price target for Northam Platinum Holdings from ZAR396.94 to ZAR434.94, citing updated assumptions around discount rates, revenue growth, profit margins and a revised future P/E, along with a more constructive stance in recent research such as the HSBC upgrade. Analyst Commentary Recent research has focused on how revised assumptions around discount rates, revenue growth, profit margins and future P/E feed into the updated valuation for Northam Platinum Holdings.
IMP
R240.34
Impala Platinum Holdings
7D
-9.0%
1Y
106.1%
THA
R25.55
Tharisa
7D
1.4%
1Y
68.1%
GFI
R780.27
Gold Fields
7D
-7.4%
1Y
111.0%

GFI: Execution And Cost Risks Will Likely Restrain Elevated Expectations

The analyst fair value estimate for Gold Fields has been adjusted from ZAR630.00 to ZAR680.00, with analysts pointing to higher price targets from recent Street research and updated expectations for margins and risk as key drivers of the change. Analyst Commentary Recent Street research around Gold Fields has been mixed, with some higher price targets being balanced by more cautious views on execution and valuation risk.
SAP
R17.06
Sappi
7D
5.6%
1Y
-59.1%
BCF
R14.25
Bowler Metcalf
7D
2.7%
1Y
4.8%
GML
R1.15
Gemfields Group
7D
5.5%
1Y
-20.7%