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South African (JSE) Materials Sector Analysis

UpdatedDec 07, 2025
DataAggregated Company Financials
Companies29
  • 7D1.7%
  • 3M18.1%
  • 1Y103.9%
  • YTD106.7%

Gold Fields is up 2.2%, leading the way for the Materials industry, which has gained 1.7%. During this same period, the Sasol underperformed, falling 8.6%. This takes the industry's 12 month performance to a gain of 104%. Looking forward, earnings are forecast to grow by 29% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
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
Sat, 18 Feb 2023R1.5tR1.4tR246.8b5.8x6.1x1.1x
Mon, 16 Jan 2023R1.8tR1.4tR247.6b6.5x7.1x1.3x
Wed, 14 Dec 2022R1.7tR1.4tR248.3b6.9x6.8x1.2x
Price to Earnings Ratio

6.8x


Total Market Cap: R1.7tTotal Earnings: R248.3bTotal Revenue: R1.4tTotal Market Cap vs Earnings and Revenue0%0%0%
South African Materials Sector Price to Earnings3Y Average -6.9x202320242025
Current Industry PE
  • Investors are optimistic on the South African Materials industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 30.8x which is higher than its 3-year average PE of -6.9x.
  • 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 37% per year over the last three years,
  • Revenues have also declined 7.2% 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 Market1.63%
Materials1.72%
Paper and Forestry Products8.92%
Packaging4.34%
Metals and Mining2.08%
Basic Materials1.70%
Chemicals-6.38%
Industry PE
  • Investors are most optimistic about the Metals and Mining industry even though it's trading below its 3-year average PE ratio of 36.8x.
    • Analysts are expecting annual earnings growth of 28.4%, which is higher than its past year's earnings decline of 34.4% per year.
Forecasted Growth
  • Analysts are most optimistic on the Paper and Forestry Products industry, expecting annual earnings growth of 80% 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 19% 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
GFI Gold FieldsR735.002.2%
+R14.4b		191.3%PE20.6x
VAL Valterra PlatinumR1.24k4.1%
+R12.8b		113.5%PE245.9x
IMP Impala Platinum HoldingsR223.384.2%
+R8.1b		120.5%PE263.3x
KIO Kumba Iron OreR342.002.3%
+R2.4b		-1.1%PE7.5x
NPH Northam Platinum HoldingsR310.751.7%
+R2.0b		192.9%PE77.4x

Latest News

SOL
R101.73
Sasol
7D
-8.6%
1Y
12.6%

SOL: Lower Risk Profile And Bio Circular Surfactants Will Drive Future Upside

Analysts have nudged their price target for Sasol slightly higher, from R130.78 to R131.11. This reflects a modestly lower perceived risk via a reduced discount rate, which more than offsets slightly softer assumptions for long term revenue growth and profit margins.
IMP
R223.38
Impala Platinum Holdings
7D
4.2%
1Y
120.5%

IMP: Future Returns Will Reflect Mixed Production Trends And Improving Margins

Analysts have slightly lowered their price target for Impala Platinum Holdings to R227.02 from R227.65, citing a marginally higher discount rate and slightly softer revenue growth expectations, partly offset by an improved profit margin outlook and a near unchanged future P/E assumption. What's in the News Reported first quarter 2025 6E group production of 882,000 oz, down from 928,000 oz in the prior year period, highlighting modest operational pressure (company announcement).
THA
R20.25
Tharisa
7D
-5.8%
1Y
25.6%
HAR
R336.11
Harmony Gold Mining
7D
0.6%
1Y
110.4%

HAR: Copper Project And Payout Policy Will Shape Balanced Medium Term Outlook

Analysts have raised their price target for Harmony Gold Mining to around $365 from $337, reflecting higher assumed revenue growth and valuation multiples, despite more conservative margins and only a modest uptick in the discount rate. What's in the News Approved the high margin, long life Eva Copper Project after completing a three year feasibility update and FEED phase with Tier 1 contractors, significantly de risking the development pipeline and expanding exposure to copper alongside gold (Key Developments) Targeting first copper production from the Eva Project in the second half of calendar 2028, with ramp up timing planned to coincide with an anticipated structural copper supply gap that could support stronger long term pricing (Key Developments) Independent analysis estimates the Eva Copper Project could add over AUD 17 billion to Queensland's gross state product over its anticipated 15 year mine life, while creating substantial construction and operational employment in the North West region (Key Developments) Reported first quarter fiscal 2026 production, with group gold output down 8 percent year over year to 12 128 kg, but confirmed operations remain on track to meet full year guidance (Key Developments) Valuation Changes The fair value estimate has increased from ZAR 337.5 to ZAR 365.0, representing a moderate upward revision in the analyst price target.
ARI
R187.01
African Rainbow Minerals
7D
4.3%
1Y
18.3%

Is African Rainbow Minerals (JSE:ARI) A Risky Investment?

Dec 02
Is African Rainbow Minerals (JSE:ARI) A Risky Investment?
NPH
R310.75
Northam Platinum Holdings
7D
1.7%
1Y
192.9%

NPH: Rising Discount Rate Will Limit Upside Despite Margin Improvement

Northam Platinum Holdings' analyst price target has been modestly adjusted downward from R280.19 to R274.94. Analysts cite slightly lower revenue growth expectations, despite improvements in projected profit margins.
GFI
R735.00
Gold Fields
7D
2.2%
1Y
191.3%

GFI: Future Sector Trends And Project Delivery Will Shape Medium-Term Prospects

The analyst price target for Gold Fields increased by $8.67 to $815.61. Analysts cited higher gold prices, updated guidance, and ongoing project momentum as key factors behind the upward revision.
AFE
R88.00
AECI
7D
-0.3%
1Y
-3.8%
PPC
R5.38
PPC
7D
-1.1%
1Y
12.8%
VAL
R1,239.00
Valterra Platinum
7D
4.1%
1Y
113.5%

VAL: Shares Will Face Pressure Amid Sustainability Concerns Despite Recent Stock Rally

Analysts have increased their price target for Valterra Platinum from £26.00 to £32.00 per share. They cite a modest improvement in revenue growth expectations and updated model assumptions as the reasons for this adjustment.
SSW
R54.04
Sibanye Stillwater
7D
-3.3%
1Y
206.5%
SEP
R1.66
Sephaku Holdings
7D
-9.3%
1Y
-14.4%
KIO
R342.00
Kumba Iron Ore
7D
2.3%
1Y
-1.1%

KIO: Fair Value Maintained While Production Faces Pressure From Plant Maintenance

Analysts have maintained their fair value estimate for Kumba Iron Ore at R323.58 per share. They cite only minor adjustments to discount rates and profit margin forecasts in their latest review.
SAP
R24.45
Sappi
7D
9.6%
1Y
-52.7%

Is Sappi (JSE:SAP) A Risky Investment?

Nov 21
Is Sappi (JSE:SAP) A Risky Investment?
ACL
R1.22
ArcelorMittal South Africa
7D
-6.9%
1Y
-14.1%

Is ArcelorMittal South Africa (JSE:ACL) Using Debt Sensibly?

Sep 08
Is ArcelorMittal South Africa (JSE:ACL) Using Debt Sensibly?
MRF
R1.08
Merafe Resources
7D
-0.9%
1Y
-23.9%