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South African (JSE) Real Estate Sector Analysis

UpdatedNov 28, 2021
DataAggregated Company Financials
  • 7D-3.9%
  • 3M-3.8%
  • 1Y24.1%
  • YTD16.4%

Over the last 7 days, the Real Estate industry has dropped 3.9%, driven by a pullback from NEPI Rockcastle of 4.7%. This takes the industry's 12 month performance to a gain of 24%.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPE
Mon, 29 Nov 2021R318.0bR77.3bR15.8b9.4x
Wed, 27 Oct 2021R320.2bR75.7b-R416,576,692.0010x
Fri, 24 Sep 2021R330.1bR74.9b-R3,572,215,768.0013.8x
Sun, 22 Aug 2021R323.6bR74.7b-R22,701,899,978.3314x
Fri, 09 Jul 2021R314.5bR74.7b-R22,701,899,978.3313.8x
Thu, 01 Apr 2021R285.9bR74.5b-R36,392,625,259.7213.3x
Sun, 03 Jan 2021R270.7bR76.6b-R54,941,346,107.5111.6x
Wed, 07 Oct 2020R222.8bR81.1b-R54,454,249,974.5212.9x
Tue, 30 Jun 2020R259.2bR83.7b-R40,981,797,647.3314.2x
Fri, 03 Apr 2020R221.3bR86.5b-R8,124,212,529.7812x
Mon, 06 Jan 2020R411.8bR84.1bR22.8b11.4x
Thu, 10 Oct 2019R422.1bR85.0bR28.2b11x
Wed, 03 Jul 2019R445.8bR84.4bR29.4b11.3x
Sat, 06 Apr 2019R434.5bR84.4bR17.2b11x
Tue, 08 Jan 2019R435.9bR83.5bR6.3b9x
PE Ratio


Total Market Cap: R439.8bTotal Earnings: R12.4bTotal Revenue: R82.0b0%0%0%3 Year10 Year

Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 12.0x. It appears they believe that earnings will grow in-line with historical growth rates.

Past Earnings Growth: The earnings for companies in the Real Estate industry have grown 8.4% per year over the last three years, while revenues have remained mostly flat. This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.

Industry Trends

Which industries have driven the changes within the South African Real Estate sector?

Real Estate-4.15%

Industry PE: Investors are most optimistic about the REITS industry even though it's trading below its 3-year average PE ratio of 12.2x. However analysts are expecting annual earnings growth of 51%, which is lower than the prior year's growth of 168% per year. So the market might believe that analysts are underestimating future growth. Meanwhile, investors are most pessimistic about the Real Estate industry, which is trading below its 3-year average of 13.9x.

Forecasted Growth: Analysts are most optimistic on the REITS industry, expecting annual earnings growth of 51% over the next 5 years. However this is lower than its past earnings growth rate of 168% per year. Meanwhile, the Real Estate industry is expected to see its earnings grow by 50% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

AHA Arrowhead Properties0.7%+R786.2m47.7%PB2.2x
SAC SA Real Estate1.4%+R74.8m55.7%PB0.6x
OCT Octodec Investments3.2%+R69.2m24.4%PB0.4x
ILU Indluplace Properties4.7%+R50.5m-2.3%PB0.5x
DIA Dipula Income Fund0.8%+R37.0m40.7%PB0.8x
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