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South African (JSE) Real Estate Sector Analysis

UpdatedNov 28, 2022
DataAggregated Company Financials
Companies42
  • 7D0.9%
  • 3M2.7%
  • 1Y1.3%
  • YTD-7.7%

In the last week, the Real Estate industry is flat overall, with Redefine Properties standing out by going down 5.1%. In line with that, the industry has also been flat over the past 12 months. As for the next few years, earnings are forecast to decline by 22% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 28 Nov 2022R334.6bR80.9bR39.9b6.1x8.4x4.1x
Wed, 26 Oct 2022R316.2bR76.3bR30.0b7.9x10.5x4.1x
Fri, 23 Sep 2022R313.9bR79.3bR31.5b7.1x10x4x
Sun, 21 Aug 2022R321.8bR76.7bR29.3b7.7x11x4.2x
Tue, 19 Jul 2022R308.4bR75.4bR28.7b7.1x10.8x4.1x
Thu, 16 Jun 2022R311.3bR73.3bR25.7b7.3x12.1x4.2x
Sat, 14 May 2022R320.2bR72.7bR22.4b8.2x14.3x4.4x
Mon, 11 Apr 2022R344.0bR73.8bR20.3b8.8x16.9x4.7x
Wed, 09 Mar 2022R325.0bR77.5bR20.2b8.2x16.1x4.2x
Fri, 04 Feb 2022R346.1bR79.0bR17.7b8.9x19.5x4.4x
Sun, 02 Jan 2022R349.2bR77.7bR17.8b8.8x19.7x4.5x
Tue, 30 Nov 2021R324.4bR77.3bR15.9b9.4x20.4x4.2x
Thu, 28 Oct 2021R320.9bR76.0b-R237,660,538.009.6x-1350.4x4.2x
Sat, 25 Sep 2021R330.1bR75.2b-R3,513,212,523.0013.8x-94x4.4x
Mon, 23 Aug 2021R325.1bR74.7b-R22,701,899,978.3314.2x-14.3x4.4x
Sat, 10 Jul 2021R314.5bR74.7b-R22,701,899,978.3313.8x-13.9x4.2x
Fri, 02 Apr 2021R285.9bR74.5b-R36,392,625,259.7213.3x-7.9x3.8x
Mon, 04 Jan 2021R270.7bR76.6b-R54,941,346,107.5111.6x-4.9x3.5x
Thu, 08 Oct 2020R222.8bR81.1b-R54,454,249,974.5212.9x-4.1x2.7x
Wed, 01 Jul 2020R259.2bR83.7b-R40,981,797,647.3314.2x-6.3x3.1x
Sat, 04 Apr 2020R221.3bR86.5b-R8,124,212,529.7812x-27.2x2.6x
Tue, 07 Jan 2020R411.8bR84.1bR22.8b11.4x18x4.9x
Price to Earnings Ratio

17.5x


Total Market Cap: R420.4bTotal Earnings: R24.0bTotal Revenue: R84.6bTotal Market Cap vs Earnings and Revenue0%0%0%
South African Real Estate Sector Price to Earnings3Y Average -6.2x202020212022
Current Industry PE
  • Investors are pessimistic on the South African Real Estate 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 8.4x which is higher than its 3-year average PE of -6.2x.
  • The industry is trading close to its 3-year average PS ratio of 3.9x.
Past Earnings Growth
  • The earnings for companies in the Real Estate industry have grown 19% 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?

ZA Market0.94%
Real Estate0.88%
Real Estate2.92%
REITS0.10%
Industry PE
  • Investors are most optimistic about the Real Estate industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings decline of 6.2%, which is lower than the prior year's growth of 98.8% per year.
  • Investors are most pessimistic about the REITS industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average.
Forecasted Growth
  • Despite it being negative, analysts are least pessimistic on the Real Estate industry since they expect its earnings to decline by only 6.2% per year over the next 5 years, which isn't as bad as the other industries.
  • This is a reversal from its past annual earnings growth rate of 99% per year.
  • In contrast, the REITS industry is expected to see its earnings decline by 22% 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
NRP NEPI RockcastleR102.522.9%
+R1.8b
4.4%PB0.9x
FFA Fortress REITR10.833.9%
+R889.9m
-11.1%PB0.9x
GRT Growthpoint PropertiesR14.091.8%
+R851.9m
14.6%PB0.7x
ATT AttacqR7.788.1%
+R409.0m
18.4%PB0.4x
VKE Vukile Property FundR14.662.4%
+R333.3m
22.2%PB0.8x
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Latest News

RDF

R4.06

Redefine Properties

7D

-5.1%

1Y

-15.4%

VKE

R14.66

Vukile Property Fund

7D

2.4%

1Y

22.2%

SAC

R2.21

SA Real Estate

7D

-1.8%

1Y

1.4%

IPF

R9.55

Investec Property Fund

7D

-4.5%

1Y

-12.1%

GRT

R14.09

Growthpoint Properties

7D

1.8%

1Y

14.6%

TDH

R11.00

Tradehold

7D

12.4%

1Y

11.1%

DIB

R4.15

Dipula Income Fund

7D

-2.8%

1Y

-5.0%

ATT

R7.78

Attacq

7D

8.1%

1Y

18.4%

MLI

R27.20

Industrials REIT

7D

-2.5%

1Y

-29.3%

NRP

R102.52

NEPI Rockcastle

7D

2.9%

1Y

4.4%

L2D

R4.55

Liberty Two Degrees

7D

-2.2%

1Y

4.1%

LTE

R6.92

Lighthouse Properties

7D

2.5%

1Y

-16.2%

HYP

R34.80

Hyprop Investments

7D

-0.4%

1Y

10.8%

FFA

R10.83

Fortress REIT

7D

3.9%

1Y

-11.1%

TEX

R2.65

Texton Property Fund

7D

-10.2%

1Y

-24.3%

CVW

R6.10

Castleview Property Fund

7D

n/a

1Y

22.0%