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South African (JSE) Telecom Sector Analysis

UpdatedNov 28, 2021
DataAggregated Company Financials
Companies10
  • 7D-0.6%
  • 3M8.6%
  • 1Y42.9%
  • YTD49.2%

Over the last 7 days, the Telecom industry has remained flat. The past year has been better, since the industry has gained 43% in that time.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPE
Sun, 28 Nov 2021R590.8bR388.2bR29.5b14.1x
Tue, 26 Oct 2021R558.4bR385.9bR29.4b15x
Thu, 23 Sep 2021R560.1bR385.6bR29.1b16.4x
Sat, 21 Aug 2021R543.2bR385.6bR29.1b17.1x
Sat, 05 Jun 2021R488.9bR384.3bR33.8b15.2x
Tue, 09 Mar 2021R422.2bR380.0bR36.6b12.7x
Mon, 30 Nov 2020R403.6bR369.0bR34.5b16.5x
Thu, 03 Sep 2020R383.9bR359.4bR33.0b13.1x
Sun, 07 Jun 2020R361.9bR352.4bR28.2b13.5x
Sat, 29 Feb 2020R376.7bR345.1bR26.1b9.2x
Tue, 03 Dec 2019R453.7bR340.0bR27.5b11x
Fri, 06 Sep 2019R483.7bR334.6bR26.4b12.1x
Mon, 10 Jun 2019R505.3bR327.9bR25.4b12.7x
Sun, 03 Mar 2019R443.1bR322.1bR25.6b14.1x
Wed, 05 Dec 2018R419.8bR270.1bR22.8b11.4x
PE Ratio

11.4x

Total Market Cap: R419.8bTotal Earnings: R22.8bTotal Revenue: R270.1b0%0%0%3 Year10 Year
201920202021

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 13.8x. It appears they believe that earnings will grow in-line with historical growth rates.

Past Earnings Growth: The earnings for companies in the Communication Services industry have grown 9.1% per year over the last three years, and revenues for these companies have grown 13% 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 Telecom sector?

Media-0.23%
Telecom Services and Carriers-0.45%
Wireless Telecom-0.68%

Industry PE: Investors are most optimistic about the Wireless Telecom industry which is trading above its 3-year average PE ratio of 14.7x. This is likely because analysts are expecting annual earnings growth of 15%, which is higher than its past year's earnings decline of 30% per year. Meanwhile, investors are most pessimistic about the Telecom Services and Carriers industry, which is trading below its 3-year average of 15.8x.

Forecasted Growth: Analysts are most optimistic on the Media industry, expecting annual earnings growth of 27% over the next 5 years. However this is lower than its past earnings growth rate of 135% per year. Meanwhile, the Telecom Services and Carriers industry is expected to see its earnings grow by 12% per year over the next few years.

Top Stock Gainers and Losers

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

Company7D1YValuation
MTN MTN Group0.7%+R2.1b127.2%PE37.4x
EMH eMedia Holdings18.2%+R265.9m-2.0%PE7.9x
CAT Caxton and CTP Publishers and Printers4.3%+R131.5m94.7%PE5.8x
AME African Media Entertainment8.6%+R21.9m74.9%PE36.7x
CGN Cognition Holdings13.2%+R20.6m8.5%PE85.6x
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