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South African (JSE) Telecom Sector Analysis

UpdatedSep 18, 2025
DataAggregated Company Financials
Companies10
  • 7D2.3%
  • 3M9.5%
  • 1Y36.8%
  • YTD42.2%

The Telecom industry is up 2.5% in the last week, with MTN Group up 6.2%. In the last 12 months, the industry was up 37%. Looking forward, earnings are forecast to grow by 28% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 18 Sep 2025R626.8bR478.0bR31.4b9.3x20x1.3x
Sat, 16 Aug 2025R688.2bR459.8bR12.5b13.4x54.9x1.5x
Mon, 14 Jul 2025R621.9bR459.8bR12.5b13.1x49.6x1.4x
Wed, 11 Jun 2025R544.4bR408.1bR10.1b14.1x54x1.3x
Fri, 09 May 2025R503.5bR407.2bR8.4b10.1x60.1x1.2x
Sun, 06 Apr 2025R444.4bR407.2bR8.4b9.1x53x1.1x
Tue, 04 Mar 2025R470.2bR417.9bR10.5b9.5x45x1.1x
Thu, 30 Jan 2025R445.7bR418.2bR10.5b7.7x42.6x1.1x
Sat, 28 Dec 2024R394.6bR418.2bR10.5b8.5x37.7x0.9x
Mon, 25 Nov 2024R370.6bR418.1bR10.5b7.8x35.5x0.9x
Wed, 23 Oct 2024R397.7bR416.7bR11.9b8.6x33.4x1x
Fri, 20 Sep 2024R412.2bR416.7bR11.9b8.3x34.6x1x
Sun, 18 Aug 2024R385.0bR441.3bR23.5b8.2x16.4x0.9x
Tue, 16 Jul 2024R359.4bR441.3bR23.5b8.1x15.3x0.8x
Thu, 13 Jun 2024R341.3bR442.7bR12.4b10.7x27.5x0.8x
Sat, 11 May 2024R374.2bR430.2bR13.5b10.4x27.6x0.9x
Mon, 08 Apr 2024R387.3bR430.2bR13.5b10.8x28.6x0.9x
Wed, 06 Mar 2024R353.1bR431.9bR30.1b7.3x11.7x0.8x
Fri, 02 Feb 2024R380.5bR434.1bR29.6b10.5x12.8x0.9x
Sun, 31 Dec 2023R437.9bR434.1bR29.6b10.2x14.8x1x
Tue, 28 Nov 2023R413.3bR434.1bR29.7b8.9x13.9x1x
Thu, 26 Oct 2023R437.2bR473.6bR25.2b9.1x17.3x0.9x
Sat, 23 Sep 2023R463.4bR473.6bR25.2b7.9x18.4x1x
Mon, 21 Aug 2023R502.3bR473.0bR25.3b5.8x19.8x1.1x
Wed, 19 Jul 2023R524.2bR457.6bR24.1b6.9x21.7x1.1x
Fri, 16 Jun 2023R559.2bR458.1bR24.1b6.3x23.2x1.2x
Sun, 14 May 2023R498.9bR442.1bR38.8b7.2x12.8x1.1x
Tue, 11 Apr 2023R554.8bR442.1bR38.8b7.9x14.3x1.3x
Thu, 09 Mar 2023R599.3bR427.0bR38.5b8x15.6x1.4x
Sat, 04 Feb 2023R578.3bR426.3bR39.1b7.2x14.8x1.4x
Mon, 02 Jan 2023R542.4bR426.3bR39.1b6.9x13.9x1.3x
Wed, 30 Nov 2022R538.8bR426.3bR39.1b7.5x13.8x1.3x
Fri, 28 Oct 2022R520.9bR420.3bR42.4b9.1x12.3x1.2x
Sun, 25 Sep 2022R522.4bR420.3bR42.4b9x12.3x1.2x
Price to Earnings Ratio

12.3x


Total Market Cap: R522.4bTotal Earnings: R42.4bTotal Revenue: R420.3bTotal Market Cap vs Earnings and Revenue0%0%0%
South African Telecom Sector Price to Earnings3Y Average 26x202320242025
Current Industry PE
  • Investors are pessimistic on the South African Communication Services 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 20.0x which is lower than its 3-year average PE of 26.0x.
  • The 3-year average PS ratio of 1.1x is lower than the industry's current PS ratio of 1.3x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have declined 9.6% per year over the last three years.
  • Meanwhile revenues for these companies have grown 4.4% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

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

ZA Market1.50%
Telecom2.26%
Telecom Services and Carriers3.50%
Wireless Telecom2.26%
Media1.50%
Industry PE
  • Investors are most optimistic about the Media industry which is trading above its 3-year average PE ratio of 20.5x.
    • Analysts are expecting annual earnings growth of 37.5%, which is higher than its past year's earnings decline of 8.2% per year.
  • Investors are most pessimistic about the Telecom Services and Carriers industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 5.4x.
Forecasted Growth
  • Analysts are most optimistic on the Media industry, expecting annual earnings growth of 38% over the next 5 years.
  • This is better than its past earnings decline of 8.2% per year.
  • In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 5.6% 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
MTN MTN GroupR146.646.2%
+R15.8b		55.4%PE35.6x
TKG Telkom SA SOCR51.875.2%
+R1.3b		94.4%PE9.3x
MCG MultiChoice GroupR124.280.7%
+R386.1m		15.9%PE44.7x
CAT Caxton and CTP Publishers and PrintersR12.208.3%
+R281.3m		-2.7%PE7.2x
EMH eMedia HoldingsR2.7414.2%
+R150.6m		-26.9%PE5.9x

Latest News

EMH
R2.74
eMedia Holdings
7D
14.2%
1Y
-26.9%
CAT
R12.20
Caxton and CTP Publishers and Printers
7D
8.3%
1Y
-2.7%
MTN
R146.64
MTN Group
7D
6.2%
1Y
55.4%
TKG
R51.87
Telkom SA SOC
7D
5.2%
1Y
94.4%
HUG
R1.15
Huge Group
7D
-20.1%
1Y
-42.5%
VOD
R135.29
Vodacom Group
7D
-1.5%
1Y
21.4%

5G Expansion And Climate Initiatives Will Open New Opportunities In Africa

With consensus forecasts for revenue growth and net profit margin both remaining stable, analysts have maintained Vodacom Group’s fair value estimate unchanged at ZAR142.67. What's in the News Vodacom Group approved an amendment to the company's memorandum of incorporation at its annual general meeting.
BLU
R13.14
Blu Label Unlimited Group
7D
0.4%
1Y
177.8%

We Don’t Think Blue Label Telecoms' (JSE:BLU) Earnings Should Make Shareholders Too Comfortable

Sep 04
We Don’t Think Blue Label Telecoms' (JSE:BLU) Earnings Should Make Shareholders Too Comfortable
MCG
R124.28
MultiChoice Group
7D
0.7%
1Y
15.9%
AME
R44.89
African Media Entertainment
7D
5.6%
1Y
12.2%