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South African (JSE) Market Analysis & Valuation
UpdatedNov 27, 2024
DataAggregated Company Financials
Companies214
- 7D0.7%
- 3M2.3%
- 1Y13.3%
- YTD10.7%
In the last week, the market has stayed flat, however the Energy sector stood out, gaining 3.3%. More promisingly, the market is up 13% over the past year. Earnings are forecast to grow by 20% annually.
Market Valuation and Performance
Has the South African Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 27 Nov 2024 | R6.3t | R5.3t | R345.4b | 9.8x | 18.2x | 1.2x |
| Fri, 25 Oct 2024 | R6.4t | R5.1t | R338.8b | 10.3x | 18.8x | 1.2x |
| Sun, 22 Sep 2024 | R6.2t | R5.2t | R335.1b | 10x | 18.5x | 1.2x |
| Tue, 20 Aug 2024 | R6.2t | R5.2t | R410.4b | 9.6x | 15x | 1.2x |
| Thu, 18 Jul 2024 | R5.8t | R5.2t | R421.5b | 9.2x | 13.9x | 1.1x |
| Sat, 15 Jun 2024 | R5.6t | R5.2t | R434.4b | 8.7x | 12.8x | 1.1x |
| Mon, 13 May 2024 | R5.7t | R5.3t | R431.5b | 8.6x | 13.2x | 1.1x |
| Wed, 10 Apr 2024 | R5.6t | R5.3t | R430.7b | 8.6x | 12.9x | 1x |
| Fri, 08 Mar 2024 | R5.5t | R5.3t | R449.5b | 8.8x | 12.2x | 1x |
| Sun, 04 Feb 2024 | R5.7t | R5.5t | R542.4b | 9.4x | 10.4x | 1x |
| Tue, 02 Jan 2024 | R5.9t | R5.4t | R538.9b | 9.4x | 10.9x | 1.1x |
| Thu, 30 Nov 2023 | R5.7t | R5.4t | R542.2b | 9x | 10.4x | 1x |
| Sat, 28 Oct 2023 | R5.3t | R5.5t | R545.2b | 8.9x | 9.6x | 1x |
| Mon, 25 Sep 2023 | R5.6t | R5.5t | R549.5b | 9.2x | 10.1x | 1x |
| Wed, 23 Aug 2023 | R5.7t | R5.4t | R626.4b | 8.2x | 9.1x | 1.1x |
| Fri, 21 Jul 2023 | R6.0t | R5.4t | R654.3b | 8.5x | 9.1x | 1.1x |
| Sun, 18 Jun 2023 | R6.1t | R5.4t | R637.4b | 8.4x | 9.6x | 1.1x |
| Tue, 16 May 2023 | R5.9t | R5.4t | R668.4b | 8.2x | 8.8x | 1.1x |
| Thu, 13 Apr 2023 | R6.1t | R5.3t | R658.6b | 8.6x | 9.3x | 1.1x |
| Sat, 11 Mar 2023 | R6.1t | R5.3t | R648.1b | 8.5x | 9.3x | 1.1x |
| Mon, 06 Feb 2023 | R6.5t | R5.2t | R659.8b | 8.5x | 9.8x | 1.2x |
| Wed, 04 Jan 2023 | R6.1t | R5.2t | R656.4b | 8.5x | 9.2x | 1.2x |
| Fri, 02 Dec 2022 | R6.2t | R5.2t | R655.1b | 8.1x | 9.5x | 1.2x |
| Sun, 30 Oct 2022 | R5.8t | R5.2t | R841.5b | 8.6x | 6.9x | 1.1x |
| Tue, 27 Sep 2022 | R5.5t | R5.1t | R830.1b | 8.8x | 6.6x | 1.1x |
| Thu, 25 Aug 2022 | R6.0t | R5.3t | R811.5b | 8.5x | 7.4x | 1.1x |
| Sat, 23 Jul 2022 | R5.9t | R5.3t | R792.0b | 8.6x | 7.4x | 1.1x |
| Mon, 20 Jun 2022 | R6.1t | R5.2t | R805.7b | 8.6x | 7.6x | 1.2x |
| Wed, 18 May 2022 | R6.5t | R5.2t | R790.8b | 9.4x | 8.2x | 1.2x |
| Fri, 15 Apr 2022 | R6.9t | R5.2t | R767.6b | 9.8x | 8.9x | 1.3x |
| Sun, 13 Mar 2022 | R7.2t | R5.2t | R750.2b | 10.4x | 9.5x | 1.4x |
| Tue, 08 Feb 2022 | R7.1t | R5.1t | R767.1b | 10.6x | 9.3x | 1.4x |
| Thu, 06 Jan 2022 | R7.0t | R5.1t | R770.6b | 10.6x | 9.1x | 1.4x |
| Sat, 04 Dec 2021 | R6.7t | R5.1t | R772.8b | 10.2x | 8.7x | 1.3x |
Price to Earnings Ratio
8.7x
Current Market PE
- Investors are optimistic on the South African market, and appear confident in strong long term growth rates.
- The market is trading at a PE ratio of 18.2x which is higher than its 3-year average PE of 10.5x.
Past Earnings Growth
- The earnings for South African listed companies have declined 24% per year over the last three years.
- Meanwhile revenues have been flat.
- This means that either the cost of doing business or the level of investment back into businesses is increasing since sales have remained steady while profits have fallen.
Sector Trends
Which sectors have driven the changes within the South African Market?
| ZA Market | 0.68% | |
| Energy | 3.29% | |
| Consumer Staples | 2.26% | |
| Consumer Discretionary | 1.82% | |
| Tech | 1.60% | |
| Financials | 1.50% | |
| Real Estate | 0.71% | |
| Industrials | 0.28% | |
| Utilities | 0% | |
| Information Technology | 0% | |
| Financials | 0% | |
| Health Care | 0% | |
| Industrials | 0% | |
| Healthcare | -0.10% | |
| Telecom | -0.53% | |
| Materials | -2.99% | |
Sector PE
- Investors favour the Telecom sector the most for future growth, which is trading above its 3-year average PE ratio of 18.8x.
- The market's confidence is likely because analysts are expecting annual earnings growth of 39.0% which is higher than its past year's earnings decline of 3.1% per year.
Forecasted Growth
- Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 39% over the next 5 years.
- This is better than its past earnings decline of 3.1% per year.
- In contrast, the Energy sector is expected to see its earnings decline by 7.0% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | Sector | |
|---|---|---|---|---|---|---|
| FSR FirstRand | R79.10 | 3.4% +R14.4b | 17.2% | PE11.6x | Financials | |
| PPH Pepkor Holdings | R25.25 | 10.8% +R9.0b | 34.2% | PS1x | Consumer Discretionary | |
| CPI Capitec Bank Holdings | R3.36k | 2.2% +R8.4b | 70.1% | PB8.5x | Financials | |
| MRP Mr Price Group | R288.55 | 8.5% +R6.2b | 83.8% | PE22.1x | Consumer Discretionary | |
| ABG Absa Group | R174.11 | 4.3% +R5.9b | -0.6% | PB0.9x | Financials |
