Absa Group Limited, together with its subsidiaries, provides various financial products and services in South Africa and internationally.
Absa Group Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||R141.38|
|52 Week High||R85.79|
|52 Week Low||R160.00|
|1 Month Change||-1.39%|
|3 Month Change||5.51%|
|1 Year Change||37.00%|
|3 Year Change||-2.36%|
|5 Year Change||-6.99%|
|Change since IPO||1,313.80%|
Recent News & Updates
|ABG||ZA Banks||ZA Market|
Return vs Industry: ABG exceeded the ZA Banks industry which returned 34.7% over the past year.
Return vs Market: ABG exceeded the ZA Market which returned 19% over the past year.
Stable Share Price: ABG is not significantly more volatile than the rest of ZA stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: ABG's weekly volatility (4%) has been stable over the past year.
About the Company
Absa Group Limited, together with its subsidiaries, provides various financial products and services in South Africa and internationally. It offers personal and business banking, corporate and investment banking, wealth and investment management, and insurance services. The company offers retail and business banking products and services to individual, enterprise, and commercial customers, including residential property-related finance solutions; vehicle and asset finance products and services; credit cards; personal loans; short-term insurance products; and transactional banking, savings, and investment products and services.
Absa Group Fundamentals Summary
|ABG fundamental statistics|
Is ABG overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|ABG income statement (TTM)|
|Cost of Revenue||R0|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Mar 14, 2022
|Earnings per share (EPS)||16.34|
|Net Profit Margin||18.87%|
How did ABG perform over the long term?See historical performance and comparison
4.4%Current Dividend Yield
Is Absa Group undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ABG (ZAR141.38) is trading above our estimate of fair value (ZAR115.48)
Significantly Below Fair Value: ABG is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ABG is good value based on its PE Ratio (8.7x) compared to the ZA Banks industry average (10.9x).
PE vs Market: ABG is good value based on its PE Ratio (8.7x) compared to the ZA market (11.1x).
Price to Earnings Growth Ratio
PEG Ratio: ABG is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: ABG's PB Ratio (1x) is in line with the ZA Banks industry average.
How is Absa Group forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ABG's forecast earnings growth (15.3% per year) is above the savings rate (8.8%).
Earnings vs Market: ABG's earnings (15.3% per year) are forecast to grow faster than the ZA market (12.3% per year).
High Growth Earnings: ABG's earnings are forecast to grow, but not significantly.
Revenue vs Market: ABG's revenue (7.7% per year) is forecast to grow faster than the ZA market (6.4% per year).
High Growth Revenue: ABG's revenue (7.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ABG's Return on Equity is forecast to be low in 3 years time (15.1%).
How has Absa Group performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ABG has high quality earnings.
Growing Profit Margin: ABG's current net profit margins (18.9%) are higher than last year (11.4%).
Past Earnings Growth Analysis
Earnings Trend: ABG's earnings have declined by 10.1% per year over the past 5 years.
Accelerating Growth: ABG's earnings growth over the past year (90.9%) exceeds its 5-year average (-10.1% per year).
Earnings vs Industry: ABG earnings growth over the past year (90.9%) exceeded the Banks industry 24.9%.
Return on Equity
High ROE: ABG's Return on Equity (11%) is considered low.
How is Absa Group's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: ABG's Assets to Equity ratio (11.4x) is moderate.
Allowance for Bad Loans: ABG has a low allowance for bad loans (71%).
Low Risk Liabilities: 77% of ABG's liabilities are made up of primarily low risk sources of funding.
Loan Level: ABG has an appropriate level of Loans to Assets ratio (65%).
Low Risk Deposits: ABG's Loans to Deposits ratio (93%) is appropriate.
Level of Bad Loans: ABG has a high level of bad loans (5.7%).
What is Absa Group current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ABG's dividend (4.39%) is higher than the bottom 25% of dividend payers in the ZA market (3.14%).
High Dividend: ABG's dividend (4.39%) is low compared to the top 25% of dividend payers in the ZA market (7.7%).
Stability and Growth of Payments
Stable Dividend: ABG's dividend payments have been volatile in the past 10 years.
Growing Dividend: ABG's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (18.9%), ABG's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ABG's dividends in 3 years are forecast to be well covered by earnings (48.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Jason Quinn (47 yo)
Mr. Jason Paul Quinn, CA (SA) had been the Group Finance Director of Absa Group Limited since September 01, 2016. He has been an Executive Director of Absa Group Limited (formerly, Absa Group Ltd. (formerl...
CEO Compensation Analysis
Compensation vs Market: Jason's total compensation ($USD1.41M) is about average for companies of similar size in the ZA market ($USD1.71M).
Compensation vs Earnings: Jason's compensation has been consistent with company performance over the past year.
Experienced Management: ABG's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.
Experienced Board: ABG's board of directors are considered experienced (4.4 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Absa Group Limited's employee growth, exchange listings and data sources
- Name: Absa Group Limited
- Ticker: ABG
- Exchange: JSE
- Founded: 1986
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: R117.290b
- Shares outstanding: 829.61m
- Website: https://www.absa.africa
Number of Employees
- Absa Group Limited
- Absa Towers West
- 7th Floor
- South Africa
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/10/22 20:57|
|End of Day Share Price||2021/10/22 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.