South African (JSE) IT Industry Analysis
UpdatedOct 30, 2023
DataAggregated Company Financials
Companies7
- 7D-2.3%
- 3M-9.2%
- 1Y-31.2%
- YTD-31.4%
Over the last 7 days, the IT industry has dropped 2.3%, driven by pullbacks in Metrofile Holdings and PBT Group of 3.7% and 5.1%, respectively. Meanwhile, AYO Technology Solutions actually outperformed within the industry, gaining 33% in the last week. Overall the industry is down 31% in 12 months.
Industry Valuation and Performance
Has the South African IT Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Mon, 30 Oct 2023 | R6.5b | R20.8b | -R158,367,034.00 | 10.2x | -41x | 0.3x |
| Wed, 27 Sep 2023 | R5.9b | R14.6b | -R71,823,034.00 | 10.1x | -81.8x | 0.4x |
| Fri, 25 Aug 2023 | R6.1b | R14.6b | -R76,018,034.00 | 10.4x | -80.3x | 0.4x |
| Sun, 23 Jul 2023 | R6.3b | R14.4b | -R87,939,425.00 | 10.2x | -71.7x | 0.4x |
| Tue, 20 Jun 2023 | R6.3b | R14.4b | -R580,344,109.00 | 10.6x | -10.9x | 0.4x |
| Thu, 18 May 2023 | R6.3b | R13.4b | -R387,675,109.00 | 10.2x | -16.3x | 0.5x |
| Sat, 15 Apr 2023 | R7.6b | R13.3b | -R387,033,145.00 | 10.8x | -19.7x | 0.6x |
| Mon, 13 Mar 2023 | R9.0b | R14.2b | -R276,865,145.00 | 10.6x | -32.7x | 0.6x |
| Wed, 08 Feb 2023 | R8.8b | R14.1b | -R276,996,145.00 | 11.7x | -31.7x | 0.6x |
| Fri, 06 Jan 2023 | R9.2b | R14.1b | -R276,996,145.00 | 16.7x | -33.1x | 0.6x |
| Sun, 04 Dec 2022 | R8.9b | R14.1b | -R477,352,145.00 | 13.2x | -18.5x | 0.6x |
| Tue, 01 Nov 2022 | R9.1b | R20.2b | -R543,839,169.00 | 11.3x | -16.8x | 0.5x |
| Thu, 29 Sep 2022 | R9.7b | R19.3b | -R653,723,047.00 | 11.3x | -14.8x | 0.5x |
| Sat, 27 Aug 2022 | R10.2b | R19.2b | -R165,623,047.00 | 11.8x | -61.4x | 0.5x |
| Mon, 25 Jul 2022 | R9.7b | R19.2b | -R165,623,047.00 | 13x | -58.8x | 0.5x |
| Wed, 22 Jun 2022 | R9.7b | R19.1b | -R178,226,281.00 | 13.6x | -54.7x | 0.5x |
| Fri, 20 May 2022 | R10.1b | R18.6b | -R79,462,281.00 | 12.4x | -127.3x | 0.5x |
| Sun, 17 Apr 2022 | R10.0b | R18.6b | -R79,462,281.00 | 13.3x | -126.2x | 0.5x |
| Tue, 15 Mar 2022 | R8.7b | R12.3b | R37.6m | 12.8x | 232.1x | 0.7x |
| Thu, 10 Feb 2022 | R9.4b | R12.3b | R37.6m | 14.2x | 249.8x | 0.8x |
| Sat, 08 Jan 2022 | R9.5b | R12.3b | R37.6m | 13.4x | 252x | 0.8x |
| Mon, 06 Dec 2021 | R9.3b | R13.0b | R263.2m | 13.1x | 35.4x | 0.7x |
| Wed, 03 Nov 2021 | R9.2b | R12.8b | R215.7m | 14.3x | 42.6x | 0.7x |
| Fri, 01 Oct 2021 | R10.1b | R20.5b | -R395,487,504.00 | 11x | -25.6x | 0.5x |
| Sun, 29 Aug 2021 | R9.7b | R20.4b | -R520,490,344.07 | 10.5x | -18.6x | 0.5x |
| Mon, 05 Jul 2021 | R10.0b | R20.4b | -R520,490,344.07 | 10.7x | -19.2x | 0.5x |
| Thu, 08 Apr 2021 | R10.7b | R20.4b | -R520,490,344.07 | 10.5x | -20.6x | 0.5x |
| Sun, 10 Jan 2021 | R11.0b | R21.7b | -R716,169,230.07 | 10.5x | -15.4x | 0.5x |
Price to Earnings Ratio
-29.8x
Current Industry PE
- Investors are pessimistic on the South African IT industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading close to its 3-year average PS ratio of 0.56x.
Past Earnings Growth
- The earnings for companies in the IT industry have improved over the last three years.
- Meanwhile revenues for these companies have declined 13% per year.
- This means that less sales are being generated overall, but since the cost of doing business is lower, losses have been shrinking.
Industry Trends
Which industries have driven the changes within the South African Tech industry?
| ZA Market | -1.18% | |
| Tech | -2.49% | |
| IT | -2.34% | |
| Internet Services and Infrastructure | 0% | |
| Data Processing Services | 0% | |
| IT Consulting | -2.34% | |
Industry PE
Forecasted GrowthThere is insufficient data on the sub-industries of this industry.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| AYO AYO Technology Solutions | R0.80 | 33.3% +R68.6m | -66.7% | PS0.1x | |
| EOH EOH Holdings | R1.29 | 0.8% +R6.3m | -69.5% | PS0.1x | |
| SEB Sebata Holdings | R2.04 | 1.5% +R3.4m | -18.1% | PS8.1x |