{"id":181183,"date":"2017-06-23T12:32:28","date_gmt":"2017-06-23T10:32:28","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=181183"},"modified":"2017-06-23T12:32:28","modified_gmt":"2017-06-23T10:32:28","slug":"the-best-and-worst-performing-sa-tech-shares-in-2017-so-far","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/181183\/the-best-and-worst-performing-sa-tech-shares-in-2017-so-far\/","title":{"rendered":"The best and worst performing SA tech shares in 2017 so far"},"content":{"rendered":"

The South African tech and telecoms sector has struggled in 2017 thus far, with most of the sector’s share prices down in the first six months.<\/p>\n

The JSE All Share Index, by comparison, has been flat over the period, up only a fraction from 51020.66 at the start of the year to 51072.86 in June.<\/p>\n

Among the country’s biggest tech and telco players, Naspers and MTN stand out on opposite ends.<\/p>\n

Naspers has continued to reach new highs, with its share value up by over 26% in the past six months, off an already high base. The group reportedly accounts for 15% of the all share index alone.<\/p>\n

The internet and media group has been carried higher by its significant stake in China’s Tencent, which has surged almost 50% higher in Hong Kong.<\/p>\n

Conversely, mobile operator MTN has seen a significant drop, down almost 13% so far in 2017. MTN’s has been hit by regulatory problems – specifically in Nigeria – which led to the group posting its first-ever annual loss.<\/p>\n

The group’s share price has lost more than half of its value since 2015.<\/p>\n

Beyond each company’s operational performances, companies in South Africa are working in adverse economic conditions, underpinned by two rating downgrades to sub-investment grade status, as well as the economy entering a recession.<\/p>\n

These knocks have led to investor outflows in the local exchange; however, economists say this provides a good opportunity for domestic investors to buy into stong businesses at attractive prices.<\/p>\n

The tables below show how tech and telco shares have changed in the past six months.<\/p>\n

Large cap companies (> R10 billion)<\/strong><\/p>\n

Aside from Naspers’ strong performance in 2017 so far, the two other companies to see their share value increase are Vodacom and Datatec.<\/p>\n

Datatec reported a drop in revenue and profit for the full year ended February 2017, following what it described as a very challenging year. However the group is still weighing up\u00a0a possible sale of a major share of the struggling Westcon-Comstor\u2019s operations, which is expected to give the group a boost.<\/p>\n

Vodacom had another solid financial year, reporting a boost in profit and service revenue – as well as three million new customers – for its year ended March 2017.<\/p>\n

A big move at the operator is its\u00a0acquisition of a 34.94% stake in Kenya\u2019s\u00a0Safaricom, which will enhance the group’s footprint in Africa. The move has been well-received by investors.<\/p>\n

\n
\n\n\n\n\n\n\n\n\n\n
Company<\/th>\nJanuary Share Price (ZAR)<\/th>\nJune Share price (ZAR)<\/th>\n6 month change<\/th>\nMarket Cap (Rbn)<\/th>\n<\/tr>\n
Naspers<\/td>\n2034.77<\/td>\n2571.80<\/td>\n+26.4%<\/span><\/td>\n1129.0<\/td>\n<\/tr>\n
Datatec<\/td>\n49.90<\/td>\n57.52<\/td>\n+15.3%<\/span><\/td>\n12.2<\/td>\n<\/tr>\n
Vodacom<\/td>\n150.60<\/td>\n161.51<\/td>\n+7.2%<\/span><\/td>\n239.5<\/td>\n<\/tr>\n
MTN<\/td>\n130.00<\/td>\n113.66<\/td>\n-12.6%<\/span><\/td>\n214.1<\/td>\n<\/tr>\n
Blue Label<\/td>\n18.15<\/td>\n15.20<\/td>\n-16.3%<\/span><\/td>\n10.3<\/td>\n<\/tr>\n
Telkom<\/td>\n73.89<\/td>\n61.80<\/td>\n-16.4%<\/span><\/td>\n32.6<\/td>\n<\/tr>\n
EOH<\/td>\n163.99<\/td>\n123.32<\/td>\n-24.8%<\/span><\/td>\n18.6<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<\/div>\n

Mid cap companies (R1 billion – R10 billion)<\/strong><\/p>\n

\n
\n\n\n\n\n\n\n\n
Company<\/th>\nJanuary Share Price (ZAR)<\/th>\nJune Share price (ZAR)<\/th>\n6 month change<\/th>\nMarket Cap (Rbn)<\/th>\n<\/tr>\n
Mix Telematics<\/td>\n3.25<\/td>\n4.24<\/td>\n+30.5%<\/span><\/td>\n2.56<\/td>\n<\/tr>\n
Cartrack<\/td>\n10.95<\/td>\n13.00<\/td>\n+18.7%<\/span><\/td>\n3.90<\/td>\n<\/tr>\n
Alviva Holdings<\/td>\n18.01<\/td>\n16.70<\/td>\n-7.3%<\/span><\/td>\n2.83<\/td>\n<\/tr>\n
Net1<\/td>\n161.11<\/td>\n126.00<\/td>\n-21.8%<\/span><\/td>\n7.10<\/td>\n<\/tr>\n
Adapt IT<\/td>\n15.40<\/td>\n9.65<\/td>\n-37.3%<\/span><\/td>\n1.48<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<\/div>\n

Small cap companies (< R1 billion)<\/strong><\/p>\n

Among the small-cap tech companies, there were no gainers in 2017 so far; however, coming off a small base and in low trade volumes, these variations fluctuate greatly.<\/p>\n

\n
\n\n\n\n\n\n
Company<\/th>\nJanuary Share Price (cents)<\/th>\nJune Share price (cents)<\/th>\n6 month change<\/th>\nMarket Cap (Rm)<\/th>\n<\/tr>\n
Jasco<\/td>\n95<\/td>\n83<\/td>\n-12.6%<\/span><\/td>\n190<\/td>\n<\/tr>\n
Mustek<\/td>\n490<\/td>\n410<\/td>\n-16.3%<\/span><\/td>\n372<\/td>\n<\/tr>\n
Ellies<\/td>\n31<\/td>\n18<\/td>\n-41.9%<\/span><\/td>\n113<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n

Share prices as at 3 January 2017, and 22 June 2017, Bloomberg<\/em><\/p>\n

\n

Read:\u00a0These are the 6 stocks helping hold up the JSE right now: report<\/a><\/strong><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The South African tech and telecoms sector has not been having a great 2017 so far, with most of the sector’s share prices down in the first 6 months.<\/p>\n","protected":false},"author":10,"featured_media":66436,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[26,175],"class_list":["post-181183","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-headline","tag-jse"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/181183","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=181183"}],"version-history":[{"count":4,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/181183\/revisions"}],"predecessor-version":[{"id":181219,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/181183\/revisions\/181219"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/66436"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=181183"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=181183"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=181183"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}