Is CSL Limited (ASX:CSL) Worth AU$270 Based On Its Intrinsic Value?
Does the January share price for CSL Limited ( ASX:CSL ) reflect what it's really worth? Today, we will estimate the...
Australian (ASX) Stock Market Analysis
UpdatedJan 23, 2022
DataAggregated Company Financials
Companies1814
- 7D-2.8%
- 3M-2.3%
- 1Y5.8%
- YTD-4.8%
Over the last 7 days, the market has dropped 2.8%, driven by declines in every sector, especially the Financials sector. Although the market is actually up 5.8% over the past year.
Market Valuation and Performance
Has the Australian Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE |
|---|---|---|---|---|
| Sun, 23 Jan 2022 | AU$2.6t | AU$976.4b | AU$104.1b | 18.6x |
| Tue, 21 Dec 2021 | AU$2.6t | AU$976.6b | AU$104.3b | 18.7x |
| Thu, 18 Nov 2021 | AU$2.6t | AU$972.6b | AU$100.9b | 19.3x |
| Sat, 16 Oct 2021 | AU$2.6t | AU$956.5b | AU$94.9b | 19.8x |
| Mon, 13 Sep 2021 | AU$2.6t | AU$952.7b | AU$97.1b | 18.6x |
| Wed, 11 Aug 2021 | AU$2.6t | AU$949.7b | AU$96.9b | 18.2x |
| Sun, 06 Jun 2021 | AU$2.4t | AU$901.0b | AU$70.4b | 18.4x |
| Wed, 10 Mar 2021 | AU$2.3t | AU$877.2b | AU$41.9b | 20.3x |
| Tue, 01 Dec 2020 | AU$2.2t | AU$887.6b | AU$44.9b | 21.8x |
| Fri, 04 Sep 2020 | AU$2.0t | AU$884.7b | AU$48.4b | 21.1x |
| Mon, 08 Jun 2020 | AU$1.8t | AU$927.8b | AU$75.0b | 18.8x |
| Sun, 01 Mar 2020 | AU$2.0t | AU$923.4b | AU$92.2b | 17.7x |
| Wed, 04 Dec 2019 | AU$2.1t | AU$922.1b | AU$99.0b | 19.7x |
| Sat, 07 Sep 2019 | AU$2.0t | AU$906.9b | AU$98.6b | 18.4x |
| Fri, 31 May 2019 | AU$1.9t | AU$894.3b | AU$102.1b | 17.5x |
| Mon, 04 Mar 2019 | AU$1.9t | AU$886.1b | AU$105.1b | 16.8x |
PE Ratio
16x
Current Market PE: Investors are relatively neutral on the market at the moment, considering it's trading close to its 3-year average PE ratio of 18.7x. It appears they believe that earnings will grow in-line with historical growth rates.
Past Earnings Growth: The earnings for Australian listed companies have remained mostly flat over the last three years, while revenues have grown 3.3% 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 and as a result, profits have held steady.
Sector Trends
Which sectors have driven the changes within the Australian Market?
| Energy | -0.88% | |
| Consumer Staples | -1.25% | |
| Utilities | -1.76% | |
| Materials | -1.97% | |
| Consumer Discretionary | -2.50% | |
| Real Estate | -2.88% | |
| Industrials | -3.03% | |
| Tech | -3.28% | |
| Financials | -3.44% | |
| Telecom | -3.93% | |
| Healthcare | -4.16% | |
Sector PE: Investors are most optimistic about the Utilities sector which is trading above its 3-year average PE ratio of 24.7x. This is likely because analysts are expecting annual earnings growth of 35% which is higher than its past year's earnings decline of 13% per year. Meanwhile, investors are most pessimistic about the Real Estate sector, which is trading below its 3-year average of 15.4x.
Forecasted Growth: Analysts are most optimistic on the Tech sector, expecting annual earnings growth of 40% over the next 5 years. This is roughly in line with its past earnings growth rate. Meanwhile, the Real Estate sector is expected to see its earnings grow by 2.3% 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 | |
|---|---|---|---|---|---|---|
| NST Northern Star Resources | AU$9.83 | 5.7% +AU$617.2m | -26.8% | PE11.1x | Materials | |
| NCM Newcrest Mining | AU$25.26 | 2.2% +AU$448.8m | -5.6% | PE12.8x | Materials | |
| BRN BrainChip Holdings | AU$1.76 | 17.0% +AU$437.3m | 190.1% | PS2479.4x | Tech | |
| WPL Woodside Petroleum | AU$25.19 | 1.5% +AU$406.4m | -5.2% | PE49.5x | Energy | |
| JBH JB Hi-Fi | AU$47.75 | 5.8% +AU$303.0m | -6.4% | PE10.9x | Consumer Discretionary |
