Here's Why Woolworths Group (ASX:WOW) Has A Meaningful Debt Burden
Apr 18
Australian (ASX) Consumer Staples Sector Analysis
UpdatedApr 19, 2024
DataAggregated Company Financials
Companies54
- 7D-2.0%
- 3M-2.6%
- 1Y-14.1%
- YTD-5.2%
Over the last 7 days, the Consumer Staples industry has dropped 1.8%, driven by a pullback from Woolworths Group of 2.6%. The industry has fallen 14% in the last year. As for the next few years, earnings are expected to grow by 28% per annum.
Sector Valuation and Performance
Has the Australian Consumer Staples Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 19 Apr 2024 | AU$94.2b | AU$162.2b | AU$1.7b | 17.2x | 54.9x | 0.6x |
| Sun, 17 Mar 2024 | AU$96.3b | AU$162.2b | AU$1.7b | 16.7x | 56.1x | 0.6x |
| Tue, 13 Feb 2024 | AU$99.3b | AU$160.4b | AU$3.4b | 20.8x | 29.3x | 0.6x |
| Thu, 11 Jan 2024 | AU$103.7b | AU$163.6b | AU$3.0b | 20.6x | 35.1x | 0.6x |
| Sat, 09 Dec 2023 | AU$101.1b | AU$163.5b | AU$2.9b | 21.5x | 34.4x | 0.6x |
| Mon, 06 Nov 2023 | AU$99.7b | AU$164.0b | AU$3.2b | 24.5x | 31.1x | 0.6x |
| Wed, 04 Oct 2023 | AU$102.2b | AU$164.0b | AU$3.2b | 22x | 31.8x | 0.6x |
| Fri, 01 Sep 2023 | AU$105.3b | AU$164.1b | AU$3.3b | 23.2x | 32.1x | 0.6x |
| Sun, 30 Jul 2023 | AU$110.1b | AU$161.1b | AU$3.8b | 22x | 29.2x | 0.7x |
| Tue, 27 Jun 2023 | AU$110.1b | AU$161.1b | AU$3.8b | 21.9x | 29.3x | 0.7x |
| Thu, 25 May 2023 | AU$109.6b | AU$161.0b | AU$3.9b | 24.4x | 28.1x | 0.7x |
| Sat, 22 Apr 2023 | AU$112.7b | AU$160.0b | AU$4.0b | 22.3x | 28x | 0.7x |
| Mon, 20 Mar 2023 | AU$108.2b | AU$160.0b | AU$4.0b | 21.7x | 26.9x | 0.7x |
| Wed, 15 Feb 2023 | AU$110.4b | AU$157.4b | AU$4.0b | 20.3x | 27.7x | 0.7x |
| Fri, 13 Jan 2023 | AU$104.9b | AU$157.3b | AU$3.9b | 20.3x | 26.6x | 0.7x |
| Sun, 11 Dec 2022 | AU$106.6b | AU$157.1b | AU$4.3b | 18.8x | 24.9x | 0.7x |
| Tue, 08 Nov 2022 | AU$103.5b | AU$154.8b | AU$4.3b | 18.4x | 24.1x | 0.7x |
| Thu, 06 Oct 2022 | AU$105.2b | AU$154.8b | AU$4.3b | 18.5x | 24.4x | 0.7x |
| Sat, 03 Sep 2022 | AU$111.6b | AU$154.8b | AU$4.3b | 18.2x | 25.8x | 0.7x |
| Mon, 01 Aug 2022 | AU$114.2b | AU$150.8b | AU$4.2b | 15.6x | 27.3x | 0.8x |
| Wed, 29 Jun 2022 | AU$110.8b | AU$149.8b | AU$4.2b | 16x | 26.7x | 0.7x |
| Fri, 27 May 2022 | AU$110.9b | AU$149.8b | AU$4.1b | 18.3x | 26.8x | 0.7x |
| Sun, 24 Apr 2022 | AU$118.2b | AU$148.1b | AU$3.9b | 19.4x | 30.1x | 0.8x |
| Tue, 22 Mar 2022 | AU$110.1b | AU$148.1b | AU$3.9b | 18.3x | 28.1x | 0.7x |
| Thu, 17 Feb 2022 | AU$106.6b | AU$144.4b | AU$4.1b | 22.1x | 26.3x | 0.7x |
| Sat, 15 Jan 2022 | AU$106.8b | AU$144.4b | AU$4.0b | 21.7x | 26.4x | 0.7x |
| Mon, 13 Dec 2021 | AU$117.0b | AU$144.3b | AU$4.1b | 20.9x | 28.9x | 0.8x |
| Wed, 10 Nov 2021 | AU$116.5b | AU$143.3b | AU$3.7b | 23.1x | 31.5x | 0.8x |
| Fri, 08 Oct 2021 | AU$117.6b | AU$143.3b | AU$3.7b | 22.6x | 31.8x | 0.8x |
| Sun, 05 Sep 2021 | AU$118.9b | AU$140.5b | AU$3.6b | 23.3x | 33.1x | 0.8x |
| Tue, 03 Aug 2021 | AU$115.3b | AU$140.5b | AU$3.6b | 21.8x | 32.1x | 0.8x |
| Fri, 07 May 2021 | AU$99.4b | AU$129.1b | AU$2.9b | 27x | 34.4x | 0.8x |
Price to Earnings Ratio
34.4x
Current Industry PE
- Investors are optimistic on the Australian Consumer Staples industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 54.9x which is higher than its 3-year average PE of 30.7x.
- The industry is trading close to its 3-year average PS ratio of 0.71x.
Past Earnings Growth
- The earnings for companies in the Consumer Staples industry have declined 16% per year over the last three years.
- Meanwhile revenues for these companies have grown 7.9% 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, which has decreased profits.
Industry Trends
Which industries have driven the changes within the Australian Consumer Staples sector?
| AU Market | -2.22% | |
| Consumer Staples | -1.99% | |
| Household Products | 3.13% | |
| Tobacco | 0% | |
| Food | -1.30% | |
| Food and Staples Retail | -1.60% | |
| Personal Products | -1.77% | |
| Beverage | -5.44% | |
Industry PE
- Investors are most optimistic about the Beverage industry which is trading above its 3-year average PE ratio of 38.0x.
- Analysts are expecting annual earnings growth of 23.5%, which is higher than its past year's earnings decline of 31.9% per year.
Forecasted Growth
- Analysts are most optimistic on the Personal Products industry, expecting annual earnings growth of 69% over the next 5 years.
- In contrast, the Beverage industry is expected to see its earnings grow by 23% 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 | |
|---|---|---|---|---|---|
| EDV Endeavour Group | AU$5.32 | 1.5% +AU$143.3m | -21.9% | PE18.5x | |
| ELD Elders | AU$8.46 | 1.8% +AU$23.6m | 1.4% | PE13.2x | |
| LV1 Live Verdure | AU$0.84 | 21.7% +AU$18.9m | 342.1% | PS47.8x | |
| DBF Duxton Farms | AU$1.57 | 14.2% +AU$8.1m | 15.1% | PS4.8x | |
| OJC Original Juice | AU$0.17 | 13.3% +AU$5.9m | 80.9% | PS1.1x |
