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Australian (ASX) Financials Sector Analysis

UpdatedSep 30, 2025
DataAggregated Company Financials
Companies131
  • 7D0.7%
  • 3M0.8%
  • 1Y15.3%
  • YTD10.5%

The Financials industry has stayed flat over the last week. The past year has been better, since the industry has gained 15% in that time. As for the next few years, earnings are expected to grow by 4.3% per annum.

Sector Valuation and Performance

Has the Australian Financials Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 01 Oct 2025AU$971.8bAU$221.7bAU$48.2b19.5x20.2x4.4x
Fri, 29 Aug 2025AU$988.1bAU$222.6bAU$47.6b18.9x20.7x4.4x
Sun, 27 Jul 2025AU$933.3bAU$220.1bAU$46.6b16.2x20x4.2x
Tue, 24 Jun 2025AU$944.3bAU$221.2bAU$46.7b15.8x20.2x4.3x
Thu, 22 May 2025AU$915.1bAU$220.8bAU$46.7b15.8x19.6x4.1x
Sat, 19 Apr 2025AU$850.6bAU$219.9bAU$46.7b14.3x18.2x3.9x
Mon, 17 Mar 2025AU$817.4bAU$220.0bAU$46.7b14.1x17.5x3.7x
Wed, 12 Feb 2025AU$929.5bAU$216.3bAU$44.8b17.5x20.7x4.3x
Fri, 10 Jan 2025AU$904.5bAU$216.3bAU$44.1b18.6x20.5x4.2x
Sun, 08 Dec 2024AU$909.6bAU$215.3bAU$43.9b18.3x20.7x4.2x
Tue, 05 Nov 2024AU$866.1bAU$213.3bAU$44.2b17.4x19.6x4.1x
Thu, 03 Oct 2024AU$831.8bAU$211.4bAU$43.6b17.7x19.1x3.9x
Sat, 31 Aug 2024AU$841.2bAU$211.7bAU$43.7b17.7x19.2x4x
Mon, 29 Jul 2024AU$812.4bAU$210.8bAU$44.1b18.3x18.4x3.9x
Wed, 26 Jun 2024AU$791.4bAU$210.2bAU$44.2b17.6x17.9x3.8x
Fri, 24 May 2024AU$759.3bAU$210.3bAU$44.2b17.4x17.2x3.6x
Sun, 21 Apr 2024AU$726.5bAU$219.9bAU$46.2b17.6x15.7x3.3x
Tue, 19 Mar 2024AU$752.7bAU$219.1bAU$46.1b17.4x16.3x3.4x
Thu, 15 Feb 2024AU$723.5bAU$198.4bAU$45.3b17.1x16x3.6x
Sat, 13 Jan 2024AU$700.9bAU$198.4bAU$45.5b16.9x15.4x3.5x
Mon, 11 Dec 2023AU$663.1bAU$198.7bAU$45.5b16.7x14.6x3.3x
Wed, 08 Nov 2023AU$644.7bAU$198.6bAU$45.7b16.4x14.1x3.2x
Fri, 06 Oct 2023AU$649.8bAU$198.0bAU$45.6b16.1x14.3x3.3x
Sun, 03 Sep 2023AU$660.9bAU$198.3bAU$45.9b16.6x14.4x3.3x
Tue, 01 Aug 2023AU$672.5bAU$186.7bAU$44.4b19.7x15.1x3.6x
Thu, 29 Jun 2023AU$629.9bAU$187.1bAU$44.6b17x14.1x3.4x
Sat, 27 May 2023AU$619.7bAU$185.5bAU$43.5b17.6x14.2x3.3x
Mon, 24 Apr 2023AU$643.1bAU$182.2bAU$42.1b17.8x15.3x3.5x
Wed, 22 Mar 2023AU$615.0bAU$181.4bAU$42.6b16.5x14.4x3.4x
Fri, 17 Feb 2023AU$659.9bAU$179.8bAU$40.9b16.9x16.1x3.7x
Sun, 15 Jan 2023AU$663.7bAU$177.5bAU$40.2b15.4x16.5x3.7x
Tue, 13 Dec 2022AU$647.7bAU$178.2bAU$40.2b14.1x16.1x3.6x
Thu, 10 Nov 2022AU$649.1bAU$179.2bAU$40.3b14.5x16.1x3.6x
Sat, 08 Oct 2022AU$621.6bAU$178.5bAU$39.0b16.3x15.9x3.5x
Price to Earnings Ratio

15.9x


Total Market Cap: AU$621.6bTotal Earnings: AU$39.0bTotal Revenue: AU$178.5bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Financials Sector Price to Earnings3Y Average 17.2x202320242025
Current Industry PE
  • Investors are optimistic on the Australian Financials industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 20.2x which is higher than its 3-year average PE of 17.2x.
  • The 3-year average PS ratio of 3.7x is lower than the industry's current PS ratio of 4.4x.
Past Earnings Growth
  • The earnings for companies in the Financials industry have grown 7.3% per year over the last three years.
  • Revenues for these companies have grown 7.5% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the Australian Financials sector?

AU Market0.51%
Financials0.66%
Banks1.45%
Insurance0.06%
Mortgage Finance0%0
Mortgage REITs0%0
Capital Markets-1.27%
Diversified Financial-2.71%
Consumer Finance-3.61%
Industry PE
  • Investors are most optimistic about the Consumer Finance industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 20.7%, which is lower than the prior year's growth of 79.4% per year.
  • Investors are most pessimistic about the Insurance industry, which is trading below its 3-year average of 19.3x.
Forecasted Growth
  • Analysts are most optimistic on the Consumer Finance industry, expecting annual earnings growth of 21% over the next 5 years.
  • However this is lower than its past earnings growth rate of 79% per year.
  • In contrast, the Insurance industry is expected to see its earnings grow by 2.0% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
WBC Westpac BankingAU$38.970.3%
+AU$444.0m		24.9%PB1.8x
QBE QBE Insurance GroupAU$20.591.3%
+AU$392.6m		26.5%PE10.5x
NAB National Australia BankAU$44.150.1%
+AU$183.3m		18.9%PB2.2x
BFL BSP Financial GroupAU$7.582.4%
+AU$84.1m		18.4%PB2.1x
RPL Regal PartnersAU$2.953.1%
+AU$70.8m		-17.4%PE25.6x

Latest News

ASX
AU$58.59
ASX
7D
-3.2%
1Y
-7.3%

Subdued Growth No Barrier To ASX Limited's (ASX:ASX) Price

Sep 29
Subdued Growth No Barrier To ASX Limited's (ASX:ASX) Price
RPL
AU$2.95
Regal Partners
7D
3.1%
1Y
-17.4%
NAB
AU$44.15
National Australia Bank
7D
0.1%
1Y
18.9%

Digital Payments And Urban Expansion Will Unlock Opportunities

National Australia Bank's future P/E has increased while its net profit margin has slightly declined, resulting in a marginal upward revision of the consensus analyst price target to A$36.58. What's in the News Inder Singh, previously CFO of QBE Insurance Group, has been appointed as NAB’s Group CFO and Group Executive, Strategy, effective March 2026, subject to regulatory approval; Shaun Dooley will return to his role as Group Chief Risk Officer.
SOL
AU$38.49
Washington H. Soul Pattinson
7D
-4.5%
1Y
9.8%
SUN
AU$20.26
Suncorp Group
7D
-1.1%
1Y
-2.7%

Here's Why We Think Suncorp Group (ASX:SUN) Is Well Worth Watching

Sep 24
Here's Why We Think Suncorp Group (ASX:SUN) Is Well Worth Watching
LFG
AU$4.45
Liberty Financial Group
7D
3.5%
1Y
24.0%
ZIP
AU$4.42
Zip Co
7D
-3.9%
1Y
60.7%

Digital Payments And ECommerce Trends Will Expand International Markets

The consensus analyst price target for Zip Co has edged higher to A$4.58, primarily reflecting a small uplift in the company’s future P/E multiple. What's in the News Completed buyback of 14.8 million shares (1.13% of shares) for AUD 29.8 million.
NWL
AU$29.39
Netwealth Group
7D
-3.9%
1Y
18.2%
CBA
AU$166.90
Commonwealth Bank of Australia
7D
0.02%
1Y
25.2%

Digital Disruption Will Challenge Market Shares While Tech Drives Progress

The modest increase in Commonwealth Bank of Australia's future P/E ratio alongside steady revenue growth forecasts suggests a slight uplift in market sentiment, reflected in the consensus analyst price target rising from A$117.82 to A$120.47. What's in the News Commonwealth Bank of Australia (CBA) has extended its share buyback plan duration until August 12, 2026 (Key Developments).
WBC
AU$38.97
Westpac Banking
7D
0.3%
1Y
24.9%

Rising Tech Costs And Competition Will Pressure Bank Earnings In Australia

The slight increase in Westpac Banking’s consensus price target to A$31.49 is primarily supported by a higher future P/E multiple, reflecting improved market expectations for earnings growth. What's in the News HSBC is preparing to sell its Australian retail banking arm, valued in the billions, with $40 billion in loans and $30 billion in deposits.
QBE
AU$20.59
QBE Insurance Group
7D
1.3%
1Y
26.5%

Emerging Markets And Cyber Investments Will Yield Mixed Prospects

QBE Insurance Group's future P/E ratio has risen sharply, indicating higher expected earnings multiples despite profit margins remaining stable, with the consensus analyst price target essentially unchanged, decreasing slightly from A$23.84 to A$23.59. What's in the News CFO Inder Singh has resigned, with a transition period while a replacement is sought.
IAG
AU$8.20
Insurance Australia Group
7D
-1.8%
1Y
11.9%

Here's Why We Think Insurance Australia Group (ASX:IAG) Is Well Worth Watching

Sep 15
Here's Why We Think Insurance Australia Group (ASX:IAG) Is Well Worth Watching
BFL
AU$7.58
BSP Financial Group
7D
2.4%
1Y
18.4%
HUB
AU$100.76
HUB24
7D
-5.4%
1Y
69.9%
MQG
AU$219.33
Macquarie Group
7D
-1.4%
1Y
-4.0%

Asset Management And Digitization Investments Will Improve Future Efficiency

With both the Future P/E and Net Profit Margin for Macquarie Group largely unchanged, the consensus analyst price target has seen only a marginal increase to A$221.24. What's in the News Macquarie Group is set to acquire a 40% minority stake in Portuguese hospital operator Luz Saúde, outbidding CVC Capital Partners and KKR, with the deal valuing Luz Saúde at over €1 billion.
ARG
AU$9.31
Argo Investments
7D
0.9%
1Y
4.0%