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Australian (ASX) Financials Sector Analysis

UpdatedJan 05, 2026
DataAggregated Company Financials
Companies129
  • 7D-0.1%
  • 3M-3.6%
  • 1Y6.6%
  • YTD0%

Over the last 7 days, the Financials industry has remained flat. The past year has been better, since the industry has gained 6.6% in that time. Looking forward, earnings are forecast to grow by 5.6% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 05 Jan 2026AU$948.9bAU$222.6bAU$46.6b19.1x20.3x4.3x
Wed, 03 Dec 2025AU$907.7bAU$223.4bAU$46.7b19.2x19.4x4.1x
Fri, 31 Oct 2025AU$983.2bAU$221.6bAU$47.9b19.6x20.5x4.4x
Sun, 28 Sep 2025AU$956.3bAU$221.7bAU$48.2b19.5x19.8x4.3x
Tue, 26 Aug 2025AU$977.0bAU$222.5bAU$48.0b18.5x20.4x4.4x
Thu, 24 Jul 2025AU$940.2bAU$220.0bAU$46.6b16.3x20.2x4.3x
Sat, 21 Jun 2025AU$941.6bAU$220.6bAU$46.6b16.2x20.2x4.3x
Mon, 19 May 2025AU$906.3bAU$221.1bAU$46.7b15.5x19.4x4.1x
Wed, 16 Apr 2025AU$838.9bAU$219.9bAU$46.6b14.3x18x3.8x
Fri, 14 Mar 2025AU$818.5bAU$220.2bAU$46.7b14.1x17.5x3.7x
Sun, 09 Feb 2025AU$929.5bAU$216.3bAU$44.8b17.7x20.7x4.3x
Tue, 07 Jan 2025AU$892.0bAU$215.8bAU$44.0b18.2x20.3x4.1x
Thu, 05 Dec 2024AU$912.2bAU$215.2bAU$43.9b18.4x20.8x4.2x
Sat, 02 Nov 2024AU$859.4bAU$213.3bAU$44.0b17.3x19.5x4x
Mon, 30 Sep 2024AU$838.4bAU$211.4bAU$43.6b17.3x19.2x4x
Wed, 28 Aug 2024AU$827.3bAU$211.6bAU$44.0b19x18.8x3.9x
Fri, 26 Jul 2024AU$807.9bAU$210.9bAU$44.1b17.9x18.3x3.8x
Sun, 23 Jun 2024AU$785.4bAU$210.3bAU$44.2b17.7x17.8x3.7x
Tue, 21 May 2024AU$760.8bAU$210.1bAU$44.2b17.6x17.2x3.6x
Thu, 18 Apr 2024AU$730.3bAU$220.0bAU$46.2b17.5x15.8x3.3x
Sat, 16 Mar 2024AU$748.9bAU$219.1bAU$46.1b17.7x16.2x3.4x
Mon, 12 Feb 2024AU$729.1bAU$198.0bAU$45.6b17.5x16x3.7x
Wed, 10 Jan 2024AU$698.4bAU$198.4bAU$45.5b16.8x15.3x3.5x
Fri, 08 Dec 2023AU$662.4bAU$198.8bAU$45.6b16.8x14.5x3.3x
Sun, 05 Nov 2023AU$646.9bAU$196.5bAU$44.5b16.3x14.5x3.3x
Tue, 03 Oct 2023AU$649.8bAU$197.7bAU$45.5b16.2x14.3x3.3x
Thu, 31 Aug 2023AU$658.7bAU$197.9bAU$45.8b16.5x14.4x3.3x
Sat, 29 Jul 2023AU$672.4bAU$186.9bAU$44.4b19.9x15.1x3.6x
Mon, 26 Jun 2023AU$629.3bAU$187.0bAU$44.6b17x14.1x3.4x
Wed, 24 May 2023AU$629.6bAU$185.2bAU$43.5b17.8x14.5x3.4x
Fri, 21 Apr 2023AU$647.1bAU$182.0bAU$42.3b17.8x15.3x3.6x
Sun, 19 Mar 2023AU$618.8bAU$181.4bAU$42.6b16.7x14.5x3.4x
Tue, 14 Feb 2023AU$679.8bAU$179.0bAU$40.6b16.5x16.8x3.8x
Thu, 12 Jan 2023AU$648.2bAU$177.8bAU$40.2b14.7x16.1x3.6x
Price to Earnings Ratio

16.1x


Total Market Cap: AU$648.2bTotal Earnings: AU$40.2bTotal Revenue: AU$177.8bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Financials Sector Price to Earnings3Y Average 17.6x202420252026
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 20.3x which is higher than its 3-year average PE of 17.6x.
  • The 3-year average PS ratio of 3.8x is lower than the industry's current PS ratio of 4.3x.
Past Earnings Growth
  • The earnings for companies in the Financials industry have grown 5.1% per year over the last three years.
  • Revenues for these companies have grown 7.8% 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 Market-0.25%
Financials-0.10%
Consumer Finance1.80%
Diversified Financial1.23%
Insurance0.64%
Mortgage Finance0%0
Mortgage REITs0%0
Banks-0.10%
Capital Markets-0.90%
Industry PE
  • Investors are most optimistic about the Diversified Financial industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 5.3%, which is higher than its past year's earnings decline of 6.0% per year.
  • Investors are most pessimistic about the Insurance industry, which is trading below its 3-year average of 18.1x.
Forecasted Growth
  • Analysts are most optimistic on the Consumer Finance industry, expecting annual earnings growth of 18% 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 growth to stay flat over the next few years.

Top Stock Gainers and Losers

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

CompanyLast Price7D1YValuation
SOL WHSP HoldingsAU$37.392.9%
+AU$398.7m		9.1%PE39x
ANZ ANZ Group HoldingsAU$36.420.3%
+AU$361.2m		26.2%PB1.5x
IAG Insurance Australia GroupAU$7.990.8%
+AU$141.6m		-6.7%PE13.9x
QBE QBE Insurance GroupAU$19.810.5%
+AU$135.4m		0.6%PE10.2x
ZIP Zip CoAU$3.353.1%
+AU$127.1m		8.8%PE53.3x

Latest News

MPL
AU$4.81
Medibank Private
7D
0.8%
1Y
25.9%

Some Shareholders Feeling Restless Over Medibank Private Limited's (ASX:MPL) P/E Ratio

Jan 02
Some Shareholders Feeling Restless Over Medibank Private Limited's (ASX:MPL) P/E Ratio
IAG
AU$7.99
Insurance Australia Group
7D
0.8%
1Y
-6.7%

Here's Why We Think Insurance Australia Group (ASX:IAG) Might Deserve Your Attention Today

Dec 30
Here's Why We Think Insurance Australia Group (ASX:IAG) Might Deserve Your Attention Today
L1G
AU$1.07
L1 Group
7D
-4.1%
1Y
n/a
CBA
AU$161.12
Commonwealth Bank of Australia
7D
-0.2%
1Y
3.9%

CBA: Elevated Margin Pressures Will Likely Cap Future Share Price Upside

Analysts have nudged their fair value estimate for Commonwealth Bank of Australia fractionally lower, trimming the price target by about A$0.19 to roughly A$99.81, as slightly softer long term margins and a marginally lower discount rate offset improved top line growth expectations. Analyst Commentary Bearish analysts acknowledge that Commonwealth Bank of Australia continues to execute solidly on revenue growth, but argue that the recent fair value trim underscores mounting risks to the medium term outlook.
ASX
AU$51.41
ASX
7D
-1.6%
1Y
-21.2%

ASX Will Gain From Second Supplier Role As Prudence Drives AI Demand

Narrative Update on Analyst Price Target Analysts have raised their price target on ASE Technology to NT$260 from NT$150, reflecting increased confidence that TSMC's cautious Chip on Wafer capacity expansion will steer more AI chip customers toward ASE as a key secondary supplier. Analyst Commentary Bullish analysts highlight that the upgraded price target to NT$260, from NT$150, reflects a reassessment of ASE Technology's earnings power as it captures incremental AI-related packaging demand.
MQG
AU$203.73
Macquarie Group
7D
-0.6%
1Y
-8.7%

MQG: Earnings Recovery Will Gradually Emerge As Extended Trough Persists

Analysts have slightly reduced their price target for Macquarie Group to A$207.58, reflecting expectations for a broader and more prolonged earnings trough than a typical cycle, and a slower profit recovery despite only marginal shifts in underlying growth and margin assumptions. Analyst Commentary Analyst views on Macquarie Group remain divided, with valuation framed around the depth and duration of the current earnings trough and the pace of any subsequent recovery.
NAB
AU$42.40
National Australia Bank
7D
-0.07%
1Y
12.9%
WBC
AU$38.95
Westpac Banking
7D
-0.5%
1Y
19.3%
NWL
AU$25.83
Netwealth Group
7D
-3.9%
1Y
-9.8%
ZIP
AU$3.35
Zip Co
7D
3.1%
1Y
8.8%
SUN
AU$17.80
Suncorp Group
7D
0.6%
1Y
-22.5%
SOL
AU$37.39
WHSP Holdings
7D
2.9%
1Y
9.1%

WHSP Holdings Limited's (ASX:SOL) Business Is Trailing The Market But Its Shares Aren't

Dec 18
WHSP Holdings Limited's (ASX:SOL) Business Is Trailing The Market But Its Shares Aren't
QBE
AU$19.81
QBE Insurance Group
7D
0.5%
1Y
0.6%

QBE: New Finance Leadership Will Support Stronger Margins And Future Returns

Analysts have nudged their price target for QBE Insurance Group slightly lower to about $22.27 per share from roughly $22.33, reflecting modestly softer fair value assumptions even as they acknowledge incremental improvements in revenue trajectory and profit margins. What's in the News QBE Insurance Group appointed long serving executive Chris Killourhy as Group Chief Financial Officer, effective January 1, 2026, subject to regulatory approvals (company announcement) Killourhy brings almost 25 years of insurance and finance industry experience, including senior roles across QBE's global operations such as Chief Actuary and CFO for multiple divisions (company announcement) The incoming CFO will be based in Sydney, report directly to Group CEO Andrew Horton, and join the Group Executive Committee, reinforcing leadership depth in QBE's global finance function (company announcement) Valuation Changes Fair Value: Reduced slightly to about A$22.27 per share from roughly A$22.33, indicating a modest downgrade in intrinsic valuation.
SDF
AU$5.32
Steadfast Group
7D
1.5%
1Y
-9.8%

SDF: CEO Return And Margin Outlook Will Support Future Momentum

Analysts have slightly reduced their price target for Steadfast Group, reflecting a modest recalibration of fair value. This adjustment accounts for only incremental improvements in revenue growth expectations, alongside a small easing in forecast profit margins and future valuation multiples.
ANZ
AU$36.42
ANZ Group Holdings
7D
0.3%
1Y
26.2%

ANZ: Cost Discipline And Capital Returns Will Support Resilient Future Performance

Analysts have modestly increased their price target for ANZ Group Holdings by approximately $0.07, citing slightly stronger long term revenue growth expectations and a marginally lower discount rate that more than offset a flat profit margin outlook and only a small uptick in the assumed future P/E multiple. Analyst Commentary Street research sentiment around ANZ Group Holdings appears cautiously constructive, with recent valuation tweaks reflecting a balance between supportive macro trends and pockets of execution risk.
HUB
AU$95.78
HUB24
7D
-2.5%
1Y
37.6%

HUB: Index Inclusion Will Expose Lofty Expectations And Likely Overvaluation

Analysts have raised their price target for HUB24 by about A$6 to reflect stronger projected revenue growth, slightly higher discount rates, improved long term profit margins, and a modestly lower future P/E multiple in their updated valuation models. What's in the News HUB24 Limited has been added to the FTSE All-World Index, increasing its visibility among global institutional investors (Index Constituent Adds).