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Australian (ASX) Financials Sector Analysis

UpdatedJul 12, 2026
DataAggregated Company Financials
Companies128
  • 7D1.9%
  • 3M-4.4%
  • 1Y1.1%
  • YTD2.2%

The Financials industry is up 1.9% in the last week, with Commonwealth Bank of Australia up 2.3%. Despite this gain, the industry's performance has been flat over the past year. Earnings are forecast to grow by 4.7% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 12 Jul 2026AU$968.2bAU$220.2bAU$48.6b17.5x19.9x4.4x
Tue, 09 Jun 2026AU$907.6bAU$219.8bAU$48.5b16x18.7x4.1x
Thu, 07 May 2026AU$976.1bAU$217.1bAU$47.4b15.5x20.6x4.5x
Sat, 04 Apr 2026AU$953.6bAU$220.1bAU$48.6b15.7x19.6x4.3x
Mon, 02 Mar 2026AU$1.0tAU$217.7bAU$46.5b16.6x21.7x4.6x
Wed, 28 Jan 2026AU$934.9bAU$221.3bAU$46.5b19.3x20.1x4.2x
Fri, 26 Dec 2025AU$948.9bAU$222.6bAU$46.6b19.1x20.4x4.3x
Sun, 23 Nov 2025AU$912.1bAU$224.0bAU$46.8b18.7x19.5x4.1x
Tue, 21 Oct 2025AU$845.6bAU$200.4bAU$40.8b19.5x20.7x4.2x
Thu, 18 Sep 2025AU$969.5bAU$221.2bAU$48.1b19.5x20.1x4.4x
Sat, 16 Aug 2025AU$957.1bAU$222.5bAU$47.3b17.1x20.2x4.3x
Mon, 14 Jul 2025AU$954.7bAU$220.0bAU$46.6b16.3x20.5x4.3x
Wed, 11 Jun 2025AU$952.3bAU$220.4bAU$46.6b16x20.4x4.3x
Fri, 09 May 2025AU$884.6bAU$220.0bAU$46.5b15.1x19x4x
Sun, 06 Apr 2025AU$828.9bAU$222.0bAU$46.9b13.8x17.7x3.7x
Tue, 04 Mar 2025AU$884.0bAU$220.5bAU$46.8b15.2x18.9x4x
Thu, 30 Jan 2025AU$921.6bAU$216.2bAU$44.0b18.3x20.9x4.3x
Sat, 28 Dec 2024AU$890.6bAU$216.3bAU$44.0b18.5x20.2x4.1x
Mon, 25 Nov 2024AU$921.2bAU$214.6bAU$43.9b18.3x21x4.3x
Wed, 23 Oct 2024AU$864.2bAU$212.3bAU$43.7b17.4x19.8x4.1x
Fri, 20 Sep 2024AU$870.5bAU$211.7bAU$43.6b17.4x19.9x4.1x
Sun, 18 Aug 2024AU$825.3bAU$211.5bAU$44.4b18.5x18.6x3.9x
Tue, 16 Jul 2024AU$808.7bAU$209.6bAU$44.0b18.3x18.4x3.9x
Thu, 13 Jun 2024AU$771.5bAU$210.4bAU$44.2b17.5x17.5x3.7x
Sat, 11 May 2024AU$747.5bAU$210.5bAU$44.2b17.7x16.9x3.6x
Mon, 08 Apr 2024AU$755.5bAU$219.0bAU$45.9b17.5x16.4x3.5x
Wed, 06 Mar 2024AU$749.3bAU$219.6bAU$46.1b17.6x16.2x3.4x
Fri, 02 Feb 2024AU$716.8bAU$199.1bAU$45.6b17.4x15.7x3.6x
Sun, 31 Dec 2023AU$694.0bAU$197.8bAU$45.5b16.8x15.3x3.5x
Tue, 28 Nov 2023AU$646.1bAU$198.6bAU$45.5b16.5x14.2x3.3x
Thu, 26 Oct 2023AU$633.2bAU$197.9bAU$45.5b16.1x13.9x3.2x
Sat, 23 Sep 2023AU$659.9bAU$199.2bAU$45.8b16.4x14.4x3.3x
Mon, 21 Aug 2023AU$643.7bAU$195.5bAU$45.5b17.3x14.1x3.3x
Wed, 19 Jul 2023AU$657.6bAU$186.4bAU$44.5b18x14.8x3.5x
Price to Earnings Ratio

14.8x


Total Market Cap: AU$657.6bTotal Earnings: AU$44.5bTotal Revenue: AU$186.4bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Financials Sector Price to Earnings3Y Average 18.4x202420252026
Current Industry PE
  • Investors are relatively neutral on the Australian Financials industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 18.4x.
  • The 3-year average PS ratio of 3.9x 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 3.0% per year over the last three years.
  • Revenues for these companies have grown 5.7% 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-0.42%
Financials1.87%
Banks2.37%
Insurance1.42%
Capital Markets1.05%
Mortgage Finance0%0
Mortgage REITs0%0
Consumer Finance-0.82%
Diversified Financial-1.52%
Industry PE
  • Investors are most optimistic about the Banks industry which is trading above its 3-year average PE ratio of 18.1x.
    • Analysts are expecting annual earnings growth of 5.0%, which is higher than its past year's earnings decline of 11.7% per year.
  • Investors are most pessimistic about the Diversified Financial industry, which is trading below its 3-year average of 22.3x.
Forecasted Growth
  • Analysts are most optimistic on the Consumer Finance industry, expecting annual earnings growth of 17% over the next 5 years.
  • However this is lower than its past earnings growth rate of 36% per year.
  • In contrast, the Diversified Financial industry is expected to see its earnings decline 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?

CompanyLast Price7D1YValuation
CBA Commonwealth Bank of AustraliaAU$168.862.3%
+AU$6.4b		-5.9%PB3.7x
NAB National Australia BankAU$39.612.7%
+AU$3.2b		0%PB2x
WBC Westpac BankingAU$36.542.4%
+AU$2.9b		8.1%PB1.8x
ANZ ANZ Group HoldingsAU$36.052.2%
+AU$2.4b		18.9%PB1.5x
MQG Macquarie GroupAU$254.491.1%
+AU$1.7b		15.3%PE20x

Latest News

MFG
AU$9.93
Magellan Financial Group
7D
-6.6%
1Y
2.4%
QBE
AU$25.47
QBE Insurance Group
7D
2.6%
1Y
12.3%
CBA
AU$168.86
Commonwealth Bank of Australia
7D
2.3%
1Y
-5.9%
Narrative Update • Jul 09

CBA: Premium P E And Margin Pressure Will Likely Cap Future Returns

Analysts have trimmed their fair value estimate for Commonwealth Bank of Australia to about A$97 from roughly A$100, reflecting updated assumptions that include a higher discount rate, slightly stronger revenue growth expectations, a lower profit margin outlook, and a higher future P/E multiple. Analyst Commentary Recent fair value adjustments for Commonwealth Bank of Australia point to a more mixed analyst backdrop, with some commentary highlighting risks around valuation, profit margins, and the balance between growth and capital discipline.
ASX
AU$54.20
ASX
7D
5.2%
1Y
-23.6%
Narrative Update • Jul 07

ASX: Penalty And CHESS Reset Will Support Long Term Tech Modernisation

Analysts have reduced their fair value estimate for ASX from A$70.00 to about A$64.73, citing updated expectations for revenue growth, profit margins and future P/E multiples based on recent sector research. What's in the News for ASX The Federal Court orders ASX to pay a penalty of about A$20.5 million to A$23.5 million, plus around A$3 million in ASIC legal costs, after finding its February 2022 disclosure on the CHESS replacement project was misleading, according to ASIC and court statements.
ANZ
AU$36.05
ANZ Group Holdings
7D
2.2%
1Y
18.9%
AMP
AU$1.67
AMP
7D
-2.9%
1Y
14.0%
Narrative Update • Jul 03

AMP: Future Returns Will Turn On Buybacks Margins And Mixed Street Signals

Analysts have lifted the AMP fair value estimate from A$1.69 to A$1.76, citing a series of recent price target increases and adjustments to revenue, margin and future P/E assumptions across the latest research updates. Analyst Commentary Recent Street research on Ameriprise provides useful context for how professional investors are thinking about valuation, growth and execution, which can be helpful when assessing AMP at its updated fair value estimate.
GQG
AU$1.44
GQG Partners
7D
-2.0%
1Y
-33.3%
Narrative Update • Jul 03

GQG: Dividend Payout And Softer Margins Will Shape Future P/E

Analysts have trimmed their price target for GQG Partners to A$11.63 from A$13.07, reflecting slightly lower fair value estimates as they factor in softer revenue growth, a marginally reduced profit margin outlook, and a lower future P/E assumption. What’s in the News for GQG Partners GQG Partners declared a first quarter 2026 cash dividend of US$0.0354 per share, which the company notes represents 90.14% of estimated first quarter distributable earnings.
ZIP
AU$3.13
Zip Co
7D
-3.1%
1Y
9.4%
Narrative Update • Jul 03

ZIP: Balance Sheet Progress And Brand Resolution Will Support Future Upside

Analysts have trimmed their fair value estimate for Zip Co from A$4.07 to A$3.72, citing updated assumptions around growth, profitability, discount rates and future P/E that align with recent shifts in price targets across the sector. Analyst Commentary Recent commentary around Zip Co focuses on how balance sheet moves and valuation assumptions might affect execution risk, growth expectations and the stock’s fair value, even as analysts refine their models.
ARG
AU$9.00
Argo Investments
7D
-0.9%
1Y
-1.5%
GDG
AU$3.79
Generation Development Group
7D
-6.7%
1Y
-25.7%
Narrative Update • Jul 02

GDG: Strong FY2025 Performance And Watchlist Status Will Shape Future Pricing

Analysts have reduced their price target for Generation Development Group to A$4.06 from A$5.47, citing updated assumptions for discount rates, revenue trends, profit margins, and a lower future P/E multiple. What’s in the News for Generation Development Group Generation Development Group reported record financial performance for FY2025, with the company highlighted for strong results supported by its diversified financial services operations.
WBC
AU$36.54
Westpac Banking
7D
2.4%
1Y
8.1%
MQG
AU$254.49
Macquarie Group
7D
1.1%
1Y
15.3%
PNI
AU$17.62
Pinnacle Investment Management Group
7D
-3.1%
1Y
-16.5%
Narrative Update • Jun 26

PNI: Higher Profitability Assumptions Will Support Stronger Future Earnings Potential

Analysts have trimmed their price target on Pinnacle Investment Management Group from A$29 to A$26. This reflects updated views on fair value, discount rate settings, revenue growth expectations, profit margin assumptions and future P/E multiples.
SOL
AU$44.02
WHSP Holdings
7D
-3.3%
1Y
6.6%
Narrative Update • Jun 24

SOL: Elevated P/E And Steady Outlook Will Likely Restrain Returns

Analysts have kept their A$40.18 fair value estimate for WHSP Holdings steady, citing only marginal tweaks to the discount rate, revenue growth, profit margin and future P/E assumptions rather than any material change in the core outlook. What’s in the News for WHSP Holdings No recent company specific news items for WHSP Holdings were identified in the provided sources.
NWL
AU$23.86
Netwealth Group
7D
5.4%
1Y
-30.7%
Narrative Update • Jun 23

NWL: Rich Dividend And Index Removal Will Still Cap Future Returns

Analysts have nudged their price target on Netwealth Group slightly higher to A$17.86, with updated assumptions pointing to a modestly higher revenue growth outlook, a slightly wider profit margin, a marginally higher discount rate, and a slightly lower future P/E multiple. What's in the News No recent Netwealth Group specific news items, periodical coverage, or key developments were provided in the available sources.
NAB
AU$39.61
National Australia Bank
7D
2.7%
1Y
0%