Here's Why We Think Netwealth Group (ASX:NWL) Might Deserve Your Attention Today
May 22
Australian (ASX) Capital Markets Industry Analysis
UpdatedMay 30, 2024
DataAggregated Company Financials
Companies83
- 7D-2.1%
- 3M-1.3%
- 1Y11.0%
- YTD3.7%
Over the last 7 days, the Capital Markets industry has dropped 2.1%, driven by a pullback from Macquarie Group of 2.8%. Over the past 12 months, the industry was up 11%. Looking forward, earnings are forecast to grow by 11% annually.
Industry Valuation and Performance
Has the Australian Capital Markets Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 31 May 2024 | AU$138.6b | AU$28.9b | AU$6.3b | 20.9x | 22x | 4.8x |
| Sun, 28 Apr 2024 | AU$137.0b | AU$30.4b | AU$7.1b | 20.4x | 19.4x | 4.5x |
| Tue, 26 Mar 2024 | AU$143.8b | AU$30.4b | AU$7.1b | 20.9x | 20.3x | 4.7x |
| Thu, 22 Feb 2024 | AU$138.4b | AU$30.0b | AU$7.2b | 21.6x | 19.3x | 4.6x |
| Sat, 20 Jan 2024 | AU$136.3b | AU$30.2b | AU$6.9b | 21x | 19.9x | 4.5x |
| Mon, 18 Dec 2023 | AU$131.6b | AU$30.1b | AU$6.8b | 20.3x | 19.3x | 4.4x |
| Wed, 15 Nov 2023 | AU$119.7b | AU$30.1b | AU$6.9b | 19.3x | 17.5x | 4x |
| Fri, 13 Oct 2023 | AU$123.4b | AU$30.3b | AU$7.4b | 19.4x | 16.7x | 4.1x |
| Sun, 10 Sep 2023 | AU$124.0b | AU$30.3b | AU$7.4b | 19.9x | 16.8x | 4.1x |
| Tue, 08 Aug 2023 | AU$127.4b | AU$29.7b | AU$7.4b | 20.9x | 17.2x | 4.3x |
| Thu, 06 Jul 2023 | AU$127.0b | AU$29.8b | AU$7.5b | 20.3x | 17x | 4.3x |
| Sat, 03 Jun 2023 | AU$123.5b | AU$29.8b | AU$7.5b | 19.8x | 16.4x | 4.1x |
| Mon, 01 May 2023 | AU$129.4b | AU$28.9b | AU$7.3b | 20.6x | 17.6x | 4.5x |
| Wed, 29 Mar 2023 | AU$122.9b | AU$28.9b | AU$7.3b | 19.3x | 16.7x | 4.3x |
| Fri, 24 Feb 2023 | AU$133.6b | AU$28.9b | AU$7.6b | 17.6x | 17.7x | 4.6x |
| Sun, 22 Jan 2023 | AU$129.1b | AU$28.9b | AU$7.6b | 17.1x | 17x | 4.5x |
| Tue, 20 Dec 2022 | AU$122.6b | AU$28.9b | AU$7.6b | 16.7x | 16.1x | 4.2x |
| Thu, 17 Nov 2022 | AU$128.6b | AU$28.9b | AU$7.6b | 17x | 16.9x | 4.4x |
| Sat, 15 Oct 2022 | AU$119.1b | AU$28.3b | AU$7.4b | 16.5x | 16x | 4.2x |
| Mon, 12 Sep 2022 | AU$129.6b | AU$28.2b | AU$7.3b | 17.9x | 17.7x | 4.6x |
| Wed, 10 Aug 2022 | AU$136.0b | AU$27.8b | AU$7.3b | 14.7x | 18.7x | 4.9x |
| Fri, 08 Jul 2022 | AU$128.5b | AU$27.7b | AU$7.2b | 14.9x | 17.9x | 4.6x |
| Sun, 05 Jun 2022 | AU$136.5b | AU$27.8b | AU$7.2b | 16.3x | 18.9x | 4.9x |
| Tue, 03 May 2022 | AU$144.5b | AU$25.6b | AU$6.6b | 17x | 21.9x | 5.6x |
| Thu, 31 Mar 2022 | AU$146.9b | AU$25.5b | AU$6.6b | 16.9x | 22.3x | 5.8x |
| Sat, 26 Feb 2022 | AU$140.2b | AU$28.2b | AU$7.6b | 16x | 18.5x | 5x |
| Mon, 24 Jan 2022 | AU$146.5b | AU$24.3b | AU$6.7b | 16.1x | 21.8x | 6x |
| Wed, 22 Dec 2021 | AU$153.2b | AU$24.3b | AU$6.7b | 14.9x | 23x | 6.3x |
| Fri, 19 Nov 2021 | AU$157.4b | AU$24.3b | AU$6.6b | 17x | 23.7x | 6.5x |
| Sun, 17 Oct 2021 | AU$145.6b | AU$21.5b | AU$5.3b | 16.3x | 27.3x | 6.8x |
| Tue, 14 Sep 2021 | AU$145.4b | AU$21.9b | AU$5.6b | 16.8x | 26x | 6.6x |
| Thu, 12 Aug 2021 | AU$140.7b | AU$21.9b | AU$5.6b | 16.1x | 25.1x | 6.4x |
| Mon, 07 Jun 2021 | AU$128.5b | AU$21.2b | AU$5.4b | 15.7x | 23.8x | 6.1x |
Price to Earnings Ratio
23.8x
Current Industry PE
- Investors are optimistic on the Australian Capital Markets industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 22.0x which is higher than its 3-year average PE of 19.6x.
- The industry is trading close to its 3-year average PS ratio of 5.0x.
Past Earnings Growth
- The earnings for companies in the Capital Markets industry have grown 5.3% per year over the last three years.
- Revenues for these companies have grown 11% 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 industry?
| AU Market | -2.16% | |
| Financials | -2.57% | |
| Capital Markets | -2.08% | |
| Asset Management | -0.72% | |
| Investment Banking and Brokerage | -1.38% | |
| Financial Exchanges and Data | -1.96% | |
| Diversified Capital Markets | -3.17% | |
Industry PE
- Investors are most optimistic about the Investment Banking and Brokerage industry which is trading above its 3-year average PE ratio of 55.9x.
- Analysts are expecting annual earnings growth of 25.3%, which is higher than its past year's earnings decline of 39.1% per year.
- Investors are most pessimistic about the Diversified Capital Markets industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 15.9x.
Forecasted Growth
- Analysts are most optimistic on the Investment Banking and Brokerage industry, expecting annual earnings growth of 25% over the next 5 years.
- This is better than its past earnings decline of 39% per year.
- In contrast, the Financial Exchanges and Data industry is expected to see its earnings grow by 4.7% 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 | |
|---|---|---|---|---|---|
| NWL Netwealth Group | AU$20.61 | 1.4% +AU$70.8m | 61.6% | PE66.3x | |
| GQG GQG Partners | AU$2.54 | 0.4% +AU$29.5m | 98.4% | PE17.9x | |
| RPL Regal Partners | AU$3.12 | 3.0% +AU$22.9m | 11.8% | PE498x | |
| BFG Bell Financial Group | AU$1.30 | 5.7% +AU$22.5m | 42.1% | PE17.1x | |
| PAC Pacific Current Group | AU$10.34 | 3.4% +AU$17.5m | 53.2% | PE90.4x |
