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Australian (ASX) Financials Sector Analysis

UpdatedFeb 04, 2026
DataAggregated Company Financials
Companies128
  • 7D0.7%
  • 3M-5.7%
  • 1Y2.9%
  • YTD-0.8%

Over the last 7 days, the Financials industry has remained flat, although notably Commonwealth Bank of Australia gained 4.5%. Furthermore, the industry has been flat for the past year as well. Looking forward, earnings are forecast to grow by 5.9% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 04 Feb 2026AU$941.6bAU$221.0bAU$46.4b18.7x20.3x4.3x
Fri, 02 Jan 2026AU$944.4bAU$222.7bAU$46.6b19.1x20.2x4.2x
Sun, 30 Nov 2025AU$914.7bAU$223.4bAU$46.7b19.9x19.6x4.1x
Tue, 28 Oct 2025AU$856.0bAU$200.0bAU$40.8b19.6x21x4.3x
Thu, 25 Sep 2025AU$954.2bAU$221.4bAU$48.2b19.6x19.8x4.3x
Sat, 23 Aug 2025AU$988.1bAU$222.8bAU$48.0b18.5x20.6x4.4x
Mon, 21 Jul 2025AU$970.0bAU$220.5bAU$46.6b16.8x20.8x4.4x
Wed, 18 Jun 2025AU$938.6bAU$220.3bAU$46.6b16.2x20.1x4.3x
Fri, 16 May 2025AU$905.7bAU$221.1bAU$46.7b15.4x19.4x4.1x
Sun, 13 Apr 2025AU$825.2bAU$220.4bAU$46.7b13.9x17.7x3.7x
Tue, 11 Mar 2025AU$842.3bAU$220.0bAU$46.7b14.5x18.1x3.8x
Thu, 06 Feb 2025AU$911.6bAU$216.3bAU$44.8b17.1x20.3x4.2x
Sat, 04 Jan 2025AU$887.8bAU$216.2bAU$44.0b18.3x20.2x4.1x
Mon, 02 Dec 2024AU$914.9bAU$214.6bAU$43.8b17.6x20.9x4.3x
Wed, 30 Oct 2024AU$873.5bAU$212.9bAU$43.8b17.5x20x4.1x
Fri, 27 Sep 2024AU$843.5bAU$211.6bAU$43.6b17.8x19.4x4x
Sun, 25 Aug 2024AU$824.8bAU$211.0bAU$43.8b19.8x18.8x3.9x
Tue, 23 Jul 2024AU$806.3bAU$210.2bAU$44.1b17.3x18.3x3.8x
Thu, 20 Jun 2024AU$781.8bAU$210.1bAU$44.2b17.6x17.7x3.7x
Sat, 18 May 2024AU$756.5bAU$210.3bAU$44.2b17.4x17.1x3.6x
Mon, 15 Apr 2024AU$749.6bAU$219.7bAU$46.0b17.8x16.3x3.4x
Wed, 13 Mar 2024AU$757.6bAU$218.8bAU$46.1b17.6x16.4x3.5x
Fri, 09 Feb 2024AU$728.4bAU$198.2bAU$45.7b17.5x16x3.7x
Sun, 07 Jan 2024AU$695.6bAU$198.3bAU$45.5b16.7x15.3x3.5x
Tue, 05 Dec 2023AU$656.4bAU$198.4bAU$45.5b16.7x14.4x3.3x
Thu, 02 Nov 2023AU$630.3bAU$197.9bAU$45.5b16.3x13.9x3.2x
Sat, 30 Sep 2023AU$652.0bAU$197.5bAU$45.5b16.3x14.3x3.3x
Mon, 28 Aug 2023AU$643.7bAU$198.1bAU$46.0b16.1x14x3.2x
Wed, 26 Jul 2023AU$663.2bAU$186.6bAU$44.5b19.6x14.9x3.6x
Fri, 23 Jun 2023AU$648.1bAU$186.7bAU$44.5b17.2x14.6x3.5x
Sun, 21 May 2023AU$628.5bAU$185.1bAU$43.5b17.6x14.4x3.4x
Tue, 18 Apr 2023AU$640.9bAU$182.1bAU$42.3b17.8x15.1x3.5x
Thu, 16 Mar 2023AU$622.1bAU$181.6bAU$42.6b16.5x14.6x3.4x
Sat, 11 Feb 2023AU$682.3bAU$178.7bAU$40.3b16.6x16.9x3.8x
Price to Earnings Ratio

16.9x


Total Market Cap: AU$682.3bTotal Earnings: AU$40.3bTotal Revenue: AU$178.7bTotal 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 4.9% per year over the last three years.
  • Revenues for these companies have grown 7.3% 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-1.35%
Financials0.67%
Banks1.15%
Insurance0.17%
Mortgage Finance0%0
Mortgage REITs0%0
Capital Markets-0.25%
Diversified Financial-1.34%
Consumer Finance-6.08%
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 4.3%, 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 17.7x.
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 59% per year.
  • In contrast, the Insurance industry is expected to see its earnings grow by 2.7% 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$157.064.5%
+AU$11.2b		-1.0%PB3.3x
WBC Westpac BankingAU$39.892.6%
+AU$3.5b		19.9%PB1.9x
NAB National Australia BankAU$43.932.5%
+AU$3.2b		11.5%PB2.1x
ANZ ANZ Group HoldingsAU$37.071.8%
+AU$2.0b		22.9%PB1.6x
IAG Insurance Australia GroupAU$7.674.5%
+AU$778.6m		-12.6%PE13.3x

Latest News

CCP
AU$11.56
Credit Corp Group
7D
-18.5%
1Y
-27.1%
NWL
AU$22.65
Netwealth Group
7D
-9.4%
1Y
-27.8%
ASX
AU$56.25
ASX
7D
5.2%
1Y
-8.7%
QBE
AU$19.75
QBE Insurance Group
7D
0.5%
1Y
-2.0%

QBE: Improved Margins And Higher P/E Multiple Will Support Future Upside

Analysts have trimmed their price target for QBE Insurance Group to about A$22.17 from A$22.21, citing updated assumptions that reflect slightly weaker revenue growth expectations, along with a modest improvement in profit margin and a marginally higher future P/E multiple. Valuation Changes Fair Value: trimmed slightly from A$22.21 to about A$22.17 per share.
ANZ
AU$37.07
ANZ Group Holdings
7D
1.8%
1Y
22.9%

ANZ: Regulatory Penalties And Earnings Assumptions Will Shape Future Performance

Narrative update on ANZ Group Holdings Analysts have lifted their fair value estimate for ANZ Group Holdings by A$0.67 to A$35.88, citing slightly lower assumed discount rates, a modest adjustment to revenue growth, a small uplift in profit margin expectations, and a higher forward P/E multiple. Analyst Commentary Recent analyst commentary on ANZ Group Holdings, while not directly referenced in the street research items provided, helps frame how the higher fair value estimate can fit into a broader debate around valuation, growth expectations, and execution risk.
CBA
AU$157.06
Commonwealth Bank of Australia
7D
4.5%
1Y
-1.0%

CBA: Quality Earnings And Diversified Income Will Support Premium Returns

Analysts maintained their A$146 fair value estimate for Commonwealth Bank of Australia, making only minor adjustments. These include a slightly lower discount rate, marginally higher revenue growth and profit margin assumptions, and a modest reduction in the assumed future P/E to reflect updated views on earnings quality and risk.
MQG
AU$213.83
Macquarie Group
7D
0.5%
1Y
-6.8%

MQG: Earnings Recovery Will Progress As Dividend And Buyback Support Neutral Reappraisal

Analysts have made a modest upward revision to Macquarie Group's fair value estimate, nudging it from A$224.87 to A$227.03. They cite a slightly lower discount rate, steady margin assumptions and recent rating upgrades that highlight an improving outlook for the bank.
IAG
AU$7.67
Insurance Australia Group
7D
4.5%
1Y
-12.6%

IAG: Slightly Softer Revenue Outlook Will Support Undervalued Upside Potential

Analysts have trimmed their price target for Insurance Australia Group slightly to A$8.65 from A$8.68, reflecting updated assumptions around softer revenue growth, marginally higher expected profit margins, and an unchanged future P/E multiple. Valuation Changes Fair Value: Trimmed slightly from A$8.68 to A$8.65, a small downward adjustment.
AFI
AU$6.91
Australian Foundation Investment
7D
-3.4%
1Y
-6.0%
GDG
AU$4.98
Generation Development Group
7D
-11.5%
1Y
14.0%

GDG: CFO Succession And Stable Metrics Will Support Future Upside

Analysts have trimmed their price target for Generation Development Group to A$7.45 from A$7.52, citing slightly softer fair value estimates and modestly lower profit margin assumptions, while keeping the discount rate and future P/E views essentially unchanged. What's in the News Chief Financial Officer Terence Wong plans to step down at the conclusion of Generation Development Group’s 2026 financial year.
SDF
AU$5.00
Steadfast Group
7D
-4.6%
1Y
-13.2%

SDF: CEO Return And Stable Margins Will Support Future Upside Potential

Analysts have inched their price target for Steadfast Group slightly lower to A$6.31 from A$6.33, reflecting small tweaks to their assumptions around long term revenue growth, profit margins, and future P/E expectations. What's in the News Steadfast Group held an Analyst/Investor Day, giving the market an opportunity to hear updated views from management on the business and outlook (Key Developments).
HUB
AU$88.01
HUB24
7D
-13.5%
1Y
9.3%

HUB: Index Inclusion Will Highlight Stretched P/E And Sustained Overvaluation

Analysts have nudged their fair value estimate for HUB24 slightly higher to A$61.64 from A$61.38, citing updated assumptions for the discount rate, revenue growth, profit margin, and future P/E. Together, these factors support a marginally stronger long term outlook for the business.
NAB
AU$43.93
National Australia Bank
7D
2.5%
1Y
11.5%

NAB: Governance Changes And Funding Adjustments Will Steer Fairly Valued Outlook

Analysts have increased their price target for National Australia Bank to A$38.75 from A$37.99, reflecting updated assumptions around revenue growth, profit margins, the discount rate and future P/E multiples. What's in the News Shareholders approved an amendment to National Australia Bank's constitution at the AGM held on 12 December 2025, signaling updated governance settings for the company (Key Developments).
ZIP
AU$2.52
Zip Co
7D
-12.2%
1Y
11.5%

ZIP: Slightly Updated Assumptions Will Support Further Share Upside

Analysts have trimmed their fair value estimate for Zip Co slightly, from A$5.10 to A$5.05. This reflects updated assumptions for revenue growth, profit margins and future P/E that leave the overall outlook broadly similar to prior views.
WBC
AU$39.89
Westpac Banking
7D
2.6%
1Y
19.9%
SOL
AU$37.72
WHSP Holdings
7D
-1.3%
1Y
13.0%

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