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Australian (ASX) Industrials Sector Analysis

UpdatedApr 08, 2026
DataAggregated Company Financials
Companies126
  • 7D1.1%
  • 3M-6.6%
  • 1Y9.0%
  • YTD-6.5%

SGH is up 5.7%, leading the way for the Industrials industry, which has gained 1.1%. During this same period, the DroneShield underperformed, falling 13%. This takes the industry's 12 month performance to a gain of 9.0%. As for the next few years, earnings are expected to grow by 16% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 08 Apr 2026AU$228.4bAU$148.6bAU$8.2b18.6x27.7x1.5x
Fri, 06 Mar 2026AU$242.4bAU$148.3bAU$8.2b19.8x29.5x1.6x
Sun, 01 Feb 2026AU$244.3bAU$144.2bAU$8.0b21x30.4x1.7x
Tue, 30 Dec 2025AU$243.4bAU$144.9bAU$8.1b20.9x30x1.7x
Thu, 27 Nov 2025AU$245.5bAU$145.5bAU$8.2b20.1x29.9x1.7x
Sat, 25 Oct 2025AU$250.1bAU$145.1bAU$8.2b20.1x30.7x1.7x
Mon, 22 Sep 2025AU$243.6bAU$146.0bAU$8.2b20x29.7x1.7x
Wed, 20 Aug 2025AU$242.1bAU$144.8bAU$8.1b18.5x30x1.7x
Fri, 18 Jul 2025AU$238.0bAU$144.8bAU$8.4b17.7x28.2x1.6x
Sun, 15 Jun 2025AU$236.1bAU$144.9bAU$8.4b16.7x28x1.6x
Tue, 13 May 2025AU$230.1bAU$144.9bAU$8.2b16.9x27.9x1.6x
Thu, 10 Apr 2025AU$208.4bAU$147.2bAU$8.5b15.4x24.6x1.4x
Sat, 08 Mar 2025AU$222.8bAU$146.5bAU$8.4b16.7x26.6x1.5x
Mon, 03 Feb 2025AU$214.9bAU$121.7bAU$6.7b19.4x32.1x1.8x
Wed, 01 Jan 2025AU$208.0bAU$122.6bAU$6.7b19x30.9x1.7x
Fri, 29 Nov 2024AU$210.5bAU$121.4bAU$6.6b19.2x31.9x1.7x
Sun, 27 Oct 2024AU$200.0bAU$120.3bAU$6.5b20.2x30.6x1.7x
Tue, 24 Sep 2024AU$207.1bAU$122.7bAU$6.3b19.2x33.1x1.7x
Thu, 22 Aug 2024AU$203.2bAU$121.3bAU$5.7b18x35.4x1.7x
Sat, 20 Jul 2024AU$196.7bAU$120.7bAU$5.4b18.1x36.4x1.6x
Mon, 17 Jun 2024AU$191.4bAU$121.0bAU$5.4b17.8x35.5x1.6x
Wed, 15 May 2024AU$194.0bAU$122.0bAU$5.8b18x33.4x1.6x
Fri, 12 Apr 2024AU$200.7bAU$122.2bAU$5.8b18.7x34.6x1.6x
Sun, 10 Mar 2024AU$200.8bAU$122.0bAU$5.8b17x34.3x1.6x
Tue, 06 Feb 2024AU$186.6bAU$117.7bAU$4.9b18.2x38.1x1.6x
Thu, 04 Jan 2024AU$187.7bAU$117.9bAU$4.7b18.5x39.6x1.6x
Sat, 02 Dec 2023AU$177.7bAU$118.2bAU$4.8b16.8x37.2x1.5x
Mon, 30 Oct 2023AU$167.7bAU$118.8bAU$4.9b16.4x34.4x1.4x
Wed, 27 Sep 2023AU$178.3bAU$118.6bAU$4.8b17x36.8x1.5x
Fri, 25 Aug 2023AU$180.0bAU$115.8bAU$4.2b19.1x42.6x1.6x
Sun, 23 Jul 2023AU$181.2bAU$111.1bAU$3.5b18.9x51.1x1.6x
Tue, 20 Jun 2023AU$179.8bAU$109.6bAU$3.5b18.4x52x1.6x
Thu, 18 May 2023AU$177.5bAU$110.1bAU$3.5b17.7x50.7x1.6x
Sat, 15 Apr 2023AU$175.8bAU$109.7bAU$3.5b18.2x50.6x1.6x
Price to Earnings Ratio

50.6x


Total Market Cap: AU$175.8bTotal Earnings: AU$3.5bTotal Revenue: AU$109.7bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Industrials Sector Price to Earnings3Y Average 34.6x202420252026
Current Industry PE
  • Investors are pessimistic on the Australian Industrials industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 27.7x which is lower than its 3-year average PE of 34.6x.
  • The industry is trading close to its 3-year average PS ratio of 1.6x.
Past Earnings Growth
  • The earnings for companies in the Industrials industry have grown 33% 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 Industrials sector?

AU Market2.72%
Industrials1.06%
Aerospace & Defense4.69%
Electrical4.63%
Transportation3.17%
Trade Distributors2.76%
Construction2.25%
Machinery2.08%
Commercial Services1.60%
Airlines1.40%
Professional Services1.37%
Industrials0%0
Building-1.22%
Infrastructure-1.51%
Logistics-2.14%
Industry PE
  • Investors are most optimistic about the Aerospace & Defense industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 60.2%, which is lower than the prior year's growth of 240.1% per year.
Forecasted Growth
  • Analysts are most optimistic on the Machinery industry, expecting annual earnings growth of 63% over the next 5 years.
  • This is better than its past earnings growth rate of 27% per year.
  • In contrast, the Transportation industry is expected to see its earnings grow by 7.7% 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
SGH SGHAU$43.425.7%
+AU$959.6m		-1.0%PE35.4x
QAN Qantas AirwaysAU$9.297.2%
+AU$918.8m		15.8%PE8.6x
REH ReeceAU$14.628.7%
+AU$719.7m		-1.1%PE32.1x
ALQ ALSAU$22.936.4%
+AU$700.4m		58.8%PE42.9x
BXB BramblesAU$23.301.7%
+AU$526.7m		14.3%PE24x

Latest News

DRO
AU$3.45
DroneShield
7D
-13.3%
1Y
308.3%
SGH
AU$43.42
SGH
7D
5.7%
1Y
-1.0%

SGH: Potential Bingo Acquisition Will Shape Future Earnings Power

Analysts have adjusted their price target on SGH to A$51.95 from A$52.68, reflecting updated views on revenue growth, profit margins and future P/E assumptions following recent bullish Street research. Analyst Commentary Bullish Takeaways Bullish analysts view the updated A$51.95 price target as consistent with their constructive stance on SGH, suggesting that the current valuation still reflects room for execution on existing revenue plans rather than requiring a major shift in the business.
REH
AU$14.62
Reece
7D
8.7%
1Y
-1.1%

REH: Upgraded Views And FY26 Guidance Will Support Future Upside Potential

Analysts have adjusted their view on Reece, with the consensus fair value estimate moving from A$16.60 to A$18.00. This points to expectations of slightly stronger revenue growth, a modestly lower profit margin, a higher discount rate and a lower future P/E.
AZJ
AU$4.14
Aurizon Holdings
7D
3.0%
1Y
38.0%

AZJ: Higher Payout And Neutral Rating Will Shape A Steady Outlook

Analysts have trimmed Aurizon Holdings' target price slightly to about A$3.77, reflecting a view that the valuation gap has narrowed after a first half beat, intact guidance and a higher dividend payout ratio to 90% prompted a recent downgrade to Neutral from Buy. Analyst Commentary Bullish Takeaways Bullish analysts highlight the first half earnings beat as support for the current earnings base, which helps underpin the revised A$3.77 to A$3.80 valuation range.
BXB
AU$23.30
Brambles
7D
1.7%
1Y
14.3%

BXB: Dividend Increase And Updated Guidance Will Support A Positive Outlook

Analysts have nudged their Brambles price target slightly higher to A$26.06 from A$25.84, reflecting updated assumptions around discount rate, modest revenue growth adjustments, stable profit margins and a slightly higher future P/E multiple. What's in the News Brambles declared an ordinary dividend of US$0.23 per share for the six months ended 31 December 2025, with an ex date of 11 March 2026, a record date of 12 March 2026 and a payment date of 9 April 2026 (company announcement).
QAN
AU$9.29
Qantas Airways
7D
7.2%
1Y
15.8%

QAN: Share Price Pullback And Upgrade Are Expected To Support Upside

Analysts have slightly trimmed their average Qantas Airways price target from A$12.17 to A$12.13. They continue to highlight an upgraded Outperform view, which they attribute mainly to recent share price weakness.
MYG
AU$2.26
Mayfield Group Holdings
7D
-1.7%
1Y
131.8%

Is Now The Time To Look At Buying Mayfield Group Holdings Limited (ASX:MYG)?

Apr 03
Is Now The Time To Look At Buying Mayfield Group Holdings Limited (ASX:MYG)?
CUP
AU$1.06
Count
7D
-4.5%
1Y
51.4%
ALQ
AU$22.93
ALS
7D
6.4%
1Y
58.8%

ALQ: Higher Discount Rate Will Likely Pressure P/E And Expose Downside Risk

The updated analyst price target for ALS has moved slightly lower to A$16.83 from A$17.24, as analysts factor in a higher discount rate, while expectations for revenue growth, profit margins and future P/E remain steady. Analyst Commentary Recent research highlights that the lower price target of A$16.83, compared with the prior A$17.24, reflects a more cautious stance on ALS, even as assumptions for revenue growth, margins and future P/E are unchanged.
RDX
AU$3.27
Redox
7D
-0.9%
1Y
19.3%

RDX: Upcoming Dividend Payout Will Support A Positive Repricing Outlook

Analysts have nudged their price target on Redox lower to A$4.20 from A$4.40, reflecting updated assumptions for slightly softer revenue growth, a modestly higher discount rate, firmer profit margins, and a reduced future P/E multiple. What's in the News Redox declared an ordinary fully paid dividend of A$0.065 per share for the six months to December 31, 2025, providing investors with clarity on the upcoming payout schedule (Key Developments).
NWH
AU$6.03
NRW Holdings
7D
10.6%
1Y
161.0%

NWH: Dividend And 2026 Revenue Guidance Will Support Undervalued Upside

Analysts have nudged their price target on NRW Holdings marginally lower to A$6.64 from A$6.67, reflecting slightly updated assumptions for the discount rate, revenue growth, profit margin and future P/E, without a major shift in their overall view. What's in the News NRW Holdings has called a special or extraordinary shareholders meeting for April 28, 2026, at the Corrs Chambers Westgarth boardroom in Perth, Australia (Key Developments).
CPU
AU$29.39
Computershare
7D
2.0%
1Y
-18.2%

CPU: Citi Upgrade And Dividend And EPS Guidance Will Support Bullish Setup

Analysts have adjusted their fair value estimate for Computershare to A$35.94 per share. They link this change to refined assumptions on discount rates, profit margins, and future P/E, along with recent research upgrades and a new A$39.60 price target from the Street.
MGH
AU$4.33
MAAS Group Holdings
7D
-0.5%
1Y
21.3%
SSM
AU$1.98
Service Stream
7D
-1.3%
1Y
16.9%
KSC
AU$3.10
K&S
7D
-4.0%
1Y
-12.4%
IMB
AU$0.47
Intelligent Monitoring Group
7D
-3.1%
1Y
0%