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Australian (ASX) Industrials Sector Analysis

UpdatedMar 20, 2026
DataAggregated Company Financials
Companies126
  • 7D-1.9%
  • 3M-6.0%
  • 1Y4.8%
  • YTD-7.0%

Over the last 7 days, the Industrials industry has dropped 1.9%, driven by pullbacks in ALS and Transurban Group of 9.3% and 2.1%, respectively. On the other hand DroneShield is actually up 7.4%. This takes the industry's 12 month performance to a gain of 4.8%. As for the next few years, earnings are expected to grow by 17% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 20 Mar 2026AU$227.4bAU$148.3bAU$8.2b18.6x27.7x1.5x
Sun, 15 Feb 2026AU$240.0bAU$143.9bAU$8.0b20.5x30x1.7x
Tue, 13 Jan 2026AU$247.4bAU$144.9bAU$8.1b21x30.5x1.7x
Thu, 11 Dec 2025AU$238.9bAU$145.0bAU$8.1b20.9x29.4x1.6x
Sat, 08 Nov 2025AU$240.9bAU$145.3bAU$8.2b20.2x29.4x1.7x
Mon, 06 Oct 2025AU$248.8bAU$146.0bAU$8.2b20x30.5x1.7x
Wed, 03 Sep 2025AU$246.1bAU$146.2bAU$8.3b19.2x29.8x1.7x
Fri, 01 Aug 2025AU$241.6bAU$144.9bAU$8.5b18.2x28.5x1.7x
Sun, 29 Jun 2025AU$233.8bAU$144.8bAU$8.4b16.8x27.7x1.6x
Tue, 27 May 2025AU$229.7bAU$144.6bAU$8.2b16.8x28x1.6x
Thu, 24 Apr 2025AU$220.6bAU$146.1bAU$8.3b15.6x26.5x1.5x
Sat, 22 Mar 2025AU$222.0bAU$146.5bAU$8.4b16x26.5x1.5x
Mon, 17 Feb 2025AU$218.8bAU$121.5bAU$7.1b20.5x30.9x1.8x
Wed, 15 Jan 2025AU$208.9bAU$121.8bAU$6.7b19.5x31.1x1.7x
Fri, 13 Dec 2024AU$205.3bAU$122.1bAU$6.7b19.8x30.9x1.7x
Sun, 10 Nov 2024AU$204.2bAU$120.2bAU$6.5b20.1x31.3x1.7x
Tue, 08 Oct 2024AU$205.0bAU$120.6bAU$6.5b19.6x31.6x1.7x
Thu, 05 Sep 2024AU$205.2bAU$122.3bAU$6.3b18.7x32.8x1.7x
Sat, 03 Aug 2024AU$199.0bAU$121.3bAU$5.5b18.5x36.3x1.6x
Mon, 01 Jul 2024AU$191.9bAU$120.9bAU$5.4b17.5x35.6x1.6x
Wed, 29 May 2024AU$194.5bAU$120.9bAU$5.4b17.7x36.2x1.6x
Fri, 26 Apr 2024AU$196.3bAU$122.2bAU$5.8b18.5x33.8x1.6x
Sun, 24 Mar 2024AU$198.2bAU$122.3bAU$5.9b18.3x33.7x1.6x
Tue, 20 Feb 2024AU$192.8bAU$119.0bAU$5.2b18x37.1x1.6x
Thu, 18 Jan 2024AU$185.2bAU$118.3bAU$4.8b18.2x38.7x1.6x
Sat, 16 Dec 2023AU$184.4bAU$117.9bAU$4.7b17.5x38.8x1.6x
Mon, 13 Nov 2023AU$174.7bAU$118.7bAU$4.9b16.5x36x1.5x
Wed, 11 Oct 2023AU$175.1bAU$118.6bAU$4.8b16.1x36.2x1.5x
Fri, 08 Sep 2023AU$180.6bAU$118.7bAU$4.9b17.2x37.1x1.5x
Sun, 06 Aug 2023AU$182.9bAU$111.5bAU$3.6b19.1x50.9x1.6x
Tue, 04 Jul 2023AU$180.9bAU$110.0bAU$3.5b18.8x52x1.6x
Thu, 01 Jun 2023AU$176.6bAU$110.5bAU$3.6b17.8x49.6x1.6x
Sat, 29 Apr 2023AU$177.5bAU$110.2bAU$3.5b18.3x50.4x1.6x
Mon, 27 Mar 2023AU$159.4bAU$99.6bAU$3.5b17.2x45.3x1.6x
Price to Earnings Ratio

45.3x


Total Market Cap: AU$159.4bTotal Earnings: AU$3.5bTotal Revenue: AU$99.6bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Industrials Sector Price to Earnings3Y Average 34.9x202420252026
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 34.9x.
  • 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 14% 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 Market-1.91%
Industrials-1.86%
Building6.52%
Aerospace & Defense2.55%
Construction0.47%
Commercial Services-0.70%
Industrials-0.99%
Infrastructure-1.36%
Transportation-1.65%
Airlines-2.80%
Trade Distributors-3.36%
Professional Services-5.44%
Logistics-6.97%
Electrical-7.08%
Machinery-7.23%
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 60.4%, 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 62% 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 7.8% 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
WOR WorleyAU$10.638.0%
+AU$379.8m		-29.3%PE15.3x
TEA TasmeaAU$4.7521.5%
+AU$218.7m		91.5%PE26x
VNT Ventia Services GroupAU$5.531.3%
+AU$56.4m		33.9%PE16.7x
MND Monadelphous GroupAU$27.401.9%
+AU$51.0m		75.6%PE25.8x
ALX Atlas ArteriaAU$4.540.7%
+AU$43.5m		-9.4%PE25.4x

Latest News

TCL
AU$13.90
Transurban Group
7D
-2.1%
1Y
7.9%
DRO
AU$4.21
DroneShield
7D
7.4%
1Y
275.9%

DRO: Refined Discount Rate And P/E Assumptions Will Support Balanced Outlook

Analysts have maintained their A$4.90 price target for DroneShield, with only minor tweaks to inputs such as discount rate and future P/E assumptions. This reflects largely unchanged views on the company’s long term earnings profile.
RWC
AU$3.15
Reliance Worldwide
7D
7.9%
1Y
-32.3%

RWC: Expanded Buyback Authority Will Support Future Upside Potential

Analysts have inched up their fair value estimate for Reliance Worldwide to A$4.32 from A$4.28, reflecting updated assumptions around revenue growth, profit margins and the future P/E multiple. What's in the News The board authorizes a share repurchase program with plans to buy back up to A$15.3 million of shares, valid until 26 February 2027, with 766,432,961 shares on issue at the time of approval on 17 February 2026 (Key Developments).
ALX
AU$4.57
Atlas Arteria
7D
1.3%
1Y
-8.6%
ALQ
AU$20.44
ALS
7D
-9.3%
1Y
33.1%

ALQ: Recent Upgrade And Stable Metrics Will Underpin Future Return Potential

Narrative Update on ALS The consensus analyst price target for ALS remains at A$28.00, with analysts pointing to steady assumptions for revenue growth, profit margins and future P/E, supported by a recent upgrade in Street research sentiment. Analyst Commentary Bullish analysts point to the A$28.00 consensus price target as a signal that the market view on ALS is anchored around steady assumptions for revenue growth, margins and future P/E, with sentiment recently supported by upgraded research.
DBI
AU$4.90
Dalrymple Bay Infrastructure
7D
5.4%
1Y
34.6%

DBI: Higher Distribution Guidance Will Support A More Attractive Future Income Profile

Analysts have nudged their price target for Dalrymple Bay Infrastructure slightly higher to A$5.51 from A$5.47, reflecting updated assumptions that combine a higher revenue growth outlook with a modestly lower profit margin and a small uplift in future P/E expectations. What's in the News Revised distribution guidance for the year from 1 July 2025 to 30 June 2026 to 26.375 cents per security, compared with prior guidance of 24.5 cents per security, described as a 7.7% uplift in the guidance (Key Developments).
WOR
AU$10.47
Worley
7D
5.2%
1Y
-29.7%
QAN
AU$8.43
Qantas Airways
7D
-2.8%
1Y
-8.8%

Qantas price should steadily increase in the long term

Qantas Airways Limited benefits from a durable competitive position as Australia’s flagship international carrier. The country’s geographic isolation and concentrated airline market create natural barriers to entry, giving Qantas a strong long-term moat in both domestic and international travel.
RDX
AU$3.18
Redox
7D
6.7%
1Y
12.0%

RDX: Future Returns Will Reflect Stable Dividend And Tightly Refined Assumptions

Analysts have trimmed their price target for Redox to A$18.86 from A$18.98, reflecting slightly updated assumptions for the discount rate, revenue growth, profit margins and future P/E, while keeping fair value broadly unchanged. What's in the News Redox Limited declared an ordinary fully paid dividend of A$0.065 per share for the six month period ending December 31, 2025 (Key Developments).
REH
AU$14.02
Reece
7D
-3.2%
1Y
-10.6%
CPU
AU$28.03
Computershare
7D
-3.3%
1Y
-28.5%

CPU: Citi Upgrade And Dividend Outlook Will Support Bullish Setup

Analysts have inched their fair value estimate for Computershare to about A$35.55 per share, a small adjustment that reflects updated discount rate and future P/E assumptions, along with recent Street research support, including the new A$39.60 price target from Citi. Analyst Commentary Recent commentary from bullish analysts has become more positive, with an upgraded rating and a formal A$39.60 price target helping anchor expectations around Computershare’s potential valuation range.
SGH
AU$40.50
SGH
7D
-4.1%
1Y
-18.3%
VNT
AU$5.71
Ventia Services Group
7D
5.0%
1Y
38.6%

VNT: Buybacks And Government Contracts Will Support Steady Earnings And Fair Value

Analysts have lifted their price target for Ventia Services Group from A$5.88 to A$6.12, reflecting updated assumptions around discount rates, revenue growth, profit margins and future P/E multiples. What's in the News Ventia increased its equity buyback authorization by A$100 million to a total of A$250 million and extended the program to 5 March 2027.
CWY
AU$2.32
Cleanaway Waste Management
7D
-2.9%
1Y
-10.8%
TEA
AU$4.30
Tasmea
7D
5.1%
1Y
72.7%
SLX
AU$5.13
Silex Systems
7D
-11.9%
1Y
24.8%