Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

Australian (ASX) Industrials Sector Analysis

UpdatedMar 12, 2026
DataAggregated Company Financials
Companies126
  • 7D-3.3%
  • 3M-1.4%
  • 1Y10.8%
  • YTD-4.0%

Over the last 7 days, the Industrials industry has dropped 3.3%, driven by a pullback from Brambles of 8.4%. Meanwhile, DroneShield actually outperformed within the industry, gaining 5.9% in the last week. This takes the industry's 12 month performance to a gain of 11%. Earnings are forecast to grow by 17% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 13 Mar 2026AU$234.8bAU$148.0bAU$8.2b18.6x28.8x1.6x
Sun, 08 Feb 2026AU$236.6bAU$144.1bAU$8.0b20.1x29.5x1.6x
Tue, 06 Jan 2026AU$243.8bAU$144.9bAU$8.1b20.8x30x1.7x
Thu, 04 Dec 2025AU$243.7bAU$145.2bAU$8.2b20.5x29.9x1.7x
Sat, 01 Nov 2025AU$247.6bAU$145.1bAU$8.2b20.7x30.3x1.7x
Mon, 29 Sep 2025AU$242.5bAU$146.1bAU$8.2b20x29.5x1.7x
Wed, 27 Aug 2025AU$245.2bAU$145.6bAU$8.0b17.6x30.5x1.7x
Fri, 25 Jul 2025AU$238.0bAU$144.4bAU$8.4b17.8x28.3x1.6x
Sun, 22 Jun 2025AU$238.0bAU$144.9bAU$8.4b16.7x28.2x1.6x
Tue, 20 May 2025AU$232.2bAU$144.7bAU$8.2b16.9x28.2x1.6x
Thu, 17 Apr 2025AU$216.7bAU$146.2bAU$8.3b15.9x26x1.5x
Sat, 15 Mar 2025AU$216.6bAU$146.4bAU$8.4b16x25.9x1.5x
Mon, 10 Feb 2025AU$212.9bAU$121.5bAU$6.7b19.8x31.8x1.8x
Wed, 08 Jan 2025AU$211.9bAU$122.4bAU$6.7b19x31.6x1.7x
Fri, 06 Dec 2024AU$212.6bAU$122.0bAU$6.6b20.1x32x1.7x
Sun, 03 Nov 2024AU$197.1bAU$120.3bAU$6.5b19.8x30.2x1.6x
Tue, 01 Oct 2024AU$206.1bAU$120.2bAU$6.5b19.7x31.9x1.7x
Thu, 29 Aug 2024AU$204.1bAU$122.1bAU$6.0b17.8x33.9x1.7x
Sat, 27 Jul 2024AU$197.8bAU$121.0bAU$5.4b18.6x36.3x1.6x
Mon, 24 Jun 2024AU$191.2bAU$120.9bAU$5.4b17.7x35.5x1.6x
Wed, 22 May 2024AU$192.2bAU$120.9bAU$5.4b17.8x35.8x1.6x
Fri, 19 Apr 2024AU$197.0bAU$122.4bAU$5.8b18.6x33.8x1.6x
Sun, 17 Mar 2024AU$195.9bAU$122.2bAU$5.9b17.4x33.4x1.6x
Tue, 13 Feb 2024AU$188.3bAU$118.1bAU$5.2b18.4x36.4x1.6x
Thu, 11 Jan 2024AU$188.3bAU$117.9bAU$4.7b18x39.7x1.6x
Sat, 09 Dec 2023AU$179.2bAU$118.2bAU$4.8b17.8x37.5x1.5x
Mon, 06 Nov 2023AU$173.5bAU$118.3bAU$4.8b16.7x36x1.5x
Wed, 04 Oct 2023AU$177.2bAU$118.7bAU$4.9b16.2x36.5x1.5x
Fri, 01 Sep 2023AU$183.2bAU$118.2bAU$4.2b16.7x43.7x1.6x
Sun, 30 Jul 2023AU$184.2bAU$111.3bAU$3.6b19.3x51.6x1.7x
Tue, 27 Jun 2023AU$175.0bAU$110.0bAU$3.5b18.5x50x1.6x
Thu, 25 May 2023AU$177.1bAU$110.3bAU$3.5b17.9x50.2x1.6x
Sat, 22 Apr 2023AU$176.7bAU$109.9bAU$3.5b18.2x50.6x1.6x
Mon, 20 Mar 2023AU$159.5bAU$98.8bAU$3.5b16.9x45.1x1.6x
Price to Earnings Ratio

45.1x


Total Market Cap: AU$159.5bTotal Earnings: AU$3.5bTotal Revenue: AU$98.8bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Industrials Sector Price to Earnings3Y Average 35x202420252026
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 28.8x which is lower than its 3-year average PE of 35.0x.
  • 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 32% 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-1.34%
Industrials-3.33%
Aerospace & Defense11.11%
Industrials1.00%
Logistics-0.57%
Infrastructure-0.69%
Airlines-1.85%
Electrical-2.26%
Machinery-2.54%
Transportation-2.99%
Construction-3.13%
Building-3.59%
Professional Services-4.14%
Trade Distributors-5.09%
Commercial Services-7.93%
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 62.3%, 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 7.9% 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
DRO DroneShieldAU$3.925.9%
+AU$202.9m		304.1%PE1026.7x
TCL Transurban GroupAU$14.200.4%
+AU$187.2m		12.3%PE92.7x
EOS Electro Optic Systems HoldingsAU$9.924.6%
+AU$84.9m		693.6%PS14.9x
MGH MAAS Group HoldingsAU$5.052.9%
+AU$52.8m		35.8%PE23.2x
SKS SKS Technologies GroupAU$4.549.4%
+AU$45.0m		146.7%PE30.6x

Latest News

REH
AU$14.49
Reece
7D
-6.9%
1Y
-8.9%
SGH
AU$42.22
SGH
7D
-5.4%
1Y
-11.3%
SKS
AU$4.54
SKS Technologies Group
7D
9.4%
1Y
146.7%
SXE
AU$3.04
Southern Cross Electrical Engineering
7D
4.8%
1Y
98.7%
DRO
AU$3.92
DroneShield
7D
5.9%
1Y
304.1%

DroneShield's Growth Will Drive Revenue Up by 25.39% Amidst New Success

Morningstar snapshot from 11/03/2026: Fair value: A$2.95 Five-star price: A$1.36 — this is my entry point Current price: A$4.02 Valuation: Overvalued Uncertainty: Very High Economic moat: Narrow 2025 revenue: A$216.5m Revenue growth in 2025: 276% Cash balance: A$209.4m Shares outstanding: ~913m Gross margin: ~60.9% Operating margin: ~-1.9% My interest in DroneShield is based on the long-term need for counter-drone technology, but only at the right price. The current conflict involving Iran is another reminder that drones are now a real threat to military assets, energy infrastructure and broader regional security.
BXB
AU$22.49
Brambles
7D
-8.4%
1Y
11.8%

BXB: Refined Assumptions And Dividend Outlook Will Support A Steady Future

Analysts have updated their view on Brambles, increasing the price target from A$24.43 to A$25.82. This change reflects adjusted assumptions around the discount rate, profit margin, revenue growth and future P/E multiples.
DOW
AU$7.53
Downer EDI
7D
-6.9%
1Y
45.4%

DOW: Buyback, NZ Road Contracts And FY26 Guidance Will Support A Steady Outlook

Analysts have nudged their price target for Downer EDI to A$8.24, with the small change reflecting updated views on fair value, discount rates and forward P/E following recent bullish Street research. Analyst Commentary Bullish Takeaways Bullish analysts see the A$8.24 price target as supported by updated assumptions on fair value, with recent research pointing to what they view as attractive risk and reward at current levels.
QAN
AU$8.67
Qantas Airways
7D
-4.5%
1Y
-1.7%

QAN: Recent Pullback And Buyback Plan Will Support Future Upside

Narrative Update on Qantas Airways The analyst price target for Qantas Airways has been revised slightly higher to A$12.22 from A$12.21. Analysts attribute the change to updated fair value, discount rate, and P/E assumptions, as well as recent Street research in which Qantas was upgraded to Outperform with a price target of A$11.25 following a 20% share price pullback.
WOR
AU$9.95
Worley
7D
-9.8%
1Y
-30.0%
MGH
AU$5.05
MAAS Group Holdings
7D
2.9%
1Y
35.8%
ALQ
AU$22.54
ALS
7D
-7.9%
1Y
45.4%

ALQ: Upgraded Outlook And Earnings Framework Will Shape Future Return Potential

Narrative Update on ALS Analysts have lifted their price target for ALS from A$27.00 to A$28.00, citing updated assumptions for revenue growth, profit margins, and future P/E. These changes are reflected in refreshed valuation inputs.
EOS
AU$9.92
Electro Optic Systems Holdings
7D
4.6%
1Y
693.6%

EOS: Higher Future P/E Assumptions Will Support Upside Repricing

Analysts have revised their price target on Electro Optic Systems Holdings from A$12.44 to A$12.95, reflecting updated views on discount rates, revenue growth, profit margins and future P/E assumptions. Valuation Changes Fair Value: A$12.44 to A$12.95, representing a small upward revision in the estimated equity value.
SYL
AU$2.45
Symal Group
7D
4.7%
1Y
29.6%
DUR
AU$2.35
Duratec
7D
2.6%
1Y
53.6%
CPU
AU$28.99
Computershare
7D
-4.9%
1Y
-23.1%

CPU: Citi Upgrade And Raised FY26 Outlook Will Support Bullish Setup

Analysts have trimmed their fair value estimate for Computershare to A$35.79 from A$35.97, citing updated assumptions for discount rates, revenue growth, profit margins and future P/E, as well as recent Street research, including Citi's upgrade of the stock with an A$39.60 price target. Analyst Commentary Bullish Takeaways Bullish analysts highlight the recent upgrade to a Buy rating as support for a more constructive view on Computershare’s ability to execute against earnings expectations, even with more conservative assumptions now embedded in the fair value model.
TCL
AU$14.20
Transurban Group
7D
0.4%
1Y
12.3%