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

Australian (ASX) Materials Sector Analysis

UpdatedJul 13, 2026
DataAggregated Company Financials
Companies715
  • 7D-4.3%
  • 3M-2.4%
  • 1Y38.9%
  • YTD5.0%

Over the last 7 days, the Materials industry has dropped 4.3%, driven by a pullback from BHP Group of 3.7%. Over the past 12 months, the industry was up 39%. Looking forward, earnings are forecast to grow by 16% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 13 Jul 2026AU$708.9bAU$233.2bAU$26.3b12.1x26.9x3x
Wed, 10 Jun 2026AU$733.7bAU$231.5bAU$26.0b12.1x28.2x3.2x
Fri, 08 May 2026AU$730.8bAU$226.2bAU$25.3b13.6x28.9x3.2x
Sun, 05 Apr 2026AU$685.1bAU$233.0bAU$26.5b13.6x25.9x2.9x
Tue, 03 Mar 2026AU$790.8bAU$227.1bAU$24.5b23.7x32.2x3.5x
Thu, 29 Jan 2026AU$752.9bAU$216.1bAU$18.5b30.3x40.8x3.5x
Sat, 27 Dec 2025AU$670.7bAU$222.2bAU$19.3b24.7x34.7x3x
Mon, 24 Nov 2025AU$590.0bAU$228.1bAU$19.7b22x30x2.6x
Wed, 22 Oct 2025AU$630.6bAU$228.5bAU$19.3b24.3x32.7x2.8x
Fri, 19 Sep 2025AU$553.5bAU$226.8bAU$19.1b18.2x29x2.4x
Sun, 17 Aug 2025AU$557.9bAU$232.5bAU$21.9b16.2x25.5x2.4x
Tue, 15 Jul 2025AU$506.1bAU$235.8bAU$21.6b14.5x23.4x2.1x
Thu, 12 Jun 2025AU$497.6bAU$237.2bAU$21.9b13.6x22.7x2.1x
Sat, 10 May 2025AU$473.1bAU$239.5bAU$22.1b12.9x21.4x2x
Mon, 07 Apr 2025AU$442.7bAU$248.2bAU$24.1b12x18.4x1.8x
Wed, 05 Mar 2025AU$479.0bAU$242.7bAU$23.2b13.4x20.7x2x
Fri, 31 Jan 2025AU$495.5bAU$246.4bAU$22.2b13.7x22.3x2x
Sun, 29 Dec 2024AU$485.5bAU$246.6bAU$22.3b13.6x21.8x2x
Tue, 26 Nov 2024AU$500.2bAU$239.8bAU$21.3b13.2x23.5x2.1x
Thu, 24 Oct 2024AU$523.9bAU$236.5bAU$21.4b15.8x24.5x2.2x
Sat, 21 Sep 2024AU$488.7bAU$233.6bAU$21.2b15.9x23.1x2.1x
Mon, 19 Aug 2024AU$477.6bAU$240.9bAU$22.4b14.7x21.3x2x
Wed, 17 Jul 2024AU$522.8bAU$237.9bAU$21.5b15.2x24.3x2.2x
Fri, 14 Jun 2024AU$535.3bAU$249.0bAU$22.5b15.4x23.8x2.1x
Sun, 12 May 2024AU$559.8bAU$250.7bAU$23.3b16x24x2.2x
Tue, 09 Apr 2024AU$559.3bAU$253.1bAU$23.3b15.9x24x2.2x
Thu, 07 Mar 2024AU$556.5bAU$253.8bAU$24.5b15.5x22.7x2.2x
Sat, 03 Feb 2024AU$619.9bAU$263.0bAU$35.0b14.3x17.7x2.4x
Mon, 01 Jan 2024AU$652.0bAU$258.3bAU$34.0b15.3x19.2x2.5x
Wed, 29 Nov 2023AU$590.7bAU$262.6bAU$34.9b12.7x16.9x2.2x
Fri, 27 Oct 2023AU$570.0bAU$271.8bAU$37.3b11.1x15.3x2.1x
Sun, 24 Sep 2023AU$575.8bAU$268.1bAU$36.9b12.2x15.6x2.1x
Tue, 22 Aug 2023AU$574.9bAU$280.8bAU$52.7b11.6x10.9x2x
Thu, 20 Jul 2023AU$603.8bAU$272.5bAU$51.1b10.6x11.8x2.2x
Price to Earnings Ratio

11.8x


Total Market Cap: AU$603.8bTotal Earnings: AU$51.1bTotal Revenue: AU$272.5bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Materials Sector Price to Earnings3Y Average 23.8x202420252026
Current Industry PE
  • Investors are optimistic on the Australian Materials industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 26.9x which is higher than its 3-year average PE of 23.8x.
  • The 3-year average PS ratio of 2.4x is lower than the industry's current PS ratio of 3.0x.
Past Earnings Growth
  • The earnings for companies in the Materials industry have declined 20% per year over the last three years,
  • Revenues have also declined 5.1% per year.
  • This means overall sales from these companies are declining and profits are subsequently falling as well.

Industry Trends

Which industries have driven the changes within the Australian Materials sector?

AU Market-0.42%
Materials-4.26%
Paper and Forestry Products2.90%
Packaging0.36%
Chemicals-2.79%
Metals and Mining-4.29%
Basic Materials-5.32%
Industry PE
  • Investors are most optimistic about the Chemicals industry which is trading above its 3-year average PE ratio of 60.1x.
    • Analysts are expecting annual earnings growth of 30.2%, which is lower than the prior year's growth of 125.9% per year.
  • Investors are most pessimistic about the Packaging industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 8.7x.
Forecasted Growth
  • Analysts are most optimistic on the Paper and Forestry Products industry, expecting annual earnings growth of 50% over the next 5 years.
  • In contrast, the Packaging industry is expected to see its earnings grow by 9.3% 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
FMG FortescueAU$18.771.3%
+AU$769.6m		11.1%PE10.7x
BSL BlueScope SteelAU$32.001.7%
+AU$236.5m		29.9%PE48.8x
DTR Dateline ResourcesAU$0.1838.5%
+AU$210.8m		81.8%PS555.1x
SMR Stanmore ResourcesAU$2.467.0%
+AU$144.2m		14.4%PS0.8x
MLX Metals XAU$1.456.6%
+AU$79.8m		112.5%PE12.2x

Latest News

LYC
AU$16.63
Lynas Rare Earths
7D
-8.7%
1Y
72.0%
New Narrative • Jul 12

Should we LYC Lynas? A Rare Opportunity?

At A$11.226 per share, Lynas Rare Earths (ASX: LYC) appears reasonably valued when considering its existing operations, recently completed expansion work and stronger rare earth pricing. With approximately 1.01 billion shares on issue, the assessed price values the company’s shares at around A$11.3 billion.
BHP
AU$58.28
BHP Group
7D
-3.7%
1Y
48.1%
New Narrative • Jul 11

Does BHP Have the Metal? More Ore in Store?

At A$47.93 per share, BHP Group (ASX: BHP) appears reasonably valued based on its current operating performance. For the six months to 31 December 2025, BHP reported revenue of US$27.9 billion, underlying EBITDA of US$15.5 billion and underlying attributable profit of US$6.2 billion, with an underlying EBITDA margin of 58.4%.
WIA
AU$0.54
WIA Gold
7D
9.2%
1Y
109.8%
MIN
AU$59.70
Mineral Resources
7D
-8.3%
1Y
117.2%
Narrative Update • Jul 10

MIN: Cost Pressures And Lithium Uncertainty Will Curb Rich P/E Outlook

Analysts have modestly lifted their fair value estimate for Mineral Resources from A$38.79 to A$40.24, reflecting updated views on revenue growth, profit margins and future P/E assumptions. What’s in the News for Mineral Resources Mineral Resources is among Australian lithium producers restarting previously idled lithium mines as lithium market conditions improve, according to recent sector reports.
GMD
AU$5.67
Genesis Minerals
7D
-9.9%
1Y
41.0%
Narrative Update • Jul 10

GMD: Vault Minerals Bid And Synergy Upside Will Reshape Future Scale

Analysts have trimmed their fair value estimate for Genesis Minerals from A$9.16 to A$8.72. They now apply a slightly higher discount rate and more moderate assumptions for revenue growth and profit margins, while keeping longer term P/E expectations broadly similar.
NST
AU$20.48
Northern Star Resources
7D
-7.6%
1Y
26.0%
ARU
AU$0.23
Arafura Rare Earths
7D
-6.0%
1Y
20.5%
MAH
AU$0.91
Macmahon Holdings
7D
3.4%
1Y
212.1%
Narrative Update • Jul 09

MAH: Higher Assumed P/E Will Sustain Overvaluation Risk

Analysts have lifted their price target for Macmahon Holdings from A$0.65 to A$0.75, citing updated assumptions for revenue growth, profit margins and future P/E as the key drivers of the revised fair value. What’s in the News No recent Macmahon Holdings company announcements were identified in the provided news sources.
JHX
AU$35.05
James Hardie Industries
7D
-5.3%
1Y
-18.3%
Narrative Update • Jul 09

JHX: Pricing Power And Synergies Will Support Future Multiple Rerating

James Hardie Industries' analyst price target has moved from A$42.91 to A$44.43 as analysts factor in updated assumptions on fair value, margins, and growth. This is supported by recent research that highlights the company's valuation, EBITDA profile, pricing power, and potential commercial synergies despite a choppy demand backdrop.
VAU
AU$4.87
Vault Minerals
7D
6.8%
1Y
92.1%
FMG
AU$18.47
Fortescue
7D
0.6%
1Y
8.8%
Narrative Update • Jul 08

FMG: Rising Decarbonisation Capex Will Pressure Future Cash Flows And Returns

Analysts have modestly lifted their fair value estimate for Fortescue to about A$15.33 from A$14.84, while noting that higher mine replacement and decarbonization spending could weigh on future cash flows and support a lower forward P/E assumption. What's in the News for Fortescue Chinese authorities, through China Mineral Resources Group, have extended restrictions on Fortescue’s lower grade iron ore shipments, limiting access for some steel mills from 15 July and raising commercial and geopolitical risks for one of Fortescue’s key export markets.
EVN
AU$11.63
Evolution Mining
7D
-9.3%
1Y
56.3%
Narrative Update • Jul 07

EVN: Copper Exposure Will Support Margin Resilience Through Gold Price Volatility

Analysts have raised the fair value estimate for Evolution Mining from A$18.70 to A$19.45, reflecting recent upgrades that highlight support for margins from the stock’s exposure to elevated copper pricing alongside gold price volatility. Analyst Commentary Recent research updates suggest a more balanced stance on Evolution Mining, with some bullish analysts pointing to the stock’s copper exposure and margin profile as key supports during periods of gold price volatility.
BSL
AU$32.00
BlueScope Steel
7D
2.2%
1Y
30.3%
PLS
AU$4.63
PLS Group
7D
-11.5%
1Y
198.7%
Narrative Update • Jul 01

PLS: Lithium Expansion And Ore Sorting Investments Will Support Stronger Future Pricing

Analysts have lifted their price target for PLS Group to A$7.70 from A$6.70, citing updated assumptions for fair value, discount rates, revenue growth, profit margins and future P/E multiples that reshape their view of the stock’s potential risk and reward profile. What’s in the News for PLS Group PLS Group reported a 47% revenue increase for the first half of 2026 and returned to profitability, supported by operations at its Pilgangoora hard rock lithium mine, which is described as one of the largest globally.
MEI
AU$0.18
Meteoric Resources
7D
12.5%
1Y
28.6%
MLX
AU$1.40
Metals X
7D
5.3%
1Y
112.1%