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Australian (ASX) Materials Sector Analysis

UpdatedDec 04, 2023
DataAggregated Company Financials
Companies808
  • 7D-0.1%
  • 3M-1.5%
  • 1Y-2.9%
  • YTD0.9%

In the last week, the Materials industry is flat overall, with Mineral Resources standing out by going down 3.9%. In line with that, the industry has also been flat over the past 12 months. Looking forward, earnings are forecast to grow by 4.8% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 04 Dec 2023AU$593.8bAU$261.4bAU$34.6b12.5x17.1x2.3x
Wed, 01 Nov 2023AU$566.4bAU$270.2bAU$37.0b11.4x15.3x2.1x
Fri, 29 Sep 2023AU$564.1bAU$269.3bAU$36.9b12x15.3x2.1x
Sun, 27 Aug 2023AU$574.6bAU$268.9bAU$40.7b11.8x14.1x2.1x
Tue, 25 Jul 2023AU$592.4bAU$272.8bAU$51.2b10.4x11.6x2.2x
Thu, 22 Jun 2023AU$606.0bAU$272.4bAU$51.1b11.6x11.9x2.2x
Sat, 20 May 2023AU$594.0bAU$274.9bAU$51.7b10.3x11.5x2.2x
Mon, 17 Apr 2023AU$615.9bAU$272.7bAU$51.6b10.9x11.9x2.3x
Wed, 15 Mar 2023AU$576.7bAU$269.2bAU$51.8b10.2x11.1x2.1x
Fri, 10 Feb 2023AU$626.0bAU$263.0bAU$55.0b13.1x11.4x2.4x
Sun, 08 Jan 2023AU$602.8bAU$264.8bAU$55.1b11.9x10.9x2.3x
Tue, 06 Dec 2022AU$603.5bAU$267.2bAU$55.8b12.6x10.8x2.3x
Thu, 03 Nov 2022AU$525.9bAU$273.9bAU$57.7b10.4x9.1x1.9x
Sat, 01 Oct 2022AU$508.4bAU$271.3bAU$57.4b8.9x8.9x1.9x
Mon, 29 Aug 2022AU$560.4bAU$262.1bAU$59.9b10.8x9.4x2.1x
Wed, 27 Jul 2022AU$501.6bAU$252.5bAU$48.7b10.8x10.3x2x
Fri, 24 Jun 2022AU$530.9bAU$273.1bAU$50.2b10.2x10.6x1.9x
Sun, 22 May 2022AU$630.4bAU$270.1bAU$49.4b12.8x12.8x2.3x
Tue, 19 Apr 2022AU$695.2bAU$257.9bAU$46.9b14.2x14.8x2.7x
Thu, 17 Mar 2022AU$619.0bAU$261.3bAU$47.8b13.6x13x2.4x
Sat, 12 Feb 2022AU$638.7bAU$242.0bAU$40.6b18x15.7x2.6x
Mon, 10 Jan 2022AU$614.8bAU$240.8bAU$40.9b16.9x15x2.6x
Wed, 08 Dec 2021AU$555.2bAU$244.2bAU$41.7b15.8x13.3x2.3x
Fri, 05 Nov 2021AU$530.9bAU$232.8bAU$39.2b16.2x13.5x2.3x
Sun, 03 Oct 2021AU$513.1bAU$235.8bAU$40.0b15.3x12.8x2.2x
Tue, 31 Aug 2021AU$581.4bAU$230.5bAU$39.4b14.9x14.8x2.5x
Wed, 07 Jul 2021AU$565.2bAU$229.9bAU$39.3b14.8x14.4x2.5x
Sat, 10 Apr 2021AU$521.6bAU$209.1bAU$30.4b14.1x17.2x2.5x
Fri, 01 Jan 2021AU$503.4bAU$192.3bAU$21.7b15.7x23.2x2.6x
Price to Earnings Ratio

21.2x


Total Market Cap: AU$456.5bTotal Earnings: AU$21.5bTotal Revenue: AU$195.9bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Materials Sector Price to Earnings3Y Average 14x202120222023
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 17.1x which is higher than its 3-year average PE of 14.0x.
  • The industry is trading close to its 3-year average PS ratio of 2.3x.
Past Earnings Growth
  • The earnings for companies in the Materials industry have grown 17% per year over the last three years.
  • Revenues for these companies have grown 10% 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 Materials sector?

AU Market0.46%
Materials-0.15%
Basic Materials2.40%
Packaging2.34%
Chemicals1.22%
Paper and Forestry Products-0.23%
Metals and Mining-0.37%
Industry PE
  • Investors are most optimistic about the Paper and Forestry Products industry which is trading above its 3-year average PE ratio of 18.0x.
    • Analysts are expecting annual earnings growth of 1.1%, which is lower than the prior year's growth of 4.3% per year.
  • Investors are most pessimistic about the Metals and Mining industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 13.0x.
Forecasted Growth
  • Analysts are most optimistic on the Chemicals industry, expecting annual earnings growth of 19% over the next 5 years.
  • This is better than its past earnings decline of 19% per year.
  • In contrast, the Paper and Forestry Products industry is expected to see its earnings growth to stay flat over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
BHP BHP GroupAU$47.141.3%
+AU$3.1b
0.7%PE12.3x
FMG FortescueAU$25.293.2%
+AU$2.4b
20.3%PE10.8x
NST Northern Star ResourcesAU$12.9010.0%
+AU$1.3b
18.1%PE25.3x
JHX James Hardie IndustriesAU$49.726.2%
+AU$1.3b
62.3%PE29.4x
EVN Evolution MiningAU$4.1410.4%
+AU$716.6m
44.8%PE46.5x
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Latest News

PRU

AU$2.03

Perseus Mining

7D

15.7%

1Y

-11.0%

MIN

AU$59.92

Mineral Resources

7D

-3.9%

1Y

-33.9%

SMR

AU$3.75

Stanmore Resources

7D

-1.8%

1Y

46.5%

FMG

AU$25.29

Fortescue

7D

3.2%

1Y

20.3%

CXO

AU$0.26

Core Lithium

7D

-22.7%

1Y

-80.5%

IGO

AU$8.03

IGO

7D

-5.0%

1Y

-48.3%

BHP

AU$47.14

BHP Group

7D

1.3%

1Y

0.7%

LYC

AU$6.44

Lynas Rare Earths

7D

-1.1%

1Y

-25.5%

WC8

AU$0.69

Wildcat Resources

7D

-19.4%

1Y

2,346.4%

AZS

AU$3.70

Azure Minerals

7D

-7.3%

1Y

1,351.0%

SYA

AU$0.056

Sayona Mining

7D

-18.8%

1Y

-75.7%