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Australian (ASX) Materials Sector Analysis

UpdatedMay 28, 2026
DataAggregated Company Financials
Companies723
  • 7D6.5%
  • 3M-1.9%
  • 1Y53.9%
  • YTD14.1%

Over the last 7 days, the Materials industry has risen 6.5%, driven by gains from BHP Group of 2.5%. In the last 12 months, the industry was up 54%. 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
Thu, 28 May 2026AU$770.0bAU$229.7bAU$25.7b13.3x30x3.4x
Sat, 25 Apr 2026AU$729.4bAU$228.8bAU$25.7b14.1x28.4x3.2x
Mon, 23 Mar 2026AU$639.0bAU$230.2bAU$26.2b14.4x24.4x2.8x
Wed, 18 Feb 2026AU$719.5bAU$221.5bAU$21.1b24.9x34.1x3.2x
Fri, 16 Jan 2026AU$725.0bAU$221.9bAU$19.3b28.4x37.5x3.3x
Sun, 14 Dec 2025AU$656.3bAU$223.8bAU$19.2b24.4x34.2x2.9x
Tue, 11 Nov 2025AU$602.1bAU$225.9bAU$19.8b24.2x30.4x2.7x
Thu, 09 Oct 2025AU$606.7bAU$226.8bAU$19.1b23.7x31.8x2.7x
Sat, 06 Sep 2025AU$559.6bAU$229.1bAU$19.3b17.9x29x2.4x
Mon, 04 Aug 2025AU$506.2bAU$236.5bAU$22.1b14.7x23x2.1x
Wed, 02 Jul 2025AU$479.1bAU$236.8bAU$21.8b13.9x21.9x2x
Fri, 30 May 2025AU$484.0bAU$238.6bAU$22.1b13.6x21.9x2x
Sun, 27 Apr 2025AU$465.3bAU$239.5bAU$22.6b13.3x20.6x1.9x
Tue, 25 Mar 2025AU$474.8bAU$242.1bAU$22.7b12.6x20.9x2x
Thu, 20 Feb 2025AU$507.5bAU$242.8bAU$28.3b14.4x17.9x2.1x
Sat, 18 Jan 2025AU$502.3bAU$247.1bAU$22.3b13.4x22.5x2x
Mon, 16 Dec 2024AU$504.5bAU$243.2bAU$21.8b13.5x23.2x2.1x
Wed, 13 Nov 2024AU$500.5bAU$238.9bAU$21.4b14.2x23.4x2.1x
Fri, 11 Oct 2024AU$524.9bAU$234.9bAU$21.2b15.7x24.8x2.2x
Sun, 08 Sep 2024AU$459.9bAU$235.5bAU$20.9b16.5x22x2x
Tue, 06 Aug 2024AU$481.4bAU$244.6bAU$22.8b13.6x21.1x2x
Thu, 04 Jul 2024AU$529.5bAU$247.7bAU$22.3b15.3x23.8x2.1x
Sat, 01 Jun 2024AU$559.0bAU$249.3bAU$22.6b15.4x24.7x2.2x
Mon, 29 Apr 2024AU$554.5bAU$252.8bAU$23.5b15.6x23.6x2.2x
Wed, 27 Mar 2024AU$547.6bAU$253.8bAU$24.0b14.8x22.9x2.2x
Fri, 23 Feb 2024AU$552.4bAU$252.1bAU$25.2b15.5x21.9x2.2x
Sun, 21 Jan 2024AU$597.6bAU$263.0bAU$35.0b14.3x17.1x2.3x
Tue, 19 Dec 2023AU$626.9bAU$260.9bAU$34.5b13.5x18.1x2.4x
Thu, 16 Nov 2023AU$597.3bAU$264.6bAU$35.3b12.7x16.9x2.3x
Sat, 14 Oct 2023AU$577.5bAU$271.5bAU$37.2b11.8x15.5x2.1x
Mon, 11 Sep 2023AU$572.9bAU$269.9bAU$37.5b12.5x15.3x2.1x
Wed, 09 Aug 2023AU$596.2bAU$278.5bAU$52.5b11.2x11.4x2.1x
Fri, 07 Jul 2023AU$593.2bAU$276.0bAU$52.1b11.3x11.4x2.1x
Sun, 04 Jun 2023AU$581.1bAU$276.2bAU$52.2b10.9x11.1x2.1x
Price to Earnings Ratio

11.1x


Total Market Cap: AU$581.1bTotal Earnings: AU$52.2bTotal Revenue: AU$276.2bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Materials Sector Price to Earnings3Y Average 23.1x202420252026
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 30.0x which is higher than its 3-year average PE of 23.1x.
  • The 3-year average PS ratio of 2.3x is lower than the industry's current PS ratio of 3.4x.
Past Earnings Growth
  • The earnings for companies in the Materials industry have declined 21% per year over the last three years,
  • Revenues have also declined 6.0% 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 Market2.49%
Materials6.54%
Basic Materials12.35%
Metals and Mining6.46%
Chemicals5.07%
Packaging2.77%
Paper and Forestry Products1.12%
Industry PE
  • Investors are most optimistic about the Chemicals industry which is trading above its 3-year average PE ratio of 8.5x.
    • Analysts are expecting annual earnings growth of 28.7%, 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 8.8x.
Forecasted Growth
  • Analysts are most optimistic on the Paper and Forestry Products industry, expecting annual earnings growth of 55% over the next 5 years.
  • In contrast, the Packaging industry is expected to see its earnings grow by 10% 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
BHP BHP GroupAU$60.552.5%
+AU$7.4b		58.7%PE21.4x
S32 South32AU$4.6712.8%
+AU$2.4b		53.6%PE37.9x
JHX James Hardie IndustriesAU$30.9510.6%
+AU$1.7b		-10.8%PE123.3x
BSL BlueScope SteelAU$31.404.7%
+AU$613.1m		36.6%PE47.9x
SGM SimsAU$25.8912.7%
+AU$564.2m		70.6%PS0.7x

Latest News

SFR
AU$18.98
Sandfire Resources
7D
5.4%
1Y
64.2%
S32
AU$4.67
South32
7D
12.8%
1Y
53.6%
JHX
AU$30.95
James Hardie Industries
7D
10.6%
1Y
-10.8%
Narrative Update • May 26

JHX: Conservative Outlook And Higher Margins Will Support Future Rerating Potential

Analysts have trimmed their fair value estimate for James Hardie Industries from A$45.25 to A$42.91, pointing to lower assumed revenue growth, a reduced future P/E of 23.37 and recent price target cuts such as Barclays moving to A$21, even though updated forecasts incorporate a higher profit margin and a slightly lower discount rate. Analyst Commentary Recent research points to a more cautious stance on James Hardie Industries as some analysts factor in a challenged end market and cut price targets, such as the move to A$21 from A$22.
EVN
AU$11.65
Evolution Mining
7D
-1.3%
1Y
31.5%
BHP
AU$60.55
BHP Group
7D
2.5%
1Y
58.7%
SGM
AU$25.89
Sims
7D
12.7%
1Y
70.6%
GMD
AU$5.57
Genesis Minerals
7D
-4.6%
1Y
23.2%
ARU
AU$0.27
Arafura Rare Earths
7D
-14.5%
1Y
60.6%
NST
AU$18.20
Northern Star Resources
7D
-3.9%
1Y
-10.5%
WGX
AU$4.87
Westgold Resources
7D
-3.2%
1Y
63.4%
VAU
AU$4.05
Vault Minerals
7D
-6.9%
1Y
43.2%
PLS
AU$6.30
PLS Group
7D
2.3%
1Y
379.1%
Narrative Update • May 19

PLS: Index Additions Will Sustain Rich Multiple Despite Higher Discount Rate

Analysts have modestly raised the price target for PLS Group to A$2.82 from A$2.63, reflecting updated views on discount rates, revenue growth and profit margins that feed into their refreshed fair value estimates. What's in the News PLS Group Limited (ASX:PLS) has been added to the S&P/ASX 50 Index, bringing the stock into a wider set of domestic institutional benchmarks (Key Developments).
PRU
AU$4.86
Perseus Mining
7D
-7.4%
1Y
27.2%
Narrative Update • May 18

PRU: Underground Ramp Up And Outperformance Rating Will Support Future Upside

Analysts have modestly lifted their A$6.70 price target on Perseus Mining as they refresh assumptions around discount rates, revenue growth and future P/E multiples, and factor in the recent upgrade to Outperform from Sector Perform. Analyst Commentary Analysts pointing to the refreshed A$6.70 price target and the recent upgrade to Outperform see this as a reassessment of Perseus Mining’s risk and reward profile, rather than a short term call.
RRL
AU$5.87
Regis Resources
7D
-6.2%
1Y
18.8%
Narrative Update • May 13

RRL: Index Inclusion And Higher Margins Will Support Future Upside Potential

Analysts have nudged their price target for Regis Resources slightly higher from A$11.00 to A$11.10, pointing to updated assumptions around discount rates, revenue growth, profit margins and future P/E as key drivers behind the change. Analyst Commentary Recent commentary points to bullish analysts becoming more constructive on Regis Resources following their latest review, with the small lift in the A$11.10 price target framed as part of a broader recheck of the investment case.
BSL
AU$31.40
BlueScope Steel
7D
4.7%
1Y
36.6%
SRL
AU$15.85
Sunrise Energy Metals
7D
24.4%
1Y
3,461.8%