We Think Orica (ASX:ORI) Can Stay On Top Of Its Debt
May 29
Australian (ASX) Chemicals Industry Analysis
UpdatedJun 02, 2024
DataAggregated Company Financials
Companies29
- 7D-2.2%
- 3M3.1%
- 1Y-2.7%
- YTD1.6%
Over the last 7 days, the Chemicals industry has dropped 2.2%, driven by declines in Incitec Pivot and Orica of 3.0% and 1.9%, respectively. On the other hand Highfield Resources is actually up 13%. As for the longer term, the industry's performance has been flat for the past year. As for the next few years, earnings are expected to grow by 32% per annum.
Industry Valuation and Performance
Has the Australian Chemicals Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sun, 02 Jun 2024 | AU$18.5b | AU$16.8b | AU$188.1m | 30.4x | 98.5x | 1.1x |
| Tue, 30 Apr 2024 | AU$18.5b | AU$17.6b | AU$496.6m | 25x | 37.3x | 1.1x |
| Thu, 28 Mar 2024 | AU$18.3b | AU$17.6b | AU$510.7m | 24.7x | 35.9x | 1x |
| Sat, 24 Feb 2024 | AU$17.5b | AU$17.6b | AU$548.4m | 21.9x | 31.9x | 1x |
| Mon, 22 Jan 2024 | AU$17.3b | AU$17.6b | AU$416.8m | 21.3x | 41.6x | 1x |
| Wed, 20 Dec 2023 | AU$18.0b | AU$17.6b | AU$429.5m | 21x | 42x | 1x |
| Fri, 17 Nov 2023 | AU$17.7b | AU$17.6b | AU$440.8m | 21.7x | 40.2x | 1x |
| Sun, 15 Oct 2023 | AU$17.4b | AU$19.2b | AU$1.0b | 19.4x | 16.8x | 0.9x |
| Tue, 12 Sep 2023 | AU$18.2b | AU$19.3b | AU$1.0b | 17.1x | 18x | 0.9x |
| Thu, 10 Aug 2023 | AU$18.3b | AU$19.2b | AU$1.0b | 19.7x | 17.8x | 1x |
| Sat, 08 Jul 2023 | AU$17.3b | AU$19.2b | AU$1.0b | 23x | 16.7x | 0.9x |
| Mon, 05 Jun 2023 | AU$18.3b | AU$19.2b | AU$1.0b | 23x | 18x | 1x |
| Wed, 03 May 2023 | AU$19.5b | AU$18.1b | AU$1.0b | 23.3x | 19.4x | 1.1x |
| Fri, 31 Mar 2023 | AU$18.8b | AU$18.1b | AU$1.0b | 23x | 18.7x | 1x |
| Sun, 26 Feb 2023 | AU$19.9b | AU$18.0b | AU$1.1b | 30.7x | 18.4x | 1.1x |
| Tue, 24 Jan 2023 | AU$20.0b | AU$18.0b | AU$1.1b | 26x | 18.3x | 1.1x |
| Thu, 22 Dec 2022 | AU$20.2b | AU$18.0b | AU$1.1b | 26.1x | 18.5x | 1.1x |
| Sat, 19 Nov 2022 | AU$20.2b | AU$18.0b | AU$1.1b | 25.8x | 18.5x | 1.1x |
| Mon, 17 Oct 2022 | AU$18.5b | AU$15.4b | AU$163.3m | 20.7x | 113.1x | 1.2x |
| Wed, 14 Sep 2022 | AU$20.0b | AU$15.4b | AU$201.5m | 21.8x | 99.2x | 1.3x |
| Fri, 12 Aug 2022 | AU$20.3b | AU$15.3b | AU$243.4m | 33x | 83.2x | 1.3x |
| Sun, 10 Jul 2022 | AU$18.2b | AU$15.3b | AU$262.9m | 33.4x | 69.3x | 1.2x |
| Tue, 07 Jun 2022 | AU$19.8b | AU$15.3b | AU$263.2m | 39.3x | 75.3x | 1.3x |
| Thu, 05 May 2022 | AU$21.4b | AU$13.3b | -AU$48,365,592.00 | 48.4x | -441.7x | 1.6x |
| Sat, 02 Apr 2022 | AU$20.7b | AU$13.3b | -AU$47,997,403.00 | 59.6x | -431.2x | 1.6x |
| Mon, 28 Feb 2022 | AU$17.9b | AU$13.3b | -AU$47,598,897.00 | 45.2x | -376x | 1.3x |
| Wed, 26 Jan 2022 | AU$17.7b | AU$13.2b | -AU$30,763,795.00 | 36x | -575.5x | 1.3x |
| Fri, 24 Dec 2021 | AU$18.0b | AU$13.2b | -AU$30,650,188.00 | 36.6x | -585.8x | 1.4x |
| Sun, 21 Nov 2021 | AU$19.2b | AU$13.2b | -AU$35,823,031.00 | 37.3x | -537.3x | 1.5x |
| Tue, 19 Oct 2021 | AU$17.9b | AU$11.2b | -AU$426,002,799.00 | 62.8x | -42.1x | 1.6x |
| Thu, 16 Sep 2021 | AU$16.2b | AU$11.2b | -AU$411,162,292.52 | 50.7x | -39.5x | 1.4x |
| Sat, 14 Aug 2021 | AU$15.8b | AU$11.2b | -AU$406,224,554.52 | 50.5x | -39x | 1.4x |
| Wed, 09 Jun 2021 | AU$14.7b | AU$11.2b | -AU$425,940,279.20 | 57.8x | -34.6x | 1.3x |
Price to Earnings Ratio
-34.6x
Current Industry PE
- Investors are optimistic on the Australian Chemicals industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 98.5x which is higher than its 3-year average PE of -64.3x.
- The industry is trading close to its 3-year average PS ratio of 1.2x.
Past Earnings Growth
- Total earnings for the Chemicals industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 15% per year.
- This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.
Industry Trends
Which industries have driven the changes within the Australian Materials industry?
| AU Market | -0.34% | |
| Materials | -1.70% | |
| Chemicals | -2.20% | |
| Industrial Gases | 0% | |
| Specialty Chemicals | -0.45% | |
| Fertilizers and Agricultural Chemicals | -0.82% | |
| Commodity Chemicals | -2.14% | |
| Diversified Chemicals | -2.95% | |
Industry PE
- Investors are most optimistic about the Commodity Chemicals industry even though it's trading below its 3-year average PE ratio of 32.4x.
- Analysts are expecting annual earnings growth of 16.4%, which is lower than the prior year's growth of 91.0% per year.
Forecasted Growth
- Analysts are most optimistic on the Fertilizers and Agricultural Chemicals industry, expecting annual earnings growth of 72% over the next 5 years.
- In contrast, the Commodity Chemicals industry is expected to see its earnings grow by 16% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| HFR Highfield Resources | AU$0.35 | 12.7% +AU$15.7m | -41.8% | PB1x | |
| A4N Alpha HPA | AU$0.90 | 1.1% +AU$10.0m | -10.4% | PS27563.7x | |
| FGH Foresta Group Holding | AU$0.011 | 22.2% +AU$4.7m | -31.3% | PS844.3x | |
| NRZ NeuRizer | AU$0.004 | 100.0% +AU$3.8m | -93.9% | PB0.1x | |
| FTZ Fertoz | AU$0.05 | 25.0% +AU$2.5m | -64.3% | PS4.5x |
