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Australian (ASX) REITS Industry Analysis
UpdatedNov 28, 2021
DataAggregated Company Financials
Companies44
- 7D-1.5%
- 3M1.5%
- 1Y15.0%
- YTD15.6%
Over the last 7 days, the REITS industry has dropped 1.5%, driven by a pullback from Scentre Group of 2.5%. This takes the industry's 12 month performance to a gain of 15%.
Industry Valuation and Performance
Has the Australian REITS Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE |
|---|---|---|---|---|
| Wed, 01 Dec 2021 | AU$173.5b | AU$19.8b | AU$12.4b | 9.7x |
| Fri, 29 Oct 2021 | AU$169.4b | AU$19.8b | AU$12.4b | 9.8x |
| Sun, 26 Sep 2021 | AU$166.5b | AU$19.8b | AU$12.1b | 9.8x |
| Tue, 24 Aug 2021 | AU$162.9b | AU$19.8b | AU$12.1b | 8.7x |
| Wed, 30 Jun 2021 | AU$155.2b | AU$19.9b | AU$12.1b | 8.8x |
| Sat, 03 Apr 2021 | AU$140.7b | AU$18.9b | AU$5.1b | 12.5x |
| Tue, 05 Jan 2021 | AU$142.5b | AU$17.9b | -AU$1,816,312,794.00 | 17.7x |
| Fri, 09 Oct 2020 | AU$126.6b | AU$18.1b | -AU$897,614,364.00 | 17.1x |
| Thu, 02 Jul 2020 | AU$116.7b | AU$18.3b | AU$10.0m | 16.9x |
| Sun, 05 Apr 2020 | AU$95.5b | AU$18.6b | AU$4.8b | 13.7x |
| Wed, 08 Jan 2020 | AU$143.7b | AU$19.0b | AU$9.6b | 15.6x |
| Tue, 01 Oct 2019 | AU$144.7b | AU$18.5b | AU$9.5b | 15.1x |
| Fri, 05 Jul 2019 | AU$142.0b | AU$18.1b | AU$9.4b | 15.9x |
| Mon, 08 Apr 2019 | AU$134.4b | AU$18.3b | AU$10.6b | 13.8x |
| Thu, 10 Jan 2019 | AU$118.6b | AU$18.4b | AU$11.8b | 13x |
PE Ratio
10.5x
Current Industry PE: Investors are more pessimistic on the industry, considering it's trading at a PE ratio of 9.6x which is lower than its 3-year average PE of 14.7x. It appears they believe that earnings will not grow as fast as they have historically.
Past Earnings Growth: The earnings for companies in the REITs industry have remained mostly flat over the last three years, while revenues for these companies have grown 3.3% per year.This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.
Industry Trends
Which industries have driven the changes within the Australian REITS industry?
| Residential REITs | 0.39% | |
| Industrial REITs | 0.036% | |
| Specialized REITs | -0.42% | |
| Diversified REITs | -1.59% | |
| Office REITs | -2.49% | |
| Healthcare REITs | -3.12% | |
| Retail REITs | -3.19% | |
Industry PE: Investors are most optimistic about the Residential REITs industry, which is trading close to its 3-year average PE ratio of 32.8x. However analysts are expecting annual earnings growth of 19%, which is lower than the prior year's growth of 131% per year. So the market might believe that analysts are underestimating future growth. Meanwhile, investors are most pessimistic about the Specialized REITs industry, which is trading below its 3-year average of 11.7x.
Forecasted Growth: Analysts are most optimistic on the Residential REITs industry, expecting annual earnings growth of 19% over the next 5 years. However this is lower than its past earnings growth rate of 131% per year. Meanwhile, the Specialized REITs industry is expected to see its earnings decline by 5.8% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | 7D | 1Y | Valuation | |
|---|---|---|---|---|
| GMG Goodman Group | 0.7%+AU$317.6m | 29.7% | n/a | |
| NSR National Storage REIT | 2.8%+AU$84.5m | 29.7% | n/a | |
| CHC Charter Hall Group | 0.6%+AU$51.2m | 36.2% | n/a | |
| GPT GPT Group | 0.2%+AU$19.2m | 12.8% | n/a | |
| REP RAM Essential Services Property Fund | 3.6%+AU$18.2m | n/a | n/a |