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Australian (ASX) Tech Sector Analysis

UpdatedNov 28, 2022
DataAggregated Company Financials
Companies180
  • 7D-0.7%
  • 3M-1.4%
  • 1Y-24.4%
  • YTD-27.5%

Over the last 7 days, the Tech industry has remained flat, although notably WiseTech Global declined by 6.1%. Unfortunately though, the industry is down 24% over the past 12 months. Earnings are forecast to grow by 31% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 28 Nov 2022AU$88.9bAU$20.7b-AU$968,332,740.0050.1x-91.8x4.3x
Wed, 26 Oct 2022AU$86.9bAU$20.7b-AU$826,654,701.0041.6x-105.2x4.2x
Fri, 23 Sep 2022AU$88.3bAU$20.3b-AU$783,706,460.0045.9x-112.7x4.3x
Sun, 21 Aug 2022AU$92.7bAU$19.4b-AU$787,397,352.0030.9x-117.7x4.8x
Tue, 19 Jul 2022AU$86.1bAU$19.2b-AU$836,729,309.0023.7x-102.9x4.5x
Thu, 16 Jun 2022AU$76.7bAU$19.1b-AU$828,560,332.0025.1x-92.6x4x
Sat, 14 May 2022AU$85.1bAU$19.0b-AU$736,920,275.0026.6x-115.5x4.5x
Mon, 11 Apr 2022AU$99.7bAU$18.6b-AU$730,695,805.0029.6x-136.5x5.4x
Wed, 09 Mar 2022AU$111.6bAU$19.6b-AU$888,624,816.0029.2x-125.6x5.7x
Fri, 04 Feb 2022AU$118.7bAU$18.3b-AU$465,755,579.0034.4x-254.8x6.5x
Sun, 02 Jan 2022AU$140.7bAU$17.9b-AU$471,693,196.0034.1x-298.2x7.9x
Tue, 30 Nov 2021AU$146.4bAU$18.1b-AU$460,065,459.0034.3x-318.3x8.1x
Thu, 28 Oct 2021AU$151.8bAU$17.9b-AU$431,870,847.0039.7x-351.6x8.5x
Sat, 25 Sep 2021AU$151.1bAU$18.0b-AU$424,205,390.0037.9x-356.3x8.4x
Mon, 23 Aug 2021AU$145.3bAU$17.8b-AU$406,112,560.0143.2x-357.7x8.2x
Sat, 10 Jul 2021AU$134.0bAU$17.8b-AU$411,394,786.7140.9x-325.8x7.5x
Fri, 02 Apr 2021AU$119.4bAU$17.2b-AU$349,560,721.7229.9x-341.5x6.9x
Mon, 04 Jan 2021AU$130.5bAU$16.7b-AU$274,603,480.3934.3x-475.4x7.8x
Thu, 08 Oct 2020AU$104.7bAU$16.4b-AU$244,105,108.9731.3x-429x6.4x
Wed, 01 Jul 2020AU$86.5bAU$16.0b-AU$120,065,803.5828.4x-720.3x5.4x
Sat, 04 Apr 2020AU$57.2bAU$16.2bAU$37.7m26.2x1515.2x3.5x
Tue, 07 Jan 2020AU$77.0bAU$15.3bAU$97.3m44.9x791.2x5x
Price to Earnings Ratio

175.1x


Total Market Cap: AU$77.5bTotal Earnings: AU$442.6mTotal Revenue: AU$14.7bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Tech Sector Price to Earnings3Y Average -12.1x202020212022
Current Industry PE
  • Investors are pessimistic on the Australian Information Technology industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The 3-year average PS ratio of 6.2x is higher than the industry's current PS ratio of 4.3x.
Past Earnings Growth
  • Total earnings for the Information Technology industry have declined over the last three years, with the industry now making a loss overall.
  • Meanwhile revenues have grown 12% 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, which has decreased profits.

Industry Trends

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

AU Market1.17%
Tech-0.73%
Communications2.83%
IT2.76%
Electronic Equipment and Components-1.22%
Software-2.25%
Semiconductors-3.34%
Tech Hardware-5.44%
Industry PE
    Forecasted Growth
    • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 89% over the next 5 years.
    • In contrast, the IT industry is expected to see its earnings grow by 26% 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
    CPU ComputershareAU$27.672.1%
    +AU$350.2m
    41.4%PE49.5x
    TNE Technology OneAU$13.518.0%
    +AU$339.6m
    16.9%PE56.4x
    BRN BrainChip HoldingsAU$0.7314.0%
    +AU$155.4m
    18.5%PS151.6x
    NXT NEXTDCAU$9.752.8%
    +AU$123.5m
    -16.9%PE488.2x
    MP1 MegaportAU$6.6410.7%
    +AU$101.2m
    -68.2%PS9.6x
    Simply Wall St
    Simply Wall Street Pty Ltd
    17-21 Bellevue Street, Surry Hills, Sydney
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