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Australian (ASX) Tech Sector Analysis

UpdatedMar 02, 2026
DataAggregated Company Financials
Companies106
  • 7D2.4%
  • 3M-20.8%
  • 1Y-23.9%
  • YTD-15.9%

Over the last 7 days, the Tech industry has risen 2.4%, driven by gains from Xero of 9.8%. In the same time, Life360 was down 6.4%. In contrast, the industry has lost 24% in the last 12 months. As for the next few years, earnings are expected to grow by 24% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 04 Mar 2026AU$83.3bAU$15.2bAU$400.7m41.4x207.8x5.5x
Fri, 30 Jan 2026AU$93.8bAU$14.5bAU$498.0m40.5x188.4x6.5x
Sun, 28 Dec 2025AU$100.6bAU$14.6bAU$506.8m42x198.4x6.9x
Tue, 25 Nov 2025AU$102.9bAU$14.7bAU$508.6m40.9x202.3x7x
Thu, 23 Oct 2025AU$124.8bAU$14.5bAU$487.6m38x255.9x8.6x
Sat, 20 Sep 2025AU$129.8bAU$14.5bAU$507.2m38.9x255.9x8.9x
Mon, 18 Aug 2025AU$129.3bAU$14.2bAU$416.2m44.6x310.8x9.1x
Wed, 16 Jul 2025AU$124.9bAU$14.0bAU$372.3m37.4x335.6x8.9x
Fri, 13 Jun 2025AU$123.2bAU$14.0bAU$374.4m39.6x329x8.8x
Sun, 11 May 2025AU$109.9bAU$13.8bAU$316.3m43.7x347.3x7.9x
Tue, 08 Apr 2025AU$88.6bAU$14.1bAU$252.8m34.9x350.5x6.3x
Thu, 06 Mar 2025AU$107.2bAU$13.9bAU$245.0m38.9x437.6x7.7x
Sat, 01 Feb 2025AU$123.3bAU$13.5bAU$68.4m61.4x1804.5x9.1x
Mon, 30 Dec 2024AU$120.8bAU$13.5bAU$52.0m60.5x2321.9x8.9x
Wed, 27 Nov 2024AU$122.6bAU$13.5bAU$60.5m64.9x2025.5x9.1x
Fri, 25 Oct 2024AU$105.8bAU$13.2bAU$797.2k59.4x132779.9x8x
Sun, 22 Sep 2024AU$115.5bAU$13.2bAU$4.1m63.9x28197.8x8.7x
Tue, 20 Aug 2024AU$100.4bAU$14.9b-AU$343,166,711.9752x-292.7x6.8x
Thu, 18 Jul 2024AU$111.1bAU$15.3b-AU$331,135,010.4152.9x-335.6x7.3x
Sat, 15 Jun 2024AU$104.8bAU$15.4b-AU$331,590,509.9052.7x-316.2x6.8x
Mon, 13 May 2024AU$104.1bAU$15.2b-AU$569,479,206.8554.3x-182.8x6.9x
Wed, 10 Apr 2024AU$101.8bAU$15.2b-AU$654,250,961.2752.8x-155.5x6.7x
Fri, 08 Mar 2024AU$104.1bAU$16.2b-AU$679,232,744.9050.4x-153.3x6.4x
Sun, 04 Feb 2024AU$90.6bAU$17.1b-AU$1,616,100,804.0046.4x-56.1x5.3x
Tue, 02 Jan 2024AU$89.5bAU$17.1b-AU$1,585,214,073.0041.7x-56.5x5.2x
Thu, 30 Nov 2023AU$82.9bAU$17.1b-AU$1,602,355,969.0041.7x-51.8x4.8x
Sat, 28 Oct 2023AU$78.1bAU$17.0b-AU$1,740,423,311.0038.6x-44.9x4.6x
Mon, 25 Sep 2023AU$84.8bAU$17.0b-AU$1,728,914,306.0041.7x-49x5x
Wed, 23 Aug 2023AU$91.2bAU$16.7b-AU$1,604,530,955.0027.6x-56.8x5.5x
Fri, 21 Jul 2023AU$90.2bAU$15.9b-AU$1,501,488,569.0030.7x-60.1x5.7x
Sun, 18 Jun 2023AU$87.9bAU$15.9b-AU$1,528,058,584.0028x-57.6x5.5x
Tue, 16 May 2023AU$78.9bAU$15.7b-AU$1,546,772,915.0029.3x-51x5x
Thu, 13 Apr 2023AU$76.0bAU$15.7b-AU$1,543,554,030.0030.6x-49.2x4.8x
Sat, 11 Mar 2023AU$91.1bAU$22.1b-AU$1,700,582,712.0031.1x-53.6x4.1x
Price to Earnings Ratio

-53.6x


Total Market Cap: AU$91.1bTotal Earnings: -AU$1,700,582,712.00Total Revenue: AU$22.1bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Tech Sector Price to Earnings3Y Average -325.9x202420252026
Current Industry PE
  • Investors are optimistic on the Australian Information Technology industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 208x which is higher than its 3-year average PE of -326x.
  • The 3-year average PS ratio of 6.9x is higher than the industry's current PS ratio of 5.5x.
Past Earnings Growth
  • Total earnings for the Information Technology industry have gone up over the last three years and the industry is now profitable.
  • Revenues have declined 12% per year.
  • This means that less sales are being generated overall, but since the cost of doing business is lower, profits have been increasing.

Industry Trends

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

AU Market1.41%
Tech2.42%
Software3.58%
Electronic Equipment and Components3.50%
Semiconductors1.44%
Communications0.24%
Tech Hardware0%0
IT-2.47%
Industry PE
  • Investors are most optimistic about the Electronic Equipment and Components industry which is trading above its 3-year average PE ratio of 114x.
    • Analysts are expecting annual earnings growth of 17.1%, which is lower than the prior year's growth of 26.3% per year.
Forecasted Growth
  • Analysts are most optimistic on the Communications industry, expecting annual earnings growth of 106% over the next 5 years.
  • In contrast, the IT industry is expected to see its earnings grow by 15% 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
XRO XeroAU$78.869.8%
+AU$1.2b		-54.7%PE59.8x
TNE Technology OneAU$24.779.7%
+AU$711.6m		-17.3%PE58.7x
CDA CodanAU$37.588.6%
+AU$543.8m		150.0%PE53.1x
WTC WiseTech GlobalAU$44.263.0%
+AU$423.8m		-50.8%PE63.9x
ELS ElsightAU$5.0532.2%
+AU$270.4m		1,322.5%PE104.2x

Latest News

360
AU$20.36
Life360
7D
-6.4%
1Y
-9.2%
ELS
AU$5.05
Elsight
7D
32.2%
1Y
1,322.5%
RDY
AU$1.24
ReadyTech Holdings
7D
-22.0%
1Y
-55.1%
TNE
AU$24.77
Technology One
7D
9.7%
1Y
-17.3%

TNE: Higher Growth Assumptions And Margins Will Support Future Upside

Analysts have trimmed their price target on Technology One to A$32.23 from A$34.87. This reflects updated assumptions around a slightly higher discount rate, modestly stronger revenue growth at 14.47%, a marginally higher profit margin of 25.71%, and a lower future P/E of 57.47x.
WTC
AU$44.26
WiseTech Global
7D
3.0%
1Y
-50.8%
OCL
AU$12.71
Objective
7D
-1.6%
1Y
-17.9%
WBT
AU$4.32
Weebit Nano
7D
-8.1%
1Y
121.5%
AIM
AU$0.30
Ai-Media Technologies
7D
-45.0%
1Y
-56.5%
DTL
AU$6.85
Data#3
7D
-4.2%
1Y
-13.1%
NXT
AU$13.50
NEXTDC
7D
1.7%
1Y
-1.9%
DDR
AU$9.19
Dicker Data
7D
-9.3%
1Y
7.5%

DDR: Dividend Timing And Earnings Assumptions Will Shape A Measured Outlook

Analysts have nudged their Dicker Data price target higher to A$10.84 from A$10.52, citing updated assumptions around discount rate, revenue growth, profit margins and future P/E as the key drivers of the revised valuation. What's in the News Dicker Data declared a fully franked final quarterly dividend of A$0.115 per share for the quarter ended 31 December 2025, with a payment date of 19 March 2026 (Key Developments).
FCL
AU$2.59
FINEOS Corporation Holdings
7D
16.1%
1Y
55.6%
XRO
AU$78.86
Xero
7D
9.8%
1Y
-54.7%
MP1
AU$8.08
Megaport
7D
9.5%
1Y
-28.4%
CDA
AU$37.58
Codan
7D
8.6%
1Y
150.0%

CDA: Premium P/E Will Likely Strain On Reliance On Two Growth Engines

Narrative Update on Codan Analysts have lifted their price target for Codan by A$1.22 to reflect a slightly higher fair value estimate, supported by expectations that Minelab Africa and the Unmanned segment can continue to outperform and support a premium P/E multiple. Analyst Commentary Goldman Sachs has resumed coverage on Codan with a Buy rating and an A$38.50 price target, pointing to what it sees as a supportive medium term growth profile and the potential for Minelab Africa and the Unmanned segment to keep outperforming expectations.
WRK
AU$0.13
Wrkr
7D
-7.4%
1Y
145.1%