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Australian (ASX) IT Industry Analysis

UpdatedMar 01, 2024
DataAggregated Company Financials
Companies15
  • 7D14.3%
  • 3M28.9%
  • 1Y55.0%
  • YTD24.6%

In the last week, the IT industry is up 14%, with NEXTDC up 19%. In the same time, SOCO was down 34%. In the last 12 months, the industry was up 55%. Looking forward, earnings are expected to remain mostly flat in the next few years.

Industry Valuation and Performance

Has the Australian IT Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 01 Mar 2024AU$15.3bAU$4.4b-AU$219,618,384.2039x-69.5x3.5x
Sun, 28 Jan 2024AU$12.4bAU$4.4b-AU$456,392,173.0035.7x-27.3x2.8x
Tue, 26 Dec 2023AU$11.9bAU$4.4b-AU$443,369,358.0033.8x-26.9x2.7x
Thu, 23 Nov 2023AU$11.9bAU$4.4b-AU$458,112,168.0032.5x-25.9x2.7x
Sat, 21 Oct 2023AU$11.4bAU$4.5b-AU$471,536,339.0029x-24.2x2.5x
Mon, 18 Sep 2023AU$11.9bAU$4.5b-AU$463,464,159.0028.5x-25.6x2.6x
Wed, 16 Aug 2023AU$12.4bAU$4.3b-AU$464,606,805.0024.4x-26.7x2.9x
Fri, 14 Jul 2023AU$10.2bAU$3.9b-AU$452,803,344.0018.8x-22.5x2.6x
Sun, 11 Jun 2023AU$9.2bAU$3.9b-AU$459,275,189.0018.6x-20.1x2.4x
Tue, 09 May 2023AU$8.3bAU$3.9b-AU$459,504,419.0024.2x-18.1x2.1x
Thu, 06 Apr 2023AU$7.6bAU$3.9b-AU$462,010,371.0024.1x-16.5x2x
Sat, 04 Mar 2023AU$24.6bAU$10.2b-AU$624,257,902.0024.6x-39.5x2.4x
Mon, 30 Jan 2023AU$24.4bAU$9.3b-AU$75,147,617.0034.4x-324.2x2.6x
Wed, 28 Dec 2022AU$25.8bAU$9.5b-AU$65,006,203.0032.1x-397.1x2.7x
Fri, 25 Nov 2022AU$27.1bAU$9.5b-AU$74,003,582.0034.7x-366x2.9x
Sun, 23 Oct 2022AU$24.4bAU$9.6bAU$42.1m36.7x578.9x2.5x
Tue, 20 Sep 2022AU$25.4bAU$9.3bAU$25.9m38.4x981.5x2.7x
Thu, 18 Aug 2022AU$26.7bAU$8.9b-AU$135,232,671.0037.1x-197.5x3x
Sat, 16 Jul 2022AU$26.9bAU$8.9b-AU$278,930,886.0029.1x-96.3x3x
Mon, 13 Jun 2022AU$25.4bAU$8.7b-AU$286,458,296.0027x-88.5x2.9x
Wed, 11 May 2022AU$26.6bAU$8.7b-AU$246,751,237.0029.6x-107.6x3x
Fri, 08 Apr 2022AU$30.2bAU$8.6b-AU$256,509,371.0042.1x-117.7x3.5x
Sun, 06 Mar 2022AU$47.6bAU$9.5b-AU$408,820,059.0037.1x-116.4x5x
Tue, 01 Feb 2022AU$47.8bAU$9.3b-AU$346,111,219.0033.5x-138.2x5.2x
Thu, 30 Dec 2021AU$55.6bAU$9.1b-AU$345,952,940.0036x-160.8x6.1x
Sat, 27 Nov 2021AU$62.1bAU$9.2b-AU$339,103,720.0034.3x-183x6.7x
Mon, 25 Oct 2021AU$66.3bAU$9.1b-AU$326,092,872.0043.1x-203.4x7.3x
Wed, 22 Sep 2021AU$66.4bAU$9.3b-AU$317,358,964.0038.3x-209.1x7.1x
Fri, 20 Aug 2021AU$67.3bAU$9.2b-AU$321,411,623.8438.5x-209.5x7.3x
Fri, 04 Jun 2021AU$55.3bAU$8.8b-AU$242,709,501.0536.6x-227.8x6.3x
Mon, 08 Mar 2021AU$61.1bAU$8.5b-AU$185,831,115.1230.7x-328.7x7.2x
Price to Earnings Ratio

-328.7x


Total Market Cap: AU$61.1bTotal Earnings: -AU$185,831,115.12Total Revenue: AU$8.5bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian IT Industry Price to Earnings3Y Average -79.5x202220232024
Current Industry PE
  • Investors are pessimistic on the Australian IT industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The 3-year average PS ratio of 4.0x is higher than the industry's current PS ratio of 3.5x.
Past Earnings Growth
  • The earnings for companies in the IT industry have deteriorated over the last three years.
  • Revenues have also declined 20% per year.
  • This means overall sales from these companies are declining and losses are subsequently expanding as well.

Industry Trends

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

AU Market1.26%
Tech6.87%
IT14.31%
Internet Services and Infrastructure15.05%
IT Consulting8.98%
Data Processing Services0.83%
Industry PE
  • Investors are most optimistic about the Data Processing Services industry which is trading above its 3-year average PE ratio of 9.2x.
    • Analysts are expecting annual earnings growth of 8.7%, which is lower than the prior year's growth of 37.2% per year.
Forecasted Growth
  • Analysts are most optimistic on the IT Consulting industry, expecting annual earnings growth of 20% over the next 5 years.
  • This is better than its past earnings growth rate of 0.3% per year.
  • In contrast, the Internet Services and Infrastructure industry is expected to see its earnings decline by 2.9% 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
NXT NEXTDCAU$17.6518.5%
+AU$1.4b
72.2%PS21.4x
MAQ Macquarie Technology GroupAU$77.6913.5%
+AU$224.7m
34.8%PE78.8x
DTL Data#3AU$8.419.9%
+AU$117.6m
12.7%PE31.4x
MP1 MegaportAU$14.475.2%
+AU$113.0m
165.5%PE282.4x
APX AppenAU$0.5646.8%
+AU$39.5m
-75.4%PS0.3x
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Latest News

CGO

AU$0.10

CPT Global

7D

-4.5%

1Y

-68.7%

NXT

AU$17.65

NEXTDC

7D

18.5%

1Y

72.2%

MAQ

AU$77.69

Macquarie Technology Group

7D

13.5%

1Y

34.8%

ATA

AU$0.90

Atturra

7D

0.6%

1Y

-6.0%

SOC

AU$0.12

SOCO

7D

-34.3%

1Y

-54.0%

KYP

AU$0.10

Kinatico

7D

-9.1%

1Y

37.0%

5GN

AU$0.15

5G Networks

7D

7.1%

1Y

42.9%

DTL

AU$8.41

Data#3

7D

9.9%

1Y

12.7%

SOV

AU$0.047

Sovereign Cloud Holdings

7D

-6.0%

1Y

-65.2%

FCT

AU$0.03

FirstWave Cloud Technology

7D

11.1%

1Y

-47.4%