Some Confidence Is Lacking In Macquarie Technology Group Limited's (ASX:MAQ) P/S
May 28
Australian (ASX) IT Industry Analysis
UpdatedJun 01, 2024
DataAggregated Company Financials
Companies15
- 7D-0.03%
- 3M1.7%
- 1Y29.0%
- YTD23.2%
In the last week, the IT industry is flat overall, with Megaport standing out by going down 5.6%. As for the the longer term, the industry is up 29% over the past 12 months. Looking forward, earnings are forecast to grow by 15% annually.
Industry Valuation and Performance
Has the Australian IT Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sat, 01 Jun 2024 | AU$15.3b | AU$4.4b | -AU$215,389,348.10 | 33.7x | -70.8x | 3.5x |
| Mon, 29 Apr 2024 | AU$14.5b | AU$4.4b | -AU$218,636,520.60 | 37.6x | -66.4x | 3.3x |
| Wed, 27 Mar 2024 | AU$15.5b | AU$4.4b | -AU$218,116,973.00 | 38.5x | -70.9x | 3.5x |
| Fri, 23 Feb 2024 | AU$13.4b | AU$4.4b | -AU$437,704,765.50 | 29.5x | -30.5x | 3x |
| Sun, 21 Jan 2024 | AU$12.4b | AU$4.4b | -AU$455,218,209.00 | 35.5x | -27.3x | 2.8x |
| Tue, 19 Dec 2023 | AU$12.0b | AU$4.4b | -AU$449,239,180.00 | 33.7x | -26.8x | 2.7x |
| Thu, 16 Nov 2023 | AU$11.9b | AU$4.5b | -AU$457,230,353.00 | 31x | -26.1x | 2.7x |
| Sat, 14 Oct 2023 | AU$11.8b | AU$4.5b | -AU$471,782,053.00 | 30.2x | -25x | 2.6x |
| Mon, 11 Sep 2023 | AU$12.0b | AU$4.5b | -AU$467,231,766.00 | 22.1x | -25.8x | 2.7x |
| Wed, 09 Aug 2023 | AU$12.0b | AU$4.3b | -AU$462,474,079.00 | 23.7x | -26x | 2.8x |
| Fri, 07 Jul 2023 | AU$9.6b | AU$3.9b | -AU$466,879,330.00 | 18.5x | -20.6x | 2.5x |
| Sun, 04 Jun 2023 | AU$9.6b | AU$3.9b | -AU$467,032,977.00 | 17.9x | -20.6x | 2.5x |
| Tue, 02 May 2023 | AU$8.2b | AU$3.9b | -AU$468,888,411.00 | 24.1x | -17.5x | 2.1x |
| Thu, 30 Mar 2023 | AU$7.3b | AU$3.9b | -AU$466,302,481.00 | 22.6x | -15.6x | 1.9x |
| Sat, 25 Feb 2023 | AU$24.7b | AU$10.2b | -AU$5,814,766.00 | 28.9x | -4251.2x | 2.4x |
| Mon, 23 Jan 2023 | AU$24.2b | AU$9.4b | -AU$71,988,489.00 | 33.3x | -336.5x | 2.6x |
| Wed, 21 Dec 2022 | AU$25.4b | AU$9.6b | -AU$66,138,845.00 | 34.2x | -383.4x | 2.7x |
| Fri, 18 Nov 2022 | AU$26.4b | AU$9.5b | -AU$73,899,520.00 | 41.2x | -356.9x | 2.8x |
| Sun, 16 Oct 2022 | AU$25.1b | AU$9.7b | AU$47.9m | 37.2x | 524.7x | 2.6x |
| Tue, 13 Sep 2022 | AU$26.5b | AU$9.2b | AU$19.5m | 39.1x | 1360.5x | 2.9x |
| Thu, 11 Aug 2022 | AU$27.2b | AU$5.4b | -AU$268,210,551.00 | 33.9x | -101.5x | 5x |
| Sat, 09 Jul 2022 | AU$26.6b | AU$8.8b | -AU$281,190,332.00 | 28.2x | -94.5x | 3x |
| Mon, 06 Jun 2022 | AU$26.1b | AU$8.6b | -AU$289,800,219.00 | 29x | -90x | 3x |
| Wed, 04 May 2022 | AU$27.5b | AU$8.7b | -AU$248,408,760.00 | 30.4x | -110.7x | 3.2x |
| Fri, 01 Apr 2022 | AU$50.6b | AU$9.4b | -AU$412,589,845.00 | 42.9x | -122.7x | 5.4x |
| Sun, 27 Feb 2022 | AU$47.9b | AU$9.5b | -AU$378,973,689.00 | 45.3x | -126.4x | 5x |
| Tue, 25 Jan 2022 | AU$48.1b | AU$9.2b | -AU$349,800,640.00 | 35.5x | -137.6x | 5.2x |
| Thu, 23 Dec 2021 | AU$55.5b | AU$9.1b | -AU$343,949,119.00 | 35.2x | -161.4x | 6.1x |
| Sat, 20 Nov 2021 | AU$65.4b | AU$9.1b | -AU$344,198,973.00 | 37.5x | -190.1x | 7.2x |
| Mon, 18 Oct 2021 | AU$65.4b | AU$9.1b | -AU$320,747,298.00 | 42.6x | -203.9x | 7.2x |
| Wed, 15 Sep 2021 | AU$65.6b | AU$9.2b | -AU$320,761,530.84 | 39.4x | -204.4x | 7.2x |
| Fri, 13 Aug 2021 | AU$68.4b | AU$9.2b | -AU$321,411,623.84 | 39.5x | -212.8x | 7.5x |
| Tue, 08 Jun 2021 | AU$55.3b | AU$8.8b | -AU$242,709,501.05 | 36.6x | -227.8x | 6.3x |
Price to Earnings Ratio
-227.8x
Current Industry PE
- Investors are relatively neutral on the Australian IT industry at the moment, indicating that they anticipate long term growth rates to remain steady.
- The industry is trading close to its 3-year average PS ratio of 3.7x.
Past Earnings Growth
- The earnings for companies in the IT industry have improved over the last three years.
- Meanwhile revenues for these companies have declined 21% per year.
- This means that less sales are being generated overall, but since the cost of doing business is lower, losses have been shrinking.
Industry Trends
Which industries have driven the changes within the Australian Tech industry?
| AU Market | -0.34% | |
| Tech | -0.0069% | |
| IT | -0.03% | |
| IT Consulting | 4.03% | |
| Internet Services and Infrastructure | -0.50% | |
| Data Processing Services | -0.60% | |
Industry PE
- Investors are most optimistic about the Data Processing Services industry even though it's trading below its 3-year average PE ratio of 31.2x.
- Analysts are expecting annual earnings growth of 10.1%, 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 18% over the next 5 years.
- This is better than its past earnings growth rate of 0.3% per year.
- In contrast, the Data Processing Services industry is expected to see its earnings grow by 10% 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 | |
|---|---|---|---|---|---|
| NXT NEXTDC | AU$17.79 | 1.1% +AU$102.9m | 40.0% | PS21.6x | |
| DTL Data#3 | AU$7.97 | 6.7% +AU$77.4m | 11.6% | PE29.8x | |
| SPX Spenda | AU$0.008 | 14.3% +AU$4.3m | -27.3% | PS7.8x |
