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Australian (ASX) Software Industry Analysis

UpdatedFeb 08, 2026
DataAggregated Company Financials
Companies65
  • 7D-13.0%
  • 3M-35.2%
  • 1Y-47.3%
  • YTD-25.3%

Over the last 7 days, the Software industry has dropped 13%, driven by a pullback from WiseTech Global of 18%. Meanwhile, Qoria actually outperformed within the industry, gaining 13% in the last week. However, the industry is down 47% over the past year. Earnings are forecast to grow by 24% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 08 Feb 2026AU$56.2bAU$8.1bAU$638.5m35.3x88x7x
Tue, 06 Jan 2026AU$73.2bAU$8.2bAU$653.3m37.8x112x8.9x
Thu, 04 Dec 2025AU$79.9bAU$8.3bAU$658.6m33.8x121.2x9.7x
Sat, 01 Nov 2025AU$89.6bAU$8.1bAU$634.8m36.4x141.1x11.1x
Mon, 29 Sep 2025AU$100.8bAU$8.1bAU$638.6m34.3x157.8x12.4x
Wed, 27 Aug 2025AU$106.4bAU$8.1bAU$656.7m32.3x161.9x13.2x
Fri, 25 Jul 2025AU$106.7bAU$8.0bAU$543.9m74x196.1x13.4x
Sun, 22 Jun 2025AU$101.0bAU$8.0bAU$538.1m77.4x187.7x12.6x
Tue, 20 May 2025AU$93.5bAU$8.0bAU$513.9m91.6x181.9x11.7x
Thu, 17 Apr 2025AU$78.7bAU$7.9bAU$417.8m61.2x188.3x9.9x
Sat, 15 Mar 2025AU$80.6bAU$7.9bAU$416.1m57.3x193.8x10.2x
Mon, 10 Feb 2025AU$103.3bAU$7.6bAU$279.9m70.6x369x13.5x
Wed, 08 Jan 2025AU$100.8bAU$7.7bAU$273.0m69.1x369.2x13.1x
Fri, 06 Dec 2024AU$104.4bAU$7.7bAU$285.8m63.8x365.2x13.6x
Sun, 03 Nov 2024AU$90.8bAU$7.4bAU$209.6m64.9x433.2x12.2x
Tue, 01 Oct 2024AU$95.6bAU$7.4bAU$202.4m70.2x472.2x12.9x
Thu, 29 Aug 2024AU$86.1bAU$7.6bAU$169.9m67.5x506.6x11.4x
Sat, 27 Jul 2024AU$83.5bAU$7.7b-AU$90,170,569.3460.6x-926.4x10.9x
Mon, 24 Jun 2024AU$82.6bAU$7.8b-AU$92,584,984.9363.4x-891.7x10.6x
Wed, 22 May 2024AU$82.6bAU$7.6b-AU$309,980,353.3060.7x-266.5x10.8x
Fri, 19 Apr 2024AU$77.7bAU$7.6b-AU$369,363,646.2763.4x-210.5x10.2x
Sun, 17 Mar 2024AU$81.5bAU$7.6b-AU$389,580,353.8860.9x-209.1x10.7x
Tue, 13 Feb 2024AU$69.4bAU$7.6b-AU$768,152,099.2258.3x-90.4x9.1x
Thu, 11 Jan 2024AU$68.0bAU$8.4b-AU$1,047,594,425.0058.5x-64.9x8.1x
Sat, 09 Dec 2023AU$65.4bAU$8.4b-AU$1,048,067,598.0060.5x-62.4x7.8x
Mon, 06 Nov 2023AU$62.9bAU$8.2b-AU$1,166,136,735.0055x-53.9x7.7x
Wed, 04 Oct 2023AU$65.2bAU$8.1b-AU$1,118,324,426.0057.1x-58.3x8.1x
Fri, 01 Sep 2023AU$70.3bAU$8.0b-AU$1,152,950,844.0063.9x-61x8.7x
Sun, 30 Jul 2023AU$74.5bAU$7.7b-AU$891,151,253.0052.5x-83.6x9.7x
Tue, 27 Jun 2023AU$68.2bAU$7.7b-AU$901,382,139.0047.5x-75.7x8.8x
Thu, 25 May 2023AU$66.0bAU$7.7b-AU$937,497,940.0044.6x-70.4x8.5x
Sat, 22 Apr 2023AU$61.9bAU$7.5b-AU$871,686,456.0047.3x-71x8.3x
Mon, 20 Mar 2023AU$58.6bAU$7.5b-AU$870,475,143.0046.6x-67.3x7.8x
Wed, 15 Feb 2023AU$56.7bAU$7.1b-AU$706,330,369.0053x-80.2x8x
Price to Earnings Ratio

-80.2x


Total Market Cap: AU$56.7bTotal Earnings: -AU$706,330,369.00Total Revenue: AU$7.1bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Software Industry Price to Earnings3Y Average 13.6x202420252026
Current Industry PE
  • Investors are optimistic on the Australian Software industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 88.0x which is higher than its 3-year average PE of 13.6x.
  • The 3-year average PS ratio of 10.4x is higher than the industry's current PS ratio of 7.0x.
Past Earnings Growth
  • Total earnings for the Software industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 4.4% per year.
  • This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.

Industry Trends

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

AU Market-2.49%
Tech-11.60%
Software-13.02%
Systems Software6.13%
Application Software-13.20%
Industry PE
  • Investors are most optimistic about the Application Software industry even though it's trading below its 3-year average PE ratio of 2kx.
    • Analysts are expecting annual earnings growth of 23.6%, which is higher than its past year's earnings growth of 20.3% per year.
Forecasted Growth
  • Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 51% over the next 5 years.
  • In contrast, the Application Software industry is expected to see its earnings grow by 24% 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
QOR QoriaAU$0.3813.4%
+AU$60.7m		-18.3%PS4.4x
VR1 Vection TechnologiesAU$0.03520.7%
+AU$13.5m		12.9%PS2.1x
IOD IODMAU$0.166.7%
+AU$6.3m		3.2%PS31.1x
PKY Pathkey.AIAU$0.020%
AU$5.0m		33.3%PS37.7x
BEO BeonicAU$0.1935.7%
+AU$3.4m		-5.0%PS0.6x

Latest News

QOR
AU$0.38
Qoria
7D
13.4%
1Y
-18.3%
IRE
AU$7.45
Iress
7D
-8.7%
1Y
-17.9%
XRO
AU$81.76
Xero
7D
-12.8%
1Y
-55.2%

XRO: AI Analytics And RBC Upgrade Will Support Stronger Future Returns

Analysts have nudged their Xero fair value estimate slightly higher to about A$230 per share, reflecting updated assumptions around growth, margins and future P/E multiples following recent positive research commentary and upgrades. Analyst Commentary Recent research has generally framed Xero as a high quality growth platform with room for further execution, particularly around monetisation and operating discipline.
SDR
AU$4.06
SiteMinder
7D
-20.1%
1Y
-36.6%

SiteMinder Limited's (ASX:SDR) Popularity With Investors Under Threat As Stock Sinks 32%

Feb 06
SiteMinder Limited's (ASX:SDR) Popularity With Investors Under Threat As Stock Sinks 32%
WTC
AU$47.60
WiseTech Global
7D
-17.9%
1Y
-63.4%

WTC: Future Execution And Investor Day Insights Will Support Bullish Earnings Confidence

Narrative Update on WiseTech Global The updated analyst price target for WiseTech Global has shifted from A$168.58 to A$131.14, as analysts reassessed their fair value assumptions alongside changes in discount rate, revenue growth, profit margin and future P/E expectations. Analyst Commentary Recent external research items reference adjustments to WisdomTree price targets rather than WiseTech Global specifically.
EOL
AU$13.07
Energy One
7D
-21.5%
1Y
84.1%

EOL: Steady Assumptions Will Support Stronger Sentiment And Upside Potential

Analysts have maintained their fair value estimate for Energy One at A$21.66, making only minor adjustments to assumptions such as the discount rate and future P/E. This reflects a broadly unchanged view of the company’s risk and earnings profile.
BEO
AU$0.19
Beonic
7D
35.7%
1Y
-5.0%

Beonic Limited (ASX:BEO) Surges 41% Yet Its Low P/S Is No Reason For Excitement

Feb 04
Beonic Limited (ASX:BEO) Surges 41% Yet Its Low P/S Is No Reason For Excitement
RUL
AU$4.99
RPMGlobal Holdings
7D
0.2%
1Y
73.3%
PKY
AU$0.02
Pathkey.AI
7D
0%
1Y
33.3%
TNE
AU$21.86
Technology One
7D
-13.2%
1Y
-31.8%

TNE: Elevated P/E And M&A Plans Will Shape Balanced Future Returns

Analysts have trimmed their price target for Technology One to A$23.44 from A$23.74, citing updated assumptions around discount rates, revenue growth, profit margins and future P/E multiples. What's in the News Technology One is actively seeking acquisitions that add new intellectual property to its portfolio, with management highlighting interest in targets that fit its existing verticals and regions (Full Year Results announcement).
OCL
AU$14.02
Objective
7D
-7.8%
1Y
-17.0%

OCL: Share Buybacks And Acquisitions Will Support Stronger Long-Term Outlook

Analysts have kept the price target steady at US$25.00, making only small tweaks to assumptions such as the discount rate, revenue growth, profit margin and forward P/E to reflect slightly updated views on the company’s long term earnings power and risk profile. What's in the News The Board of Directors authorized a share buyback plan on January 23, 2026, signaling approval for returning capital to shareholders through on market repurchases (Key Developments).
360
AU$24.98
Life360
7D
-8.9%
1Y
5.0%

360: Index Inclusion And Upgraded Outlook Will Support Bullish Repricing

Narrative update on Life360 Analysts have lifted their price target on Life360 from A$51.00 to A$58.50, citing updated assumptions for slightly higher revenue growth, profit margins, and a modestly adjusted discount rate, along with a near-unchanged future P/E multiple. What's in the News Life360 raised its earnings guidance for 2025, with expected revenue of US$486 million to US$489 million, which the company describes as approximately 31% to 32% year-over-year growth and above its prior guidance range (Company guidance).
ICE
AU$0.049
icetana
7D
11.4%
1Y
133.3%
VR1
AU$0.035
Vection Technologies
7D
20.7%
1Y
12.9%

Vection Technologies Limited's (ASX:VR1) Revenues Are Not Doing Enough For Some Investors

Jan 06
Vection Technologies Limited's (ASX:VR1) Revenues Are Not Doing Enough For Some Investors
IOD
AU$0.16
IODM
7D
6.7%
1Y
3.2%
DWG
AU$0.17
DataWorks Group
7D
16.7%
1Y
-2.8%