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Australian (ASX) Software Industry Analysis

UpdatedMar 06, 2026
DataAggregated Company Financials
Companies69
  • 7D-1.2%
  • 3M-28.9%
  • 1Y-36.4%
  • YTD-24.2%

Over the last 7 days, the Software industry has dropped 1.6%, driven by Life360 declining 10%. On the other hand Technology One is actually up 5.5%. Overall the industry is down 39% in 12 months. Looking forward, 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
Fri, 06 Mar 2026AU$56.4bAU$8.6bAU$736.0m24.4x76.7x6.6x
Sun, 01 Feb 2026AU$64.6bAU$8.1bAU$642.6m33.9x100.5x8x
Tue, 30 Dec 2025AU$75.1bAU$8.2bAU$654.1m35.1x114.8x9.1x
Thu, 27 Nov 2025AU$78.1bAU$8.2bAU$660.6m35.1x118.2x9.5x
Sat, 25 Oct 2025AU$96.8bAU$8.1bAU$638.8m36.1x151.6x11.9x
Mon, 22 Sep 2025AU$102.2bAU$8.1bAU$638.2m35x160.1x12.6x
Wed, 20 Aug 2025AU$106.3bAU$8.1bAU$579.4m76.8x183.5x13.1x
Fri, 18 Jul 2025AU$104.4bAU$8.0bAU$537.1m71.4x194.3x13.1x
Sun, 15 Jun 2025AU$99.6bAU$8.0bAU$538.7m74.9x184.9x12.4x
Tue, 13 May 2025AU$89.3bAU$7.8bAU$483.0m69.2x184.9x11.5x
Thu, 10 Apr 2025AU$73.9bAU$8.0bAU$428.4m57.1x172.5x9.2x
Sat, 08 Mar 2025AU$84.1bAU$7.9bAU$416.4m57.5x201.9x10.7x
Mon, 03 Feb 2025AU$101.2bAU$7.7bAU$288.7m70.9x350.6x13.2x
Wed, 01 Jan 2025AU$98.0bAU$7.7bAU$272.2m68.2x359.8x12.7x
Fri, 29 Nov 2024AU$100.6bAU$7.7bAU$286.7m64.5x350.9x13.1x
Sun, 27 Oct 2024AU$87.9bAU$7.4bAU$209.9m65.8x418.8x11.9x
Tue, 24 Sep 2024AU$93.0bAU$7.4bAU$200.3m67.9x464.1x12.5x
Thu, 22 Aug 2024AU$84.6bAU$7.4bAU$139.7m64.1x605.3x11.4x
Sat, 20 Jul 2024AU$84.4bAU$7.7b-AU$96,552,026.7760.8x-873.7x10.9x
Mon, 17 Jun 2024AU$82.7bAU$7.8b-AU$91,496,994.0559.8x-904.1x10.6x
Wed, 15 May 2024AU$80.9bAU$7.6b-AU$316,550,466.1761.8x-255.6x10.7x
Fri, 12 Apr 2024AU$78.0bAU$7.6b-AU$369,038,652.1165.7x-211.5x10.2x
Sun, 10 Mar 2024AU$81.8bAU$7.6b-AU$389,588,039.9461x-210x10.7x
Tue, 06 Feb 2024AU$67.8bAU$7.6b-AU$768,985,274.6455.4x-88.1x8.9x
Thu, 04 Jan 2024AU$68.5bAU$8.4b-AU$1,047,177,211.0057.8x-65.4x8.2x
Sat, 02 Dec 2023AU$64.5bAU$8.4b-AU$1,048,333,507.0058x-61.5x7.7x
Mon, 30 Oct 2023AU$60.4bAU$8.1b-AU$1,118,618,221.0054.4x-54x7.5x
Wed, 27 Sep 2023AU$66.3bAU$8.1b-AU$1,117,536,578.0059.4x-59.4x8.2x
Fri, 25 Aug 2023AU$71.3bAU$8.0b-AU$985,202,522.0052.5x-72.4x8.9x
Sun, 23 Jul 2023AU$71.6bAU$7.7b-AU$888,941,420.0047.5x-80.6x9.3x
Tue, 20 Jun 2023AU$70.8bAU$7.7b-AU$895,427,946.0051.1x-79.1x9.2x
Thu, 18 May 2023AU$62.8bAU$7.6b-AU$856,351,490.0044.7x-73.3x8.3x
Sat, 15 Apr 2023AU$61.5bAU$7.5b-AU$870,631,847.0046.3x-70.6x8.2x
Mon, 13 Mar 2023AU$59.1bAU$7.5b-AU$878,280,226.0046x-67.3x7.9x
Price to Earnings Ratio

-67.3x


Total Market Cap: AU$59.1bTotal Earnings: -AU$878,280,226.00Total Revenue: AU$7.5bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Software Industry Price to Earnings3Y Average 17.7x202420252026
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 73.3x which is higher than its 3-year average PE of 17.7x.
  • The 3-year average PS ratio of 10.3x is higher than the industry's current PS ratio of 6.3x.
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 4.6% 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-2.64%
Tech-2.09%
Software-1.19%
Systems Software0.46%
Application Software-1.20%
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 23.7%, which is higher than its past year's earnings growth of 16.2% per year.
Forecasted Growth
  • Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 86% 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
TNE Technology OneAU$26.305.5%
+AU$447.2m		-10.4%PE62.4x
XRO XeroAU$83.891.9%
+AU$270.3m		-51.2%PE63.4x
BVS Bravura SolutionsAU$2.145.9%
+AU$53.8m		-13.7%PE24.7x
EIQ Echo IQAU$0.699.5%
+AU$39.3m		155.6%PS4974.6x
PPS PraemiumAU$0.766.3%
+AU$21.9m		2.0%PE21x

Latest News

IRE
AU$7.43
Iress
7D
-1.7%
1Y
-9.4%
QOR
AU$0.31
Qoria
7D
3.3%
1Y
-27.9%
EIQ
AU$0.69
Echo IQ
7D
9.5%
1Y
155.6%
360
AU$21.54
Life360
7D
-10.3%
1Y
-3.1%
NXL
AU$1.82
Nuix
7D
-10.3%
1Y
-44.3%
XRO
AU$83.89
Xero
7D
1.9%
1Y
-51.2%

XERO Limited's Technical Analysis

1. Momentum & Trend Indicators The MACD is positive at 0.42, suggesting bullish momentum, yet the share price (A$122.35) is just above the 20-day EMA(121.06) and below the 50-day SMA(120.80) – a tug-of-war that keeps the overall trend “neutral-to-bullish”.
TNE
AU$26.30
Technology One
7D
5.5%
1Y
-10.4%

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$47.57
WiseTech Global
7D
-2.9%
1Y
-48.1%
VR1
AU$0.032
Vection Technologies
7D
23.1%
1Y
18.5%
EOL
AU$14.36
Energy One
7D
-6.8%
1Y
43.3%
CAT
AU$3.64
Catapult Sports
7D
2.0%
1Y
-4.7%

CAT: Next Generation Performance Platform Will Support Outperformance Over The Coming Year

Analysts have reduced their Catapult Sports fair value estimate from A$6.28 to A$6.10, reflecting slightly softer assumptions on long term profit margins and revenue growth, together with a higher implied future P/E multiple. What's in the News Catapult announced Perch P2, the next generation of its athlete performance ecosystem focused on velocity based training for programming and assessing athlete readiness and training.
SDR
AU$3.14
SiteMinder
7D
-10.0%
1Y
-34.9%
FCL
AU$2.41
FINEOS Corporation Holdings
7D
-9.1%
1Y
41.8%
PPS
AU$0.76
Praemium
7D
6.3%
1Y
2.0%
BVS
AU$2.14
Bravura Solutions
7D
5.9%
1Y
-13.7%

BVS: Canaccord Upgrade And Dividend Payouts Will Support Forward Share Performance

Analysts have trimmed their fair value estimate for Bravura Solutions from A$2.77 to about A$2.68, reflecting updated assumptions around growth, margins and the P/E multiple following recent research that includes a Canaccord upgrade. Analyst Commentary Bullish Takeaways Bullish analysts view the recent upgrade as support for the updated fair value range around A$2.68, suggesting that current assumptions on earnings and the P/E multiple are better aligned with their research.
HSN
AU$5.07
Hansen Technologies
7D
-3.1%
1Y
0%

HSN: Fair Pricing Will Reflect Modest Margin Uplift And 2026 Revenue Outlook

Analysts have adjusted their price target for Hansen Technologies to A$5.30. The change reflects updated views on fair value, a slightly higher discount rate, more moderate revenue growth assumptions, and a small uplift in expected profit margins and future P/E.