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Australian (ASX) Software Industry Analysis

UpdatedMar 24, 2026
DataAggregated Company Financials
Companies70
  • 7D-4.5%
  • 3M-31.8%
  • 1Y-37.2%
  • YTD-30.7%

Over the last 7 days, the Software industry has dropped 4.5%, driven by WiseTech Global declining 13%. Meanwhile, Technology One actually outperformed within the industry, gaining 6.9% in the last week. The industry has fallen 37% in the last year. 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
Wed, 25 Mar 2026AU$51.6bAU$8.6bAU$734.7m22.8x70.3x6x
Fri, 20 Feb 2026AU$57.6bAU$8.1bAU$622.8m31x92.4x7.1x
Sun, 18 Jan 2026AU$72.0bAU$8.2bAU$653.1m33.9x110.2x8.8x
Tue, 16 Dec 2025AU$75.9bAU$8.2bAU$655.5m33.8x115.7x9.2x
Thu, 13 Nov 2025AU$85.4bAU$8.1bAU$636.2m35.3x134.2x10.5x
Sat, 11 Oct 2025AU$100.0bAU$8.1bAU$635.1m34.6x157.5x12.4x
Mon, 08 Sep 2025AU$98.0bAU$8.1bAU$641.3m33.4x152.9x12.1x
Wed, 06 Aug 2025AU$106.0bAU$8.0bAU$550.1m73.8x192.8x13.3x
Fri, 04 Jul 2025AU$101.6bAU$8.0bAU$534.9m76.4x189.9x12.7x
Sun, 01 Jun 2025AU$100.7bAU$8.1bAU$542.4m101x185.7x12.5x
Tue, 29 Apr 2025AU$81.4bAU$7.8bAU$484.9m62.2x167.9x10.4x
Thu, 27 Mar 2025AU$81.8bAU$7.9bAU$416.7m59.8x196.3x10.4x
Sat, 22 Feb 2025AU$100.7bAU$7.6bAU$325.1m67x309.7x13.2x
Mon, 20 Jan 2025AU$95.0bAU$7.6bAU$286.8m69x331.3x12.4x
Wed, 18 Dec 2024AU$97.6bAU$7.7bAU$274.8m68.9x355.2x12.7x
Fri, 15 Nov 2024AU$97.4bAU$7.4bAU$229.9m64.9x423.9x13.1x
Sun, 13 Oct 2024AU$95.4bAU$7.4bAU$212.5m63.7x448.9x12.9x
Tue, 10 Sep 2024AU$88.1bAU$7.5bAU$198.6m66.9x443.5x11.8x
Thu, 08 Aug 2024AU$71.2bAU$7.3b-AU$196,172,500.6060.2x-363.1x9.8x
Sat, 06 Jul 2024AU$84.5bAU$7.7b-AU$94,781,119.6159.4x-892x10.9x
Mon, 03 Jun 2024AU$83.7bAU$7.8b-AU$96,529,790.0862.4x-867.1x10.8x
Wed, 01 May 2024AU$79.4bAU$7.6b-AU$316,191,617.2562.8x-251.2x10.5x
Fri, 29 Mar 2024AU$81.5bAU$7.6b-AU$389,305,616.2763x-209.4x10.7x
Sun, 25 Feb 2024AU$75.9bAU$7.6b-AU$529,189,887.9252.6x-143.5x10x
Tue, 23 Jan 2024AU$70.4bAU$8.4b-AU$1,048,425,769.0060.5x-67.1x8.4x
Thu, 21 Dec 2023AU$69.2bAU$8.4b-AU$1,046,918,083.0060.8x-66.1x8.3x
Sat, 18 Nov 2023AU$64.8bAU$8.4b-AU$1,057,816,818.0057.5x-61.3x7.8x
Mon, 16 Oct 2023AU$65.7bAU$8.1b-AU$1,112,355,359.0057.9x-59.1x8.1x
Wed, 13 Sep 2023AU$68.7bAU$8.1b-AU$1,117,115,883.0060x-61.5x8.5x
Fri, 11 Aug 2023AU$73.9bAU$7.7b-AU$892,224,383.0051.3x-82.8x9.6x
Sun, 09 Jul 2023AU$68.2bAU$7.7b-AU$890,393,077.0049.6x-76.6x8.8x
Tue, 06 Jun 2023AU$68.1bAU$7.7b-AU$898,818,913.0051x-75.8x8.8x
Thu, 04 May 2023AU$60.9bAU$7.5b-AU$878,735,123.0045.5x-69.4x8.1x
Sat, 01 Apr 2023AU$60.0bAU$7.5b-AU$871,719,082.0045.6x-68.8x8x
Price to Earnings Ratio

-68.8x


Total Market Cap: AU$60.0bTotal Earnings: -AU$871,719,082.00Total Revenue: AU$7.5bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Software Industry Price to Earnings3Y Average 20.2x202420252026
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 70.3x which is higher than its 3-year average PE of 20.1x.
  • The 3-year average PS ratio of 10.3x is higher than the industry's current PS ratio of 6.0x.
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 4.5% 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-2.75%
Tech-4.28%
Software-4.48%
Application Software-4.41%
Systems Software-11.40%
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 23.8%, 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 65% 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$27.436.9%
+AU$577.7m		-4.4%PE65x
360 Life360AU$19.422.5%
+AU$115.5m		-9.4%PE21.6x
EIQ Echo IQAU$0.7226.3%
+AU$98.7m		148.3%PS5213.2x
CAT Catapult SportsAU$3.341.5%
+AU$15.1m		-7.0%PS5.6x
VNL Vinyl GroupAU$0.08310.7%
+AU$11.1m		-17.0%PS6.4x

Latest News

360
AU$19.42
Life360
7D
2.5%
1Y
-9.4%
WTC
AU$39.17
WiseTech Global
7D
-13.4%
1Y
-54.0%
XRO
AU$74.95
Xero
7D
-3.4%
1Y
-53.2%
NXL
AU$1.26
Nuix
7D
-18.4%
1Y
-61.1%
TNE
AU$27.43
Technology One
7D
6.9%
1Y
-4.4%

TNE: Higher Margin Outlook Will Support Future Upside Potential

Analysts have reduced their price target for Technology One from A$44.55 to A$40.32, citing updated assumptions for discount rate, revenue growth, profit margins and future P/E that result in a slight adjustment to the valuation outlook. Valuation Changes Fair Value: Adjusted from A$44.55 to A$40.32, indicating a modest reduction in the assessed value per share.
EXT
AU$0.008
Excite Technology Services
7D
14.3%
1Y
-42.9%
CAT
AU$3.34
Catapult Sports
7D
1.5%
1Y
-7.0%

CAT: Next Generation Performance Platform Will Support Future Outperformance Despite Minor Assumption Shifts

Analysts have trimmed their price target for Catapult Sports to reflect slightly lower fair value and profitability assumptions, along with a modestly higher discount rate and future P/E. This has resulted in a small recalibration of expectations in A$ terms.
IOD
AU$0.13
IODM
7D
-35.9%
1Y
-35.9%
HSN
AU$4.80
Hansen Technologies
7D
-5.0%
1Y
-4.0%

HSN: Fair Pricing Will Reflect Tighter Assumptions And 2026 Revenue Guidance

Analysts have kept their A$ price target for Hansen Technologies broadly in line with prior views, citing only minor tweaks to inputs such as the discount rate, revenue growth, profit margin and future P/E assumptions rather than any material shift in the investment case. What's in the News Hansen Technologies issued earnings guidance for the second half of 2026, giving investors a time frame to watch for the next set of financial results (Key Developments).
QOR
AU$0.28
Qoria
7D
-8.1%
1Y
-33.7%
OCL
AU$12.20
Objective
7D
-2.5%
1Y
-19.9%

OCL: Share Buyback And Upcoming Distribution Will Support Long Term Returns

Analysts have reduced their price target for the stock from A$25.00 to A$22.10, reflecting updated assumptions for slightly higher discount rates, more moderate revenue growth, a marginally lower profit margin, and a small adjustment to future P/E expectations. What's in the News Objective Corporation Limited declared an ordinary unfranked distribution of A$0.13 per share for the six month period ended 31 December 2025, with an ex date of 6 March 2026, record date of 9 March 2026, and payment date of 17 March 2026 (Key Developments).
VR1
AU$0.032
Vection Technologies
7D
10.3%
1Y
45.5%
VNL
AU$0.083
Vinyl Group
7D
10.7%
1Y
-17.0%
EIQ
AU$0.72
Echo IQ
7D
26.3%
1Y
148.3%
IS3
AU$0.011
I Synergy Group
7D
22.2%
1Y
n/a
SDR
AU$2.80
SiteMinder
7D
-10.0%
1Y
-40.4%