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Australian (ASX) Software Industry Analysis

UpdatedJan 26, 2026
DataAggregated Company Financials
Companies65
  • 7D-2.1%
  • 3M-28.2%
  • 1Y-30.4%
  • YTD-6.4%

Over the last 7 days, the Software industry has dropped 2.1%, driven by WiseTech Global declining 7.7%. In contrast, Life360 has gained 16%. However, the industry is down 30% over the past year. As for the next few years, earnings are expected to grow by 25% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 27 Jan 2026AU$70.5bAU$8.1bAU$644.8m32.6x109.3x8.7x
Thu, 25 Dec 2025AU$75.6bAU$8.2bAU$654.6m37.8x115.5x9.2x
Sat, 22 Nov 2025AU$76.5bAU$8.4bAU$678.9m36.7x112.7x9.1x
Mon, 20 Oct 2025AU$95.3bAU$8.1bAU$638.5m35.2x149.2x11.7x
Wed, 17 Sep 2025AU$100.7bAU$8.1bAU$636.9m34.2x158.2x12.4x
Fri, 15 Aug 2025AU$105.2bAU$8.1bAU$577.2m76.3x182.2x13x
Sun, 13 Jul 2025AU$101.2bAU$8.0bAU$534.5m53.8x189.4x12.7x
Tue, 10 Jun 2025AU$100.8bAU$8.0bAU$538.2m78.7x187.4x12.6x
Thu, 08 May 2025AU$85.9bAU$7.8bAU$481.1m67.8x178.6x11.1x
Sat, 05 Apr 2025AU$73.1bAU$8.0bAU$425.0m57.2x172x9.2x
Mon, 03 Mar 2025AU$85.8bAU$7.9bAU$401.5m59.5x213.6x10.9x
Wed, 29 Jan 2025AU$97.8bAU$7.6bAU$288.2m68.3x339.4x12.8x
Fri, 27 Dec 2024AU$98.4bAU$7.7bAU$272.3m67.8x361.1x12.8x
Sun, 24 Nov 2024AU$97.5bAU$7.6bAU$275.8m64x353.3x12.8x
Tue, 22 Oct 2024AU$86.3bAU$7.4bAU$211.5m63.8x407.9x11.7x
Thu, 19 Sep 2024AU$91.9bAU$7.4bAU$200.1m67.8x459.2x12.4x
Sat, 17 Aug 2024AU$77.4bAU$7.3b-AU$105,560,357.6961.7x-733.2x10.6x
Mon, 15 Jul 2024AU$85.3bAU$7.7b-AU$96,156,112.8761.7x-887.1x11x
Wed, 12 Jun 2024AU$83.5bAU$7.8b-AU$91,595,839.2359.8x-911.3x10.7x
Fri, 10 May 2024AU$81.4bAU$7.6b-AU$323,098,107.3062.3x-251.9x10.7x
Sun, 07 Apr 2024AU$78.2bAU$7.6b-AU$384,092,725.0061.5x-203.7x10.3x
Tue, 05 Mar 2024AU$82.0bAU$7.7b-AU$441,256,817.1461.7x-185.7x10.6x
Thu, 01 Feb 2024AU$69.5bAU$8.4b-AU$1,048,437,301.0060.4x-66.3x8.3x
Sat, 30 Dec 2023AU$70.1bAU$8.4b-AU$1,047,058,271.0059.9x-66.9x8.4x
Mon, 27 Nov 2023AU$62.8bAU$8.4b-AU$1,049,904,570.0057.9x-59.8x7.5x
Wed, 25 Oct 2023AU$61.9bAU$8.1b-AU$1,118,907,575.0055.1x-55.3x7.7x
Fri, 22 Sep 2023AU$66.8bAU$8.1b-AU$1,117,552,647.0060.7x-59.8x8.3x
Sun, 20 Aug 2023AU$71.8bAU$7.8b-AU$841,835,919.0049.3x-85.3x9.2x
Tue, 18 Jul 2023AU$72.5bAU$7.7b-AU$889,201,543.0048x-81.5x9.4x
Thu, 15 Jun 2023AU$68.7bAU$7.7b-AU$893,780,227.0049.3x-76.9x8.9x
Sat, 13 May 2023AU$63.0bAU$7.5b-AU$877,520,590.0047x-71.8x8.4x
Mon, 10 Apr 2023AU$60.8bAU$7.5b-AU$873,044,541.0043.8x-69.7x8.1x
Wed, 08 Mar 2023AU$58.2bAU$7.4b-AU$860,449,983.0045x-67.6x7.8x
Fri, 03 Feb 2023AU$60.4bAU$7.1b-AU$702,500,263.0053.7x-85.9x8.5x
Price to Earnings Ratio

-85.9x


Total Market Cap: AU$60.4bTotal Earnings: -AU$702,500,263.00Total Revenue: AU$7.1bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Software Industry Price to Earnings3Y Average 11.6x202420252026
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 109x which is higher than its 3-year average PE of 11.5x.
  • The 3-year average PS ratio of 10.4x is higher than the industry's current PS ratio of 8.7x.
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 4.7% 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-0.29%
Tech-0.57%
Software-2.10%
Application Software-1.82%
Systems Software-25.55%
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 24.3%, 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 54% 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
360 Life360AU$33.7925.3%
+AU$1.6b		38.7%PE188.6x
EIQ Echo IQAU$0.5236.8%
+AU$91.0m		108.0%PS3334.5x
OCL ObjectiveAU$16.295.4%
+AU$80.5m		-1.6%PE44.1x
NXL NuixAU$1.9710.1%
+AU$60.2m		-63.5%PS3x
TNE Technology OneAU$27.180.4%
+AU$32.6m		-9.4%PE64.5x

Latest News

OCL
AU$16.29
Objective
7D
5.4%
1Y
-1.6%

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).
HSN
AU$5.28
Hansen Technologies
7D
-1.9%
1Y
-0.6%

HSN: Fair Pricing Will Reflect Slightly Improved Margins And Earnings Outlook

Analysts have trimmed their price target on Hansen Technologies, citing only slight changes in the discount rate, revenue growth assumptions, profit margin outlook and forward P/E expectations as the basis for the adjustment. Valuation Changes Fair Value: The fair value estimate remains unchanged at 4.99, indicating no adjustment to the central valuation point.
XRO
AU$101.22
Xero
7D
-2.9%
1Y
-42.4%

XRO: AI Analytics Rollout Will Support Stronger Future Share Performance

Analysts now see slightly lower fair value for Xero, trimming their price target by about A$1 to reflect a marginally reduced future P/E assumption, while also factoring in small adjustments to revenue growth and profit margin expectations. What's in the News Xero rolled out new AI-powered analytics globally, giving millions of small business customers access to analytics, insights, and reporting directly within the platform (Key Developments).
360
AU$33.79
Life360
7D
25.3%
1Y
38.7%

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).
WTC
AU$61.89
WiseTech Global
7D
-2.6%
1Y
-48.3%

WTC: Analyst Day Priorities Will Support Higher Long Term Profitability Expectations

Analysts have nudged their fair value estimate for WiseTech Global slightly higher to A$73.68 from A$73.09, reflecting updated assumptions around revenue growth, profit margins, and future P/E multiples. What's in the News WiseTech Global has scheduled an Analyst/Investor Day, focused on outlining key priorities for the business and its longer term direction (Key Developments).
PPS
AU$0.79
Praemium
7D
-6.0%
1Y
-5.4%

PPS: Higher Margin Outlook And P/E Assumptions Will Support Bullish Upside

Analysts have lifted their fair value estimate for Praemium from A$0.78 to A$1.03, citing updated assumptions for revenue growth, profit margins, discount rate and future P/E as the key drivers of the new price target. Valuation Changes Fair value estimate was raised from A$0.78 to A$1.03, reflecting a higher assessed worth per share based on updated inputs.
DUG
AU$2.08
DUG Technology
7D
-5.5%
1Y
46.5%

DUG: Higher Margin Outlook Will Support Future Upside Potential

Analysts have nudged their price target for DUG Technology slightly higher to reflect small adjustments to fair value, discount rate, revenue growth and profit margin assumptions, while also trimming the future P/E input. Valuation Changes Fair Value: Adjusted slightly from 2.38 to 2.38, reflecting a very small change in the model output.
QOR
AU$0.35
Qoria
7D
-27.6%
1Y
-20.2%

Qoria Limited (ASX:QOR) May Have Run Too Fast Too Soon With Recent 29% Price Plummet

Jan 20
Qoria Limited (ASX:QOR) May Have Run Too Fast Too Soon With Recent 29% Price Plummet
TNE
AU$27.18
Technology One
7D
0.4%
1Y
-9.4%

TNE: Elevated P/E And Acquisition Plans Will Restrain Future Returns

Analysts now see Technology One's fair value at A$23.74, up from A$22.71, reflecting updated assumptions for revenue growth, profit margins, and a higher future P/E multiple, despite a slightly higher discount rate. What's in the News Technology One declared a special dividend of A$0.10 per share for the six months ended 30 September 2025 (Key Developments).
BVS
AU$2.40
Bravura Solutions
7D
2.1%
1Y
10.6%

Is Bravura Solutions Limited (ASX:BVS) Trading At A 31% Discount?

Jan 19
Is Bravura Solutions Limited (ASX:BVS) Trading At A 31% Discount?
SDR
AU$5.50
SiteMinder
7D
-1.8%
1Y
-3.7%

SiteMinder (ASX:SDR) Is In A Strong Position To Grow Its Business

Jan 16
SiteMinder (ASX:SDR) Is In A Strong Position To Grow Its Business
NXL
AU$1.97
Nuix
7D
10.1%
1Y
-63.5%
3DP
AU$0.06
Pointerra
7D
30.4%
1Y
-36.8%

We're Interested To See How Pointerra (ASX:3DP) Uses Its Cash Hoard To Grow

Jan 09
We're Interested To See How Pointerra (ASX:3DP) Uses Its Cash Hoard To Grow
EIQ
AU$0.52
Echo IQ
7D
36.8%
1Y
108.0%
FCL
AU$2.60
FINEOS Corporation Holdings
7D
-1.9%
1Y
39.4%

A Look At The Intrinsic Value Of FINEOS Corporation Holdings plc (ASX:FCL)

Nov 23
A Look At The Intrinsic Value Of FINEOS Corporation Holdings plc (ASX:FCL)
IOD
AU$0.14
IODM
7D
16.0%
1Y
-3.3%