Australian (ASX) Software Industry Analysis

Industry Valuation and Performance

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

Date	Market Cap	Revenue	Earnings	PE	Absolute PE	PS
Wed, 01 Jul 2026	AU$51.6b	AU$9.0b	AU$638.7m	23.3x	80.7x	5.7x
Fri, 29 May 2026	AU$51.0b	AU$8.9b	AU$628.3m	22.1x	81.1x	5.7x
Sun, 26 Apr 2026	AU$55.7b	AU$8.4b	AU$725.7m	23.9x	76.7x	6.6x
Tue, 24 Mar 2026	AU$51.6b	AU$8.6b	AU$734.7m	22.8x	70.3x	6x
Thu, 19 Feb 2026	AU$56.7b	AU$8.1b	AU$601.5m	31.3x	94.3x	7x
Sat, 17 Jan 2026	AU$72.0b	AU$8.2b	AU$652.0m	33.9x	110.4x	8.8x
Mon, 15 Dec 2025	AU$76.0b	AU$8.2b	AU$655.8m	35.8x	115.8x	9.2x
Wed, 12 Nov 2025	AU$87.9b	AU$8.1b	AU$636.6m	35.3x	138x	10.8x
Fri, 10 Oct 2025	AU$99.0b	AU$8.1b	AU$633.7m	35.2x	156.2x	12.3x
Sun, 07 Sep 2025	AU$98.0b	AU$8.1b	AU$641.3m	33.4x	152.9x	12.1x
Tue, 05 Aug 2025	AU$105.3b	AU$8.0b	AU$548.4m	75x	192x	13.2x
Thu, 03 Jul 2025	AU$101.4b	AU$8.0b	AU$535.5m	77.2x	189.4x	12.7x
Sat, 31 May 2025	AU$100.7b	AU$8.1b	AU$543.7m	101x	185.3x	12.5x
Mon, 28 Apr 2025	AU$80.7b	AU$7.8b	AU$485.3m	61.1x	166.3x	10.3x
Wed, 26 Mar 2025	AU$81.8b	AU$7.9b	AU$416.1m	59.9x	196.6x	10.4x
Fri, 21 Feb 2025	AU$101.2b	AU$7.6b	AU$329.0m	69.1x	307.5x	13.2x
Sun, 19 Jan 2025	AU$95.0b	AU$7.6b	AU$286.8m	69x	331.3x	12.4x
Tue, 17 Dec 2024	AU$96.6b	AU$7.7b	AU$274.9m	67.1x	351.4x	12.6x
Thu, 14 Nov 2024	AU$97.4b	AU$7.4b	AU$231.1m	64.9x	421.6x	13.1x
Sat, 12 Oct 2024	AU$95.4b	AU$7.4b	AU$212.1m	63.5x	449.8x	12.9x
Mon, 09 Sep 2024	AU$87.6b	AU$7.5b	AU$198.4m	66.4x	441.8x	11.7x
Wed, 07 Aug 2024	AU$70.8b	AU$7.3b	-AU$198,354,102.59	60.6x	-356.8x	9.7x
Fri, 05 Jul 2024	AU$84.3b	AU$7.7b	-AU$94,706,518.85	61.2x	-889.6x	10.9x
Sun, 02 Jun 2024	AU$83.7b	AU$7.8b	-AU$96,529,790.08	62.4x	-867.1x	10.8x
Tue, 30 Apr 2024	AU$79.4b	AU$7.6b	-AU$368,468,097.86	63x	-215.4x	10.4x
Thu, 28 Mar 2024	AU$81.1b	AU$7.6b	-AU$389,290,005.65	60.6x	-208.2x	10.6x
Sat, 24 Feb 2024	AU$75.9b	AU$7.6b	-AU$533,599,103.46	51.7x	-142.3x	10x
Mon, 22 Jan 2024	AU$69.9b	AU$8.4b	-AU$1,048,311,769.00	58.8x	-66.6x	8.3x
Wed, 20 Dec 2023	AU$69.5b	AU$8.4b	-AU$1,047,125,516.00	61.9x	-66.3x	8.3x
Fri, 17 Nov 2023	AU$65.1b	AU$8.4b	-AU$1,079,826,871.00	58.3x	-60.3x	7.8x
Sun, 15 Oct 2023	AU$65.7b	AU$8.1b	-AU$1,112,355,359.00	57.9x	-59.1x	8.1x
Tue, 12 Sep 2023	AU$68.8b	AU$8.1b	-AU$1,117,277,313.00	61x	-61.5x	8.5x
Thu, 10 Aug 2023	AU$74.9b	AU$7.7b	-AU$892,524,951.00	51.7x	-84x	9.7x
Sat, 08 Jul 2023	AU$68.2b	AU$7.7b	-AU$890,373,817.00	49.6x	-76.6x	8.8x

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 80.7x which is higher than its 3-year average PE of 33.5x.

The 3-year average PS ratio of 10.1x is higher than the industry's current PS ratio of 5.7x.

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 5.2% 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	-0.062%
Tech	2.71%
Software	5.91%
Application Software	5.99%
Systems Software	-3.17%

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 25.0%, which is higher than its past year's earnings growth of 10.5% per year.

Forecasted Growth

Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 57% over the next 5 years.

In contrast, the Application Software industry is expected to see its earnings grow by 25% 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
WTC WiseTech Global	AU$33.00	14.7% +AU$1.4b	-69.4%	PE46.7x
XRO Xero	AU$72.22	11.1% +AU$1.2b	-60.3%	PE89.5x
360 Life360	AU$26.70	19.5% +AU$1.1b	-20.5%	PE30x
TNE Technology One	AU$29.47	6.3% +AU$567.9m	-27.6%	PE68x
EIQ Echo IQ	AU$1.59	29.8% +AU$241.2m	562.5%	PS11558.5x

Xero Launches Industry Benchmarks in Xero Analytics

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Australian (ASX) Software Industry Analysis

Industry Valuation and Performance

Industry Trends

Top Stock Gainers and Losers

Latest News

Investor sentiment improves as stock rises 20%

Xero Launches Industry Benchmarks in Xero Analytics

Now 20% overvalued after recent price rise

CCR: ACCC Proceedings Will Shape Future Upside Potential

Consensus EPS estimates fall by 25%

BVS: Refined Earnings And Margins Are Expected To Support Rebound

New major risk - Financial position

BrainChip Holdings Ltd. Unveils Akida Communication Reference Platform for RF Signal Classification

CAT: Women’s Football Partnership Will Drive Future Performance Analytics Upside

Now 24% undervalued

WTC: AI Restructuring And Reaffirmed 2026 Guidance Will Underpin Recovery Potential

PPS: Slightly Higher Margins And Lower P/E Will Support Future Upside

Now 21% undervalued after recent price drop

Insufficient new directors

New major risk - Revenue and earnings growth

Non-Executive Director recently bought AU$150k worth of stock