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Australian (ASX) Market Analysis & Valuation

UpdatedMay 21, 2026
DataAggregated Company Financials
Companies1574
  • 7D-1.7%
  • 3M-6.5%
  • 1Y1.0%
  • YTD-3.7%

Over the last 7 days, the market has dropped 1.7%, driven by a decline of 8.0% in the Materials sector. Although the market performance has been flat over the past year. Looking forward, earnings are forecast to grow by 12% annually.

Trending IndustriesOil and GasGoldBiotechSoftwareRenewable Energy

Market Valuation and Performance

Has the Australian Market valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 21 May 2026AU$2.8tAU$1.2tAU$113.5b17x25.1x2.4x
Sat, 18 Apr 2026AU$3.0tAU$1.2tAU$113.2b17.5x26.5x2.5x
Mon, 16 Mar 2026AU$2.9tAU$1.2tAU$111.5b18.7x25.9x2.4x
Wed, 11 Feb 2026AU$3.0tAU$1.2tAU$108.0b21.2x27.8x2.5x
Fri, 09 Jan 2026AU$3.0tAU$1.2tAU$109.7b21.8x27.1x2.5x
Sun, 07 Dec 2025AU$2.9tAU$1.2tAU$109.6b21.7x26.7x2.4x
Tue, 04 Nov 2025AU$3.0tAU$1.2tAU$110.4b21.3x27.3x2.5x
Thu, 02 Oct 2025AU$3.0tAU$1.2tAU$110.1b21x27.1x2.5x
Sat, 30 Aug 2025AU$3.0tAU$1.2tAU$110.6b19.7x27.4x2.5x
Mon, 28 Jul 2025AU$2.9tAU$1.2tAU$102.2b18.7x28.6x2.4x
Wed, 25 Jun 2025AU$2.9tAU$1.2tAU$102.6b18.2x27.9x2.4x
Fri, 23 May 2025AU$2.8tAU$1.2tAU$102.9b17.9x27.1x2.3x
Sun, 20 Apr 2025AU$2.6tAU$1.2tAU$104.3b17.1x25x2.1x
Tue, 18 Mar 2025AU$2.6tAU$1.2tAU$104.8b17.6x25x2.2x
Thu, 13 Feb 2025AU$2.8tAU$1.2tAU$93.2b19.9x30.3x2.4x
Sat, 11 Jan 2025AU$2.7tAU$1.2tAU$90.2b19.7x30.4x2.3x
Mon, 09 Dec 2024AU$2.8tAU$1.2tAU$89.0b20.3x31.3x2.4x
Wed, 06 Nov 2024AU$2.7tAU$1.2tAU$88.6b19.4x30.3x2.3x
Fri, 04 Oct 2024AU$2.7tAU$1.2tAU$87.1b19.6x31.2x2.4x
Sun, 01 Sep 2024AU$2.7tAU$1.2tAU$87.7b19.6x30.4x2.3x
Tue, 30 Jul 2024AU$2.7tAU$1.2tAU$91.8b19.1x28.9x2.3x
Thu, 27 Jun 2024AU$2.6tAU$1.2tAU$91.9b19.1x28.4x2.3x
Sat, 25 May 2024AU$2.6tAU$1.2tAU$92.3b19.3x27.9x2.2x
Mon, 22 Apr 2024AU$2.5tAU$1.2tAU$95.9b19.6x26.3x2.2x
Wed, 20 Mar 2024AU$2.6tAU$1.2tAU$96.0b19.3x26.8x2.2x
Fri, 16 Feb 2024AU$2.5tAU$1.2tAU$114.7b19.1x22.1x2.2x
Sun, 14 Jan 2024AU$2.5tAU$1.2tAU$114.8b18.6x21.9x2.2x
Tue, 12 Dec 2023AU$2.4tAU$1.2tAU$116.4b18x20.7x2.1x
Thu, 09 Nov 2023AU$2.3tAU$1.2tAU$118.0b17.8x19.8x2x
Sat, 07 Oct 2023AU$2.3tAU$1.2tAU$119.7b17.4x19.6x2x
Mon, 04 Sep 2023AU$2.5tAU$1.2tAU$120.1b18.6x20.4x2.1x
Wed, 02 Aug 2023AU$2.5tAU$1.2tAU$145.6b16.9x17.2x2.1x
Fri, 30 Jun 2023AU$2.4tAU$1.2tAU$145.7b16.2x16.5x2.1x
Sun, 28 May 2023AU$2.4tAU$1.2tAU$147.1b16.1x16.3x2x
Price to Earnings Ratio

16.3x


Total Market Cap: AU$2.4tTotal Earnings: AU$147.1bTotal Revenue: AU$1.2tTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Market Price to Earnings3Y Average 25.7x202420252026
Current Market PE
  • Investors are relatively neutral on the Australian market at the moment, indicating that they expect earnings will grow in line with historical growth rates.
  • The market is trading close to its 3-year average PE ratio of 25.7x.
Past Earnings Growth
  • The earnings for Australian listed companies have declined 8.3% per year over the last three years.
  • Meanwhile revenues have been flat.
  • This means that either the cost of doing business or the level of investment back into businesses is increasing since sales have remained steady while profits have fallen.

Sector Trends

Which sectors have driven the changes within the Australian Market?

AU Market-1.73%
Energy3.64%
Financials2.15%
Consumer Staples1.60%
Consumer Discretionary-0.42%
Healthcare-0.66%
Tech-0.68%
Telecom-0.69%
Real Estate-1.84%
Industrials-2.23%
Utilities-2.55%
Materials-8.03%
Sector PE
  • Investors favour the Tech sector the most for future growth which is trading above its 3-year average PE ratio.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 19.5%, which is higher than its past year's earnings growth of 10.8% per year.
  • The Real Estate sector is the least preferred by investors for future growth, which is trading below its 3-year average of 170x.
Forecasted Growth
  • Analysts are most optimistic on the Healthcare sector, expecting annual earnings growth of 25% over the next 5 years.
  • This is better than its past earnings growth rate of 19% per year.
  • In contrast, the Financials sector is expected to see its earnings grow by 5.3% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuationSector
CBA Commonwealth Bank of AustraliaAU$164.134.9%
+AU$12.9b		-5.0%PB3.6xFinancials
NAB National Australia BankAU$37.663.4%
+AU$3.8b		0.8%PB1.9xFinancials
WES WesfarmersAU$74.754.2%
+AU$3.4b		-10.0%PE27.7xConsumer Discretionary
WOW Woolworths GroupAU$34.496.0%
+AU$2.4b		8.1%PE70.5xConsumer Staples
WDS Woodside Energy GroupAU$31.834.0%
+AU$2.3b		48.3%PE15.9xEnergy
See more

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Latest News

NST
AU$18.94
Northern Star Resources
7D
-10.4%
1Y
-6.5%
CPU
AU$33.81
Computershare
7D
12.5%
1Y
-16.3%
EVN
AU$11.80
Evolution Mining
7D
-10.8%
1Y
33.2%
PDI
AU$0.72
Predictive Discovery
7D
-27.9%
1Y
72.6%
TUA
AU$2.31
Tuas
7D
-60.1%
1Y
-58.8%
BXB
AU$16.97
Brambles
7D
-22.2%
1Y
-23.4%
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WBC
AU$36.28
Westpac Banking
7D
1.6%
1Y
15.8%
Narrative Update • May 16

WBC: Higher Risk Assumptions And Dividend Outlook Will Shape Future Upside

Analysts have reduced their Westpac Banking price target from about A$34.87 to roughly A$34.15, reflecting updated views on discount rates, revenue growth, profit margins and future P/E assumptions. Analyst Commentary Analysts are updating their views on Westpac Banking with a mixed tone, focusing on how current assumptions around discount rates, revenue trends, profit margins and future P/E multiples feed into the updated valuation.
BHP
AU$59.10
BHP Group
7D
-4.8%
1Y
53.0%
NAB
AU$37.66
National Australia Bank
7D
3.4%
1Y
0.8%
FMG
AU$21.72
Fortescue
7D
-5.5%
1Y
36.7%
MQG
AU$240.19
Macquarie Group
7D
-1.8%
1Y
16.9%
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Earnings Beat: Macquarie Group Limited Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Models

Macquarie Group Limited ( ASX:MQG ) investors will be delighted, with the company turning in some strong numbers with...
CBA
AU$164.13
Commonwealth Bank of Australia
7D
4.9%
1Y
-5.0%
Narrative Update • May 12

CBA: Elevated P/E And Thin Margin Cushion May Pressure Future Returns

Analysts have made a small adjustment to the Commonwealth Bank of Australia price target to A$125.95. This reflects slightly higher discount rate assumptions, modestly lower revenue growth expectations, and a marginally stronger projected profit margin and future P/E.
WDS
AU$31.83
Woodside Energy Group
7D
4.0%
1Y
48.3%
Narrative Update • May 12

WDS: Higher Required Returns Will Pressure Margins And Limit Future Upside

Analysts have raised their A$ fair value estimate for Woodside Energy Group from A$21.46 to A$24.37, citing revised assumptions for revenue trends, profit margins and future P/E expectations. Analyst Commentary While the updated A$24.37 fair value estimate reflects revised assumptions for Woodside Energy Group, some market voices remain cautious about how much upside is actually on the table at current levels.
QBE
AU$23.89
QBE Insurance Group
7D
5.6%
1Y
3.4%
WES
AU$74.75
Wesfarmers
7D
4.2%
1Y
-10.0%
WOW
AU$34.49
Woolworths Group
7D
6.0%
1Y
8.1%
Narrative Update • May 02

WOW: Dividend Clarity And Stable Expectations Will Shape A Measured Outlook

Analysts have trimmed their Woolworths Group price target slightly to A$34.85 from A$35.39, reflecting updated views on discount rates, revenue growth, profit margins, and future P/E assumptions. What's in the News Woolworths Group declared a fully franked interim dividend of A$0.45 per share for the six months ending 4 January 2026, giving investors clarity on near term income expectations (company announcement).