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Australian (ASX) Market Analysis & Valuation

UpdatedMar 21, 2026
DataAggregated Company Financials
Companies1572
  • 7D-2.4%
  • 3M-3.1%
  • 1Y5.7%
  • YTD-4.5%

Over the last 7 days, the market has dropped 2.4%, driven by a pullback of 7.4% in the Materials sector. On the other hand, the Energy has risen by 5.6%. In the last year, the market is actually up 5.7%. 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
Sat, 21 Mar 2026AU$2.8tAU$1.2tAU$112.0b17.2x25.2x2.4x
Mon, 16 Feb 2026AU$3.0tAU$1.2tAU$106.1b20.8x28.3x2.5x
Wed, 14 Jan 2026AU$3.0tAU$1.2tAU$109.6b21.7x27.4x2.5x
Fri, 12 Dec 2025AU$2.9tAU$1.2tAU$109.6b21.3x26.6x2.4x
Sun, 09 Nov 2025AU$3.0tAU$1.2tAU$110.6b20.8x26.8x2.5x
Tue, 07 Oct 2025AU$3.0tAU$1.2tAU$110.4b21.1x27.5x2.5x
Thu, 04 Sep 2025AU$3.0tAU$1.2tAU$111.5b20.3x26.5x2.4x
Sat, 02 Aug 2025AU$2.9tAU$1.2tAU$104.1b18.9x28x2.4x
Mon, 30 Jun 2025AU$2.9tAU$1.2tAU$102.5b18.3x27.8x2.4x
Wed, 28 May 2025AU$2.8tAU$1.2tAU$102.7b17.9x27.3x2.3x
Fri, 25 Apr 2025AU$2.7tAU$1.2tAU$104.2b17.2x25.4x2.2x
Sun, 23 Mar 2025AU$2.6tAU$1.2tAU$104.8b17.6x25.2x2.2x
Tue, 18 Feb 2025AU$2.8tAU$1.2tAU$94.6b19.8x29.9x2.4x
Thu, 16 Jan 2025AU$2.7tAU$1.2tAU$90.2b19.1x30.1x2.3x
Sat, 14 Dec 2024AU$2.7tAU$1.2tAU$89.1b20.3x30.7x2.3x
Mon, 11 Nov 2024AU$2.7tAU$1.2tAU$88.4b19.6x31x2.4x
Wed, 09 Oct 2024AU$2.7tAU$1.2tAU$87.6b19.5x30.9x2.3x
Fri, 06 Sep 2024AU$2.6tAU$1.2tAU$87.8b19.2x29.9x2.3x
Sun, 04 Aug 2024AU$2.6tAU$1.2tAU$92.3b19.3x28.4x2.3x
Tue, 02 Jul 2024AU$2.6tAU$1.2tAU$91.8b18.9x28.2x2.2x
Thu, 30 May 2024AU$2.6tAU$1.2tAU$92.3b19.5x27.7x2.2x
Sat, 27 Apr 2024AU$2.5tAU$1.2tAU$91.2b19.4x27.7x2.2x
Mon, 25 Mar 2024AU$2.6tAU$1.2tAU$96.0b19.5x27x2.2x
Wed, 21 Feb 2024AU$2.6tAU$1.2tAU$114.8b19.1x22.3x2.2x
Fri, 19 Jan 2024AU$2.5tAU$1.2tAU$115.6b18.5x21.3x2.1x
Sun, 17 Dec 2023AU$2.5tAU$1.2tAU$115.3b18.4x21.6x2.1x
Tue, 14 Nov 2023AU$2.3tAU$1.2tAU$117.8b18.1x19.8x2x
Thu, 12 Oct 2023AU$2.4tAU$1.2tAU$119.1b17.8x20.1x2x
Sat, 09 Sep 2023AU$2.4tAU$1.2tAU$120.7b18x20x2x
Mon, 07 Aug 2023AU$2.5tAU$1.2tAU$146.1b16.8x16.9x2.1x
Wed, 05 Jul 2023AU$2.4tAU$1.2tAU$145.2b16.4x16.8x2.1x
Fri, 02 Jun 2023AU$2.4tAU$1.2tAU$146.9b16x16.2x2x
Sun, 30 Apr 2023AU$2.5tAU$1.2tAU$145.0b16.3x16.9x2.1x
Tue, 28 Mar 2023AU$2.3tAU$1.2tAU$145.1b15.9x16.1x2x
Price to Earnings Ratio

16.1x


Total Market Cap: AU$2.3tTotal Earnings: AU$145.1bTotal Revenue: AU$1.2tTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Market Price to Earnings3Y Average 25.2x202420252026
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 25.2x.
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-2.36%
Energy5.61%
Utilities3.14%
Consumer Staples2.11%
Financials-0.64%
Telecom-0.78%
Real Estate-1.45%
Healthcare-1.76%
Industrials-2.62%
Consumer Discretionary-3.28%
Tech-4.42%
Materials-7.36%
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 21.4%, which is higher than its past year's earnings growth of 14.0% 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 23% 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 5.6% 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
WDS Woodside Energy GroupAU$34.049.7%
+AU$5.7b		48.6%PE16.7xEnergy
CBA Commonwealth Bank of AustraliaAU$175.641.1%
+AU$3.1b		20.6%PB3.8xFinancials
COL Coles GroupAU$21.595.9%
+AU$1.6b		10.9%PE28.5xConsumer Staples
SIG Sigma HealthcareAU$2.785.3%
+AU$1.6b		-3.1%PE53.3xHealthcare
STO SantosAU$7.986.0%
+AU$1.5b		22.8%PE22.2xEnergy
See more

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Latest News

TLS
AU$5.29
Telstra Group
7D
1.9%
1Y
27.5%
EVN
AU$12.41
Evolution Mining
7D
-8.1%
1Y
80.9%
NAB
AU$45.57
National Australia Bank
7D
-3.3%
1Y
37.3%

NAB: Leadership Transitions Will Shape Risk Outlook Within A Fair Valuation Range

Analysts have raised their price target for National Australia Bank from A$39.23 to A$43.01, citing updated assumptions that include adjusted discount rates, revised revenue growth and profit margin estimates, and an updated future P/E multiple. What's in the News Long serving Group Executive Shaun Dooley plans to retire from National Australia Bank by the end of 2026 after a 33 year career with the bank, including serving as Group Chief Risk Officer since 2018 and acting Group Chief Financial Officer since March 2025 (Key Developments).
NST
AU$18.50
Northern Star Resources
7D
-14.9%
1Y
1.6%

NST: Higher Gold Assumptions And 2026 Output Outlook Will Support Upside Potential

Analysts now see Northern Star Resources' fair value at A$28.10, down from A$30.96. The shift reflects updated commodity price assumptions that also fed into a higher Street price target of A$35.00, supported by revised long term forecasts for gold and other key metals.
WOW
AU$36.42
Woolworths Group
7D
1.9%
1Y
21.7%

WOW: Bullish Coverage And Dividend Outlook Will Guide A Balanced View

Analysts have modestly revised their A$ price target for Woolworths Group, reflecting small adjustments to the discount rate, revenue growth and future P/E assumptions following recent bullish research coverage. Analyst Commentary Bullish Takeaways Bullish analysts highlight that the recent research coverage supports a constructive view on Woolworths Group, which they see as consistent with modest upward adjustments to valuation inputs such as the discount rate and long term P/E assumptions.
WDS
AU$34.04
Woodside Energy Group
7D
9.7%
1Y
48.6%
BHP
AU$47.47
BHP Group
7D
-4.7%
1Y
20.1%
PLS
AU$4.23
PLS Group
7D
-13.5%
1Y
128.6%

PLS: Higher Margins And Steady Output Will Support Stronger Share Pricing

Analysts have modestly revised their price target on PLS Group to A$5.80. This reflects slightly updated assumptions around discount rate, revenue growth, profit margin and future P/E, while keeping their overall valuation view broadly unchanged.
COL
AU$21.59
Coles Group
7D
5.9%
1Y
10.9%

COL: Margin Strength And Non Food Leakage Progress Will Support Future Upside

Analysts have trimmed their fair value estimate for Coles Group slightly, to about A$22.75 from A$22.85. This reflects updated assumptions for discount rates, revenue growth, profit margins and future P/E, while citing relatively healthy growth, solid margins and progress in non food channel leakage as key drivers for their latest price targets.
STO
AU$7.98
Santos
7D
6.0%
1Y
22.8%
S32
AU$3.98
South32
7D
-9.8%
1Y
12.7%
WES
AU$73.03
Wesfarmers
7D
-3.8%
1Y
3.1%

Wesfarmers Limited is a high-quality, stable long-term compounder, though it often trades at a premium valuation.

Wesfarmers Limited A High-Quality Australian Conglomerate with Durable Retail Cash Flows Wesfarmers Limited is one of Australia’s highest-quality diversified conglomerates, with a portfolio of leading businesses spanning home improvement, discount retail, office supplies, chemicals, and industrial operations. The company’s strategy focuses on owning market-leading businesses with strong competitive advantages and disciplined capital allocation.
FMG
AU$18.96
Fortescue
7D
-7.4%
1Y
20.1%

FMG: Sector Commodity Reset Will Shape Fair Value And Dividend Outlook

Analysts have trimmed their price target on Fortescue to A$17.20 from A$18.40, reflecting updated commodity price assumptions and a view that softer revenue growth and profit margins, together with a higher future P/E and discount rate, temper the upside case for the shares. Analyst Commentary Recent research updates on Fortescue point to a more cautious stance, with analysts recalibrating their views after revising long term commodity price assumptions and sector wide expectations for Australian metals and mining names.
CBA
AU$175.64
Commonwealth Bank of Australia
7D
1.1%
1Y
20.6%

CBA: Elevated P/E And Margin Pressures May Cap Future Dividend Appeal

Analysts have increased their fair value estimate for Commonwealth Bank of Australia slightly to A$127.44 from A$127.23, reflecting updated assumptions for revenue, profit margins and future P/E that they consider better aligned with current conditions. Analyst Commentary Analysts describe the updated A$127.44 fair value estimate for Commonwealth Bank of Australia as a fine tuning rather than a major reset.
ORG
AU$12.01
Origin Energy
7D
3.3%
1Y
12.2%

ORG: Updated Production Guidance And Stable Margins Will Support Fair Value Outlook

Analysts have nudged their Origin Energy price target slightly higher to A$12.05 from A$12.03, reflecting updated assumptions around revenue growth, profit margins, and a modestly lower future P/E multiple. What's in the News Origin Energy updated its production guidance for fiscal 2026 to 645 PJ to 680 PJ, compared with the previous range of 635 PJ to 680 PJ.
SIG
AU$2.78
Sigma Healthcare
7D
5.3%
1Y
-3.1%