QBE Insurance Group Limited's (ASX:QBE) Shares Lagging The Market But So Is The Business
May 22
Australian (ASX) Market Analysis & Valuation
UpdatedJun 03, 2024
DataAggregated Company Financials
Companies1682
- 7D-0.3%
- 3M-0.7%
- 1Y8.5%
- YTD1.2%
Over the last 7 days, the market has remained flat, with no particular sector making any big moves this week. More promisingly, the market is up 8.5% over the past year. As for the next few years, earnings are expected to grow by 14% per annum.
Market Valuation and Performance
Has the Australian Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 04 Jun 2024 | AU$2.6t | AU$1.2t | AU$92.2b | 18.9x | 27.9x | 2.2x |
| Thu, 02 May 2024 | AU$2.5t | AU$1.2t | AU$95.5b | 19.3x | 26.5x | 2.2x |
| Sat, 30 Mar 2024 | AU$2.6t | AU$1.2t | AU$95.4b | 20.1x | 27.6x | 2.2x |
| Mon, 26 Feb 2024 | AU$2.6t | AU$1.2t | AU$104.3b | 19.4x | 24.5x | 2.2x |
| Wed, 24 Jan 2024 | AU$2.5t | AU$1.2t | AU$115.6b | 18.8x | 21.8x | 2.1x |
| Fri, 22 Dec 2023 | AU$2.5t | AU$1.2t | AU$115.0b | 18.6x | 21.8x | 2.2x |
| Sun, 19 Nov 2023 | AU$2.4t | AU$1.2t | AU$116.7b | 18.1x | 20.2x | 2x |
| Tue, 17 Oct 2023 | AU$2.4t | AU$1.2t | AU$120.0b | 17.8x | 19.8x | 2x |
| Thu, 14 Sep 2023 | AU$2.4t | AU$1.2t | AU$120.4b | 18x | 20x | 2x |
| Sat, 12 Aug 2023 | AU$2.5t | AU$1.2t | AU$145.1b | 16.8x | 17x | 2.1x |
| Mon, 10 Jul 2023 | AU$2.4t | AU$1.2t | AU$145.3b | 16.1x | 16.3x | 2x |
| Wed, 07 Jun 2023 | AU$2.4t | AU$1.2t | AU$145.6b | 16.1x | 16.4x | 2.1x |
| Fri, 05 May 2023 | AU$2.4t | AU$1.2t | AU$144.7b | 16.3x | 16.6x | 2.1x |
| Sun, 02 Apr 2023 | AU$2.4t | AU$1.2t | AU$144.6b | 16x | 16.6x | 2.1x |
| Tue, 28 Feb 2023 | AU$2.4t | AU$1.2t | AU$145.2b | 16.4x | 16.7x | 2.1x |
| Thu, 26 Jan 2023 | AU$2.5t | AU$1.1t | AU$146.1b | 16.2x | 17.3x | 2.3x |
| Sat, 24 Dec 2022 | AU$2.4t | AU$1.1t | AU$149.3b | 14.8x | 16x | 2.2x |
| Mon, 21 Nov 2022 | AU$2.4t | AU$1.1t | AU$149.8b | 14.7x | 16.1x | 2.2x |
| Wed, 19 Oct 2022 | AU$2.3t | AU$1.1t | AU$151.6b | 14.3x | 15.1x | 2.1x |
| Fri, 16 Sep 2022 | AU$2.3t | AU$1.1t | AU$146.9b | 14.8x | 15.8x | 2.1x |
| Sun, 14 Aug 2022 | AU$2.4t | AU$1.0t | AU$131.2b | 15.4x | 18.1x | 2.3x |
| Tue, 12 Jul 2022 | AU$2.3t | AU$1.0t | AU$134.4b | 14.9x | 16.8x | 2.2x |
| Thu, 09 Jun 2022 | AU$2.4t | AU$1.0t | AU$132.5b | 16.1x | 18.3x | 2.3x |
| Sat, 07 May 2022 | AU$2.5t | AU$1.0t | AU$131.7b | 16.6x | 18.9x | 2.4x |
| Mon, 04 Apr 2022 | AU$2.6t | AU$1.0t | AU$128.3b | 17.9x | 20.6x | 2.6x |
| Wed, 02 Mar 2022 | AU$2.5t | AU$1.0t | AU$130.5b | 18.1x | 19.3x | 2.4x |
| Fri, 28 Jan 2022 | AU$2.4t | AU$977.8b | AU$104.4b | 17.8x | 23.3x | 2.5x |
| Sun, 26 Dec 2021 | AU$2.6t | AU$975.4b | AU$104.0b | 19.1x | 25.3x | 2.7x |
| Tue, 23 Nov 2021 | AU$2.6t | AU$974.8b | AU$101.6b | 19.2x | 25.5x | 2.7x |
| Thu, 21 Oct 2021 | AU$2.6t | AU$954.8b | AU$94.5b | 19.7x | 27.4x | 2.7x |
| Sat, 18 Sep 2021 | AU$2.6t | AU$959.2b | AU$98.1b | 18.7x | 26.3x | 2.7x |
| Mon, 16 Aug 2021 | AU$2.6t | AU$949.7b | AU$96.9b | 18.2x | 26.9x | 2.7x |
Price to Earnings Ratio
25.9x
Current Market PE
- Investors are optimistic on the Australian market, and appear confident in strong long term growth rates.
- The market is trading at a PE ratio of 27.9x which is higher than its 3-year average PE of 20.6x.
Past Earnings Growth
- The earnings for Australian listed companies have remained mostly flat over the last three years.
- Meanwhile revenues have grown 7.0% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.
Sector Trends
Which sectors have driven the changes within the Australian Market?
| AU Market | -0.33% | |
| Consumer Staples | 1.17% | |
| Consumer Discretionary | 0.85% | |
| Telecom | 0.45% | |
| Healthcare | 0.41% | |
| Real Estate | 0.044% | |
| Tech | -0.003% | |
| Financials | -0.14% | |
| Industrials | -0.25% | |
| Energy | -0.41% | |
| Materials | -1.70% | |
| Utilities | -2.55% | |
Sector PE
- Investors favour the Healthcare sector the most for future growth, which is trading above its 3-year average PE ratio of 61.6x.
- Analysts expect its future annual earnings growth (17.6%) to be largely in line with prior year's earnings growth.
- The market's confidence could indicate that the market believes that analysts are underestimating future growth.
Forecasted Growth
- Analysts are most optimistic on the Real Estate sector, expecting annual earnings growth of 32% over the next 5 years.
- This is better than its past earnings decline of 36% per year.
- In contrast, the Utilities sector is expected to see its earnings decline by 13% 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 | Sector | |
|---|---|---|---|---|---|---|
| CBA Commonwealth Bank of Australia | AU$121.29 | 1.0% +AU$2.0b | 24.4% | PB2.8x | Financials | |
| WES Wesfarmers | AU$65.38 | 1.2% +AU$873.8m | 34.0% | PE29.6x | Consumer Discretionary | |
| TLX Telix Pharmaceuticals | AU$18.25 | 14.9% +AU$855.5m | 66.1% | PE1183x | Healthcare | |
| PME Pro Medicus | AU$121.23 | 7.1% +AU$834.4m | 86.1% | PE181.6x | Healthcare | |
| QBE QBE Insurance Group | AU$18.26 | 2.7% +AU$721.2m | 23.0% | PE14x | Financials |
