Belgian (BEL20) Chemicals Industry Analysis

Industry Valuation and Performance

Has the Belgian Chemicals Industry valuation changed over the past few years?

Current Industry PE: Investors are more pessimistic on the industry, considering it's trading at a PE ratio of 14.5x which is lower than its 3-year average PE of 24.3x. It appears they believe that earnings will not grow as fast as they have historically.

Past Earnings Growth: The earnings for companies in the Chemicals industry have remained mostly flat over the last three years, while revenues for these companies have grown 11% 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.

Industry Trends

Which industries have driven the changes within the Belgian Chemicals industry?

Industry PE: Investors are most optimistic about the Commodity Chemicals industry even though it's trading below its 3-year average PE ratio of 25.6x. This is likely because analysts are expecting annual earnings growth of 24% and investors are willing to pay a premium for that growth. Meanwhile, investors are most pessimistic about the Specialty Chemicals industry, which is trading below its 3-year average of 38.9x.

Forecasted Growth: Analysts are most optimistic on the Commodity Chemicals industry, expecting annual earnings growth of 24% over the next 5 years. Meanwhile, the Fertilizers and Agricultural Chemicals industry is expected to see its earnings decline by 18% per year over the next few years.

Top Stock Gainers and Losers

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