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Canadian (TSX) Market Analysis & Valuation
UpdatedSep 13, 2024
DataAggregated Company Financials
Companies2400
- 7D2.0%
- 3M7.5%
- 1Y12.9%
- YTD12.2%
Over the last 7 days, the market has risen 2.0%, driven by gains of 2.6% in the Financials sector. In the last year, the market has climbed 13%. As for the next few years, earnings are expected to grow by 15% per annum.
Market Valuation and Performance
Has the Canadian Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sat, 14 Sep 2024 | CA$3.7t | CA$2.1t | CA$167.4b | 15x | 22.1x | 1.8x |
| Mon, 12 Aug 2024 | CA$3.6t | CA$2.1t | CA$170.3b | 14.3x | 21x | 1.7x |
| Wed, 10 Jul 2024 | CA$3.6t | CA$2.0t | CA$166.5b | 13.9x | 21.4x | 1.7x |
| Fri, 07 Jun 2024 | CA$3.6t | CA$2.0t | CA$167.3b | 14.4x | 21.4x | 1.8x |
| Sun, 05 May 2024 | CA$3.5t | CA$2.1t | CA$172.9b | 14x | 20.4x | 1.7x |
| Tue, 02 Apr 2024 | CA$3.5t | CA$2.0t | CA$173.3b | 13.9x | 20.5x | 1.7x |
| Thu, 29 Feb 2024 | CA$3.4t | CA$2.1t | CA$172.2b | 13.7x | 19.8x | 1.7x |
| Sat, 27 Jan 2024 | CA$3.4t | CA$2.1t | CA$173.9b | 12.8x | 19.6x | 1.6x |
| Mon, 25 Dec 2023 | CA$3.4t | CA$2.1t | CA$172.8b | 13.2x | 19.5x | 1.6x |
| Wed, 22 Nov 2023 | CA$3.2t | CA$2.1t | CA$179.8b | 12x | 18x | 1.6x |
| Fri, 20 Oct 2023 | CA$3.1t | CA$2.1t | CA$185.3b | 11.5x | 17x | 1.5x |
| Sun, 17 Sep 2023 | CA$3.3t | CA$2.1t | CA$184.5b | 11.9x | 18x | 1.6x |
| Tue, 15 Aug 2023 | CA$3.3t | CA$2.1t | CA$187.6b | 11.5x | 17.5x | 1.6x |
| Thu, 13 Jul 2023 | CA$3.2t | CA$2.1t | CA$200.1b | 11.3x | 16.2x | 1.5x |
| Sat, 10 Jun 2023 | CA$3.2t | CA$2.1t | CA$199.8b | 11.1x | 16.1x | 1.5x |
| Mon, 08 May 2023 | CA$3.3t | CA$2.1t | CA$209.9b | 11.1x | 15.8x | 1.6x |
| Wed, 05 Apr 2023 | CA$3.3t | CA$2.1t | CA$217.6b | 10.6x | 15.2x | 1.6x |
| Fri, 03 Mar 2023 | CA$3.3t | CA$2.1t | CA$226.6b | 10.9x | 14.8x | 1.6x |
| Sun, 29 Jan 2023 | CA$3.4t | CA$2.1t | CA$245.1b | 10.9x | 13.9x | 1.6x |
| Tue, 27 Dec 2022 | CA$3.2t | CA$2.1t | CA$245.9b | 10.4x | 13.1x | 1.6x |
| Thu, 24 Nov 2022 | CA$3.3t | CA$2.1t | CA$239.0b | 10.6x | 14x | 1.6x |
| Sat, 22 Oct 2022 | CA$3.2t | CA$2.1t | CA$240.6b | 9.7x | 13.3x | 1.5x |
| Mon, 19 Sep 2022 | CA$3.3t | CA$2.1t | CA$239.8b | 10.3x | 13.7x | 1.6x |
| Wed, 17 Aug 2022 | CA$3.4t | CA$2.0t | CA$236.6b | 10.5x | 14.2x | 1.7x |
| Fri, 15 Jul 2022 | CA$3.1t | CA$2.0t | CA$231.8b | 9.9x | 13.3x | 1.6x |
| Sun, 12 Jun 2022 | CA$3.4t | CA$1.9t | CA$230.7b | 11.7x | 14.8x | 1.8x |
| Tue, 10 May 2022 | CA$3.5t | CA$1.9t | CA$221.5b | 11.3x | 15.6x | 1.8x |
| Thu, 07 Apr 2022 | CA$3.6t | CA$1.9t | CA$211.8b | 12.8x | 17.2x | 2x |
| Sat, 05 Mar 2022 | CA$3.6t | CA$1.9t | CA$212.7b | 13.1x | 16.9x | 1.9x |
| Mon, 31 Jan 2022 | CA$3.4t | CA$1.8t | CA$189.5b | 12.7x | 18.2x | 1.9x |
| Wed, 29 Dec 2021 | CA$3.5t | CA$1.8t | CA$189.5b | 12.6x | 18.3x | 1.9x |
| Fri, 26 Nov 2021 | CA$3.5t | CA$1.8t | CA$188.9b | 12.9x | 18.5x | 2x |
| Sun, 24 Oct 2021 | CA$3.5t | CA$1.7t | CA$169.5b | 13.5x | 20.5x | 2.1x |
| Tue, 21 Sep 2021 | CA$3.3t | CA$1.7t | CA$169.1b | 12.5x | 19.7x | 2x |
Price to Earnings Ratio
19.7x
Current Market PE
- Investors are optimistic on the Canadian market, and appear confident in strong long term growth rates.
- The market is trading at a PE ratio of 22.1x which is higher than its 3-year average PE of 17.2x.
Past Earnings Growth
- The earnings for Canadian listed companies have remained mostly flat over the last three years.
- Meanwhile revenues have grown 7.4% 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 Canadian Market?
| CA Market | 1.99% | |
| Materials | 5.19% | |
| Utilities | 2.84% | |
| Real Estate | 2.83% | |
| Industrials | 2.78% | |
| Financials | 2.59% | |
| Tech | 2.38% | |
| Healthcare | 2.03% | |
| Consumer Staples | 1.66% | |
| Consumer Discretionary | 0.93% | |
| Information Technology | 0% | |
| Financials | 0% | |
| Health Care | 0% | |
| Industrials | 0% | |
| Telecom | -0.64% | |
| Energy | -1.42% | |
Sector PE
- Investors favour the Materials sector the most for future growth, which is trading above its 3-year average PE ratio of 177x.
- The market's confidence is likely because analysts are expecting annual earnings growth of 31.3% which is higher than its past year's earnings decline of 2.8% per year.
Forecasted Growth
- Analysts are most optimistic on the Healthcare sector, expecting annual earnings growth of 54% over the next 5 years.
- This is better than its past earnings decline of 14% per year.
- In contrast, the Consumer Staples sector is expected to see its earnings grow by 7.6% 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 | |
|---|---|---|---|---|---|---|
| BN Brookfield | CA$67.06 | 7.1% +CA$6.9b | 37.5% | PE84.1x | Financials | |
| RY Royal Bank of Canada | CA$168.02 | 2.4% +CA$5.6b | 35.4% | PB2.1x | Financials | |
| TD Toronto-Dominion Bank | CA$84.54 | 3.2% +CA$4.6b | 0.5% | PB1.4x | Financials | |
| CP Canadian Pacific Kansas City | CA$117.35 | 4.4% +CA$4.6b | 8.1% | PE31.4x | Industrials | |
| ABX Barrick Gold | CA$28.31 | 9.8% +CA$4.4b | 25.8% | PE24.2x | Materials |
