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Indian (NIFTY) Materials Sector Analysis

UpdatedAug 08, 2026
DataAggregated Company Financials
Companies801
  • 7D2.8%
  • 3M0.9%
  • 1Y8.0%
  • YTD3.1%

In the last week, the Materials industry is up 2.8%, with Hindustan Zinc up 11%. During this same period, the UPL underperformed, falling 5.4%. This means that the industry has gained 8.0% over the past year. Looking forward, earnings are forecast to grow by 14% annually.

Sector Valuation and Performance

Has the Indian Materials Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 08 Aug 2026₹54.4t₹28.0t₹2.1t20.7x25.6x1.9x
Mon, 06 Jul 2026₹52.0t₹27.3t₹2.0t21x26.4x1.9x
Wed, 03 Jun 2026₹52.8t₹27.2t₹2.0t20.8x26.9x1.9x
Fri, 01 May 2026₹51.3t₹26.3t₹1.8t22.3x29.1x2x
Sun, 29 Mar 2026₹47.1t₹27.0t₹1.8t19x25.9x1.7x
Tue, 24 Feb 2026₹51.7t₹27.0t₹1.8t21.6x28.5x1.9x
Thu, 22 Jan 2026₹51.4t₹26.4t₹1.7t21.2x29.4x1.9x
Sat, 20 Dec 2025₹50.2t₹26.3t₹1.7t22.3x29x1.9x
Mon, 17 Nov 2025₹51.2t₹26.3t₹1.7t23.8x29.6x2x
Wed, 15 Oct 2025₹50.7t₹25.5t₹1.6t24.2x31.5x2x
Fri, 12 Sep 2025₹51.0t₹25.4t₹1.6t24.8x31.7x2x
Sun, 10 Aug 2025₹49.6t₹25.2t₹1.6t24.8x30.9x2x
Tue, 08 Jul 2025₹50.9t₹24.9t₹1.5t26.9x33.3x2x
Thu, 05 Jun 2025₹48.8t₹24.8t₹1.5t25.7x31.9x2x
Sat, 03 May 2025₹45.9t₹24.5t₹1.4t22.9x31.7x1.9x
Mon, 31 Mar 2025₹46.0t₹24.3t₹1.4t22.1x32.1x1.9x
Wed, 26 Feb 2025₹43.1t₹24.3t₹1.4t23.7x30.2x1.8x
Fri, 24 Jan 2025₹46.3t₹24.0t₹1.4t27.4x33.6x1.9x
Sun, 22 Dec 2024₹47.7t₹24.0t₹1.4t30.7x34.6x2x
Tue, 19 Nov 2024₹46.8t₹24.0t₹1.4t29.6x33.9x1.9x
Thu, 17 Oct 2024₹51.6t₹24.0t₹1.3t30.9x39.6x2.2x
Sat, 14 Sep 2024₹51.7t₹24.0t₹1.3t30.9x39.6x2.2x
Mon, 12 Aug 2024₹49.6t₹23.9t₹1.3t30.2x38.4x2.1x
Wed, 10 Jul 2024₹51.4t₹23.8t₹1.3t30.5x39.1x2.2x
Fri, 07 Jun 2024₹47.1t₹23.8t₹1.3t26.9x35.9x2x
Sun, 05 May 2024₹46.2t₹23.9t₹1.4t27.5x33.6x1.9x
Tue, 02 Apr 2024₹42.7t₹24.0t₹1.4t24.9x30.8x1.8x
Thu, 29 Feb 2024₹41.4t₹24.0t₹1.4t26.3x29.9x1.7x
Sat, 27 Jan 2024₹42.1t₹24.4t₹1.4t26.9x29.3x1.7x
Mon, 25 Dec 2023₹41.8t₹24.4t₹1.4t24.9x30.6x1.7x
Wed, 22 Nov 2023₹38.9t₹24.3t₹1.4t24.5x28.5x1.6x
Fri, 20 Oct 2023₹38.6t₹24.4t₹1.4t24.6x27.5x1.6x
Sun, 17 Sep 2023₹38.8t₹24.4t₹1.4t23.7x27.8x1.6x
Tue, 15 Aug 2023₹36.3t₹24.4t₹1.4t21.7x25.7x1.5x
Price to Earnings Ratio

25.7x


Total Market Cap: ₹36.3tTotal Earnings: ₹1.4tTotal Revenue: ₹24.4tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian Materials Sector Price to Earnings3Y Average 31.5x202420252026
Current Industry PE
  • Investors are pessimistic on the Indian Materials industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 25.6x which is lower than its 3-year average PE of 31.5x.
  • The industry is trading close to its 3-year average PS ratio of 1.9x.
Past Earnings Growth
  • The earnings for companies in the Materials industry have grown 15% per year over the last three years.
  • Revenues for these companies have grown 4.7% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the Indian Materials sector?

IN Market1.27%
Materials2.84%
Metals and Mining4.15%
Basic Materials2.40%
Chemicals1.71%
Packaging0.73%
Paper and Forestry Products-0.59%
Industry PE
  • Investors are most optimistic about the Basic Materials industry, which is trading close to its 3-year average PE ratio of 42.8x.
    • Analysts are expecting annual earnings growth of 6.5%, which is lower than the prior year's growth of 16.1% per year.
  • Investors are most pessimistic about the Packaging industry, which is trading below its 3-year average of 25.4x.
Forecasted Growth
  • Analysts are most optimistic on the Paper and Forestry Products industry, expecting annual earnings growth of 41% over the next 5 years.
  • This is better than its past earnings decline of 6.0% per year.
  • In contrast, the Basic Materials industry is expected to see its earnings grow by 6.5% per year over the next few years.

Top Stock Gainers and Losers

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

CompanyLast Price7D1YValuation
500188 Hindustan Zinc₹601.0011.4%
+₹260.5b		42.9%PE14.9x
500440 Hindalco Industries₹1.05k8.2%
+₹176.8b		56.7%PE17.5x
GRASIM Grasim Industries₹3.32k7.2%
+₹150.7b		23.5%PE45.4x
VAML Vedanta Aluminium Metal₹470.053.5%
+₹62.0b		n/aPE47.8x
ULTRACEMCO UltraTech Cement₹12.11k1.7%
+₹59.4b		-0.4%PE41.7x

Latest News

590013
₹1,100.30
Xpro India
7D
-26.4%
1Y
-2.5%
JAINREC
₹308.40
Jain Resource Recycling
7D
-11.4%
1Y
n/a
Analysis Article • Aug 07

Revenue Miss: Jain Resource Recycling Limited Fell 9.3% Short Of Analyst Revenue Estimates And Analysts Have Been Revising Their Models

Jain Resource Recycling Limited ( NSE:JAINREC ) shareholders are probably feeling a little disappointed, since its...
VEDL
₹278.85
Vedanta
7D
5.5%
1Y
-35.4%
ULTRACEMCO
₹12,105.00
UltraTech Cement
7D
1.7%
1Y
-0.4%
Narrative Update • Aug 05

ULTRACEMCO: Dividend Commitment And Board Actions Will Support Future Upside

Analysts have raised their fair value estimate for UltraTech Cement from about ₹13,636 to roughly ₹13,912, citing updated assumptions on revenue growth, profit margins, discount rate and future P/E that together support a higher price target. What's in the News UltraTech Cement has announced an annual dividend of ₹240.00 per share, with the dividend payable on September 16, 2026.
504614
₹497.75
Sarda Energy & Minerals
7D
-3.6%
1Y
-7.0%
512070
₹571.90
UPL
7D
-5.4%
1Y
-16.9%
Narrative Update • Aug 04

512070: Upcoming Board Review Will Support Stronger Medium Term Re-Rating

Analysts have trimmed their fair value estimate for UPL from about ₹767 to roughly ₹735, reflecting updated views on its long term profit margin profile and a lower assumed future P/E multiple. What’s in the News for UPL UPL has scheduled a board meeting on Aug 03, 2026.
520111
₹2,202.65
Ratnamani Metals & Tubes
7D
-6.8%
1Y
-5.3%
NATIONALUM
₹381.00
National Aluminium
7D
8.8%
1Y
103.3%
500470
₹188.00
Tata Steel
7D
-0.9%
1Y
19.0%
Narrative Update • Aug 03

500470: NINL Capacity Expansion And Dividends Will Support Future Upside

The analyst price target for Tata Steel has been revised from about ₹225 to about ₹220. Analysts link this change to updated assumptions that include a slightly higher discount rate, modestly adjusted revenue growth and profit margin expectations, and a lower future P/E multiple.
VAML
₹470.05
Vedanta Aluminium Metal
7D
3.5%
1Y
n/a
ASIANPAINT
₹2,735.00
Asian Paints
7D
-0.4%
1Y
10.5%
Analysis Article • Aug 01

Asian Paints Limited Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

As you might know, Asian Paints Limited ( NSE:ASIANPAINT ) just kicked off its latest quarterly results with some very...
GRASIM
₹3,323.00
Grasim Industries
7D
7.2%
1Y
23.5%
SHYAMMETL
₹1,006.90
Shyam Metalics and Energy
7D
-2.4%
1Y
5.7%
Narrative Update • Jul 29

SHYAMMETL: Dividend Plans And Revised Assumptions Will Support Measured Long-Term Outlook

Analysts have raised the price target for Shyam Metalics and Energy from ₹950 to ₹1,014, citing updated assumptions that include a lower discount rate, revised revenue growth and profit margin estimates, and a reduced future P/E multiple. What’s in the News for Shyam Metalics and Energy A board meeting is scheduled for 20 Jul 2026 to consider and approve the unaudited standalone and consolidated financial results for the quarter ended 30 Jun 2026.
500228
₹1,293.50
JSW Steel
7D
1.8%
1Y
23.3%
500188
₹601.00
Hindustan Zinc
7D
11.4%
1Y
42.9%
Narrative Update • Jul 27

500188: Leadership Transitions And Higher Revenue Assumptions Will Support Future Upside

Analysts have lifted their fair value estimate for Hindustan Zinc, raising the price target from ₹730 to ₹770, citing updated assumptions around revenue growth, profit margins and a slightly lower projected future P/E multiple. What’s in the News for Hindustan Zinc The board appointed Amarendu Prakash as Chief Executive Officer of Hindustan Zinc, effective August 1, 2026, following his prior leadership roles within India’s steel sector.
500440
₹1,054.00
Hindalco Industries
7D
8.2%
1Y
56.7%
Narrative Update • Jul 23

500440: New North India Capacity Expansion Will Support Stronger Future Profitability

Analysts have lifted their 12 month price target for Hindalco Industries from ₹1,070 to about ₹1,342, citing updated assumptions for higher revenue, improved profit margins and a lower future P/E multiple in their models. What’s in the News for Hindalco Industries Hindalco Industries has scheduled a board meeting on August 7, 2026 to consider and approve the unaudited standalone and consolidated financial results for the quarter ended June 30, 2026.