Analysis Article • May 08
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Indian (NIFTY) Materials Sector Analysis
UpdatedMay 09, 2026
DataAggregated Company Financials
Companies791
- 7D3.6%
- 3M2.2%
- 1Y16.5%
- YTD2.0%
In the last week, the Materials industry is down 1.8% with Lloyds Metals and Energy down the most at 1.7%. In contrast, Hindustan Zinc has gained 6.6%. In the past year, the industry has gained 14%. As for the next few years, earnings are expected to grow by 21% per annum.
Sector Valuation and Performance
Has the Indian Materials Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sat, 09 May 2026 | ₹53.1t | ₹26.5t | ₹1.8t | 22.6x | 30x | 2x |
| Mon, 06 Apr 2026 | ₹47.7t | ₹27.0t | ₹1.8t | 19.8x | 26.2x | 1.8x |
| Wed, 04 Mar 2026 | ₹51.3t | ₹27.0t | ₹1.8t | 20.5x | 28.3x | 1.9x |
| Fri, 30 Jan 2026 | ₹53.2t | ₹26.5t | ₹1.8t | 21.5x | 30.1x | 2x |
| Sun, 28 Dec 2025 | ₹51.4t | ₹26.3t | ₹1.7t | 22.8x | 29.7x | 2x |
| Tue, 25 Nov 2025 | ₹49.5t | ₹26.3t | ₹1.7t | 22.7x | 28.6x | 1.9x |
| Thu, 23 Oct 2025 | ₹51.4t | ₹25.6t | ₹1.6t | 24.6x | 31.4x | 2x |
| Sat, 20 Sep 2025 | ₹51.6t | ₹25.4t | ₹1.6t | 25.3x | 32.1x | 2x |
| Mon, 18 Aug 2025 | ₹49.9t | ₹25.4t | ₹1.6t | 24.2x | 30.8x | 2x |
| Wed, 16 Jul 2025 | ₹50.8t | ₹24.9t | ₹1.5t | 27x | 33.2x | 2x |
| Fri, 13 Jun 2025 | ₹49.5t | ₹24.8t | ₹1.5t | 26.1x | 32.4x | 2x |
| Sun, 11 May 2025 | ₹45.3t | ₹24.5t | ₹1.5t | 22.3x | 31.1x | 1.8x |
| Tue, 08 Apr 2025 | ₹42.9t | ₹24.3t | ₹1.4t | 22.2x | 29.9x | 1.8x |
| Thu, 06 Mar 2025 | ₹43.4t | ₹24.3t | ₹1.4t | 23.2x | 30.2x | 1.8x |
| Sat, 01 Feb 2025 | ₹45.8t | ₹24.1t | ₹1.4t | 27x | 33.6x | 1.9x |
| Mon, 30 Dec 2024 | ₹47.4t | ₹24.0t | ₹1.4t | 29.6x | 34.3x | 2x |
| Wed, 27 Nov 2024 | ₹47.7t | ₹24.0t | ₹1.4t | 29.5x | 34.6x | 2x |
| Fri, 25 Oct 2024 | ₹49.1t | ₹24.0t | ₹1.3t | 29.8x | 37.8x | 2x |
| Sun, 22 Sep 2024 | ₹51.4t | ₹24.0t | ₹1.3t | 31.1x | 39.4x | 2.1x |
| Tue, 20 Aug 2024 | ₹49.4t | ₹24.0t | ₹1.3t | 29.3x | 37.9x | 2.1x |
| Thu, 18 Jul 2024 | ₹51.3t | ₹23.8t | ₹1.3t | 30.5x | 39.1x | 2.2x |
| Sat, 15 Jun 2024 | ₹49.6t | ₹23.8t | ₹1.3t | 28.9x | 37.9x | 2.1x |
| Mon, 13 May 2024 | ₹44.8t | ₹23.9t | ₹1.4t | 27x | 32.7x | 1.9x |
| Wed, 10 Apr 2024 | ₹44.1t | ₹24.0t | ₹1.4t | 26.4x | 31.8x | 1.8x |
| Fri, 08 Mar 2024 | ₹41.9t | ₹24.0t | ₹1.4t | 26.4x | 30.3x | 1.7x |
| Sun, 04 Feb 2024 | ₹42.7t | ₹24.4t | ₹1.4t | 27.5x | 29.9x | 1.8x |
| Tue, 02 Jan 2024 | ₹43.2t | ₹24.4t | ₹1.4t | 25.8x | 31.6x | 1.8x |
| Thu, 30 Nov 2023 | ₹39.1t | ₹24.3t | ₹1.4t | 24.2x | 28.6x | 1.6x |
| Sat, 28 Oct 2023 | ₹36.4t | ₹24.4t | ₹1.5t | 23.5x | 25x | 1.5x |
| Mon, 25 Sep 2023 | ₹37.9t | ₹24.4t | ₹1.4t | 23.2x | 27.1x | 1.6x |
| Wed, 23 Aug 2023 | ₹36.7t | ₹24.4t | ₹1.4t | 22.1x | 26.2x | 1.5x |
| Fri, 21 Jul 2023 | ₹36.3t | ₹24.5t | ₹1.6t | 19.7x | 23.4x | 1.5x |
| Sun, 18 Jun 2023 | ₹35.7t | ₹24.4t | ₹1.6t | 19.1x | 22.9x | 1.5x |
| Tue, 16 May 2023 | ₹33.9t | ₹24.2t | ₹1.7t | 17.6x | 20.1x | 1.4x |
Price to Earnings Ratio
20.1x
Current Industry PE
- Investors are relatively neutral on the Indian Materials industry at the moment, indicating that they anticipate long term growth rates to remain steady.
- The industry is trading close to its 3-year average PE ratio of 31.1x.
- 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 remained mostly flat over the last three years.
- Meanwhile revenues for these companies have grown 2.9% 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 Indian Materials sector?
| IN Market | 2.14% | |
| Materials | 3.60% | |
| Chemicals | 4.89% | |
| Basic Materials | 3.35% | |
| Metals and Mining | 2.78% | |
| Packaging | 1.98% | |
| Paper and Forestry Products | 1.65% | |
Industry PE
- Investors are most optimistic about the Basic Materials industry even though it's trading below its 3-year average PE ratio of 42.9x.
- Analysts are expecting annual earnings growth of 8.2%, which is lower than the prior year's growth of 38.4% 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 51% over the next 5 years.
- This is better than its past earnings decline of 5.3% per year.
- In contrast, the Basic Materials industry is expected to see its earnings grow by 8.2% 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 | |
|---|---|---|---|---|---|
| 500188 Hindustan Zinc | ₹635.00 | 6.6% +₹166.9b | 55.6% | PE19.4x | |
| ASIANPAINT Asian Paints | ₹2.60k | 6.4% +₹149.1b | 13.1% | PE64.9x | |
| GRASIM Grasim Industries | ₹2.97k | 6.2% +₹118.1b | 12.7% | PE44.7x | |
| ULTRACEMCO UltraTech Cement | ₹11.95k | 3.1% +₹107.1b | 5.2% | PE43.1x | |
| PIDILITIND Pidilite Industries | ₹1.48k | 7.3% +₹102.1b | -0.9% | PE61.3x |
