Header cover image

New Zealand (NZX) Utilities Sector Analysis

UpdatedDec 06, 2021
DataAggregated Company Financials
Companies8
  • 7D3.0%
  • 3M-4.9%
  • 1Y-8.5%
  • YTD-23.3%

Over the last 7 days, the Utilities industry has risen 3.0%, driven by gains from every company within the industry. However, the industry is down 8.5% over the past year.

Sector Valuation and Performance

Has the New Zealand Utilities Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPE
Tue, 07 Dec 2021NZ$42.2bNZ$15.8bNZ$1.1b33x
Thu, 04 Nov 2021NZ$42.8bNZ$15.4bNZ$896.3m59.4x
Sat, 02 Oct 2021NZ$43.9bNZ$15.4bNZ$896.3m62.9x
Mon, 30 Aug 2021NZ$44.4bNZ$15.4bNZ$896.3m65.7x
Tue, 06 Jul 2021NZ$44.9bNZ$15.4bNZ$896.3m64.4x
Fri, 09 Apr 2021NZ$43.6bNZ$14.4bNZ$814.7m44.6x
Thu, 31 Dec 2020NZ$50.1bNZ$13.4bNZ$1.1b38.1x
Sun, 04 Oct 2020NZ$37.6bNZ$13.3bNZ$1.1b32.8x
Wed, 08 Jul 2020NZ$35.5bNZ$13.3bNZ$1.0b33.3x
Tue, 31 Mar 2020NZ$30.6bNZ$13.5bNZ$655.9m32.4x
Fri, 03 Jan 2020NZ$37.3bNZ$14.0bNZ$903.2m34x
Mon, 07 Oct 2019NZ$39.2bNZ$14.3bNZ$1.0b40.8x
Sun, 30 Jun 2019NZ$37.0bNZ$14.4bNZ$1.1b35.9x
Wed, 03 Apr 2019NZ$32.3bNZ$13.8bNZ$981.6m30.4x
Sat, 05 Jan 2019NZ$27.9bNZ$13.1bNZ$961.0m25.8x
PE Ratio

25.8x

Total Market Cap: NZ$27.9bTotal Earnings: NZ$961.0mTotal Revenue: NZ$13.1b0%0%0%3 Year10 Year
20202021

Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 38.8x. It appears they believe that earnings will grow in-line with historical growth rates.

Past Earnings Growth: The earnings for companies in the Utilities industry have grown 3.6% per year over the last three years, and revenues for these companies have grown 6.5% 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 New Zealand Utilities sector?

Renewable Energy5.05%
Other Utilities4.12%
Electric Utilities1.87%

Industry PE: Investors are most optimistic about the Renewable Energy industry which is trading above its 3-year average PE ratio of 55.3x. However analysts are expecting annual earnings decline of 4.0%, which is lower than the prior year's growth of 31% per year. So the market might believe that analysts are underestimating future growth or they expect the Renewable Energy industry's earnings to deteriorate the least compared to other industries. Meanwhile, investors are most pessimistic about the Other Utilities industry, which is trading below its 3-year average of 34.9x.

Forecasted Growth: Analysts are most optimistic on the Electric Utilities industry, expecting annual earnings growth of 17% over the next 5 years. This is better than it's past earnings growth rate of 3.3% per year. Meanwhile, the Renewable Energy industry is expected to see its earnings decline by 4.0% per year over the next few years.

Top Stock Gainers and Losers

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

Company7D1YValuation
MEL Meridian Energy2.2%+NZ$257.5m-31.9%n/a
VCT Vector4.9%+NZ$190.0m-4.5%n/a
MCY Mercury NZ0.9%+NZ$68.1m-8.8%n/a
CEN Contact Energy0.9%+NZ$54.7m0.3%n/a
IFT Infratil0.9%+NZ$50.6m33.8%n/a
Simply Wall St
Simply Wall Street Pty Ltd
17-21 Bellevue Street, Surry Hills, Sydney
Download on the App StoreGet it on Google Play
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Latest News

VCT

NZ$4.06

Vector

7D

4.9%

1Y

-4.5%

IFT

NZ$7.95

Infratil

7D

0.9%

1Y

33.8%