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U.S. Industrials Sector Analysis

UpdatedJul 24, 2026
DataAggregated Company Financials
Companies1075
  • 7D0.9%
  • 3M2.6%
  • 1Y17.7%
  • YTD12.8%

Over the last 7 days, the Industrials industry has remained flat, although notably RTX gained 7.6%. As for the the longer term, the industry is up 16% over the past 12 months. Looking forward, earnings are forecast to grow by 17% annually.

Sector Valuation and Performance

Has the U.S. Industrials Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 24 Jul 2026US$7.6tUS$2.9tUS$220.2b26.2x34.6x2.6x
Sun, 21 Jun 2026US$7.9tUS$2.9tUS$222.3b26.2x35.7x2.7x
Tue, 19 May 2026US$7.4tUS$2.9tUS$219.7b25.3x33.9x2.6x
Thu, 16 Apr 2026US$7.4tUS$2.8tUS$214.4b25.4x34.6x2.6x
Sat, 14 Mar 2026US$7.0tUS$2.9tUS$212.1b23.9x33.1x2.5x
Mon, 09 Feb 2026US$7.4tUS$2.9tUS$208.6b26.8x35.4x2.6x
Wed, 07 Jan 2026US$6.6tUS$2.7tUS$210.2b25.2x31.6x2.4x
Fri, 05 Dec 2025US$6.4tUS$2.7tUS$210.0b24.7x30.4x2.3x
Sun, 02 Nov 2025US$6.5tUS$2.7tUS$211.0b24.9x30.7x2.4x
Tue, 30 Sep 2025US$6.3tUS$2.7tUS$208.6b24.8x30.1x2.3x
Thu, 28 Aug 2025US$6.3tUS$2.7tUS$209.0b25.3x30x2.3x
Sat, 26 Jul 2025US$6.2tUS$2.7tUS$205.6b24.5x30.4x2.3x
Mon, 23 Jun 2025US$5.8tUS$2.7tUS$205.1b22.3x28.2x2.1x
Wed, 21 May 2025US$5.8tUS$2.7tUS$206.5b23x28.3x2.2x
Fri, 18 Apr 2025US$5.1tUS$2.7tUS$203.0b19.8x24.9x1.9x
Sun, 16 Mar 2025US$5.3tUS$2.7tUS$203.4b21.2x26.2x2x
Tue, 11 Feb 2025US$5.7tUS$2.7tUS$208.1b24.3x27.6x2.1x
Thu, 09 Jan 2025US$5.6tUS$2.7tUS$197.6b23.7x28.2x2x
Sat, 07 Dec 2024US$6.0tUS$2.7tUS$198.3b24.9x30x2.2x
Mon, 04 Nov 2024US$5.6tUS$2.7tUS$193.7b23.2x29.1x2.1x
Wed, 02 Oct 2024US$5.7tUS$2.7tUS$179.9b23.1x31.4x2.1x
Fri, 30 Aug 2024US$5.4tUS$2.7tUS$179.7b22.3x29.9x2x
Sun, 28 Jul 2024US$5.3tUS$2.7tUS$181.5b22.5x29.4x2x
Tue, 25 Jun 2024US$5.2tUS$2.7tUS$171.3b21.4x30.2x1.9x
Thu, 23 May 2024US$5.3tUS$2.7tUS$171.5b22.9x30.9x2x
Sat, 20 Apr 2024US$5.1tUS$2.7tUS$173.6b22x29.4x1.9x
Mon, 18 Mar 2024US$5.2tUS$2.7tUS$172.4b22.8x30x2x
Wed, 14 Feb 2024US$4.9tUS$2.7tUS$173.3b22.3x28.4x1.9x
Fri, 12 Jan 2024US$4.9tUS$2.7tUS$182.9b20.7x26.6x1.8x
Sun, 10 Dec 2023US$4.7tUS$2.7tUS$182.9b20.2x25.5x1.7x
Tue, 07 Nov 2023US$4.4tUS$2.7tUS$180.4b17.9x24.3x1.6x
Thu, 05 Oct 2023US$4.4tUS$2.7tUS$192.2b17.7x22.7x1.6x
Sat, 02 Sep 2023US$4.7tUS$2.7tUS$189.3b19.4x24.7x1.7x
Mon, 31 Jul 2023US$4.7tUS$2.7tUS$181.5b18.4x25.9x1.7x
Price to Earnings Ratio

25.9x


Total Market Cap: US$4.7tTotal Earnings: US$181.5bTotal Revenue: US$2.7tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Industrials Sector Price to Earnings3Y Average 29.4x202420252026
Current Industry PE
  • Investors are optimistic on the American Industrials industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 34.6x which is higher than its 3-year average PE of 29.4x.
  • The 3-year average PS ratio of 2.1x is lower than the industry's current PS ratio of 2.6x.
Past Earnings Growth
  • The earnings for companies in the Industrials industry have grown 6.6% per year over the last three years.
  • Revenues for these companies have grown 2.6% 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 U.S. Industrials sector?

US Market-1.98%
Industrials0.90%
Industrials6.46%
Construction4.37%
Aerospace & Defense3.58%
Marine and Shipping2.28%
Electrical1.86%
Machinery0.97%
Trade Distributors0.21%
Building-0.28%
Infrastructure-1.14%
Transportation-1.23%
Logistics-1.92%
Commercial Services-2.81%
Professional Services-3.93%
Airlines-4.74%
Industry PE
  • Investors are most optimistic about the Construction industry which is trading above its 3-year average PE ratio of 38.4x.
    • Analysts are expecting annual earnings growth of 24.9%, which is lower than the prior year's growth of 47.1% per year.
  • Investors are most pessimistic about the Marine and Shipping industry, which is trading below its 3-year average of 17.0x.
Forecasted Growth
  • Analysts are most optimistic on the Construction industry, expecting annual earnings growth of 25% over the next 5 years.
  • However this is lower than its past earnings growth rate of 47% per year.
  • In contrast, the Marine and Shipping industry is expected to see its earnings growth to stay flat over the next few years.

Top Stock Gainers and Losers

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

CompanyLast Price7D1YValuation
RTX RTXUS$209.167.6%
+US$19.9b		34.8%PE38.8x
LMT Lockheed MartinUS$568.5910.7%
+US$12.7b		35.2%PE27.4x
CAT CaterpillarUS$894.542.0%
+US$8.0b		108.3%PE43.7x
ETN EatonUS$415.134.8%
+US$7.3b		7.9%PE40.4x
HWM Howmet AerospaceUS$287.095.9%
+US$6.4b		53.7%PE65.9x

Latest News

LMT
US$568.59
Lockheed Martin
7D
10.7%
1Y
35.2%
ETN
US$415.13
Eaton
7D
4.8%
1Y
7.9%
HON
US$246.27
Honeywell International
7D
8.8%
1Y
-45.1%
Seeking Alpha • 3h

Honeywell Q2 Earnings: Positive Outlook Following Spin Off, Shares Fairly Valued

Summary Honeywell reported strong Q2 results that included raised forward guidance. The showing follows completion of its multi-year transformation to spin off significant individual business units. I have viewed the simplified portfolio as a catalyst for Honeywell’s greater growth units, including its Automation business. I view shares as fairly valued at current pricing. Read the full article on Seeking Alpha
FIX
US$1,831.15
Comfort Systems USA
7D
9.0%
1Y
225.3%
RTX
US$209.16
RTX
7D
7.6%
1Y
34.8%
Seeking Alpha • 16h

RTX: Lots Of Tailwinds, But Little Margin For Error

Summary RTX Corp. delivered robust Q2 results with 14% sales growth, 21% higher EPS, and a record $289 billion backlog. Management raised 2026 sales guidance to $95–$96 billion and EPS to $7.10–$7.25, driven by Raytheon's defense momentum and improving Pratt & Whitney operations. Raytheon’s 2.42 book-to-bill ratio and surging international orders underscore multiyear rearmament tailwinds, while Pratt’s GTF issues are receding with operational improvements. At $210, RTX trades at ~28x 2026 EPS guidance, reflecting strong growth but limited margin for disappointment. Read the full article on Seeking Alpha
BA
US$209.23
Boeing
7D
-2.4%
1Y
-9.5%
ROL
US$39.44
Rollins
7D
-13.2%
1Y
-32.0%
GEV
US$1,031.19
GE Vernova
7D
-0.5%
1Y
65.3%
Seeking Alpha • Jul 23

GE Vernova: Why I Am Raising My Price Target After Q2

Summary I am reiterating my Strong Buy rating on GE Vernova because Q2 2026 strengthened my view that the AI infrastructure trade is shifting from chips to electricity. The main growth drivers are stronger gas turbine demand, capacity expansion, grid equipment orders, Prolec GE, and accelerating data center demand. My updated price target is $1,864 per share, implying about 88% upside from the current price. The biggest risks are valuation compression, slower backlog conversion, manufacturing execution, and continued Wind losses. Read the full article on Seeking Alpha
WAB
US$297.99
Westinghouse Air Brake Technologies
7D
12.9%
1Y
48.5%
Narrative Update • Jul 23

WAB: Installed Base And Aftermarket Services Will Support Balanced Outlook

Analysts have slightly increased their price target for Westinghouse Air Brake Technologies to about $309 from $300, citing expectations for somewhat lower modeled revenue growth, modestly higher profit margins, and a small adjustment to the assumed future P/E multiple and discount rate. What’s in the News for Westinghouse Air Brake Technologies Coverage of Westinghouse Air Brake Technologies has been resumed by Stephens with an Overweight rating and a price target of $320, citing its installed base and aftermarket rail services as key drivers.
UBER
US$68.91
Uber Technologies
7D
-6.9%
1Y
-24.2%
Narrative Update • Jul 22

UBER: Delivery Hero Deal And Robotaxis Will Define Next Phase

For Uber Technologies, the analyst price target implied by the updated fair value framework has been reduced by about $7.84 to roughly $75.79, as analysts factor in a slightly higher discount rate, more measured revenue growth and profit margin assumptions, and a lower future P/E multiple, despite continued support from recent research on delivery expansion, AI adoption, and autonomous vehicle opportunities. Analyst Commentary Recent research on Uber Technologies reflects a mix of optimism around growth initiatives and more restrained views on valuation and execution risk.
CAT
US$894.54
Caterpillar
7D
2.0%
1Y
108.3%
HONA
US$195.87
Honeywell Aerospace
7D
-6.0%
1Y
n/a
DAL
US$81.97
Delta Air Lines
7D
-5.5%
1Y
49.8%
Analysis Article • Jul 17

Delta Air Lines' (NYSE:DAL) Sluggish Earnings Might Be Just The Beginning Of Its Problems

Delta Air Lines, Inc.'s ( NYSE:DAL ) recent weak earnings report didn't cause a big stock movement. However, we believe...
AXON
US$491.90
Axon Enterprise
7D
-9.2%
1Y
-30.6%
HWM
US$287.09
Howmet Aerospace
7D
5.9%
1Y
53.7%
Seeking Alpha • Jul 16

Howmet Aerospace: A High-Quality Business Priced For Perfection At Peak Margins

Summary Howmet Aerospace is indispensable in defense and civil aviation, but its current valuation is unjustifiably high. HWM faces structural growth limits due to regulated profit margins, capital intensity, and supply chain risks, especially from Boeing and raw material inflation. Valuation models (DCF, relative, DDM) indicate 40–88% downside, even under optimistic scenarios, with no margin of safety at current prices. I assign HWM a SELL rating due to peak margins, aggressive buybacks at elevated prices, and significant macro, operational, and regulatory risks. Read the full article on Seeking Alpha
ADP
US$242.88
Automatic Data Processing
7D
-5.3%
1Y
-20.7%
Seeking Alpha • Jul 15

Automatic Data Processing: The Margins Are Too High, I'll Pass

Summary Automatic Data Processing maintains dominant market share and high margins in payroll/HR, but these very margins could attract increased competition, especially as AI lowers entry barriers. AI may erode ADP's traditional moat by simplifying regulatory complexity, enabling nimble SaaS competitors and large tech firms to challenge ADP’s position and pricing power. Valuation is currently fair, but margin compression—if, say, net income margins fall from ~22% to 15%—could significantly impact ADP’s valuation and investor returns. I rate ADP a hold, urging investors to monitor margin trends and competitive dynamics, particularly those driven by AI adoption and industry shifts. Read the full article on Seeking Alpha