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U.S. Industrials Sector Analysis

UpdatedMar 29, 2026
DataAggregated Company Financials
Companies1033
  • 7D-0.9%
  • 3M1.4%
  • 1Y25.3%
  • YTD0.6%

The Industrials industry has been flat over the last week, but RTX has lost 4.3%. As for the the longer term, the industry is up 25% over the past 12 months. Earnings are forecast to grow by 15% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 29 Mar 2026US$6.8tUS$2.9tUS$214.5b23.5x31.6x2.4x
Tue, 24 Feb 2026US$7.5tUS$2.8tUS$207.1b27.1x36.3x2.6x
Thu, 22 Jan 2026US$6.8tUS$2.8tUS$209.0b26x32.6x2.5x
Sat, 20 Dec 2025US$6.4tUS$2.7tUS$210.3b24.6x30.4x2.3x
Mon, 17 Nov 2025US$6.3tUS$2.7tUS$210.7b23.9x29.7x2.3x
Wed, 15 Oct 2025US$6.3tUS$2.7tUS$210.1b25.1x30.1x2.3x
Fri, 12 Sep 2025US$6.2tUS$2.7tUS$208.2b24.8x29.7x2.3x
Sun, 10 Aug 2025US$6.2tUS$2.7tUS$209.1b24.1x29.4x2.3x
Tue, 08 Jul 2025US$6.1tUS$2.7tUS$205.2b23.9x29.7x2.3x
Thu, 05 Jun 2025US$5.8tUS$2.7tUS$205.2b22.5x28.3x2.2x
Sat, 03 May 2025US$5.3tUS$2.7tUS$205.0b21.4x26.1x2x
Mon, 31 Mar 2025US$5.3tUS$2.7tUS$203.7b20.9x25.9x2x
Wed, 26 Feb 2025US$5.5tUS$2.7tUS$208.8b22.2x26.5x2.1x
Fri, 24 Jan 2025US$5.9tUS$2.7tUS$197.2b24.6x30x2.2x
Sun, 22 Dec 2024US$5.6tUS$2.7tUS$197.8b23.4x28.2x2.1x
Tue, 19 Nov 2024US$5.9tUS$2.7tUS$195.0b23.6x30x2.1x
Thu, 17 Oct 2024US$5.8tUS$2.7tUS$180.3b24.4x32.2x2.1x
Sat, 14 Sep 2024US$5.4tUS$2.7tUS$179.8b22.1x29.9x2x
Mon, 12 Aug 2024US$5.2tUS$2.7tUS$179.6b21.4x28.8x1.9x
Wed, 10 Jul 2024US$5.1tUS$2.7tUS$170.3b21x30x1.9x
Fri, 07 Jun 2024US$5.2tUS$2.7tUS$170.1b21.8x30.5x1.9x
Sun, 05 May 2024US$5.2tUS$2.7tUS$171.8b22.6x30.3x1.9x
Tue, 02 Apr 2024US$5.4tUS$2.7tUS$173.6b23.8x30.9x2x
Thu, 29 Feb 2024US$5.1tUS$2.7tUS$174.1b23.2x29.3x1.9x
Sat, 27 Jan 2024US$4.9tUS$2.7tUS$179.8b21.2x27.3x1.8x
Mon, 25 Dec 2023US$4.9tUS$2.7tUS$183.0b21.6x26.8x1.8x
Wed, 22 Nov 2023US$4.5tUS$2.7tUS$182.2b19.3x24.9x1.7x
Fri, 20 Oct 2023US$4.3tUS$2.7tUS$193.3b17.4x22.3x1.6x
Sun, 17 Sep 2023US$4.5tUS$2.7tUS$189.4b18.1x23.8x1.7x
Tue, 15 Aug 2023US$4.7tUS$2.7tUS$189.2b19x24.7x1.7x
Thu, 13 Jul 2023US$4.7tUS$2.7tUS$185.5b18.3x25.1x1.7x
Sat, 10 Jun 2023US$4.4tUS$2.7tUS$182.8b18.4x24x1.6x
Mon, 08 May 2023US$4.2tUS$2.7tUS$185.6b17.5x22.9x1.6x
Wed, 05 Apr 2023US$4.2tUS$2.6tUS$165.4b18.4x25.4x1.6x
Price to Earnings Ratio

25.4x


Total Market Cap: US$4.2tTotal Earnings: US$165.4bTotal Revenue: US$2.6tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Industrials Sector Price to Earnings3Y Average 28.4x202420252026
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 32.0x which is higher than its 3-year average PE of 28.4x.
  • The 3-year average PS ratio of 2.0x is lower than the industry's current PS ratio of 2.4x.
Past Earnings Growth
  • The earnings for companies in the Industrials industry have grown 9.1% per year over the last three years.
  • Revenues for these companies have grown 2.7% 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 U.S. Industrials sector?

US Market-1.89%
Industrials-0.94%
Trade Distributors2.00%
Construction1.90%
Industrials1.13%
Marine and Shipping1.01%
Machinery0.74%
Infrastructure0.065%
Transportation-0.23%
Building-0.31%
Electrical-0.86%
Airlines-1.23%
Logistics-2.68%
Aerospace & Defense-2.84%
Commercial Services-2.95%
Professional Services-3.89%
Industry PE
  • Investors are most optimistic about the Electrical industry even though it's trading below its 3-year average PE ratio of 63.3x.
    • Analysts expect its future annual earnings growth (19.6%) to be largely in line with prior year's earnings growth.
  • Investors are most pessimistic about the Marine and Shipping industry, which is trading below its 3-year average of 16.2x.
Forecasted Growth
  • Analysts are most optimistic on the Construction industry, expecting annual earnings growth of 22% over the next 5 years.
  • However this is lower than its past earnings growth rate of 27% per year.
  • In contrast, the Marine and Shipping industry is expected to see its earnings decline by 2.9% 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
CAT CaterpillarUS$695.402.1%
+US$6.8b		110.9%PE36.4x
CSX CSXUS$39.673.9%
+US$2.8b		36.3%PE25.5x
UNP Union PacificUS$238.791.6%
+US$2.4b		2.9%PE19.9x
DE DeereUS$566.641.2%
+US$1.9b		21.8%PE31.8x
CAR Avis Budget GroupUS$148.4548.6%
+US$1.7b		98.8%PS0.4x

Latest News

CAR
US$148.45
Avis Budget Group
7D
48.6%
1Y
98.8%
NOC
US$679.00
Northrop Grumman
7D
-4.0%
1Y
32.6%

NOC: Future Defense Budgets And Policy Limits Will Shape Returns

Analysts have slightly raised price targets for Northrop Grumman, with the model fair value estimate moving by about $1 to $725.72. This change reflects refinements to assumptions around discount rates, long term revenue growth, profit margins, and future P/E multiples in light of a series of recent target increases across the Street.
BE
US$133.24
Bloom Energy
7D
-11.2%
1Y
555.4%
RTX
US$189.71
RTX
7D
-4.3%
1Y
44.0%

RTX: Defense Programs And Engine Upgrades Will Support Stronger Long Term Demand

RTX's analyst fair value was nudged to $217.21 from $217.16 as analysts factor in slightly higher long term revenue growth assumptions and ongoing price target increases across the Street, including recent moves up to $227 and $240. Analyst Commentary Street research on RTX has been active, with a cluster of price target changes and one new bullish initiation contributing to a modest adjustment in fair value.
CTAS
US$165.71
Cintas
7D
-7.6%
1Y
-18.5%

CTAS: UniFirst Acquisition And Margin Strength Will Support Future Upside Potential

Analysts trimmed their average price targets on Cintas by single digit dollar amounts, pointing to updated views on fair value, discount rates and P/E multiples, even as they highlight potential earnings benefits from the UniFirst deal and see room for margin strength. Analyst Commentary Recent research on Cintas shows a mix of enthusiasm for the UniFirst acquisition and caution around valuation and execution, with several firms adjusting price targets and ratings to reflect updated assumptions.
UBER
US$69.18
Uber Technologies
7D
-6.4%
1Y
-4.9%

UBER: Expanding Autonomous Partnerships Will Support Long Term Upside Potential

Uber's updated analyst price target edged slightly lower to about $104, with analysts citing refined assumptions on discount rate, profit margin and future P/E as they weigh recent commentary on autonomous vehicle partnerships, competitive AV supply and broader sector multiple resets. Analyst Commentary Recent research on Uber frames a fairly clear debate around how quickly the company can execute on autonomous vehicles, how durable its core Mobility growth can be into 2026, and what P/E or cash flow multiple is appropriate as estimates and sector sentiment reset.
UNP
US$238.79
Union Pacific
7D
1.6%
1Y
2.9%
URI
US$734.30
United Rentals
7D
3.4%
1Y
17.0%
BA
US$190.52
Boeing
7D
-2.4%
1Y
9.9%
CSX
US$39.67
CSX
7D
3.9%
1Y
36.3%
FAST
US$44.95
Fastenal
7D
2.7%
1Y
18.0%

FAST: Modest February Sales Strength Will Still Drive Further Multiple Compression

Analysts have nudged Street price targets on Fastenal modestly higher, with moves such as Baird's lift to $52 and Barclays' to $44. These changes reflect updated models that factor in recent data points like stronger than expected February average daily sales.
DE
US$566.64
Deere
7D
1.2%
1Y
21.8%
CAT
US$695.40
Caterpillar
7D
2.1%
1Y
110.9%

CAT: Data Center Power Dependence Will Likely Restrain Future Return Potential

Caterpillar's updated analyst price target reflects a modest fair value lift of about $1 per share. Analysts point to stronger construction demand signals from ConExpo, lengthening engine lead times tied to data center projects, and growing confidence in the company as a physical AI and infrastructure supplier.
AXON
US$429.94
Axon Enterprise
7D
-13.4%
1Y
-19.6%

AXON: Sector Multiple Compression Will Confront Recurring Revenue And AI Opportunity

Axon Enterprise's updated analyst price target has been reduced by $0, with analysts citing sector wide multiple compression and current sentiment, even as they highlight solid Q4 results, stronger long term targets, recurring revenue growth and potential AI advantages in their rationale. Analyst Commentary Recent Street research around Axon reflects a mix of confidence in the business model and caution around valuation and sector sentiment.
FERG
US$224.76
Ferguson Enterprises
7D
3.3%
1Y
40.0%

FERG: Large Project Exposure And Capital Returns Will Drive Medium Term Upside

Analysts have lifted their average price targets on Ferguson into a roughly $252 to $300 range, citing Q4 results, medium term growth and margin targets, and the company's positioning in non residential and large project markets as key supports for the updated outlook. Analyst Commentary Recent research points to a broadly constructive stance on Ferguson, with price targets clustered in the low to high $200s and a few reaching $300, as analysts refresh models following the latest Q4 report and management's medium term framework.
GE
US$282.81
General Electric
7D
-1.4%
1Y
41.5%

GE: Fairly Valued On Engine Strength Automation Push And Execution Risk

Analysts have trimmed the updated fair value estimate for General Electric to about $297 from roughly $301, while still lifting Street price targets into the $378 to $425 range. They highlight GE Aerospace's competitive moat, engine business review work, and refreshed guidance as support for the revised outlook.