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U.S. Industrials Sector Analysis

UpdatedJul 27, 2026
DataAggregated Company Financials
Companies1074
  • 7D1.4%
  • 3M2.4%
  • 1Y16.7%
  • YTD12.8%

In the last week, the Industrials industry is up 1.4%, with RTX up 9.4%. In the last 12 months, the industry was up 17%. As for the next few years, earnings are expected to grow by 16% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 27 Jul 2026US$7.7tUS$2.9tUS$227.1b26.1x34x2.6x
Wed, 24 Jun 2026US$7.9tUS$2.9tUS$219.6b26x36x2.7x
Fri, 22 May 2026US$7.4tUS$2.9tUS$219.4b25.4x33.9x2.6x
Sun, 19 Apr 2026US$7.5tUS$2.8tUS$214.4b26.3x34.9x2.6x
Tue, 17 Mar 2026US$7.0tUS$2.9tUS$212.2b23.9x32.9x2.4x
Thu, 12 Feb 2026US$7.4tUS$2.9tUS$211.1b26.8x35.2x2.6x
Sat, 10 Jan 2026US$6.7tUS$2.7tUS$210.3b25.4x31.8x2.4x
Mon, 08 Dec 2025US$6.4tUS$2.7tUS$209.6b24.6x30.6x2.3x
Wed, 05 Nov 2025US$6.4tUS$2.7tUS$215.4b24.8x29.9x2.4x
Fri, 03 Oct 2025US$6.4tUS$2.7tUS$209.3b25x30.5x2.4x
Sun, 31 Aug 2025US$6.2tUS$2.7tUS$208.6b25x29.8x2.3x
Tue, 29 Jul 2025US$6.3tUS$2.7tUS$205.8b24.3x30.7x2.3x
Thu, 26 Jun 2025US$5.9tUS$2.7tUS$205.3b22.8x28.8x2.2x
Sat, 24 May 2025US$5.7tUS$2.7tUS$206.3b22.4x27.6x2.1x
Mon, 21 Apr 2025US$5.1tUS$2.7tUS$203.0b19.8x25x1.9x
Wed, 19 Mar 2025US$5.4tUS$2.7tUS$203.5b21.4x26.6x2x
Fri, 14 Feb 2025US$5.7tUS$2.7tUS$206.3b23.6x27.8x2.1x
Sun, 12 Jan 2025US$5.5tUS$2.7tUS$197.0b23.3x28x2x
Tue, 10 Dec 2024US$5.9tUS$2.7tUS$198.3b24.9x30x2.2x
Thu, 07 Nov 2024US$5.7tUS$2.7tUS$193.9b25.3x29.5x2.1x
Sat, 05 Oct 2024US$5.6tUS$2.7tUS$179.9b23.1x31.3x2.1x
Mon, 02 Sep 2024US$5.5tUS$2.7tUS$179.7b22.6x30.4x2x
Wed, 31 Jul 2024US$5.3tUS$2.7tUS$181.5b22.7x29.3x2x
Fri, 28 Jun 2024US$5.1tUS$2.7tUS$170.4b21.2x30.1x1.9x
Sun, 26 May 2024US$5.3tUS$2.7tUS$170.2b22.5x31x2x
Tue, 23 Apr 2024US$5.1tUS$2.7tUS$173.6b22.5x29.3x1.9x
Thu, 21 Mar 2024US$5.2tUS$2.7tUS$172.5b23.1x30.3x2x
Sat, 17 Feb 2024US$5.1tUS$2.7tUS$174.5b22.7x29x1.9x
Mon, 15 Jan 2024US$4.9tUS$2.7tUS$184.2b20.8x26.4x1.8x
Wed, 13 Dec 2023US$4.7tUS$2.7tUS$182.7b20.4x26x1.7x
Fri, 10 Nov 2023US$4.4tUS$2.7tUS$185.4b17.8x23.6x1.6x
Sun, 08 Oct 2023US$4.4tUS$2.7tUS$192.2b17.7x22.7x1.6x
Tue, 05 Sep 2023US$4.7tUS$2.7tUS$189.4b19.4x24.7x1.7x
Thu, 03 Aug 2023US$4.7tUS$2.7tUS$191.2b18.7x24.8x1.7x
Price to Earnings Ratio

24.8x


Total Market Cap: US$4.7tTotal Earnings: US$191.2bTotal Revenue: US$2.7tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Industrials Sector Price to Earnings3Y Average 29.5x202420252026
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 34.0x which is higher than its 3-year average PE of 29.5x.
  • 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 5.9% per year over the last three years.
  • Revenues for these companies have grown 2.5% 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 U.S. Industrials sector?

US Market-1.05%
Industrials1.38%
Industrials7.85%
Marine and Shipping4.53%
Aerospace & Defense4.47%
Machinery2.51%
Trade Distributors2.10%
Building1.28%
Construction0.77%
Infrastructure0.24%
Airlines-0.19%
Professional Services-0.65%
Transportation-1.13%
Commercial Services-1.24%
Electrical-1.77%
Logistics-2.33%
Industry PE
  • Investors are most optimistic about the Electrical industry even though it's trading below its 3-year average PE ratio of 64.5x.
    • Analysts are expecting annual earnings growth of 18.0%, which is lower than the prior year's growth of 23.1% per year.
  • Investors are most pessimistic about the Marine and Shipping industry, which is trading below its 3-year average of 17.1x.
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 Industrials industry is expected to see its earnings decline by 3.6% 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
RTX RTXUS$212.799.4%
+US$24.9b		36.3%PE37.1x
LMT Lockheed MartinUS$582.6014.3%
+US$17.0b		38.3%PE21.4x
GE General ElectricUS$353.733.6%
+US$12.9b		30.7%PE40.9x
DE DeereUS$628.167.2%
+US$11.4b		23.0%PE35.5x
CAT CaterpillarUS$888.732.8%
+US$11.3b		105.3%PE43.4x

Latest News

UBER
US$65.94
Uber Technologies
7D
-8.6%
1Y
-27.2%
LMT
US$582.60
Lockheed Martin
7D
14.3%
1Y
38.3%
URI
US$1,141.59
United Rentals
7D
12.7%
1Y
26.9%
WAB
US$302.50
Westinghouse Air Brake Technologies
7D
17.3%
1Y
53.5%
GE
US$353.73
General Electric
7D
3.6%
1Y
30.7%
AXON
US$502.34
Axon Enterprise
7D
-4.8%
1Y
-31.8%
Seeking Alpha • Jul 25

Axon: Strong Growth, But The Cash Is Arriving Too Slowly

Summary Axon Enterprise delivered strong Q1 results, raising full-year topline growth guidance to 30-32% with a robust $14.3b backlog. Despite resilient adjusted EBITDA margins (~25%), FCF margins have deteriorated, pulling the Rule of 40 (cash-based) below 40 for 2025. Structural cash conversion issues, driven by multi-year contracts and increased receivables, offset the compelling growth and moderate valuations. I maintain a Hold rating, prioritizing improvement in FCF generation and receivables-to-unearned revenue ratio before considering a Buy. Read the full article on Seeking Alpha
CHRW
US$186.51
C.H. Robinson Worldwide
7D
-9.4%
1Y
83.8%
HWM
US$289.26
Howmet Aerospace
7D
6.4%
1Y
53.7%
Seeking Alpha • Jul 25

Howmet Aerospace: Priced For Everything Going Right

Summary Howmet Aerospace raised full-year guidance after 19% revenue growth and a record 32% EBITDA margin, but trades near all-time highs. HWM’s valuation is stretched at 55x forward earnings, with a 1.8% yield well below the 10-year Treasury, justifying a Hold rating and $247 fair value. Profit growth is driven by high-margin aftermarket spares and robust gas turbine demand, but the market already prices in strong future execution. Risks include reliance on GE/RTX, cyclical exposure, and high expectations; even mild disappointments could pressure the multiple at current levels. Read the full article on Seeking Alpha
LUV
US$45.08
Southwest Airlines
7D
-6.7%
1Y
38.6%
GEV
US$1,014.75
GE Vernova
7D
-6.0%
1Y
56.7%
RTX
US$212.79
RTX
7D
9.4%
1Y
36.3%
Narrative Update • Jul 24

RTX: Backlog Execution And Defense Demand Will Shape Balanced Future Prospects

RTX’s analyst price target has increased to $226.82 from $215.73, as analysts highlight strong Q2 execution, raised multi-year guidance, and support from a $289b backlog with broad-based segment strength. Analyst Commentary Recent research on RTX highlights a mix of optimism around execution and growth, and some caution around valuation and potential headwinds, giving investors a more rounded view of the stock’s risk and reward profile.
ROL
US$38.56
Rollins
7D
-13.8%
1Y
-32.7%
BE
US$184.89
Bloom Energy
7D
-6.2%
1Y
431.6%
Seeking Alpha • Jul 24

Bloom Energy Q2 Preview: What I Need To See To Stay Bullish

Summary Bloom Energy is upgraded from Hold to Buy, driven by its tech moat in solid oxide fuel cells and accelerating growth. BE’s Q1 revenue surged 130% YoY, with the product segment up 208% and strong margin expansion across all segments. I expect Q2 catalysts: higher segment margins, another large hyperscaler deal, sustained positive operating cash flow, and continued manufacturing cost reductions. Despite premium valuation, BE’s profitability, $20B backlog, and asset-light shift support significant growth potential, with regulatory and execution risks to monitor. Read the full article on Seeking Alpha
ADP
US$250.09
Automatic Data Processing
7D
-2.0%
1Y
-18.5%
Narrative Update • Jul 23

ADP: Q4 Earnings Setup And Stable Employment Trends Will Support Rebound Potential

Analysts have raised their average price target on Automatic Data Processing to about $258 from roughly $247, citing achievable fintech earnings expectations, stable employment trends that support payroll and HCM demand, and updated models that reflect current rate and currency assumptions. Analyst Commentary Recent Street research on Automatic Data Processing reflects a mix of optimism and caution, with several firms updating price targets and ratings as they refine their models around rates, currencies, and upcoming earnings events.
CAT
US$888.73
Caterpillar
7D
2.8%
1Y
105.3%
DE
US$628.16
Deere
7D
7.2%
1Y
23.0%
Narrative Update • Jul 15

DE: AI Precision Investment And Tariff Relief Will Support Future Upside

Analysts have raised their price targets on Deere, increasing fair value estimates from $759.00 to about $803.77. This shift is supported by expectations for steadier margins, a slightly lower discount rate, modestly higher future P/E assumptions, and generally constructive sector research.