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U.S. Industrials Sector Analysis

UpdatedAug 25, 2026
DataAggregated Company Financials
Companies1078
  • 7D-4.6%
  • 3M-1.7%
  • 1Y16.0%
  • YTD10.6%

The Industrials industry is down 4.6% over the last week with GE Vernova the worst performer, down 13%. Meanwhile, Deere actually outperformed within the industry, gaining 8.1% in the last week. This takes the industry's 12 month performance to a gain of 16%. 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
Tue, 25 Aug 2026US$7.7tUS$3.0tUS$233.0b25.2x33x2.5x
Thu, 23 Jul 2026US$7.6tUS$2.9tUS$220.0b26.3x34.6x2.6x
Sat, 20 Jun 2026US$7.9tUS$2.9tUS$222.3b26.2x35.8x2.7x
Mon, 18 May 2026US$7.4tUS$2.9tUS$219.9b24.8x33.9x2.6x
Wed, 15 Apr 2026US$7.4tUS$2.8tUS$214.3b25.9x34.4x2.6x
Fri, 13 Mar 2026US$7.2tUS$2.9tUS$212.3b24.5x33.9x2.5x
Sun, 08 Feb 2026US$7.4tUS$2.9tUS$208.6b26.8x35.4x2.6x
Tue, 06 Jan 2026US$6.6tUS$2.7tUS$210.3b25.1x31.6x2.4x
Thu, 04 Dec 2025US$6.3tUS$2.7tUS$210.0b24.6x30.2x2.3x
Sat, 01 Nov 2025US$6.4tUS$2.7tUS$210.9b25x30.5x2.4x
Mon, 29 Sep 2025US$6.3tUS$2.7tUS$208.6b24.7x30.1x2.3x
Wed, 27 Aug 2025US$6.2tUS$2.7tUS$209.0b25.2x29.7x2.3x
Fri, 25 Jul 2025US$6.3tUS$2.7tUS$205.3b24.3x30.5x2.3x
Sun, 22 Jun 2025US$5.8tUS$2.7tUS$205.1b22.3x28.2x2.1x
Tue, 20 May 2025US$5.8tUS$2.7tUS$206.5b22.9x28.2x2.2x
Thu, 17 Apr 2025US$5.1tUS$2.7tUS$203.3b19.7x25.2x1.9x
Sat, 15 Mar 2025US$5.2tUS$2.7tUS$204.4b21.2x25.6x2x
Mon, 10 Feb 2025US$5.7tUS$2.7tUS$208.2b24x27.6x2.1x
Wed, 08 Jan 2025US$5.6tUS$2.7tUS$197.7b23.6x28.3x2.1x
Fri, 06 Dec 2024US$6.0tUS$2.7tUS$198.3b24.9x30.4x2.2x
Sun, 03 Nov 2024US$5.6tUS$2.7tUS$193.7b23.2x29.1x2.1x
Tue, 01 Oct 2024US$5.6tUS$2.7tUS$179.6b23.2x31.4x2.1x
Thu, 29 Aug 2024US$5.4tUS$2.7tUS$179.7b22.2x30x2x
Sat, 27 Jul 2024US$5.3tUS$2.7tUS$173.4b22.5x30.4x1.9x
Mon, 24 Jun 2024US$5.2tUS$2.7tUS$170.4b21.4x30.4x1.9x
Wed, 22 May 2024US$5.3tUS$2.7tUS$171.3b22.7x31x2x
Fri, 19 Apr 2024US$5.1tUS$2.7tUS$173.6b22x29.4x1.9x
Sun, 17 Mar 2024US$5.2tUS$2.7tUS$172.4b22.8x30x2x
Tue, 13 Feb 2024US$5.0tUS$2.7tUS$173.4b22.6x28.8x1.9x
Thu, 11 Jan 2024US$4.8tUS$2.7tUS$182.9b20.7x26.5x1.8x
Sat, 09 Dec 2023US$4.7tUS$2.7tUS$182.9b20.2x25.6x1.7x
Mon, 06 Nov 2023US$4.4tUS$2.7tUS$180.3b17.6x24.4x1.6x
Wed, 04 Oct 2023US$4.4tUS$2.7tUS$192.2b17.7x22.7x1.6x
Fri, 01 Sep 2023US$4.6tUS$2.7tUS$189.3b19.3x24.6x1.7x
Price to Earnings Ratio

24.6x


Total Market Cap: US$4.6tTotal Earnings: US$189.3bTotal Revenue: US$2.7tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Industrials Sector Price to Earnings3Y Average 29.7x202420252026
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 33.0x which is higher than its 3-year average PE of 29.7x.
  • The 3-year average PS ratio of 2.1x is lower than the industry's current PS ratio of 2.5x.
Past Earnings Growth
  • The earnings for companies in the Industrials industry have grown 7.2% per year over the last three years.
  • Revenues for these companies have grown 3.6% 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-1.55%
Industrials-4.62%
Professional Services4.26%
Commercial Services2.47%
Marine and Shipping1.66%
Transportation0.90%
Logistics-0.16%
Infrastructure-0.18%
Machinery-3.31%
Industrials-3.37%
Trade Distributors-3.73%
Building-4.99%
Airlines-6.16%
Aerospace & Defense-7.32%
Electrical-10.34%
Construction-12.80%
Industry PE
  • Investors are most optimistic about the Construction industry which is trading above its 3-year average PE ratio of 39.1x.
    • Analysts are expecting annual earnings growth of 25.6%, which is lower than the prior year's growth of 43.2% per year.
  • Investors are most pessimistic about the Marine and Shipping industry, which is trading below its 3-year average of 17.3x.
Forecasted Growth
  • Analysts are most optimistic on the Construction industry, expecting annual earnings growth of 26% over the next 5 years.
  • However this is lower than its past earnings growth rate of 43% per year.
  • In contrast, the Marine and Shipping industry is expected to see its earnings decline by 4.3% 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
DE DeereUS$648.648.1%
+US$13.2b		32.9%PE35.9x
UBER Uber TechnologiesUS$79.295.7%
+US$8.8b		-16.7%PE16.9x
ADP Automatic Data ProcessingUS$283.016.4%
+US$6.7b		-6.9%PE25.5x
UNP Union PacificUS$309.863.3%
+US$5.9b		38.8%PE25.1x
CTAS CintasUS$207.404.8%
+US$3.8b		-2.1%PE41.6x

Latest News

CTAS
US$207.40
Cintas
7D
4.8%
1Y
-2.1%
Seeking Alpha • 5h

Cintas: An Impressive Performer, Gradually Trading At A More Reasonable Price

Summary Cintas advances with the UniFirst acquisition, adding scale but facing integration challenges and ambitious synergy targets. Cintas trades at 40x earnings, with organic growth near 9% and operating margins at 23%, yet valuation remains demanding. Forward guidance targets 2027 sales of $12.1–$12.25B and EPS of $5.36–$5.50, with leverage manageable at 1.5x post-deal. I target a more attractive entry point near $175, given the premium valuation and ongoing integration risks. Read the full article on Seeking Alpha
UBER
US$79.29
Uber Technologies
7D
5.7%
1Y
-16.7%
PAYX
US$126.01
Paychex
7D
6.3%
1Y
-9.0%
GEV
US$942.10
GE Vernova
7D
-12.7%
1Y
56.4%
Seeking Alpha • 22h

GE Vernova: The Grid-And-Gas Bottleneck Is Becoming A Margin Flywheel

Summary GE Vernova Inc. earns a Buy rating due to its dual exposure to Power and Electrification, capitalizing on surging electricity and data center demand. GEV’s integrated model, robust backlog, and customer-funded capacity expansion drive margin improvement and position it for strong earnings growth. Electrification segment, bolstered by full Prolec GE ownership, is poised for mid-teens growth and premium margins, with data center orders already doubling last year’s total. GEV stock valuation is rich but justified by visibility, service economics, and scarcity premium; upside depends on exceeding margin targets and sustaining backlog conversion. Read the full article on Seeking Alpha
UNP
US$309.86
Union Pacific
7D
3.3%
1Y
38.8%
DE
US$648.64
Deere
7D
8.1%
1Y
32.9%
VRT
US$254.97
Vertiv Holdings Co
7D
-12.8%
1Y
103.9%
ETN
US$408.67
Eaton
7D
-10.3%
1Y
18.2%
New Narrative • Aug 22

Electrical Infrastructure Rail

Switchgear and power distribution get specified into a building's electrical design, certified to code, then live there 20 to 40 years, so the installed base converts into decades of parts and service. The genuine rail sits elsewhere though: in Aerospace, where a part is certified to an aircraft platform and switching suppliers means re-certifying with the FAA — Texas Instruments' requalification logic with a regulator attached, feeding a decades-long spares annuity that Schneider has no equivalent of.
RSG
US$223.08
Republic Services
7D
3.6%
1Y
-3.9%
RTX
US$209.22
RTX
7D
-5.6%
1Y
33.9%
BA
US$210.46
Boeing
7D
-6.9%
1Y
-7.2%
ADP
US$283.01
Automatic Data Processing
7D
6.4%
1Y
-6.9%
Narrative Update • Aug 20

ADP: Stable Margins And Labor Trends Will Support Earnings Power

The updated analyst price target for Automatic Data Processing is now $322, down from $332, as analysts weigh steady margin expectations and P/E assumptions against more cautious views on revenue growth and bookings, even as a series of recent Street target increases reflects ongoing interest in the stock. Analyst Commentary Recent Street research on Automatic Data Processing shows a cluster of higher price targets, even as opinions on the stock remain mixed.
CAT
US$811.02
Caterpillar
7D
-8.0%
1Y
87.6%
Narrative Update • Aug 20

CAT: Data Center Regulation Will Constrain AI Power Backlog And Future Upside

Caterpillar's analyst fair value estimate has been lifted from about $692 to about $716 as analysts factor in stronger modeled revenue growth and a slightly higher future P/E multiple, partly offset by more conservative profit margin and discount rate assumptions following recent Q2 driven target changes across the Street. Analyst Commentary Recent Street research on Caterpillar points to a mixed setup, with several firms lifting price targets after the Q2 earnings beat while a subset of bearish analysts turns more cautious on how durable current growth and margins may be.
GE
US$341.84
General Electric
7D
-7.5%
1Y
28.2%
PWR
US$616.78
Quanta Services
7D
-14.6%
1Y
63.0%
Narrative Update • Aug 12

PWR: AI Power And Data Center Backlog Will Drive Multiyear Upside

Analysts have nudged their fair value estimate for Quanta Services higher to $976 from $940, reflecting updated assumptions that incorporate stronger revenue expectations, a richer future P/E of about 62x, and recent research that highlights the stock's scale, backlog supports, and role in power and data center investment themes. Analyst Commentary Recent Street research on Quanta Services points to a generally constructive view on the stock, with many bullish analysts highlighting execution on large projects, exposure to power and data center spending, and a pipeline that they see as supportive of premium valuation multiples.
NSC
US$352.98
Norfolk Southern
7D
3.5%
1Y
27.3%
Narrative Update • Jul 30

NSC: Tighter Trucking Capacity And Merger Progress Will Shape Forward Appeal

Analysts have raised the Norfolk Southern fair value estimate from $341.72 to $363.72. This change reflects higher price targets across the Street that are grounded in recent earnings beats, firmer profit margins, and a supportive revenue backdrop.