S&P 500 Materials Sector: current P/E Ratio

25.84
Last update: 03 October 2024

The estimated P/E Ratio for S&P 500 Materials Sector is 25.84, calculated on 03 October 2024.

Considering the last 5 years, an average P/E interval is [16.00 , 20.48]. For this reason, the current P/E can be considered Expensive

P/E Ratio is calculated on the XLB Etf, whose benchmark is the S&P 500 Materials Sector.

Historical P/E Ratio

When evaluating the P/E Ratio, it's important to not only look at its absolute value but also compare it to the average of previous periods. This allows for a more comprehensive understanding of the index/market valuation.

The following chart shows how the S&P 500 Materials Sector P/E Ratio has changed over time. Furthermore, for some trailing timeframes, you can view the average P/E and standard deviation.

03 October 2024 · P/E Ratio: 25.84
03 October 2024 · P/E Ratio: 25.84 · 1Y Average: 22.75 · 1 Std Dev range: [20.60 , 24.90] · 2 Std Dev range: [18.45 , 27.05]
03 October 2024 · P/E Ratio: 25.84 · 5Y Average: 18.24 · 1 Std Dev range: [16.00 , 20.48] · 2 Std Dev range: [13.76 , 22.72]
03 October 2024 · P/E Ratio: 25.84 · 10Y Average: 17.02 · 1 Std Dev range: [15.42 , 18.63] · 2 Std Dev range: [13.82 , 20.23]
03 October 2024 · P/E Ratio: 25.84 · 20Y Average: 15.48 · 1 Std Dev range: [13.71 , 17.26] · 2 Std Dev range: [11.94 , 19.03]
Methodology
The Average P/E (μ) and the Standard Deviation (σ) are calculated excluding 20% outliers (i.e. over a range of values excluding 10% of observations from the top and 10% from the bottom of the dataset).
A P/E between (μ - σ) and (μ + σ) is considered "Fair", over a specific timeframe.
A P/E greater than (μ + σ) is defined "Overvalued", greater than (μ + 2σ) is defined "Expensive".
A P/E less than (μ - σ) is defined "Undervalued", less than (μ - 2σ) is defined "Cheap".
03 October 2024 · P/E Ratio: 25.84 · Last Periods metrics
Show all periods
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Range
Analysis
Period Average P/E
(μ)		 Std Dev
(σ)		 Std Dev Range
[ μ-2σ · μ-σ , μ+σ · μ+2σ ]		 vs Current P/E
( 25.84 )		 Deviation
vs μ		 Valuation
Last 1Y 22.75 2.15 [18.45 · 20.60 , 24.90 · 27.05]
+1.44 σ
Overvalued
Last 2Y 19.25 3.24 [12.78 · 16.01 , 22.49 · 25.72]
+2.04 σ
Expensive
Last 3Y 17.24 2.84 [11.55 · 14.40 , 20.08 · 22.93]
+3.02 σ
Expensive
Last 4Y 17.68 2.35 [12.98 · 15.33 , 20.03 · 22.38]
+3.47 σ
Expensive
Last 5Y 18.24 2.24 [13.76 · 16.00 , 20.48 · 22.72]
+3.40 σ
Expensive
Last 6Y 17.54 2.16 [13.21 · 15.37 , 19.70 · 21.86]
+3.84 σ
Expensive
Last 7Y 17.37 1.98 [13.41 · 15.39 , 19.35 · 21.33]
+4.28 σ
Expensive
Last 8Y 17.33 1.70 [13.92 · 15.62 , 19.03 · 20.73]
+5.00 σ
Expensive
Last 9Y 17.12 1.64 [13.84 · 15.48 , 18.76 · 20.40]
+5.32 σ
Expensive
Last 10Y 17.02 1.60 [13.82 · 15.42 , 18.63 · 20.23]
+5.51 σ
Expensive
Last 11Y 16.87 1.44 [13.98 · 15.42 , 18.31 · 19.76]
+6.21 σ
Expensive
Last 12Y 16.56 1.58 [13.39 · 14.98 , 18.14 · 19.72]
+5.88 σ
Expensive
Last 13Y 16.19 1.72 [12.74 · 14.47 , 17.91 · 19.63]
+5.61 σ
Expensive
Last 14Y 15.92 1.80 [12.32 · 14.12 , 17.73 · 19.53]
+5.50 σ
Expensive
Last 15Y 15.92 1.80 [12.32 · 14.12 , 17.72 · 19.52]
+5.51 σ
Expensive
Last 16Y 15.96 1.92 [12.12 · 14.04 , 17.87 · 19.79]
+5.16 σ
Expensive
Last 17Y 15.81 1.89 [12.03 · 13.92 , 17.70 · 19.58]
+5.32 σ
Expensive
Last 18Y 15.67 1.82 [12.03 · 13.85 , 17.49 · 19.31]
+5.59 σ
Expensive
Last 19Y 15.53 1.81 [11.91 · 13.72 , 17.35 · 19.16]
+5.69 σ
Expensive
Last 20Y 15.48 1.77 [11.94 · 13.71 , 17.26 · 19.03]
+5.84 σ
Expensive

S&P 500 Materials Sector Trend

Trend is evaluated considering the price of the XLB Etf and its 200/50-day moving averages (SMA).

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Trend Indicator Valuation Margin
Long Term Price vs SMA200 +6.22% 03 Oct
Short Term Price vs SMA50 +2.86% 03 Oct
The 200-day moving average is a long-term indicator that takes into account the average price of a stock over the past 200 trading days. It is considered a significant level of support or resistance, meaning that when the stock price is above the 200-day moving average (i.e. margin vs moving average is positive), it is generally viewed as bullish, while when it is below, it is viewed as bearish.

The 50-day moving average, on the other hand, is a shorter-term indicator that measures the average price of a stock over the past 50 trading days. It is also viewed as a significant level of support or resistance and can be used to identify shorter-term trends.