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

23.85
Last update: 20 November 2024

The estimated P/E Ratio for S&P 500 Materials Sector is 23.85, calculated on 20 November 2024.

Considering the last 5 years, an average P/E interval is [16.03 , 20.77]. 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.

20 November 2024 · P/E Ratio: 23.85
20 November 2024 · P/E Ratio: 23.85 · 1Y Average: 23.40 · 1 Std Dev range: [21.92 , 24.88] · 2 Std Dev range: [20.43 , 26.36]
20 November 2024 · P/E Ratio: 23.85 · 5Y Average: 18.40 · 1 Std Dev range: [16.03 , 20.77] · 2 Std Dev range: [13.65 , 23.15]
20 November 2024 · P/E Ratio: 23.85 · 10Y Average: 17.09 · 1 Std Dev range: [15.45 , 18.73] · 2 Std Dev range: [13.81 , 20.37]
20 November 2024 · P/E Ratio: 23.85 · 20Y Average: 15.51 · 1 Std Dev range: [13.71 , 17.31] · 2 Std Dev range: [11.91 , 19.11]
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".
20 November 2024 · P/E Ratio: 23.85 · 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
( 23.85 )		 Deviation
vs μ		 Valuation
Last 1Y 23.40 1.48 [20.43 · 21.92 , 24.88 · 26.37]
+0.30 σ
Fair
Last 2Y 19.72 3.26 [13.21 · 16.47 , 22.98 · 26.24]
+1.27 σ
Overvalued
Last 3Y 17.53 3.10 [11.32 · 14.42 , 20.63 · 23.74]
+2.03 σ
Expensive
Last 4Y 17.81 2.56 [12.70 · 15.25 , 20.37 · 22.93]
+2.36 σ
Expensive
Last 5Y 18.40 2.37 [13.65 · 16.03 , 20.77 · 23.15]
+2.29 σ
Expensive
Last 6Y 17.69 2.20 [13.28 · 15.48 , 19.89 · 22.09]
+2.80 σ
Expensive
Last 7Y 17.42 2.06 [13.31 · 15.37 , 19.48 · 21.53]
+3.13 σ
Expensive
Last 8Y 17.39 1.75 [13.88 · 15.64 , 19.14 · 20.90]
+3.68 σ
Expensive
Last 9Y 17.21 1.66 [13.89 · 15.55 , 18.86 · 20.52]
+4.00 σ
Expensive
Last 10Y 17.09 1.64 [13.81 · 15.45 , 18.73 · 20.37]
+4.12 σ
Expensive
Last 11Y 16.92 1.48 [13.96 · 15.44 , 18.40 · 19.89]
+4.67 σ
Expensive
Last 12Y 16.62 1.60 [13.41 · 15.02 , 18.22 · 19.82]
+4.51 σ
Expensive
Last 13Y 16.25 1.74 [12.78 · 14.51 , 17.98 · 19.72]
+4.38 σ
Expensive
Last 14Y 15.97 1.83 [12.31 · 14.14 , 17.80 · 19.63]
+4.30 σ
Expensive
Last 15Y 15.93 1.82 [12.29 · 14.11 , 17.75 · 19.57]
+4.35 σ
Expensive
Last 16Y 16.01 1.93 [12.15 · 14.08 , 17.94 · 19.87]
+4.06 σ
Expensive
Last 17Y 15.84 1.92 [12.01 · 13.92 , 17.76 · 19.68]
+4.17 σ
Expensive
Last 18Y 15.71 1.83 [12.05 · 13.88 , 17.54 · 19.38]
+4.44 σ
Expensive
Last 19Y 15.57 1.84 [11.90 · 13.73 , 17.40 · 19.24]
+4.51 σ
Expensive
Last 20Y 15.51 1.80 [11.91 · 13.71 , 17.31 · 19.11]
+4.63 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 +1.57% 20 Nov
Short Term Price vs SMA50 -2.27% 20 Nov
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.