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

24.53
Last update: 17 January 2025

The estimated P/E Ratio for S&P 500 Materials Sector is 24.53, calculated on 17 January 2025.

Considering the last 5 years, an average P/E interval is [16.05 , 21.30]. 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.

17 January 2025 · P/E Ratio: 24.53
17 January 2025 · P/E Ratio: 24.53 · 1Y Average: 24.11 · 1 Std Dev range: [23.40 , 24.82] · 2 Std Dev range: [22.68 , 25.54]
17 January 2025 · P/E Ratio: 24.53 · 5Y Average: 18.68 · 1 Std Dev range: [16.05 , 21.30] · 2 Std Dev range: [13.42 , 23.93]
17 January 2025 · P/E Ratio: 24.53 · 10Y Average: 17.21 · 1 Std Dev range: [15.47 , 18.95] · 2 Std Dev range: [13.72 , 20.69]
17 January 2025 · P/E Ratio: 24.53 · 20Y Average: 15.57 · 1 Std Dev range: [13.71 , 17.42] · 2 Std Dev range: [11.85 , 19.28]
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".
17 January 2025 · P/E Ratio: 24.53 · Last Periods metrics
Show all periods
Swipe left to see all data
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
( 24.53 )		 Deviation
vs μ		 Valuation
Last 1Y 24.11 0.71 [22.68 · 23.40 , 24.82 · 25.54]
+0.59 σ
Fair
Last 2Y 20.57 3.25 [14.06 · 17.31 , 23.82 · 27.08]
+1.22 σ
Overvalued
Last 3Y 18.12 3.50 [11.12 · 14.62 , 21.62 · 25.12]
+1.83 σ
Overvalued
Last 4Y 18.00 2.87 [12.26 · 15.13 , 20.87 · 23.74]
+2.28 σ
Expensive
Last 5Y 18.68 2.63 [13.42 · 16.05 , 21.30 · 23.93]
+2.23 σ
Expensive
Last 6Y 18.01 2.36 [13.29 · 15.65 , 20.38 · 22.74]
+2.76 σ
Expensive
Last 7Y 17.56 2.26 [13.04 · 15.30 , 19.82 · 22.08]
+3.08 σ
Expensive
Last 8Y 17.52 1.89 [13.73 · 15.62 , 19.41 · 21.31]
+3.70 σ
Expensive
Last 9Y 17.35 1.74 [13.87 · 15.61 , 19.10 · 20.84]
+4.11 σ
Expensive
Last 10Y 17.21 1.74 [13.72 · 15.47 , 18.95 · 20.69]
+4.20 σ
Expensive
Last 11Y 17.03 1.57 [13.89 · 15.46 , 18.60 · 20.17]
+4.77 σ
Expensive
Last 12Y 16.75 1.65 [13.46 · 15.10 , 18.39 · 20.04]
+4.73 σ
Expensive
Last 13Y 16.38 1.77 [12.83 · 14.61 , 18.15 · 19.92]
+4.60 σ
Expensive
Last 14Y 16.07 1.90 [12.28 · 14.17 , 17.97 · 19.86]
+4.46 σ
Expensive
Last 15Y 15.97 1.89 [12.19 · 14.08 , 17.87 · 19.76]
+4.52 σ
Expensive
Last 16Y 16.12 1.96 [12.19 · 14.15 , 18.08 · 20.04]
+4.29 σ
Expensive
Last 17Y 15.92 1.98 [11.95 · 13.94 , 17.90 · 19.89]
+4.34 σ
Expensive
Last 18Y 15.79 1.88 [12.03 · 13.91 , 17.67 · 19.55]
+4.64 σ
Expensive
Last 19Y 15.63 1.89 [11.85 · 13.74 , 17.52 · 19.41]
+4.71 σ
Expensive
Last 20Y 15.57 1.86 [11.85 · 13.71 , 17.42 · 19.28]
+4.83 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).

Swipe left to see all data
Trend Indicator Valuation Margin
Long Term Price vs SMA200 -2.98% 17 Jan
Short Term Price vs SMA50 -1.40% 17 Jan
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.