Why did ASX 200 industrial shares lead the market last week?

MotleyFool
02-16

Industrial shares led the ASX 200 market sectors with a 2.93% uplift over the five trading days.

On Friday, the benchmark S&P/ASX 200 Index (ASX: XJO) reached a new all-time high of 8,615.2 points before closing at 8,555.8 points, up 0.52% for the week.

We're now midway through the February earnings season, with the ASX 200 down 2.63% since 31 January. Next week, the major miners and several big banks report their latest earnings.

On Tuesday, the market will be rocked one way or another when the Reserve Bank of Australia makes its first call on interest rates for 2025.

There is much anticipation that the RBA will finally cut the official cash rate after 14 months on hold at 4.35%.

Six of the 11 market sectors finished in the green last week.

Let's recap.

Industrial shares led the ASX market sectors last week

ASX 200 industrials shares include transport companies like airlines and toll road operators, capital goods manufacturers, and commercial services and supplies providers.

Last week, it appears the sector was pushed higher by some strong share price gains for some of the sector's largest companies after reporting their 1H FY25 results.

For example, Computershare Ltd (ASX: CPU) shot the lights out last week, rising 20.73% over the five trading days to close at $42.51 on Friday.

Computershare shares also set a new record high of $43.16 per share on Friday.

The share price surge followed the release of the company's 1H FY25 results on Wednesday.

Computershare reported a 6.4% increase in management revenue to US$1.5 billion and a 27.9% jump in management EBIT (excluding margin income) to $171.2 million.

Stock in diversified investments company, SGH Ltd (ASX: SGH), formerly known as Seven Group Holdings, also soared by 12.26% last week to finish at $54.58 on Friday.

SGH shares also reached a new record high of $55.12 on Friday.

SGH released its 1H FY25 results on Tuesday, revealing a 2% increase in revenue to $5.5 billion and a 10% lift in EBIT to $843 million.

In other news, shares in toll road operator Transurban Group (ASX: TCL) rose 2.31% over the week to finish at $13.30 on Friday.

Stock in wooden pallets distributor Brambles Ltd (ASX: BXB) rose by 0.36% to close at $19.28.

Qantas Airways Ltd (ASX: QAN) shares rose by 0.43% to finish at $9.35 on Friday. The ASX 200 airline stock hit a new all-time high of $9.64 per share during the week.

With dividends on investors' minds this month, check out which ASX 200 industrials share will pay the best dividend yield in 2025.

ASX 200 market sector snapshot

Here's how the 11 market sectors stacked up last week, according to CommSec data.

Over the five trading days:

S&P/ASX 200 market sectorChange last week
Industrials (ASX: XNJ)2.93%
Consumer Staples (ASX: XSJ)2.42%
Consumer Discretionary (ASX: XDJ)2.38%
Financials (ASX: XFJ)0.86%
Materials (ASX: XMJ)0.79%
A-REIT (ASX: XPJ)0.42%
Communications (ASX: XTJ)(0.21%)
Utilities (ASX: XUJ)(0.49%)
Information Technology (ASX: XIJ)(0.73%)
Energy (ASX: XEJ)(1.14%)
Healthcare (ASX: XHJ)(3.75%)

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