GWA Group Limited (GWA) AI Stock Analysis

• Market Cap: AU$649.75M
• Dividend Yield: 6.33%
• Average Volume (3M): 123.92K
• Price to Earnings (P/E): 17.6
• Beta (1Y): 0.90
• Revenue Growth: 1.63%
• EPS Growth: -18.01%
• Country: AU
• Employees: 629
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.14
• Shares Outstanding: 265,205,100
• 10 Day Avg. Volume: 110,661
• 30 Day Avg. Volume: 123,919
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$2.95
• Price Target Upside: 20.41% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

GWA Group Limited exhibits solid financial health with stable margins and robust cash flow, supporting a strong foundation. The valuation is attractive with a reasonable P/E ratio and high dividend yield. Technical indicators show a bullish trend, although caution is warranted due to overbought signals. The absence of recent earnings call data and corporate events does not impact the analysis significantly.

GWA Group Limited Business Overview & Revenue Model

Company Description

GWA Group Limited (GWA) is an Australian company that specializes in the design, manufacture, import, and distribution of building fixtures and fittings. The company's operations are primarily focused on the bathrooms and kitchens segment, offering a range of products including sanitaryware, tapware, showers, and other related bathroom and kitchen accessories. With a portfolio of well-known brands, GWA serves both residential and commercial markets, aiming to provide innovative and sustainable solutions for everyday living.

How the Company Makes Money

GWA Group Limited generates revenue primarily through the sale of its bathroom and kitchen products. The company's key revenue streams come from the wholesale distribution of its products to retailers, builders, and other developers. GWA leverages its strong brand portfolio and extensive distribution network to reach a wide customer base across Australia and New Zealand. Additionally, the company may engage in strategic partnerships and collaborations to enhance its market presence and product offerings. GWA's earnings are significantly influenced by the construction and renovation activities in the housing and commercial sectors, as well as consumer trends towards home improvement and sustainability.

GWA Group Limited Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
413.49M	411.84M	418.72M	405.74M	398.70M
	Gross Profit
162.35M	158.19M	161.81M	164.08M	161.27M
	EBIT
64.44M	69.34M	73.22M	67.30M	69.47M
	EBITDA
83.42M	90.75M	78.87M	78.15M	89.91M
	Net Income Common Stockholders
38.63M	43.16M	35.18M	35.06M	43.89M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
42.01M	43.44M	31.44M	42.63M	32.36M
	Total Assets
659.88M	694.53M	729.98M	693.71M	703.90M
	Total Debt
182.81M	212.56M	229.30M	212.60M	250.00M
	Net Debt
140.81M	169.12M	197.86M	169.97M	217.64M
	Total Liabilities
355.29M	388.99M	426.15M	397.10M	424.17M
	Stockholders Equity
304.59M	305.54M	303.83M	296.61M	279.73M
Cash Flow		Free Cash Flow
69.84M	70.66M	11.58M	73.15M	48.60M
	Operating Cash Flow
72.81M	72.88M	13.99M	78.30M	60.95M
	Investing Cash Flow
-2.98M	-2.22M	-2.41M	-7.98M	-12.32M
	Financing Cash Flow
-71.14M	-58.35M	-22.55M	-59.53M	-55.26M

GWA Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.45
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:GWA, the sentiment is Positive. The current price of 2.45 is above the 20-day moving average (MA) of 2.28, above the 50-day MA of 2.31, and above the 200-day MA of 2.33, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 64.43 is Neutral, neither overbought nor oversold. The STOCH value of 85.54 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:GWA.

GWA Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BXB	75 Outperform	$28.52B	22.87	26.45%	2.96%	3.86%	―
GWA	68 Neutral	AU$649.75M	17.59	12.07%	6.33%	1.63%	-18.01%
JHX	68 Neutral	$16.21B	24.66	21.82%	―	2.20%	-16.72%
Sector *	61 Neutral	$6.65B	11.71	3.09%	3.98%	2.65%	-20.82%
SXL	55 Neutral	€166.73M	―	-71.41%	1.66%	-7.85%	-3088.82%

GWA Group Limited Corporate Events

GWA Group Announces Director’s Interest Change

GWA Group Limited has announced a change in the director’s interest for Mr. Richard Thornton, as per the ASX Listing Rule 3.19A.2. The change involves the transfer of 263,114 shares from direct to indirect holding, with the shares now held indirectly through RJT Investments No 2 Pty Ltd, which has a 25% shareholding in TFCT Pty Ltd. This adjustment reflects a strategic reallocation of Mr. Thornton’s shareholding, potentially impacting the company’s governance and shareholder dynamics.

GWA Group Announces Office Relocation and Key Board Appointments

GWA Group Limited has announced a change in its registered office and principal place of business, now located at Level 24, 100 Mount Street, North Sydney, Australia. Additionally, the company has appointed Richard Thornton as the new Deputy Chair of the GWA Board and Brett Draffen as the Chair of the People & Culture Committee. These strategic appointments are expected to enhance the company’s governance and operational focus, potentially impacting its market positioning and stakeholder engagement positively.

GWA Group Announces Dividend Distribution for Shareholders

GWA Group Limited announced a dividend distribution of AUD 0.075 per share for its ordinary fully paid securities, covering the six-month period ending December 31, 2024. Scheduled key dates for this distribution include an ex-date of February 21, 2025, a record date of February 24, 2025, and a payment date of March 7, 2025, impacting shareholders by providing a return on their investment.

GWA Group Limited Reports Mixed Half-Year Financial Results

GWA Group Limited reported its financial results for the half year ending December 31, 2024, showing a slight increase in total revenue from ordinary activities by 1.9% to $209.87 million. However, EBIT and NPAT from ordinary activities decreased by 4.3% and 7.2%, respectively. The company highlights a normalised EBIT increase of 3.2% and a normalised NPAT increase of 1.6% from continuing operations. An interim dividend of 7.5 cents per share, fully franked, was declared, reflecting a steady return to shareholders despite the mixed financial performance. The results indicate a stable yet challenging environment for GWA, with an emphasis on strategic investments in digital platforms and resource planning to bolster future performance.