Lendlease Group's (ASX:LLC) Intrinsic Value Is Potentially 65% Above Its Share Price
Dec 04
Australian (ASX) Real Estate Industry Analysis
UpdatedDec 06, 2023
DataAggregated Company Financials
Companies25
- 7D-1.1%
- 3M-7.8%
- 1Y-12.6%
- YTD-11.9%
The Real Estate industry is up 1.8% in the last week, with Lendlease Group up 0.5%. In contrast, the industry has lost 12% in the last 12 months. As for the next few years, earnings are expected to grow by 32% per annum.
Industry Valuation and Performance
Has the Australian Real Estate Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 06 Dec 2023 | AU$11.6b | AU$12.7b | AU$77.0m | 16.5x | 151.3x | 0.9x |
| Fri, 03 Nov 2023 | AU$11.4b | AU$12.7b | AU$78.8m | 16.4x | 145.1x | 0.9x |
| Sun, 01 Oct 2023 | AU$12.2b | AU$12.7b | AU$78.8m | 16.2x | 154.6x | 1x |
| Tue, 29 Aug 2023 | AU$12.6b | AU$12.7b | AU$67.5m | 17.3x | 186.6x | 1x |
| Thu, 27 Jul 2023 | AU$13.3b | AU$12.3b | AU$401.3m | 16.7x | 33.1x | 1.1x |
| Sat, 24 Jun 2023 | AU$12.2b | AU$12.3b | AU$401.3m | 15.3x | 30.5x | 1x |
| Mon, 22 May 2023 | AU$13.3b | AU$12.3b | AU$404.3m | 13.6x | 32.9x | 1.1x |
| Wed, 19 Apr 2023 | AU$13.1b | AU$12.3b | AU$406.5m | 16.1x | 32.3x | 1.1x |
| Fri, 17 Mar 2023 | AU$12.4b | AU$12.3b | AU$410.7m | 12.9x | 30.2x | 1x |
| Sun, 12 Feb 2023 | AU$13.7b | AU$11.5b | AU$327.4m | 10.5x | 41.8x | 1.2x |
| Tue, 10 Jan 2023 | AU$13.5b | AU$11.5b | AU$327.4m | 10.8x | 41.1x | 1.2x |
| Thu, 08 Dec 2022 | AU$13.0b | AU$11.5b | AU$327.4m | 10.6x | 39.8x | 1.1x |
| Sat, 05 Nov 2022 | AU$13.4b | AU$11.5b | AU$326.0m | 10.4x | 41x | 1.2x |
| Mon, 03 Oct 2022 | AU$13.7b | AU$11.5b | AU$326.0m | 10.4x | 42x | 1.2x |
| Wed, 31 Aug 2022 | AU$15.1b | AU$11.6b | AU$262.5m | 11.8x | 57.5x | 1.3x |
| Fri, 29 Jul 2022 | AU$14.5b | AU$12.2b | AU$95.7m | 14x | 151.1x | 1.2x |
| Sun, 26 Jun 2022 | AU$13.7b | AU$12.2b | AU$95.7m | 13.3x | 142.7x | 1.1x |
| Tue, 24 May 2022 | AU$15.5b | AU$12.2b | AU$116.1m | 13.4x | 133.4x | 1.3x |
| Thu, 21 Apr 2022 | AU$16.9b | AU$12.2b | AU$115.9m | 15.3x | 146.1x | 1.4x |
| Sat, 19 Mar 2022 | AU$16.7b | AU$12.2b | AU$115.9m | 16.2x | 143.7x | 1.4x |
| Mon, 14 Feb 2022 | AU$16.3b | AU$12.4b | AU$523.4m | 17.2x | 31.2x | 1.3x |
| Wed, 12 Jan 2022 | AU$16.5b | AU$12.3b | AU$510.9m | 16.8x | 32.2x | 1.3x |
| Fri, 10 Dec 2021 | AU$16.4b | AU$12.3b | AU$508.0m | 18.3x | 32.4x | 1.3x |
| Sun, 07 Nov 2021 | AU$16.8b | AU$12.3b | AU$500.5m | 18.7x | 33.5x | 1.4x |
| Tue, 05 Oct 2021 | AU$16.7b | AU$12.3b | AU$501.7m | 16.6x | 33.2x | 1.3x |
| Thu, 02 Sep 2021 | AU$17.1b | AU$12.4b | AU$518.4m | 15.9x | 33x | 1.4x |
| Sat, 31 Jul 2021 | AU$17.0b | AU$12.4b | AU$518.4m | 16.5x | 32.8x | 1.4x |
| Tue, 04 May 2021 | AU$14.2b | AU$12.3b | AU$129.5m | 18.4x | 110x | 1.2x |
| Fri, 05 Feb 2021 | AU$13.4b | AU$12.4b | -AU$282,697,873.37 | 18.4x | -47.5x | 1.1x |
Price to Earnings Ratio
-50.1x
Current Industry PE
- Investors are optimistic on the Australian Real Estate industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 153x which is higher than its 3-year average PE of 66.6x.
- The 3-year average PS ratio of 1.2x is higher than the industry's current PS ratio of 0.93x.
Past Earnings Growth
- Total earnings for the Real Estate industry have gone up over the last three years, and the industry is now profitable.
- Revenues have remained mostly flat. This means that the industry has become more efficient since profits are increasing while sales have been flat.
Industry Trends
Which industries have driven the changes within the Australian Real Estate industry?
| AU Market | 0.48% | |
| Real Estate | 1.18% | |
| Real Estate | -1.13% | |
| Diversified Real Estate | 0.29% | |
| Real Estate Operating Companies | -0.93% | |
| Real Estate Development | -2.21% | |
| Real Estate Services | -3.55% | |
Industry PE
- Investors are most optimistic about the Real Estate Operating Companies industry which is trading above its 3-year average PE ratio.
- Analysts are expecting annual earnings growth of 18.0%, which is higher than its past year's earnings decline of 66.1% per year.
Forecasted Growth
- Analysts are most optimistic on the Real Estate Services industry, expecting annual earnings growth of 49% over the next 5 years.
- This is better than its past earnings decline of 59% per year.
- In contrast, the Real Estate Development industry is expected to see its earnings grow by 14% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| LLC Lendlease Group | AU$6.59 | 0.5% +AU$20.5m | -11.9% | PS0.4x | |
| CWP Cedar Woods Properties | AU$4.82 | 3.0% +AU$11.5m | 7.8% | PE12.6x | |
| QAL Qualitas | AU$2.20 | 1.4% +AU$8.8m | -7.9% | PE28.6x | |
| DGH Desane Group Holdings | AU$0.93 | 12.8% +AU$4.3m | 1.6% | PE28.7x | |
| FRI Finbar Group | AU$0.68 | 1.5% +AU$2.7m | -4.2% | PE59x |
