Reece Limited

ASX:REH Stock Report

Market Cap: AU$9.8b

Reece Future Growth

Future criteria checks 2/6

Reece is forecast to grow earnings and revenue by 13.5% and 5.7% per annum respectively. EPS is expected to grow by 14.3% per annum. Return on equity is forecast to be 9.8% in 3 years.

Key information

13.5%

Earnings growth rate

14.25%

EPS growth rate

Trade Distributors earnings growth16.0%
Revenue growth rate5.7%
Future return on equity9.75%
Analyst coverage

Good

Last updated21 Jul 2026

Recent future growth updates

Recent updates

Narrative Update • Jun 17

REH: Structural Breakout Pattern Will Support Future Upside Potential

Analysts have kept their A$18.00 price target for Reece unchanged, with modest tweaks to revenue growth, profit margin and discount rate assumptions following recent research that includes a downgrade from Goldman Sachs. What’s in the News for Reece Technical analysts highlight Reece Limited as approaching a major structural breakout level after a prolonged consolidation phase linked to softer residential construction activity, according to recent coverage titled “Reece Limited (ASX:REH): Building Products Leader Approaches Major Structural Breakout.” The stock is reported to be forming a large scale Inverse Head & Shoulders pattern, which chart watchers often view as a potential signal of a shift in longer term price behavior.
Narrative Update • Jun 02

REH: Future Margins And Earnings Multiples Will Likely Compress Further

Analysts have trimmed their price target for Reece to A$10.79 from A$10.00, citing updated assumptions for fair value, discount rate, revenue growth, profit margins and future P/E multiples. What's in the News No recent company specific news or key developments for Reece are provided in the available sources at this time.
Narrative Update • May 05

REH: FY26 EBIT Guidance And Dividend Track Will Support Rerating Potential

Analysts have trimmed their price target for Reece to A$15.03 from A$15.61, reflecting slightly more cautious assumptions around discount rates, revenue growth, margins and future P/E multiples, in line with recent Street research downgrades. Analyst Commentary Street research around the latest price target trim highlights a mix of optimism on Reece’s long term opportunity and caution on how much investors should be paying for that story today.
Narrative Update • Apr 21

REH: FY26 EBIT Guidance And Dividend Will Support Future Upside Potential

Analysts have kept Reece's fair value estimate steady at A$18.00, citing small adjustments in the discount rate, revenue growth, profit margin and future P/E assumptions following recent mixed research views from major brokers. Analyst Commentary Recent Street research on Reece has been mixed, with one major global bank moving to a more cautious stance while another large broker took a more constructive view earlier in the year.
Narrative Update • Apr 06

REH: Upgraded Views And FY26 Guidance Will Support Future Upside Potential

Analysts have adjusted their view on Reece, with the consensus fair value estimate moving from A$16.60 to A$18.00. This points to expectations of slightly stronger revenue growth, a modestly lower profit margin, a higher discount rate and a lower future P/E.
Narrative Update • Mar 23

REH: FY26 EBIT Guidance And Dividend Outlook Will Support Rerating Potential

Analysts have lifted the price target for Reece to A$15.61 from A$15.43, reflecting updated views on revenue growth, margins and P/E assumptions following recent research updates from major brokers. Analyst Commentary Bullish Takeaways Bullish analysts highlight the recent upgrade as a sign that updated revenue and margin assumptions can support the revised A$15.61 price target without relying on aggressive P/E multiples.
Narrative Update • Mar 09

REH: Future Earnings Delivery And Capital Returns Will Shape Balanced Outlook

Analysts have raised their price target on Reece from A$11.82 to about A$15.43, citing updated assumptions around revenue growth, profit margins, fair value, and future P/E multiples reflected in recent Street research. Analyst Commentary Recent Street research on Reece reflects a mix of optimism and caution, with analysts updating their assumptions on revenue growth, profitability, and the multiples they are willing to pay for the stock.
Narrative Update • Feb 23

REH: Higher P/E And Buyback Activity Will Support Balanced Future Returns

Analysts have lifted their price target on Reece from A$16.00 to A$16.60, reflecting updated assumptions around fair value, discount rate, revenue growth, profit margin and future P/E after recent research coverage changes. Analyst Commentary Recent research updates on Reece point to a more constructive tone from bullish analysts, who are focusing on how the company might justify a higher valuation through execution and earnings quality rather than short term trading moves.
Analysis Article • Feb 14

What Is Reece Limited's (ASX:REH) Share Price Doing?

Reece Limited ( ASX:REH ), might not be a large cap stock, but it saw a significant share price rise of 37% in the past...
Narrative Update • Feb 08

REH: Higher P/E And Buyback Plan Will Support Bullish Case

Analysts have raised their price target for Reece from A$15.59 to A$16.00, citing updated assumptions for fair value, discount rate, revenue growth, profit margin and future P/E following recent research activity. Analyst Commentary Recent research activity on Reece reflects a mix of fresh coverage and more positive stances, with analysts updating their assumptions around fair value, discount rates, revenue growth, profit margins and future P/E multiples.
Analysis Article • Jan 31

Estimating The Intrinsic Value Of Reece Limited (ASX:REH)

Key Insights Reece's estimated fair value is AU$15.01 based on 2 Stage Free Cash Flow to Equity Reece's AU$14.80 share...
Narrative Update • Jan 25

REH: Higher P/E Expectations Will Support Bullish Case Following Neutral Initiation

Analysts have lifted their price target on Reece to A$15.59 from A$14.04, citing updated assumptions for revenue growth, profit margins, the discount rate, and a higher future P/E multiple in line with recent Street research, including Jefferies' neutral initiation. Analyst Commentary Recent research has focused on how Reece's current share price lines up with analysts' revised assumptions for revenue, margins, and valuation multiples.
Analysis Article • Jan 17

Reece (ASX:REH) Has Some Way To Go To Become A Multi-Bagger

To find a multi-bagger stock, what are the underlying trends we should look for in a business? In a perfect world, we'd...
Narrative Update • Jan 10

REH: Buyback And Index Change Will Shape Margins And Earnings Outlook

Analysts have inched up their price target for Reece to A$14.04 from A$14.04, reflecting small adjustments to fair value, discount rate assumptions, revenue growth expectations and profit margin forecasts, along with a slightly lower future P/E multiple. What's in the News Reece Limited (ASX:REH) authorized a share repurchase program on November 27, 2025, with capacity to buy back up to A$35 million of shares, funded from existing cash and debt facilities, with the program running until December 11, 2026 (company announcement).
Narrative Update • Dec 26

REH Will Face Weaker Margins Despite Expanded Share Buyback Program

Analysts have trimmed their price target on Reece from 12.50 dollars to 10.00 dollars, reflecting slightly higher perceived risk, a modestly stronger revenue growth outlook, and expectations for lower profit margins and valuation multiples. What's in the News Reece increased its equity buyback authorization by AUD 50 million on December 22, 2025, lifting the total program size to AUD 85 million (company announcement).
Analysis Article • Dec 20

Investor Optimism Abounds Reece Limited (ASX:REH) But Growth Is Lacking

With a price-to-earnings (or "P/E") ratio of 24.7x Reece Limited ( ASX:REH ) may be sending bearish signals at the...
Narrative Update • Dec 12

REH: Share Buyback Will Support Margins And Future Earnings Power

Analysts have lowered their price target on Reece from approximately $19.52 to $14.04. This reflects a more cautious view on margins and valuation multiples, even as revenue growth expectations improve.
Analysis Article • Nov 13

At AU$10.95, Is Reece Limited (ASX:REH) Worth Looking At Closely?

Reece Limited ( ASX:REH ), is not the largest company out there, but it saw significant share price movement during...
Analysis Article • Oct 28

Estimating The Fair Value Of Reece Limited (ASX:REH)

Key Insights The projected fair value for Reece is AU$14.66 based on 2 Stage Free Cash Flow to Equity Current share...
Analysis Article • Oct 08

Reece (ASX:REH) Seems To Use Debt Quite Sensibly

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...
Analysis Article • Sep 22

Reece (ASX:REH) Has Announced A Dividend Of A$0.1186

Reece Limited ( ASX:REH ) has announced that it will pay a dividend of A$0.1186 per share on the 22nd of October. The...
Analysis Article • Sep 06

Some Reece Limited (ASX:REH) Shareholders Look For Exit As Shares Take 25% Pounding

Unfortunately for some shareholders, the Reece Limited ( ASX:REH ) share price has dived 25% in the last thirty days...
Narrative Update • Aug 26

Acquiring Shadowboxer And Opening New Branches Will Improve Customer Experience

Despite an upgrade in consensus revenue growth forecasts, a notable decline in expected net profit margins has led analysts to lower Reece’s fair value estimate from A$15.30 to A$12.98. What's in the News Reece declared a final dividend of 11.86 cents per share fully franked, bringing total dividends for Fiscal Year 2025 to 18.36 cents per share, down from 25.75 cents per share in the previous fiscal year.
Analysis Article • Aug 10

What Is Reece Limited's (ASX:REH) Share Price Doing?

Reece Limited ( ASX:REH ), is not the largest company out there, but it saw significant share price movement during...
Analysis Article • Jul 27

An Intrinsic Calculation For Reece Limited (ASX:REH) Suggests It's 25% Undervalued

Key Insights The projected fair value for Reece is AU$18.03 based on 2 Stage Free Cash Flow to Equity Reece is...
User avatar
New Narrative • Feb 09

Expanding Networks And Digital Investments Will Boost Operational Excellence Amid Market Challenges

Expansion and network enhancement in the U.S. and ANZ, including new distribution centers, are expected to drive sales and streamline operations.

Earnings and Revenue Growth Forecasts

ASX:REH - Analysts future estimates and past financials data (AUD Millions)
DateRevenueEarningsFree Cash FlowCash from OpAvg. No. Analysts
6/30/202911,372473N/A8113
6/30/202810,35337947468813
6/30/20279,72632443462914
6/30/20269,27628637059514
12/31/20259,223280328543N/A
9/30/20259,101299334571N/A
6/30/20258,978317341600N/A
3/31/20258,974347349614N/A
12/31/20248,970376357629N/A
9/30/20249,037398425690N/A
6/30/20249,105419493751N/A
3/31/20249,027422622854N/A
12/31/20238,950425752957N/A
9/30/20238,895406670861N/A
6/30/20238,840388589766N/A
3/31/20238,660404441630N/A
12/31/20228,481421293493N/A
9/30/20228,068407157357N/A
6/30/20227,65439222222N/A
3/31/20227,22635636200N/A
12/31/20216,79732050179N/A
9/30/20216,534303164265N/A
6/30/20216,271286279352N/A
3/31/20216,196266344421N/A
12/31/20206,122247408489N/A
9/30/20206,066238449545N/A
6/30/20206,010229490601N/A
3/31/20205,859230N/AN/AN/A
12/31/20195,707230298406N/A
9/30/20195,586216N/A330N/A
6/30/20195,464202N/A254N/A
3/31/20194,769199N/AN/AN/A
12/31/20184,074196N/A139N/A
9/30/20183,382210N/A160N/A
6/30/20182,689225N/A181N/A
3/31/20182,620223N/A204N/A
12/31/20172,551221N/A228N/A
9/30/20172,490217N/A221N/A
6/30/20172,429212N/A215N/A
3/31/20172,388205N/A195N/A
12/31/20162,346198N/A175N/A
9/30/20162,311195N/A182N/A
6/30/20162,276192N/A190N/A
3/31/20162,226184N/A193N/A
12/31/20152,176175N/A196N/A
9/30/20152,131170N/A181N/A

Analyst Future Growth Forecasts

Earnings vs Savings Rate: REH's forecast earnings growth (13.5% per year) is above the savings rate (3.6%).

Earnings vs Market: REH's earnings (13.5% per year) are forecast to grow faster than the Australian market (11.4% per year).

High Growth Earnings: REH's earnings are forecast to grow, but not significantly.

Revenue vs Market: REH's revenue (5.7% per year) is forecast to grow slower than the Australian market (5.7% per year).

High Growth Revenue: REH's revenue (5.7% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: REH's Return on Equity is forecast to be low in 3 years time (9.8%).

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/07/21 17:01
End of Day Share Price 2026/07/21 00:00
Earnings2025/12/31
Annual Earnings2025/06/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Reece Limited is covered by 20 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Brook Campbell-CrawfordBarrenjoey Markets Pty Limited
Benjamin BrayshawBarrenjoey Markets Pty Limited
Nicholas McGarrigleBarrenjoey Markets Pty Limited