Downer EDI (ASX:DOW) - Stock Price, News & Analysis

DOW Stock Overview

Downer EDI Limited operates as an integrated facilities management services provider in Australia, New Zealand, and internationally.

DOW fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	2/6
Past Performance	0/6
Financial Health	4/6
Dividends	3/6

Rewards

Trading at 7% below our estimate of its fair value

Earnings are forecast to grow 17.8% per year

Risk Analysis

Dividend of 6.25% is not well covered

Large one-off items impacting financial results

My Notes

New

Notes are coming soon

Downer EDI Limited Competitors

Mader Group

ASX:MAD

AU$876.0m

SG Fleet Group

ASX:SGF

AU$725.0m

Sugar Terminals

NSX:SUG

AU$376.2m

Brambles

ASX:BXB

AU$16.5b

Price History & Performance

Summary of all time highs, changes and price drops for Downer EDI
Historical stock prices
Current Share Price	AU$3.84
52 Week High	AU$5.88
52 Week Low	AU$3.31
Beta	1.5
1 Month Change	4.63%
3 Month Change	-12.53%
1 Year Change	-28.89%
3 Year Change	-48.18%
5 Year Change	-44.19%
Change since IPO	137.04%

Recent updates

Calculating The Intrinsic Value Of Downer EDI Limited (ASX:DOW)

Dec 21

Is Now The Time To Look At Buying Downer EDI Limited (ASX:DOW)?

Dec 07

Does Downer EDI (ASX:DOW) Have A Healthy Balance Sheet?

Nov 23

Here's What's Concerning About Downer EDI's (ASX:DOW) Returns On Capital

Oct 24

Estimating The Intrinsic Value Of Downer EDI Limited (ASX:DOW)

Sep 13

We Think That There Are More Issues For Downer EDI (ASX:DOW) Than Just Sluggish Earnings

Aug 26

Downer EDI (ASX:DOW) Will Pay A Dividend Of A$0.12

Aug 19

Is There Now An Opportunity In Downer EDI Limited (ASX:DOW)?

Aug 18

Returns On Capital At Downer EDI (ASX:DOW) Paint A Concerning Picture

May 16

There Are Reasons To Feel Uneasy About Downer EDI's (ASX:DOW) Returns On Capital

Jan 18

Is There Now An Opportunity In Downer EDI Limited (ASX:DOW)?

Dec 06

We Think The Compensation For Downer EDI Limited's (ASX:DOW) CEO Looks About Right

Oct 28

Downer EDI (ASX:DOW) Has A Pretty Healthy Balance Sheet

Oct 26

An Intrinsic Calculation For Downer EDI Limited (ASX:DOW) Suggests It's 40% Undervalued

Sep 15

Is There An Opportunity With Downer EDI Limited's (ASX:DOW) 44% Undervaluation?

Jun 16

There Are Reasons To Feel Uneasy About Downer EDI's (ASX:DOW) Returns On Capital

May 26

Does Downer EDI (ASX:DOW) Have A Healthy Balance Sheet?

Apr 12

A Look At Downer EDI's (ASX:DOW) CEO Remuneration

Mar 01

The Returns At Downer EDI (ASX:DOW) Provide Us With Signs Of What's To Come

Feb 12

Why Downer EDI Limited (ASX:DOW) Could Be Worth Watching

Jan 18

Did You Participate In Any Of Downer EDI's (ASX:DOW) Respectable 98% Return?

Dec 20

Shareholder Returns

	DOW	AU Commercial Services	AU Market
7D	-2.0%	1.7%	0.6%
1Y	-28.9%	5.7%	3.5%

Return vs Industry: DOW underperformed the Australian Commercial Services industry which returned 5.7% over the past year.

Return vs Market: DOW underperformed the Australian Market which returned 3.5% over the past year.

Price Volatility

Is DOW's price volatile compared to industry and market?
DOW volatility
DOW Average Weekly Movement	6.7%
Commercial Services Industry Average Movement	6.7%
Market Average Movement	8.5%
10% most volatile stocks in AU Market	15.7%
10% least volatile stocks in AU Market	3.5%

Stable Share Price: DOW is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: DOW's weekly volatility (7%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1989	33,000	Grant Fenn	https://www.downergroup.com

Downer EDI Limited operates as an integrated facilities management services provider in Australia, New Zealand, and internationally. Its Transport segment provides road network management; routine road maintenance; asset management systems; spray sealing; asphalt laying; and manufacture and supply of bitumen-based products and asphalt products. This segment also engages in the design and construction of light and heavy rail networks, signaling works, track and station works, and bridges; and provides rail safety technology, fleet maintenance, and overhaul services.

Downer EDI Limited Fundamentals Summary

How do Downer EDI's earnings and revenue compare to its market cap?
DOW fundamental statistics
Market Cap	AU$2.58b
Earnings (TTM)	AU$145.70m
Revenue (TTM)	AU$10.99b

17.7x

P/E Ratio

0.2x

P/S Ratio

Is DOW overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
DOW income statement (TTM)
Revenue	AU$10.99b
Cost of Revenue	AU$9.85b
Gross Profit	AU$1.14b
Other Expenses	AU$989.40m
Earnings	AU$145.70m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Feb 27, 2023

Earnings per share (EPS)	0.22
Gross Margin	10.33%
Net Profit Margin	1.33%
Debt/Equity Ratio	48.4%

How did DOW perform over the long term?

See historical performance and comparison

Dividends

6.3%

Current Dividend Yield

113%

Payout Ratio

DOW Stock Overview

Rewards

Risk Analysis

Downer EDI Limited Competitors

ASX:MAD

AU$876.0m

ASX:SGF

AU$725.0m

NSX:SUG

AU$376.2m

ASX:BXB

AU$16.5b

Price History & Performance

Recent News & Updates

Calculating The Intrinsic Value Of Downer EDI Limited (ASX:DOW)

Price target decreased to AU$4.99

Now 22% undervalued after recent price drop

Is Now The Time To Look At Buying Downer EDI Limited (ASX:DOW)?

Downer EDI Limited Appoints Peter Tompkins as Chief Executive Officer and Managing Director

Does Downer EDI (ASX:DOW) Have A Healthy Balance Sheet?

Recent updates

Calculating The Intrinsic Value Of Downer EDI Limited (ASX:DOW)

Price target decreased to AU$4.99

Now 22% undervalued after recent price drop

Is Now The Time To Look At Buying Downer EDI Limited (ASX:DOW)?

Downer EDI Limited Appoints Peter Tompkins as Chief Executive Officer and Managing Director

Does Downer EDI (ASX:DOW) Have A Healthy Balance Sheet?

Here's What's Concerning About Downer EDI's (ASX:DOW) Returns On Capital

Now 20% undervalued after recent price drop

Now 21% undervalued after recent price drop

Estimating The Intrinsic Value Of Downer EDI Limited (ASX:DOW)

We Think That There Are More Issues For Downer EDI (ASX:DOW) Than Just Sluggish Earnings

Upcoming dividend of AU$0.12 per share

Downer EDI (ASX:DOW) Will Pay A Dividend Of A$0.12

Full year 2022 earnings: Revenues exceed analysts expectations while EPS lags behind

Is There Now An Opportunity In Downer EDI Limited (ASX:DOW)?

Downer EDI Limited Announces Final Dividend for 2022, Payable on 28 September 2022

Downer EDI Limited Announces the Retirement of Phil Garling AM as Non-Executive Director, Effective 30 June 2022

High number of new directors

Returns On Capital At Downer EDI (ASX:DOW) Paint A Concerning Picture

High number of new directors

Downer EDI Limited Appoints Adelle Maree Howse as Director, Effective on April 1, 2022

Downer EDI Limited Announces Appointment of Mark Binns as Non-Executive Director

Downer EDI Limited Appoints Adelle Howse as Non-Executive Director, Effective 1 April 2022

Downer EDI Limited (ASX:DOW) acquired Fowlers Asphalting Pty Ltd, Gippsland Asphalt Pty Ltd and Tarmac Linemarking Pty Ltd for AUD 24.9 million.

Downer Edi Limited Provides Update on Revenue Guidance for the Second Half of Fiscal Year 2022

Downer EDI Limited Appoints of Mark Menhinnitt as Non-Executive Director

There Are Reasons To Feel Uneasy About Downer EDI's (ASX:DOW) Returns On Capital

PT Bukit Makmur Mandiri Utama completed the acquisition of Open Cut Mining East Business from Downer EDI Limited (ASX:DOW).

Is There Now An Opportunity In Downer EDI Limited (ASX:DOW)?

Bridgestone Corporation (TSE:5108) completed the acquisition of Otraco International Pty Ltd. from Downer EDI Limited (ASX:DOW).

We Think The Compensation For Downer EDI Limited's (ASX:DOW) CEO Looks About Right

Downer EDI (ASX:DOW) Has A Pretty Healthy Balance Sheet

Independent Non Executive Chairman Richard Harding has left the company

An Intrinsic Calculation For Downer EDI Limited (ASX:DOW) Suggests It's 40% Undervalued

Upcoming dividend of AU$0.12 per share

Full year 2021 earnings released: EPS AU$0.25 (vs AU$0.27 loss in FY 2020)

Is There An Opportunity With Downer EDI Limited's (ASX:DOW) 44% Undervaluation?

There Are Reasons To Feel Uneasy About Downer EDI's (ASX:DOW) Returns On Capital

Bridgestone Corporation (TSE:5108) entered into an agreement to acquire Otraco International Pty Ltd. from Downer EDI Limited (ASX:DOW) for AUD 79 million.

Does Downer EDI (ASX:DOW) Have A Healthy Balance Sheet?

Downer EDI Limited Wins $245 Million Eyre Peninsula Link Contract

Enaex S.A. (SNSE:ENAEX) completed the acquisition of Downer EDI Mining-Blasting Services Pty Ltd from Downer EDI Limited (ASX:DOW).

A Look At Downer EDI's (ASX:DOW) CEO Remuneration

New 90-day low: AU$5.15

Upcoming Dividend of AU$0.09 Per Share

The Returns At Downer EDI (ASX:DOW) Provide Us With Signs Of What's To Come

First half 2021 earnings released: EPS AU$0.10 (vs AU$0.14 in 1H 2020)

Earnings beat expectations, revenue disappoints

MACA Limited (ASX:MLD) completed the acquisition of the Mining West Business from Downer EDI Limited (ASX:DOW) for approximately AUD 210 million.

Downer EDI Limited Receives New Telstra Contract

Why Downer EDI Limited (ASX:DOW) Could Be Worth Watching

New 90-day high: AU$5.72

Did You Participate In Any Of Downer EDI's (ASX:DOW) Respectable 98% Return?

MACA Limited (ASX:MLD) entered into a binding agreement to acquire Mining West business of Downer EDI Limited (ASX:DOW) for approximately AUD 180 million.

Adamantem Capital agreed to acquire a 70% stake in Laundries Business of Downer EDI Limited (ASX:DOW) for approximately AUD 160 million.

Downer EDI Limited, Annual General Meeting, Nov 09, 2023

Enaex S.A. (SNSE:ENAEX) entered into an agreement to acquire Downer EDI Mining-Blasting Services Pty Ltd from Downer EDI Limited (ASX:DOW) for an enterprise value of AUD 62 million.

New 90-day high: AU$5.14

New 90-day high: AU$4.67