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EDV

Endeavour Group ASX:EDV Stock Report

Last Price

AU$7.91

Market Cap

AU$14.2b

7D

-0.1%

1Y

14.5%

Updated

07 Aug, 2022

Data

Company Financials +
EDV fundamental analysis
Snowflake Score
Valuation0/6
Future Growth1/6
Past Performance2/6
Financial Health3/6
Dividends3/6

EDV Stock Overview

Endeavour Group Limited engages in the drinks retail and hospitality businesses in Australia.

Endeavour Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Endeavour Group
Historical stock prices
Current Share PriceAU$7.91
52 Week HighAU$8.16
52 Week LowAU$6.09
Beta0
1 Month Change0.89%
3 Month Change3.40%
1 Year Change14.47%
3 Year Changen/a
5 Year Changen/a
Change since IPO31.40%

Recent News & Updates

Jul 01
Endeavour Group (ASX:EDV) Is Doing The Right Things To Multiply Its Share Price

Endeavour Group (ASX:EDV) Is Doing The Right Things To Multiply Its Share Price

What trends should we look for it we want to identify stocks that can multiply in value over the long term? In a...

Shareholder Returns

EDVAU Consumer RetailingAU Market
7D-0.1%1.3%1.0%
1Y14.5%1.8%-7.9%

Return vs Industry: EDV exceeded the Australian Consumer Retailing industry which returned 1.8% over the past year.

Return vs Market: EDV exceeded the Australian Market which returned -7.9% over the past year.

Price Volatility

Is EDV's price volatile compared to industry and market?
EDV volatility
EDV Average Weekly Movement3.1%
Consumer Retailing Industry Average Movement3.2%
Market Average Movement10.6%
10% most volatile stocks in AU Market17.5%
10% least volatile stocks in AU Market4.7%

Stable Share Price: EDV is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: EDV's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
201228,000Steve Donohuehttps://endeavourgroup.com.au

Endeavour Group Limited engages in the drinks retail and hospitality businesses in Australia. It operates retail drinks network across Dan Murphy’s and BWS stores, and a portfolio of licensed hospitality venues. Endeavour Group Limited was incorporated in 2012 and is headquartered in Surry Hills, Australia.

Endeavour Group Fundamentals Summary

How do Endeavour Group's earnings and revenue compare to its market cap?
EDV fundamental statistics
Market CapAU$14.16b
Earnings (TTM)AU$487.00m
Revenue (TTM)AU$11.58b

29.1x

P/E Ratio

1.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
EDV income statement (TTM)
RevenueAU$11.58b
Cost of RevenueAU$7.83b
Gross ProfitAU$3.75b
Other ExpensesAU$3.26b
EarningsAU$487.00m

Last Reported Earnings

Jan 02, 2022

Next Earnings Date

Aug 23, 2022

Earnings per share (EPS)0.27
Gross Margin32.38%
Net Profit Margin4.21%
Debt/Equity Ratio41.3%

How did EDV perform over the long term?

See historical performance and comparison

Dividends

3.2%

Current Dividend Yield

72%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is EDV undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for EDV?

Other financial metrics that can be useful for relative valuation.

EDV key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.6x
Enterprise Value/EBITDA16.6x
PEG Ratio5.4x

Price to Earnings Ratio vs Peers

How does EDV's PE Ratio compare to its peers?

EDV PE Ratio vs Peers
The above table shows the PE ratio for EDV vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average20.1x
COL Coles Group
25.5x9.4%AU$25.3b
WOW Woolworths Group
33x-52.8%AU$46.4b
MTS Metcash
16.6x6.2%AU$4.1b
GNC GrainCorp
5.1x-49.6%AU$1.7b
EDV Endeavour Group
29.1x5.4%AU$14.2b

Price-To-Earnings vs Peers: EDV is expensive based on its Price-To-Earnings Ratio (29.1x) compared to the peer average (20.1x).


Price to Earnings Ratio vs Industry

How does EDV's PE Ratio compare vs other companies in the Global Consumer Retailing Industry?

Price-To-Earnings vs Industry: EDV is expensive based on its Price-To-Earnings Ratio (29.1x) compared to the Global Consumer Retailing industry average (16.3x)


Price to Earnings Ratio vs Fair Ratio

What is EDV's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

EDV PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio29.1x
Fair PE Ratio23.6x

Price-To-Earnings vs Fair Ratio: EDV is expensive based on its Price-To-Earnings Ratio (29.1x) compared to the estimated Fair Price-To-Earnings Ratio (23.6x).


Share Price vs Fair Value

What is the Fair Price of EDV when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: EDV (A$7.91) is trading above our estimate of fair value (A$7.03)

Significantly Below Fair Value: EDV is trading above our estimate of fair value.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is lower than the current share price.


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Future Growth

How is Endeavour Group forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


5.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EDV's forecast earnings growth (5.4% per year) is above the savings rate (1.8%).

Earnings vs Market: EDV's earnings (5.4% per year) are forecast to grow slower than the Australian market (6.2% per year).

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

Revenue vs Market: EDV's revenue (3.1% per year) is forecast to grow slower than the Australian market (5.7% per year).

High Growth Revenue: EDV's revenue (3.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EDV's Return on Equity is forecast to be low in 3 years time (15.1%).


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Past Performance

How has Endeavour Group performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-3.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: EDV has high quality earnings.

Growing Profit Margin: EDV became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: EDV's earnings have declined by 3.6% per year over the past 5 years.

Accelerating Growth: EDV has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: EDV has become profitable in the last year, making it difficult to compare its past year earnings growth to the Consumer Retailing industry (59.2%).


Return on Equity

High ROE: EDV's Return on Equity (13.6%) is considered low.


Discover strong past performing companies

Financial Health

How is Endeavour Group's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: EDV's short term assets (A$2.3B) do not cover its short term liabilities (A$2.7B).

Long Term Liabilities: EDV's short term assets (A$2.3B) do not cover its long term liabilities (A$5.1B).


Debt to Equity History and Analysis

Debt Level: EDV's net debt to equity ratio (18.6%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if EDV's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: EDV's debt is well covered by operating cash flow (78.3%).

Interest Coverage: EDV's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet


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Dividend

What is Endeavour Group current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


3.16%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: EDV's dividend (3.16%) is higher than the bottom 25% of dividend payers in the Australian market (2.62%).

High Dividend: EDV's dividend (3.16%) is low compared to the top 25% of dividend payers in the Australian market (6.24%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether EDV's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if EDV's dividend payments are increasing as they only just started paying a dividend.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (71.6%), EDV's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (51.3%), EDV's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

1.3yrs

Average management tenure


CEO

Steve Donohue

2.17yrs

Tenure

AU$3,686,691

Compensation

Mr. Steve Donohue has been Managing Director, Chief Executive Officer & Director of Endeavour Group Limited since June 22, 2020. He had been Managing Director of Endeavour Drinks at Woolworths Group Limite...


CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD2.54M) is below average for companies of similar size in the Australian market ($USD3.99M).

Compensation vs Earnings: Insufficient data to compare Steve's compensation with company performance.


Leadership Team

Experienced Management: EDV's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: EDV's board of directors are not considered experienced ( 1.2 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Endeavour Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Endeavour Group Limited
  • Ticker: EDV
  • Exchange: ASX
  • Founded: 2012
  • Industry: Food Retail
  • Sector: Consumer Retailing
  • Implied Market Cap: AU$14.164b
  • Shares outstanding: 1.79b
  • Website: https://endeavourgroup.com.au

Number of Employees


Location

  • Endeavour Group Limited
  • 26 Waterloo Street
  • Surry Hills
  • New South Wales
  • 2010
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/07 00:00
End of Day Share Price2022/08/05 00:00
Earnings2022/01/02
Annual Earnings2021/06/27


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 here.