REA Group Limited

ASX:REA Stock Report

Market Cap: AU$19.5b

REA Group Past Earnings Performance

Past criteria checks 3/6

REA Group has been growing earnings at an average annual rate of 18.1%, while the Interactive Media and Services industry saw earnings growing at 18.1% annually. Revenues have been growing at an average rate of 13.7% per year. REA Group's return on equity is 27%, and it has net margins of 29.3%.

Key information

18.06%

Earnings growth rate

18.05%

EPS growth rate

Interactive Media and Services Industry Growth27.63%
Revenue growth rate13.68%
Return on equity26.97%
Net Margin29.28%
Last Earnings Update31 Dec 2025

Recent past performance updates

Recent updates

Narrative Update • May 17

REA: Higher Profitability Assumptions Will Support Future Rerating Potential

Analysts have adjusted the REA Group price target slightly lower to A$206.83 from A$212.09. This reflects updated assumptions for the discount rate, revenue growth, profit margins and future P/E multiples.
Narrative Update • May 01

REA: Buyback And Dividend Will Sustain Lofty Market Premium

Analysts have increased their fair value estimate for REA Group slightly to A$151.34 from A$150.82, reflecting updated assumptions around discount rates, revenue growth, profit margins and future P/E expectations. What's in the News The Board of Directors authorized a share buyback plan on February 6, 2026, signaling approval for the company to repurchase its own shares (Key Developments).
Narrative Update • Apr 15

REA: Share Buyback And Dividend Policy Will Underpin Future Upside

Analysts now set their fair value estimate for REA Group at A$249, a A$4 trim from the prior A$253. This reflects slightly higher discount rate assumptions and modestly adjusted growth and margin expectations following mixed recent broker research.
Narrative Update • Apr 01

REA: Broker Split And Buyback Plan Will Shape Future Market Premium

Analysts have trimmed their average price target for REA Group slightly, with fair value easing from about A$151.14 to A$150.82. This reflects updated views on revenue growth, profit margins and future P/E assumptions after recent mixed rating changes from JPMorgan and RBC Capital.
Narrative Update • Mar 18

REA: Mixed Broker Views And Capital Returns Will Shape Market Premium

Analysts now see REA Group's fair value at A$151.14, down from A$164.17, reflecting updated assumptions for a slightly higher discount rate, more moderate revenue growth expectations, a firmer profit margin outlook, and a lower future P/E multiple, following mixed recent commentary from both upgrading and downgrading research houses. Analyst Commentary Recent research has presented a mixed picture for REA Group, with JPMorgan moving to a more constructive stance while other bearish analysts have trimmed expectations and taken a more cautious view on the stock.
Narrative Update • Mar 04

REA: Share Buyback And Dividend Policy Will Support Future Upside

Analysts have adjusted their fair value estimate for REA Group from A$290.00 to A$253.00, reflecting updated assumptions around revenue growth, profit margins, discount rates, and future P/E multiples following mixed recent research views. Analyst Commentary Recent research on REA Group has been mixed, with an upgrade from JPMorgan and a downgrade from another major firm occurring in close succession.
Narrative Update • Feb 18

REA: Mixed Broker Calls Will Set Stage For Future Rerating

Analysts have adjusted their fair value estimate for REA Group from about A$243.58 to A$212.09, reflecting updated assumptions on discount rate, revenue growth, profit margin and future P/E expectations based on recent mixed broker research. Analyst Commentary Recent broker moves around REA Group highlight that views are mixed, even as the updated fair value estimate now sits at about A$212.09.
Analysis Article • Feb 09

REA Group (ASX:REA) Will Pay A Dividend Of A$1.24

REA Group Limited's ( ASX:REA ) investors are due to receive a payment of A$1.24 per share on 18th of March. This will...
Narrative Update • Feb 04

REA: Mixed Broker Views And CFO Transition Will Test Market Premium

Analysts have modestly reduced their fair value estimate for REA Group from A$168.40 to A$164.17, as updated assumptions on revenue growth, profit margins and future P/E are incorporated following recent mixed research views from major brokers. Analyst Commentary Recent research on REA Group has been mixed, with at least one major broker, JPMorgan, taking a more constructive stance while other bearish analysts have become more cautious.
Narrative Update • Jan 20

REA: Higher Discount Rate And Leadership Change Will Pressure Premium Valuation

Analysts have reduced their fair value estimate for REA Group from A$178.60 to A$168.40, citing updated assumptions around discount rates, revenue growth, profit margins and future P/E multiples. What's in the News Chief Financial Officer Janelle Hopkins plans to retire from REA Group on 11 February 2026 to move into a non executive career after more than seven years as CFO and over 25 years in executive roles (Key Developments).
Narrative Update • Jan 06

REA: Outperformance Rating And New CFO Appointment Will Support Medium-Term Earnings

Analysts have reaffirmed their A$290 fair value estimate for REA Group, with only minor tweaks to growth, margins and discount rate assumptions. This view is supported by recent research that considers prior share price weakness and regulatory concerns to be overdone.
Analysis Article • Dec 31

REA Group (ASX:REA) Might Become A Compounding Machine

There are a few key trends to look for if we want to identify the next multi-bagger. In a perfect world, we'd like to...
Narrative Update • Dec 23

REA: Outperformance Rating And CFO Transition Will Support Stronger Medium-Term Earnings

Analysts have trimmed their fair value estimate for REA Group to A$290 from A$300, reflecting a slightly higher discount rate and modestly lower long term revenue growth expectations. They nonetheless highlight resilient margins and reiterate a positive medium term earnings outlook supported by recent Outperform initiations and above consensus EPS forecasts.
Narrative Update • Dec 09

REA: Recent Pullback Will Set Stage For EPS Outperformance-Driven Rebound

Analysts have nudged their price target for REA Group slightly higher to A$270.00, citing expectations for steadier long term growth, earnings forecasts that are modestly above consensus, and a belief that recent share price underperformance and regulatory concerns are overdone. Analyst Commentary Bullish analysts highlight that the recent pullback in REA Group shares has created a more attractive entry point relative to their growth outlook and earnings power.
Analysis Article • Dec 02

REA Group Limited's (ASX:REA) Share Price Could Signal Some Risk

REA Group Limited's ( ASX:REA ) price-to-earnings (or "P/E") ratio of 37.8x might make it look like a strong sell right...
Narrative Update • Nov 25

REA: Recent Share Underperformance Will Set Stage For Recovery Momentum

The analyst price target for REA Group has decreased from approximately $251.95 to $243.58, as analysts cite tempered revenue growth expectations even as profit margins continue to show improvement. Analyst Commentary Recent street research highlights both optimistic and cautious views regarding REA Group's prospects, particularly as price targets and earnings expectations are scrutinized following recent market moves.
Narrative Update • Nov 07

REA: Continued Upbeat Outlook Will Drive Long-Term Expansion Momentum

Analysts have lowered their fair value estimate for REA Group by approximately $4 to $251.95. This change reflects slightly higher discount rates and more moderate revenue growth assumptions, despite continued positive sentiment toward the company's outlook.
Analysis Article • Oct 18

Is REA Group Limited (ASX:REA) Worth AU$216 Based On Its Intrinsic Value?

Key Insights REA Group's estimated fair value is AU$172 based on 2 Stage Free Cash Flow to Equity REA Group's AU$216...
Analysis Article • Sep 09

Capital Investment Trends At REA Group (ASX:REA) Look Strong

There are a few key trends to look for if we want to identify the next multi-bagger. One common approach is to try and...
Narrative Update • Sep 04

Digital Transformation And Urban Demand Will Fuel Global Expansion

With both the discount rate and future P/E staying virtually flat, there has been no material change in REA Group’s consensus analyst price target, which remains at A$256.31. What's in the News REA Group announced a fully franked interim dividend of AUD 1.38 per share for the six months ended June 30, 2025.
Analysis Article • Aug 26

We Ran A Stock Scan For Earnings Growth And REA Group (ASX:REA) Passed With Ease

Investors are often guided by the idea of discovering 'the next big thing', even if that means buying 'story stocks...
Analysis Article • Aug 06

At AU$255, Is It Time To Put REA Group Limited (ASX:REA) On Your Watch List?

ASX:REA 1 Year Share Price vs Fair Value Explore REA Group's Fair Values from the Community and select yours REA Group...
Analysis Article • Jul 20

REA Group Limited's (ASX:REA) Shareholders Might Be Looking For Exit

REA Group Limited's ( ASX:REA ) price-to-earnings (or "P/E") ratio of 51.4x might make it look like a strong sell right...
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New Narrative • Dec 01

Expanding Markets And Strong Demand Propel Company Toward Dynamic Revenue Growth

Growth in residential and commercial yield, audience engagement, and premium products is boosting net margins and revenue potential.

Revenue & Expenses Breakdown

How REA Group makes and spends money. Based on latest reported earnings, on an LTM basis.

Earnings and Revenue History

ASX:REA Revenue, expenses and earnings (AUD Millions)
DateRevenueEarningsG+A ExpensesR&D Expenses
31 Dec 251,9575732700
30 Sep 251,9276252730
30 Jun 251,8976782760
31 Mar 251,8606472750
31 Dec 241,8236172740
30 Sep 241,7504602540
30 Jun 241,6773032340
31 Mar 241,5872922280
31 Dec 231,4972822230
30 Sep 231,4453192290
30 Jun 231,3923562360
31 Mar 231,4083612360
31 Dec 221,4243652370
30 Sep 221,4213752240
30 Jun 221,4193852120
31 Mar 221,3433781990
31 Dec 211,2673711860
30 Sep 211,1363471700
30 Jun 211,0053231540
31 Mar 219412301430
31 Dec 208771381320
30 Sep 208801251430
30 Jun 208821121540
31 Mar 208971811610
31 Dec 199112501680
30 Sep 199261781710
30 Jun 199411051740
31 Mar 199391141710
31 Dec 189361231690
30 Sep 189021881650
30 Jun 188672531610
31 Dec 17766511560
30 Sep 17719491520
30 Jun 17671481470
31 Dec 166272681400
30 Sep 166032611340
30 Jun 165792541290
31 Dec 155511991170
30 Sep 155372001200
30 Jun 155232001240

Quality Earnings: REA has high quality earnings.

Growing Profit Margin: REA's current net profit margins (29.3%) are lower than last year (33.8%).

Free Cash Flow vs Earnings Analysis

Past Earnings Growth Analysis

Earnings Trend: REA's earnings have grown by 18.1% per year over the past 5 years.

Accelerating Growth: REA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: REA had negative earnings growth (-7.1%) over the past year, making it difficult to compare to the Interactive Media and Services industry average (0.9%).

Return on Equity

High ROE: REA's Return on Equity (27%) is considered high.

Return on Assets

Return on Capital Employed

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/05/29 14:36
End of Day Share Price 2026/05/29 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

REA Group Limited is covered by 32 analysts. 15 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Aryan NoroziBarrenjoey Markets Pty Limited
Eric ChoiBarrenjoey Markets Pty Limited
Michael ArdreyBell Potter