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Market Cap

AU$10.9b

Last Updated

2021/04/19 08:08 UTC

Data Sources

Company Financials +

Executive Summary

Dexus is one of Australia’s leading real estate groups, proudly managing a high-quality Australian property portfolio valued at $32.1 billion. More Details


Snowflake Analysis

Average dividend payer with mediocre balance sheet.


Similar Companies

Share Price & News

How has Dexus's share price performed over time and what events caused price changes?


Latest Share Price and Events

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

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


Market Performance


7 Day Return

2.9%

DXS

1.2%

AU REITs

1.0%

AU Market


1 Year Return

11.0%

DXS

28.1%

AU REITs

33.5%

AU Market

Return vs Industry: DXS underperformed the Australian REITs industry which returned 28.1% over the past year.

Return vs Market: DXS underperformed the Australian Market which returned 33.5% over the past year.


Shareholder returns

DXSIndustryMarket
7 Day2.9%1.2%1.0%
30 Day8.6%6.7%5.3%
90 Day13.1%6.8%5.9%
1 Year17.2%11.0%33.2%28.1%40.5%33.5%
3 Year28.6%11.3%38.3%20.1%36.3%16.1%
5 Year57.6%24.4%52.1%18.8%67.0%31.4%

Long-Term Price Volatility Vs. Market

How volatile is Dexus's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Dexus undervalued compared to its fair value and its price relative to the market?

0.05%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: DXS (A$10.21) is trading below our estimate of fair value (A$10.21)

Significantly Below Fair Value: DXS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: DXS is poor value based on its PE Ratio (25.8x) compared to the AU REITs industry average (18.1x).

PE vs Market: DXS is poor value based on its PE Ratio (25.8x) compared to the Australian market (20.6x).


Price to Earnings Growth Ratio

PEG Ratio: DXS is poor value based on its PEG Ratio (5.8x)


Price to Book Ratio

PB vs Industry: DXS is good value based on its PB Ratio (0.9x) compared to the AU REITs industry average (1.1x).


Future Growth

How is Dexus forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

4.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DXS's forecast earnings growth (4.4% per year) is above the savings rate (2%).

Earnings vs Market: DXS's earnings (4.4% per year) are forecast to grow slower than the Australian market (14.6% per year).

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

Revenue vs Market: DXS's revenue is expected to decline over the next 3 years (-3.2% per year).

High Growth Revenue: DXS's revenue is forecast to decline over the next 3 years (-3.2% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DXS's Return on Equity is forecast to be low in 3 years time (5.9%).


Past Performance

How has Dexus performed over the past 5 years?

-4.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DXS has high quality earnings.

Growing Profit Margin: DXS's current net profit margins (32.8%) are lower than last year (96%).


Past Earnings Growth Analysis

Earnings Trend: DXS's earnings have declined by 4.4% per year over the past 5 years.

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

Earnings vs Industry: DXS had negative earnings growth (-72.1%) over the past year, making it difficult to compare to the REITs industry average (-1.2%).


Return on Equity

High ROE: DXS's Return on Equity (3.5%) is considered low.


Financial Health

How is Dexus's financial position?


Financial Position Analysis

Short Term Liabilities: DXS's short term assets (A$733.9M) do not cover its short term liabilities (A$856.8M).

Long Term Liabilities: DXS's short term assets (A$733.9M) do not cover its long term liabilities (A$4.4B).


Debt to Equity History and Analysis

Debt Level: DXS's debt to equity ratio (37.4%) is considered satisfactory.

Reducing Debt: DXS's debt to equity ratio has reduced from 46.1% to 37.4% over the past 5 years.

Debt Coverage: DXS's debt is not well covered by operating cash flow (17.3%).

Interest Coverage: DXS's interest payments on its debt are well covered by EBIT (5x coverage).


Balance Sheet


Dividend

What is Dexus's current dividend yield, its reliability and sustainability?

5.10%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: DXS's dividend (5.1%) is higher than the bottom 25% of dividend payers in the Australian market (2%).

High Dividend: DXS's dividend (5.1%) is low compared to the top 25% of dividend payers in the Australian market (5.29%).


Stability and Growth of Payments

Stable Dividend: DXS's dividend payments have been volatile in the past 10 years.

Growing Dividend: DXS's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (75.6%), DXS's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: DXS's dividends in 3 years are forecast to be covered by earnings (70.8% payout ratio).


Next Steps

Management

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

5.9yrs

Average management tenure


CEO

Darren Steinberg

9.08yrs

Tenure

AU$4,272,000

Compensation

Mr. Darren Joseph Steinberg serves as Independent Non-Executive Director at VGI Partners Limited since May 12, 2019. Mr. Steinberg has been the Chief Executive Officer and Executive Director of Dexus Funds...


CEO Compensation Analysis

Compensation vs Market: Darren's total compensation ($USD3.30M) is about average for companies of similar size in the Australian market ($USD2.56M).

Compensation vs Earnings: Darren's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: DXS's management team is seasoned and experienced (5.9 years average tenure).


Board Members

Experienced Board: DXS's board of directors are considered experienced (5.5 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: DXS 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

Dexus's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Dexus
  • Ticker: DXS
  • Exchange: ASX
  • Founded: 2004
  • Industry: Office REITs
  • Sector: Real Estate
  • Market Cap: AU$10.928b
  • Shares outstanding: 1.08b
  • Website: https://www.dexus.com

Number of Employees


Location

  • Dexus
  • Australia Square
  • Level 25
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings


Biography

Dexus is one of Australia’s leading real estate groups, proudly managing a high-quality Australian property portfolio valued at $32.1 billion. We believe that the strength and quality of our relationships ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/19 08:08
End of Day Share Price2021/04/19 00:00
Earnings2020/12/31
Annual Earnings2020/06/30


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.