Stock Analysis Report

Executive Summary

DWS Limited provides information technology services to corporations and government bodies in Australia.


Trading at 25% below its fair value

Risk Analysis

Has a high level of debt

Dividend of 7.41% is not well covered by earnings

Profit margins (6.3%) are lower than last year (12.4%)

Does not have a meaningful market cap (A$142M)

Snowflake Analysis

Undervalued with mediocre balance sheet.

Similar Companies



Share Price & News

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

Latest Share Price and Events

Stable Share Price: DWS has not had significant price volatility in the past 3 months.

Market Performance

7 Day Return






AU Market

1 Year Return






AU Market

Return vs Industry: DWS underperformed the Australian IT industry which returned 34.4% over the past year.

Return vs Market: DWS underperformed the Australian Market which returned 19.4% over the past year.

Shareholder returns

7 Day-3.7%2.6%0.1%
30 Day0.5%10.5%4.0%
90 Day-2.8%16.9%4.8%
1 Year-7.9%-14.2%37.2%34.7%24.9%19.5%
3 Year-9.5%-26.2%66.6%53.6%39.7%20.9%
5 Year39.9%-2.3%143.6%114.0%59.0%23.1%

Price Volatility Vs. Market

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

Simply Wall St News


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


Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: DWS (A$1.08) is trading below our estimate of fair value (A$1.44)

Significantly Below Fair Value: DWS is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: DWS is good value based on its PE Ratio (13.8x) compared to the IT industry average (21.5x).

PE vs Market: DWS is good value based on its PE Ratio (13.8x) compared to the Australian market (18.9x).

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate DWS's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: DWS is good value based on its PB Ratio (2x) compared to the AU IT industry average (2.7x).

Next Steps

Future Growth

How is DWS forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?


Forecasted Software industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as DWS has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Next Steps

Past Performance

How has DWS performed over the past 5 years?


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: DWS has high quality earnings.

Growing Profit Margin: DWS's current net profit margins (6.3%) are lower than last year (12.4%).

Past Earnings Growth Analysis

Earnings Trend: DWS's earnings have grown by 3.4% per year over the past 5 years.

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

Earnings vs Industry: DWS had negative earnings growth (-35.3%) over the past year, making it difficult to compare to the IT industry average (60.9%).

Return on Equity

High ROE: DWS's Return on Equity (14.6%) is considered low.

Return on Assets

Return on Capital Employed

Next Steps

Financial Health

How is DWS's financial position?

Financial Position Analysis

Short Term Liabilities: DWS's short term assets (A$40.6M) exceed its short term liabilities (A$30.2M).

Long Term Liabilities: DWS's short term assets (A$40.6M) do not cover its long term liabilities (A$43.4M).

Debt to Equity History and Analysis

Debt Level: DWS's debt to equity ratio (59.5%) is considered high.

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

Debt Coverage: DWS's debt is well covered by operating cash flow (35.7%).

Interest Coverage: DWS's interest payments on its debt are well covered by EBIT (6.7x coverage).

Balance Sheet

Inventory Level: DWS has a low level of unsold assets or inventory.

Debt Coverage by Assets: DWS's debt is not covered by short term assets (assets are 1x debt).

Next Steps


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


Current Dividend Yield

Dividend Yield vs Market


Current dividend yield vs market & industry

Notable Dividend: DWS's dividend (7.41%) is higher than the bottom 25% of dividend payers in the Australian market (2.34%).

High Dividend: DWS's dividend (7.41%) is in the top 25% of dividend payers in the Australian market (5.47%)

Stability and Growth of Payments

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

Growing Dividend: DWS's dividend payments have fallen over the past 10 years.

Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (102.4%), DWS's dividend payments are not well covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.

Next Steps


What is the CEO of DWS's salary, the management and board of directors tenure and is there insider trading?


Average board tenure


Danny Wallis (56yo)





Mr. Danny Benedict Wallis, BCS, founded DWS Limited in 1992 and has been its Chief Executive Officer and Managing Director since April 30, 2015. Mr. Wallis served as its Chief Executive Officer and Managin ...

CEO Compensation Analysis

Compensation vs Market: Danny's total compensation ($USD207.04K) is about average for companies of similar size in the Australian market ($USD262.68K).

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

Board Age and Tenure


Average Tenure

Experienced Board: DWS's board of directors are considered experienced (4.1 years average tenure).

Insider Trading

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

Ownership Breakdown

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

Management Team

  • Danny Wallis (56yo)


    • Tenure: 4.8yrs
    • Compensation: AU$300.00k
  • Campbell Johnston

    National Sales Manager

    • Stuart Whipp

      CFO & Company Secretary

      • Tenure: 4yrs
      • Compensation: AU$610.75k
    • Sally Cullinane

      General Manager of Human Resources

      • Malcolm Sheehan

        National Operations Manager

        • Christopher Lewandowski

          Head of IT

          • David O'Rourke

            Executive General Manager

            • Compensation: AU$496.87k
          • Greg Sly

            Co-Founder & Executive GM of Projects Assured

            • Compensation: AU$513.25k

          Board Members

          • Danny Wallis (56yo)


            • Tenure: 4.8yrs
            • Compensation: AU$300.00k
          • Gary Ebeyan

            Independent Non-Executive Director

            • Tenure: 9.2yrs
            • Compensation: AU$90.00k
          • Martin Ralston

            Non-Executive Chairman

            • Tenure: 4.1yrs
            • Compensation: AU$145.59k
          • Hayden Kelly

            Non-Executive Director

            • Tenure: 4.2yrs
            • Compensation: AU$90.00k
          • Selina Lightfoot

            Independent Non-Executive Director

            • Tenure: 3.1yrs
            • Compensation: AU$90.00k
          • Danny Gorog

            Non Executive Director

            • Tenure: 0.5yrs

          Company Information

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

          Key Information

          • Name: DWS Limited
          • Ticker: DWS
          • Exchange: ASX
          • Founded: 1991
          • Industry: IT Consulting and Other Services
          • Sector: Software
          • Market Cap: AU$139.082m
          • Shares outstanding: 131.83m
          • Website:

          Number of Employees


          • DWS Limited
          • 500 Collins Street
          • Level 4
          • Melbourne
          • Victoria
          • 3000
          • Australia


          TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
          DWSASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 2006
          DWSCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 2006
          D4KDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2006


          DWS Limited provides information technology services to corporations and government bodies in Australia. The company offers a suite of integrated solutions, including IT consulting services, such as IT strategy and architecture advice, program and project management, business and technical analysis, custom application development, systems integration and solution testing, and robotics processing automation; and digital solutions incorporating data automation and capture systems, and customer-led, digital strategy, and design services. It also provides business intelligence services comprising advanced analytics, as well as power BI and data warehouse as a service; sourcing and productivity services; and managed application services using a mix of offshore, on-site, off-site, and high-security models depending on client requirements. The company serves government and defense, banking and finance, utilities, transport, healthcare, FMCG and retail, and other sectors. DWS Limited was incorporated in 1991 and is headquartered in Melbourne, Australia. 

          Company Analysis and Financial Data Status

          All financial data provided by Standard & Poor's Capital IQ.
          DataLast Updated (UTC time)
          Company Analysis2020/01/27 10:35
          End of Day Share Price2020/01/24 00:00
          Annual Earnings2019/06/30

          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.