tiprankstipranks
Trending News
More News >
Breville Group Limited (AU:BRG)
ASX:BRG

Breville Group (BRG) AI Stock Analysis

Compare
18 Followers

Top Page

AU

Breville Group

(Sydney:BRG)

Rating:67Neutral
Price Target:
AU$31.00
▲(7.86%Upside)
Breville Group Limited's strong financial performance contributes significantly to its overall score, supported by solid revenue, profit growth, and robust cash flow management. However, the high P/E ratio and weak market momentum indicate potential overvaluation and bearish trends, which weigh down the overall score.
Positive Factors
Consumer Demand
Strong consumer demand, particularly in the US and A&NZ, signals a positive outlook for the company's growth.
Earnings
Coffee premiumization and new product development continue to power double-digit earnings.
Financial Position
The company reverted to a net cash position of A$54m due to an inventory unwind post COVID supply chain risk mitigation.
Negative Factors
Market Strategy
Despite mitigation strategies, the necessity to move production out of China highlights ongoing geopolitical risks.
Tariff Risk
US tariff risk remains high, impacting the company's financial outlook.
Valuation
The stock now trades at a premium compared to its 5-year average, which could imply overvaluation.

Breville Group (BRG) vs. iShares MSCI Australia ETF (EWA)

Breville Group Business Overview & Revenue Model

Company DescriptionBreville Group Limited designs, develops, markets, and distributes small electrical kitchen appliances in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers kitchen appliances, including slow cookers, kettles, and fry pans; and living room, laundry, and bedroom products, such as irons, vacuums, heaters, electric blankets, and fans. Breville Group Limited markets and sells its products under the Breville, Baratza, Kambrook, and Sage brands, as well as under third party brands, such as Nespresso and Polyscience. The company was formerly known as Housewares International Limited and changed its name to Breville Group Limited in November 2008. Breville Group Limited was founded in 1957 and is headquartered in Alexandria, Australia.
How the Company Makes MoneyBreville Group Limited makes money through the sale of its small kitchen appliances across various international markets. Its revenue model is based on the design, development, and distribution of a wide array of kitchen appliances under several brand names, including Breville, Sage, Kambrook, and others. The company generates revenue from direct retail sales, partnerships with major retailers, and online sales channels. Key revenue streams include the sale of coffee machines, blenders, and other kitchen appliances. Breville's earnings are bolstered by its strong brand reputation, innovative product offerings, and strategic partnerships with retailers worldwide to ensure wide product availability and reach.

Breville Group Financial Statement Overview

Summary
Breville Group Limited exhibits strong financial health with consistent revenue and profit growth, solid operational margins, and excellent cash flow management. The company's low leverage and high equity ratio provide a stable financial structure, while its robust cash flow metrics underscore its ability to generate cash effectively.
Income Statement
78
Positive
Breville Group Limited has demonstrated solid revenue growth with a 3.48% increase in the latest annual report. The gross profit margin stands at 36.38%, indicating efficient production processes. The net profit margin improved to 7.75%, showing enhanced profitability. The EBIT margin of 17.79% and EBITDA margin of 16.21% suggest strong operational efficiency.
Balance Sheet
80
Positive
The company maintains a healthy debt-to-equity ratio of 0.18, denoting a conservative leverage position. The return on equity (ROE) is 13.97%, which is a robust indicator of effective use of shareholder funds. The equity ratio of 63.26% underlines a strong equity foundation, providing financial stability.
Cash Flow
85
Very Positive
Breville Group's free cash flow growth was substantial, increasing by 549.91% compared to the previous period. The operating cash flow to net income ratio is 2.55, indicating strong cash generation relative to net income. The free cash flow to net income ratio is 2.03, showcasing effective cash conversion.
BreakdownTTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue1.62B1.53B1.48B1.42B1.19B952.24M
Gross Profit591.17M556.94M287.73M296.94M268.97M209.01M
EBITDA217.24M243.40M214.69M186.13M162.38M125.13M
Net Income132.05M118.51M110.21M105.72M90.97M66.20M
Balance Sheet
Total Assets1.66B1.34B1.37B1.18B770.64M632.85M
Cash, Cash Equivalents and Short-Term Investments121.62M137.77M84.16M168.26M129.91M128.46M
Total Debt248.68M155.98M280.49M222.16M38.72M24.35M
Total Liabilities691.46M492.86M605.19M564.74M264.15M217.76M
Stockholders Equity972.81M848.21M769.66M614.42M506.49M415.08M
Cash Flow
Free Cash Flow172.44M240.50M37.01M-84.84M93.15M93.92M
Operating Cash Flow197.02M302.62M90.25M-42.15M124.27M125.83M
Investing Cash Flow-72.77M-61.86M-132.85M-42.65M-91.69M-46.07M
Financing Cash Flow-150.87M-186.41M-48.88M121.53M-26.86M-8.55M

Breville Group Technical Analysis

Technical Analysis Sentiment
Negative
Last Price28.74
Price Trends
50DMA
28.96
Negative
100DMA
31.04
Negative
200DMA
32.74
Negative
Market Momentum
MACD
-0.19
Positive
RSI
47.39
Neutral
STOCH
67.32
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:BRG, the sentiment is Negative. The current price of 28.74 is below the 20-day moving average (MA) of 28.92, below the 50-day MA of 28.96, and below the 200-day MA of 32.74, indicating a bearish trend. The MACD of -0.19 indicates Positive momentum. The RSI at 47.39 is Neutral, neither overbought nor oversold. The STOCH value of 67.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:BRG.

Breville Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUBRG
67
Neutral
$4.17B31.4114.96%1.25%8.37%13.92%
66
Neutral
£1.81B11.446.20%3.00%0.63%-17.57%
$4.31B14.699.58%4.55%
AUSUL
77
Outperform
AU$3.22B13.9817.52%4.48%2.56%-13.62%
AUBLX
75
Outperform
AU$804.87M26.9317.54%2.33%5.33%-4.25%
AUPMV
71
Outperform
AU$3.14B15.6414.01%7.14%-27.48%-27.96%
AUASG
67
Neutral
AU$475.73M13.107.39%4.62%0.90%-45.49%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:BRG
Breville Group
28.74
1.88
7.02%
HNORF
Harvey Norman Holdings Ltd
3.36
0.82
32.28%
AU:ASG
Autosports Group Ltd
2.35
0.29
14.08%
AU:SUL
Super Retail Group Limited
14.15
1.17
9.01%
AU:PMV
Premier Investments Limited
20.10
-3.06
-13.21%
AU:BLX
Beacon Lighting Group Ltd
3.55
1.12
46.09%

Breville Group Corporate Events

First Sentier Becomes Substantial Holder in Breville Group
Jun 27, 2025

Breville Group has announced that First Sentier Investors Holdings Pty Limited, a subsidiary of Mitsubishi UFJ Financial Group, has become a substantial holder in the company. This development indicates a significant investment and interest from a major financial group, potentially impacting Breville’s market positioning and stakeholder interests.

The most recent analyst rating on (AU:BRG) stock is a Hold with a A$32.70 price target. To see the full list of analyst forecasts on Breville Group stock, see the AU:BRG Stock Forecast page.

Vanguard Group Reduces Stake in Breville Group
Jun 19, 2025

Vanguard Group has ceased to be a substantial holder in Breville Group Limited as of June 16, 2025, reducing its voting power to 4.966%. This change in shareholding could impact the company’s shareholder dynamics and influence within the market, potentially affecting its strategic decisions and stakeholder relations.

The most recent analyst rating on (AU:BRG) stock is a Hold with a A$32.70 price target. To see the full list of analyst forecasts on Breville Group stock, see the AU:BRG Stock Forecast page.

Mitsubishi UFJ Financial Group Ceases Substantial Holding in Breville Group
May 29, 2025

Mitsubishi UFJ Financial Group, Inc. has ceased to be a substantial holder in Breville Group Limited as of May 28, 2025. This change in holdings involved the purchase of securities by entities controlled by First Sentier Investors Holdings Pty Ltd and Morgan Stanley, impacting the voting securities of Breville Group. The shift in substantial holding may influence Breville’s market dynamics and stakeholder interests.

The most recent analyst rating on (AU:BRG) stock is a Hold with a A$32.70 price target. To see the full list of analyst forecasts on Breville Group stock, see the AU:BRG Stock Forecast page.

Mitsubishi UFJ Financial Group Gains Substantial Holding in Breville Group
May 28, 2025

Mitsubishi UFJ Financial Group, Inc. has become a substantial holder in Breville Group Limited, acquiring a significant voting power of 5.06% through its relevant interests in various securities. This development highlights Mitsubishi UFJ Financial Group’s strategic positioning and influence within the financial sector, potentially impacting Breville Group’s shareholder dynamics and decision-making processes.

The most recent analyst rating on (AU:BRG) stock is a Hold with a A$32.70 price target. To see the full list of analyst forecasts on Breville Group stock, see the AU:BRG Stock Forecast page.

Breville Group Sees Shift in Shareholder Structure
May 28, 2025

Breville Group, a prominent player in the consumer electronics industry, is experiencing a significant change in its shareholder structure. First Sentier Investors, a substantial holder, has ceased to hold a significant interest in the company as of May 26, 2025. This change could impact Breville Group’s market positioning and investor relations, as it reflects a shift in the company’s shareholder base.

The most recent analyst rating on (AU:BRG) stock is a Hold with a A$32.70 price target. To see the full list of analyst forecasts on Breville Group stock, see the AU:BRG Stock Forecast page.

Breville Group Sees Shift in Shareholder Structure with New Substantial Holder
May 27, 2025

Breville Group has announced a significant change in its shareholder structure, with First Sentier Investors Holdings Pty Limited and its subsidiaries acquiring a substantial holding in the company. This development indicates a shift in the voting power and control over the company’s shares, potentially impacting its strategic direction and governance. As a result, stakeholders, including investors and market analysts, may need to reassess their positions and expectations regarding Breville Group’s future performance and market strategy.

The most recent analyst rating on (AU:BRG) stock is a Hold with a A$32.70 price target. To see the full list of analyst forecasts on Breville Group stock, see the AU:BRG Stock Forecast page.

Challenger Limited Increases Stake in Breville Group
May 7, 2025

Breville Group Ltd, a prominent player in the home appliance industry, has experienced a change in the interests of a substantial holder. Challenger Limited and its associated entities have increased their voting power in Breville Group from 5.99% to 7.41%, indicating a strategic move that could influence the company’s future direction and stakeholder interests.

Mitsubishi UFJ Financial Group Ceases Substantial Holding in Breville Group
Apr 11, 2025

Mitsubishi UFJ Financial Group, Inc. has ceased to be a substantial holder in Breville Group Limited as of April 11, 2025. This change in substantial holding reflects a series of transactions involving the purchase and sale of securities by entities controlled by First Sentier Investors Holdings Pty Ltd and Morgan Stanley. The announcement indicates a shift in the ownership structure of Breville Group Limited, which may impact the company’s market dynamics and investor relations.

Breville Group Limited Announces Substantial Holder Notice
Apr 11, 2025

Breville Group Limited has announced a substantial holder notice, indicating a significant change in voting power among its shareholders. This notice highlights the involvement of various institutional investors, such as State Street Bank and Trust Company, and underscores the shifting dynamics in the company’s shareholder base, which may influence its future governance and strategic decisions.

Breville Group Sees Change in Substantial Holding
Apr 10, 2025

Breville Group Limited has announced that First Sentier Investors and its related entities have ceased to be substantial holders in the company as of April 8, 2025. This change in substantial holding could impact Breville’s shareholder composition and influence its market dynamics, as it reflects a shift in the investment strategy of a major institutional investor.

Greencape Capital Increases Stake in Breville Group
Apr 8, 2025

Greencape Capital Pty Ltd has announced a change in its substantial holding in Breville Group Ltd, a company known for its innovative kitchen appliances and consumer electronics. The notice indicates that Greencape Capital now holds a 6.93% voting power in Breville, up from a previous 5.81%, reflecting an increase in their investment stake. This change in interest could potentially impact Breville’s market dynamics and shareholder influence.

Breville Group Limited Announces Cessation of Performance Rights
Apr 4, 2025

Breville Group Limited announced the cessation of 45,027 performance rights due to the conditions for these securities not being met. This lapse in performance rights may impact the company’s capital structure and reflects on the challenges in meeting certain performance conditions, potentially affecting investor perceptions and stakeholder confidence.

Breville Group Responds to New US Tariffs with Manufacturing Diversification
Apr 3, 2025

Breville Group Limited announced that the United States has introduced new tariffs on products manufactured outside the US, affecting their operations as 90% of their products are made in China. Despite this, the company is progressing with plans to diversify its manufacturing base to locations such as Mexico, Indonesia, and Cambodia, which will enhance geographic diversification. The company does not expect a material impact on its FY25 results and maintains its EBIT growth guidance of 5% to 10%. However, there is an anticipation of increased input costs for FY26 due to tariff implementations. Breville remains committed to its long-term growth strategy and will make tactical adjustments to mitigate short-term impacts.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 27, 2025