Charter Hall Group (CHC) AI Stock Analysis

• Market Cap: AU$8.79B
• Dividend Yield: 1.97%
• Average Volume (3M): 1.01M
• Price to Earnings (P/E): 10.6
• Beta (1Y): 0.99
• Revenue Growth: 15.06%
• EPS Growth: 47.66%
• Country: AU
• Employees: 447
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): 0.51
• Shares Outstanding: 472,997,200
• 10 Day Avg. Volume: 990,000
• 30 Day Avg. Volume: 1,006,651
• PEG Ratio: -0.11
• Price to Book (P/B): 3.35
• Price to Sales (P/S): 13.20
• P/FCF Ratio: 25.58
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$26.24
• Price Target Upside: 22.14% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 1.03
• Revenue Forecast (FY): AU$871.68M

• Rating: 70 Outperform
• Price Target: AU$20.50 ▼(-4.56% Downside)
• Action: Upgraded Date: 02/19/26
• Date: Action: Upgraded 02/19/26

The score is driven primarily by solid financial fundamentals (profitability rebound, low leverage, and good cash conversion) and a strong, guidance-upgraded earnings call. These positives are partially offset by an expensive valuation (high P/E with only a moderate yield) and mixed technical signals (negative MACD and below the 50-day average).

Positive Factors

Low Leverage / Strong Balance Sheet

A very low debt-to-equity ratio (0.18) and improving ROE provide durable financial flexibility. This reduces refinancing risk, supports capital deployment and enables steady distributions or opportunistic acquisitions during downturns, underpinning long-term resilience.

Scale in Funds Under Management

Rapid FUM expansion and record equity inflows broaden the recurring base-fee pool and diversify revenue across mandates and sectors. Scale enhances pricing power, distribution reach and resilience of management fees, creating durable, fee-driven cashflows over cycles.

Strong Returns & Dividend Track Record

A long record of dividend growth and very high returns on contributed equity indicate disciplined capital allocation and ability to generate attractive cash returns. This supports investor confidence and signals sustainable earnings conversion over time.

Negative Factors

Interest Rate and Financing Exposure

Higher-for-longer rates raise funding costs for co-investments, developments and capital recycling, pressuring net yields and partner returns. Although partially hedged, sustained rate elevation could compress margins, slow transaction activity and increase capex financing costs.

Fee Timing & Performance Fee Uncertainty

Dependency on transaction and performance fees introduces volatility to earnings: deferrals, related-party seeds and valuation gaps can delay fee recognition. Structural uncertainty in recovering prior high-water marks makes performance fee upside unpredictable over coming months.

Rising Variable Operating Costs

Higher employee costs, payroll tax accruals and STI linked to outperformance have lifted the fixed/variable cost base. If sustained, this can compress funds-management margins despite fee growth, reducing cash conversion and making earnings more sensitive to revenue swings.

Charter Hall Group Business Overview & Revenue Model

Company Description

With over 30 years' experience in property investment and funds management, we're one of Australia's leading fully integrated property groups. We use our property expertise to access, deploy, manage and invest equity across our core sectors: office, retail, industrial & logistics and social infrastructure. Operating with prudence, we've carefully curated a $41.8 billion plus diverse portfolio of over 1100 high quality, long leased properties. Partnership and financial discipline are at the heart of our approach. Acting in the best interest of customers and communities, we combine insight and inventiveness to unlock hidden value. Taking a long term view, our $6.8 billion development pipeline delivers sustainable, technologically enabled projects for our customers. The impacts of what we do are far-reaching. From helping businesses succeed by supporting their evolving workplace needs, to providing investors with superior returns for a better retirement, we're powered by the drive to go further.

How the Company Makes Money

Charter Hall primarily makes money through (1) funds management income earned for managing unlisted and listed real estate funds/vehicles and mandates on behalf of investors, and (2) property-related income and value outcomes from its own balance-sheet and co-investments. Its recurring earnings typically include base management fees charged as a percentage of funds under management (FUM) and property services income for activities such as asset/property management, leasing and project management performed for its managed funds and properties. It can also earn performance-based income (often referred to as performance fees or carried interest) when managed vehicles meet specified return hurdles or outperformance targets, which makes this component more variable than base fees. In addition, as a co-investor/owner in certain assets and vehicles, Charter Hall can receive distributions (e.g., rental-derived net property income passed through from trusts/vehicles), and may benefit from development profits and capital gains when properties or interests are developed, repositioned or sold (timing and magnitude are cyclical and transaction-dependent). Key factors influencing earnings include changes in FUM (driven by capital raising, acquisitions/disposals and property valuations), investor demand for its funds, occupancy and rental conditions across its property sectors, financing costs, and the volume of development and transaction activity within its managed portfolios.

Charter Hall Group Financial Statement Overview

Summary

Strong profitability rebound and growth (net margin 47.64%, revenue growth 20.67%) with healthy operating efficiency. Balance sheet is a key strength with low leverage (debt-to-equity 0.18). Cash conversion is good (operating cash flow to net income 1.24), but historical volatility in revenue and free cash flow growth tempers the score.

Income Statement

Charter Hall Group has shown a strong recovery in its income statement metrics for 2025. The gross profit margin is exceptionally high at 98.49%, indicating efficient cost management. The net profit margin has improved significantly to 47.64% from a negative margin in 2024, reflecting a strong turnaround in profitability. Revenue growth rate is robust at 20.67%, showcasing a positive growth trajectory. EBIT and EBITDA margins are also strong at 65.05% and 66.25% respectively, indicating healthy operational efficiency. However, the volatility in revenue growth over the years suggests potential risks in sustaining this growth.

Balance Sheet

The balance sheet of Charter Hall Group is solid with a low debt-to-equity ratio of 0.18, indicating prudent leverage management. The return on equity (ROE) has improved to 12.09%, reflecting enhanced profitability and efficient use of equity. The equity ratio stands at a healthy level, suggesting a strong equity base relative to total assets. Overall, the balance sheet reflects financial stability and low leverage risk.

Cash Flow

Cash flow metrics for Charter Hall Group show a positive trend with a free cash flow growth rate of 4.29% in 2025. The operating cash flow to net income ratio is 1.24, indicating good cash generation relative to net income. The free cash flow to net income ratio is nearly 1, suggesting that the company is effectively converting its profits into cash. However, the fluctuations in free cash flow growth over the years highlight potential volatility in cash generation.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	676.40M	687.80M	597.80M	870.20M	1.10B	668.40M
Gross Profit	752.40M	677.40M	402.70M	668.50M	790.50M	413.60M
EBITDA	560.80M	455.70M	-82.40M	450.10M	580.90M	243.90M
Net Income	539.40M	327.70M	-222.10M	196.10M	927.00M	495.60M
Balance Sheet
Total Assets	3.55B	3.54B	3.64B	4.10B	4.22B	3.32B
Cash, Cash Equivalents and Short-Term Investments	224.60M	286.70M	382.70M	401.40M	594.70M	351.90M
Total Debt	487.70M	496.00M	474.50M	474.20M	480.30M	564.40M
Total Liabilities	699.00M	833.60M	823.10M	848.00M	932.80M	806.70M
Stockholders Equity	2.86B	2.71B	2.82B	3.26B	3.25B	2.37B
Cash Flow
Free Cash Flow	349.10M	354.80M	425.50M	336.60M	592.70M	220.00M
Operating Cash Flow	351.70M	356.00M	428.00M	338.90M	603.80M	225.60M
Investing Cash Flow	-184.60M	-216.70M	-256.00M	-321.10M	-358.50M	-180.30M
Financing Cash Flow	-231.80M	-235.30M	-190.70M	-211.10M	-2.50M	67.70M

Charter Hall Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 21.48
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CHC, the sentiment is Negative. The current price of 21.48 is above the 20-day moving average (MA) of 20.43, below the 50-day MA of 22.24, and below the 200-day MA of 22.04, indicating a bearish trend. The MACD of -0.93 indicates Positive momentum. The RSI at 29.21 is Positive, neither overbought nor oversold. The STOCH value of 19.60 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:CHC.

Charter Hall Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SGP	75 Outperform	AU$10.34B	11.82	8.50%	4.29%	4.75%	170.39%
CHC	70 Outperform	AU$8.79B	10.60	19.38%	1.97%	15.06%	47.66%
GPT	69 Neutral	AU$8.66B	10.58	7.84%	4.41%	12.66%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
DXS	56 Neutral	AU$6.39B	5.34	4.78%	5.32%	4.52%	―
CLW	54 Neutral	AU$2.45B	4.72	6.69%	6.14%	-9.63%	―
GOZ	53 Neutral	AU$1.63B	7.35	1.57%	8.12%	-0.33%	58.26%

Charter Hall Group Corporate Events

Charter Hall Appoints Darren Steinberg to Board, Discloses Initial Securities Interest

Charter Hall Group has appointed Darren Joseph Steinberg as a director effective 25 February 2026, formalising his role on the board of the stapled entity comprising Charter Hall Limited and Charter Hall Property Trust. The initial director’s interest notice lodged with the ASX shows Steinberg holds an indirect interest in 10,000 stapled securities through DJS Investment Holdings Pty Ltd as trustee for the Steinberg Family Trust, while he holds no Charter Hall securities in his own name.

The disclosure outlines Steinberg’s power to control the disposal of these stapled securities via the investment vehicle, providing transparency to investors about his economic exposure to Charter Hall. The filing also confirms he currently has no interests in any contracts involving the company’s securities, indicating a straightforward equity-based alignment with shareholders at the commencement of his directorship.

The most recent analyst rating on (AU:CHC) stock is a Sell with a A$21.50 price target. To see the full list of analyst forecasts on Charter Hall Group stock, see the AU:CHC Stock Forecast page.

Charter Hall details AMIT fund payment and stapled security cash distribution

Charter Hall Property Trust, part of Charter Hall Group, has confirmed its status as an Attribution Managed Investment Trust for the six months to 31 December 2025 and detailed the tax components of its latest distribution. The trust declared a cash distribution of 3.72 cents per ordinary unit, with a total fund payment amount of 5.3381 cents per unit, information that is primarily relevant for non-resident unitholders and custodians in calculating withholding tax obligations.

The group also outlined that these distribution details apply only to the trust and are separate from Charter Hall Limited’s dividends. Charter Hall Limited will pay a fully franked dividend of 21.11 cents per share on 27 February 2026, contributing to a total cash distribution of 24.83 cents per stapled security, underscoring the ongoing income return for investors in the stapled structure.

The most recent analyst rating on (AU:CHC) stock is a Sell with a A$21.50 price target. To see the full list of analyst forecasts on Charter Hall Group stock, see the AU:CHC Stock Forecast page.