Charter Hall Long WALE REIT (CLW) AI Stock Analysis

• Market Cap: AU$3.12B
• Dividend Yield: 5.68%
• Average Volume (3M): 1.10M
• Price to Earnings (P/E): 26.6
• Beta (1Y): 1.14
• Revenue Growth: -15.42%
• EPS Growth: 65.86%
• Country: AU
• Employees: N/A
• Sector: Real Estate
• Sector Strength: 55
• Industry: REIT - Diversified
• EPS (TTM): 0.13
• Shares Outstanding: 710,170,900
• 10 Day Avg. Volume: 1,342,234
• 30 Day Avg. Volume: 1,101,835
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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$4.25
• Price Target Upside: -3.41% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 7

• Rating: 61 Neutral
• Price Target: AU$4.50 ▲(2.27% Upside)

The overall stock score is primarily influenced by a challenging financial performance with declining revenues and net losses. Technical analysis suggests slightly bearish momentum, and valuation is impeded by a negative P/E ratio, although the high dividend yield provides some support. The absence of recent earnings call insights or notable corporate events means these factors did not influence the score.

Charter Hall Long WALE REIT Business Overview & Revenue Model

Company Description

Charter Hall Long WALE REIT is an Australian Real Estate Investment Trust (REIT) listed on the ASX and investing in high quality Australasian real estate assets that are predominantly leased to corporate and government tenants on long term leases. Charter Hall Long WALE REIT is managed by Charter Hall Group (ASX:CHC). With over 29 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, industrial & logistics, retail and social infrastructure. Operating with prudence, we've carefully curated a $45 billion diverse portfolio of over 1,300 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 Long WALE REIT generates revenue primarily through rental income from its diversified portfolio of properties. The REIT focuses on properties with long Weighted Average Lease Expiry (WALE), ensuring stable and predictable cash flows over extended periods. The REIT benefits from lease agreements with creditworthy tenants, which often include fixed or CPI-linked rental escalations, providing an additional growth mechanism. CLW also leverages Charter Hall Group's management expertise for asset enhancement and strategic acquisitions, which can further drive revenue growth. Partnerships with well-established tenants, such as government agencies and blue-chip corporations, contribute significantly to its earnings stability and growth potential.

Charter Hall Long WALE REIT Financial Statement Overview

Summary

Charter Hall Long WALE REIT faces a challenging financial landscape with declining revenues and significant net losses impacting profitability. While the balance sheet reflects moderate leverage and a strong equity base, cash flows remain positive, highlighting operational efficiency. Continued focus on revenue growth and cost management is essential for future financial stability.

Income Statement

The income statement reveals a challenging environment with declining revenues from $222.5M to $144.1M in the latest year, and a net loss of $510.9M. Gross profit margin decreased from 70.7% to 53.4%, indicating reduced profitability. However, EBIT margin remains relatively stable at 49.1%, showing operational resilience. The significant EBITDA loss suggests potential non-cash or one-time charges.

Balance Sheet

The balance sheet shows reasonable financial stability with a debt-to-equity ratio of 0.51, reflecting moderate leverage. The equity ratio of 64.2% indicates a strong equity base relative to assets. However, declining total assets and equity over time suggest pressure on asset management and shareholder value.

Cash Flow

Cash flow analysis shows positive operating cash flow at $185.2M, indicating adequate cash from operations despite net income losses. Free cash flow is stable, but limited growth in free cash flow from $231.1M to $185.2M suggests some operational headwinds. The operating cash flow to net income ratio is not meaningful due to negative net income.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	217.92M	222.51M	219.70M	154.60M	126.68M
Gross Profit	150.73M	157.21M	159.48M	112.96M	93.73M
EBITDA	-426.97M	-128.62M	222.20M	110.37M	-61.09M
Net Income	-510.88M	-188.99M	911.90M	618.31M	122.42M
Balance Sheet
Total Assets	5.25B	6.20B	6.48B	4.69B	3.09B
Cash, Cash Equivalents and Short-Term Investments	22.68M	19.68M	19.00M	76.97M	38.42M
Total Debt	1.70B	1.94B	1.83B	1.34B	829.91M
Total Liabilities	1.88B	2.13B	2.02B	1.41B	900.58M
Stockholders Equity	3.37B	4.07B	4.46B	3.28B	2.19B
Cash Flow
Free Cash Flow	185.18M	231.06M	870.83M	162.30M	105.66M
Operating Cash Flow	185.18M	179.68M	187.67M	162.30M	105.66M
Investing Cash Flow	260.12M	-51.84M	-683.16M	-1.09B	-1.13B
Financing Cash Flow	-444.46M	-127.16M	437.52M	970.75M	1.06B

Charter Hall Long WALE REIT Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.40
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CLW, the sentiment is Positive. The current price of 4.4 is above the 20-day moving average (MA) of 4.12, above the 50-day MA of 4.14, and above the 200-day MA of 3.84, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 72.87 is Negative, neither overbought nor oversold. The STOCH value of 91.51 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:CLW.

Charter Hall Long WALE REIT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLW	61 Neutral	AU$3.12B	26.57	3.57%	5.68%	-15.42%	65.86%
Sector *	61 Neutral	kr18.15B	19.99	2.73%	2.57%	2.19%	140.59%
CTOUF	―	$6.72B	332.43	1.03%	1.83%	―	―
DEXSF	―	$5.09B	―	-9.22%	4.15%	―	―
GPTGF	―	$6.46B	―	-1.94%	5.01%	―	―
GOZ	60 Neutral	AU$1.89B	―	-10.45%	8.09%	2.70%	-8.39%
ABG	54 Neutral	AU$1.09B	―	-6.24%	7.00%	―	―

Charter Hall Long WALE REIT Corporate Events

Charter Hall Long WALE REIT Announces New Quarterly Distribution

Charter Hall Long WALE REIT has announced a new distribution of AUD 0.0625 per fully paid unit stapled security, with an ex-date of June 27, 2025, and a payment date set for August 14, 2025. This quarterly distribution reflects the company’s commitment to providing consistent returns to its stakeholders, reinforcing its position as a stable investment option within the real estate sector.

The most recent analyst rating on (AU:CLW) stock is a Hold with a A$4.08 price target. To see the full list of analyst forecasts on Charter Hall Long WALE REIT stock, see the AU:CLW Stock Forecast page.

Charter Hall Long WALE REIT Declares Quarterly Distribution

Charter Hall Long WALE REIT announced a distribution of 6.25 cents per stapled security for the quarter ending 31 March 2025, with a fund payment component of 3.8531 cents. This declaration as an Attribution Managed Investment Trust (AMIT) impacts non-resident securityholders and custodians, while Australian residents are unaffected for tax purposes. The announcement reflects the REIT’s ongoing commitment to providing stable returns to its investors through long-term leases with high-quality tenants.

The most recent analyst rating on (AU:CLW) stock is a Hold with a A$4.08 price target. To see the full list of analyst forecasts on Charter Hall Long WALE REIT stock, see the AU:CLW Stock Forecast page.