Duratec Limited (DUR) AI Stock Analysis

• Market Cap: AU$363.44M
• Dividend Yield: 2.43%
• Average Volume (3M): 417.96K
• Price to Earnings (P/E): 16.2
• Beta (1Y): 0.79
• Revenue Growth: -1.02%
• EPS Growth: -7.39%
• Country: AU
• Employees: 1,132
• Sector: Industrials
• Sector Strength: 87
• Industry: Engineering & Construction
• EPS (TTM): 0.05
• Shares Outstanding: 252,390,430
• 10 Day Avg. Volume: 354,600
• 30 Day Avg. Volume: 417,959
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• P/FCF Ratio: N/A
• 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$1.77
• Price Target Upside: 22.92% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 74 Outperform
• Price Target: AU$1.50 ▲(4.17%Upside)

Duratec Limited's strong financial performance is a key strength, supported by solid revenue growth and operational efficiency. The technical indicators suggest some caution due to bearish trends and potential oversold conditions. Valuation is fair, providing moderate attractiveness. Overall, the stock presents a balanced opportunity with attention needed on technical trends.

Duratec Limited Business Overview & Revenue Model

Company Description

Duratec Limited engages in the provision of assessment, protection, remediation, and refurbishment services to a range of assets, primarily steel and concrete infrastructure in Australia. It operates through Defence, Mining & Industrial, and Buildings & Facades segments. The Defence segment delivers capital facilities infrastructure and estate works program projects. The Mining & Industrial segment offers preventative maintenance programmes. The Buildings & Facades segment provides façade condition assessment and restoration completion services. It offers asset protection, building refurbishment, infrastructure upgrades, recladding, durability engineering, specialist access systems, construction, petrography lab, jack up barge hire, and spatial integration services. The company serves defense, mining, oil and gas, transport, marine, energy, building and façade, heritage, property, industrial, and water infrastructure industries. Duratec Limited was incorporated in 2010 and is headquartered in Wangara, Australia.

How the Company Makes Money

Duratec Limited makes money primarily through providing specialized engineering and construction services. The company's revenue streams include project-based contracts for the remediation and refurbishment of infrastructure, which may involve long-term maintenance agreements. Key revenue drivers include securing contracts with government and private sector clients in industries such as defense, mining, and oil and gas, where there is a high demand for asset protection and enhancement services. Strategic partnerships and alliances with other construction and engineering firms also contribute to its earnings by expanding its project portfolio and market reach.

Duratec Limited Financial Statement Overview

Summary

Duratec Limited demonstrates strong revenue growth and profitability with healthy margins. The balance sheet is stable with a moderate debt-to-equity ratio, though liabilities need careful management. Cash flow is positive, but recent declines in free cash flow growth highlight a need for improved cash management.

Income Statement

Duratec Limited has demonstrated strong revenue growth over the years, with the latest annual increase at 13%. The company maintains solid profitability with a gross profit margin of 17.3% and a net profit margin of 3.9%. EBIT and EBITDA margins are healthy at 7.4% and 8.1%, respectively. These metrics suggest robust operational efficiency and effective cost management.

Balance Sheet

The balance sheet is stable, with a moderate debt-to-equity ratio of 0.53, indicating a balanced approach to leverage. The equity ratio stands at 26.2%, reflecting a solid equity base. Return on equity is strong at 36.2%, showcasing effective utilization of shareholders' funds. However, slightly higher liabilities could pose a risk if not managed carefully.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth, but the company maintains a positive free cash flow to net income ratio of 0.51. Operating cash flow covers net income adequately with a ratio of 1.27, indicating good cash generation from operations. However, recent reductions in free cash flow growth highlight the need for careful cash management.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	555.79M	491.80M	310.00M	235.71M	247.28M
Gross Profit	96.17M	82.07M	48.41M	45.81M	24.59M
EBITDA	44.96M	37.47M	15.90M	15.15M	20.58M
Net Income	21.43M	19.20M	7.76M	7.13M	13.01M
Balance Sheet
Total Assets	225.40M	212.43M	137.62M	105.22M	80.48M
Cash, Cash Equivalents and Short-Term Investments	65.22M	66.19M	58.26M	41.25M	36.42M
Total Debt	31.56M	18.32M	14.81M	13.41M	8.78M
Total Liabilities	166.28M	166.37M	106.67M	79.30M	65.53M
Stockholders Equity	59.12M	46.06M	30.96M	25.92M	14.95M
Cash Flow
Free Cash Flow	11.03M	22.20M	20.59M	-2.37M	15.61M
Operating Cash Flow	27.28M	35.20M	28.03M	8.17M	20.83M
Investing Cash Flow	-24.46M	-22.22M	-5.09M	-8.52M	-5.01M
Financing Cash Flow	-3.79M	-4.70M	-4.42M	1.82M	-10.28M

Duratec Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.44
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:DUR, the sentiment is Negative. The current price of 1.44 is below the 20-day moving average (MA) of 1.46, below the 50-day MA of 1.53, and below the 200-day MA of 1.53, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at 46.62 is Neutral, neither overbought nor oversold. The STOCH value of 70.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:DUR.

Duratec Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DUR	74 Outperform	AU$363.44M	16.18	37.07%	2.43%	-1.02%	-7.39%
Sector *	67 Neutral	€9.99B	16.66	3.59%	3.43%	3.93%	-21.04%
AUSTF		$133.76M	9.43	19.99%	1.93%	―	―
LYOPF		$265.69M	9.30	36.14%	1.11%	―	―
8MP		€968.93M	20.75	15.97%	3.76%	―	―
3NR		€752.03M	10.59	18.01%	4.76%	―	―
SRG	69 Neutral	AU$1.03B	24.50	11.36%	2.93%	25.40%	41.18%

Duratec Limited Corporate Events

Duratec Limited Updates Appendix 3Y for Director’s Interest

Duratec Limited announced an update to the Appendix 3Y for Mr. Chris Oates, correcting the date of approval for the grant of LTI performance rights. This update reflects the accurate date as per the shareholder resolution from November 2024, instead of November 2025. The announcement signifies the company’s commitment to maintaining accurate and transparent records, which is crucial for its stakeholders and aligns with corporate governance standards.

The most recent analyst rating on (AU:DUR) stock is a Buy with a A$1.87 price target. To see the full list of analyst forecasts on Duratec Limited stock, see the AU:DUR Stock Forecast page.

Duratec Limited Announces Director’s Interest Change

Duratec Limited has announced a change in the director’s interest, specifically for Christopher John Oates. The company has granted 850,000 performance rights expiring in 2029 to Mr. Oates as incentives, subject to performance conditions, increasing his total holdings to include these new rights. This move indicates a strategic effort by Duratec to align executive interests with company performance, potentially impacting the company’s operational focus and signaling confidence in future growth.

The most recent analyst rating on (AU:DUR) stock is a Buy with a A$1.87 price target. To see the full list of analyst forecasts on Duratec Limited stock, see the AU:DUR Stock Forecast page.

Duratec Limited Issues Unquoted Equity Securities for Employee Incentives

Duratec Limited has announced the issuance of 850,000 unquoted equity securities under the code DURAA as part of an employee incentive scheme. This move reflects the company’s strategic efforts to incentivize its workforce, potentially impacting its operational efficiency and market competitiveness.

The most recent analyst rating on (AU:DUR) stock is a Buy with a A$1.87 price target. To see the full list of analyst forecasts on Duratec Limited stock, see the AU:DUR Stock Forecast page.

Duratec Limited Revises FY25 Guidance Amid Project Delays

Duratec Limited has revised its FY25 revenue and EBITDA guidance downward due to delays in project awards and weather disruptions. Despite these challenges, the company remains confident in its growth prospects, particularly in the Energy sector, and anticipates a strong performance in FY26. The company continues to experience strong demand and maintains a robust pipeline of tenders, with strategic opportunities emerging in Defence and Energy sectors due to shifts in client procurement processes.

The most recent analyst rating on (AU:DUR) stock is a Buy with a A$1.87 price target. To see the full list of analyst forecasts on Duratec Limited stock, see the AU:DUR Stock Forecast page.

Duratec Limited Director Increases Shareholding

Duratec Limited announced a change in the director’s interest, with Martin Brydon acquiring 649 fully paid ordinary shares under the dividend reinvestment plan, increasing his holdings to 84,415 shares. This transaction reflects the company’s ongoing commitment to aligning director interests with shareholder value, potentially strengthening investor confidence and enhancing its market position.

Duratec Limited Announces New Securities Quotation on ASX

Duratec Limited has announced the issuance of 348,816 fully paid ordinary securities to be quoted on the Australian Securities Exchange (ASX) as of April 30, 2025. This move is part of a dividend or distribution plan, potentially enhancing the company’s market liquidity and providing stakeholders with additional investment opportunities.

Duratec Limited Announces Cessation of Securities Due to Unmet Conditions

Duratec Limited announced the cessation of 50,000 securities due to the lapse of conditional rights, as the conditions for these rights were not met by the end of March 2025. This development may impact the company’s capital structure and could influence investor perceptions regarding the company’s ability to meet certain operational conditions.

Duratec Limited Confirms DRP Price for Upcoming Dividend

Duratec Limited has announced an update regarding its dividend distribution, confirming the Dividend Reinvestment Plan (DRP) price at AUD 1.5870 following the end of the pricing period. This update pertains to the dividend for the six-month period ending December 31, 2024, with key dates including the record date on March 14, 2025, and the ex-date on March 13, 2025. This announcement is significant for stakeholders as it provides clarity on the financial returns and investment opportunities associated with the company’s shares.