Dexus (DXS) AI Stock Analysis

• Market Cap: $7.67B
• Dividend Yield: 5.28%
• Average Volume (3M): 3.72M
• Price to Earnings (P/E): 55.5
• Beta (1Y): 1.07
• Revenue Growth: 4.52%
• EPS Growth: N/A
• Country: AU
• Employees: 972
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): 0.32
• Shares Outstanding: 1,075,565,200
• 10 Day Avg. Volume: 3,236,586
• 30 Day Avg. Volume: 3,718,098
• PEG Ratio: -0.41
• Price to Book (P/B): 0.72
• Price to Sales (P/S): 7.75
• P/FCF Ratio: 8.95
• Enterprise Value/Market Cap: 1.56
• Enterprise Value/Revenue: 10.82
• Enterprise Value/Gross Profit: 24.51
• Enterprise Value/Ebitda: 29.34
• 1Y Price Target: $8.11
• Price Target Upside: 15.69% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 0.63
• Revenue Forecast (FY): $854.63M

• Rating: 59 Neutral
• Price Target: AU$7.50 ▲(6.99% Upside)

Dexus's overall stock score is primarily influenced by its stable financial performance, despite challenges in revenue growth and return on equity. The technical analysis indicates some short-term weakness, while the high P/E ratio suggests potential overvaluation. However, the attractive dividend yield provides some compensation for the high valuation. The absence of recent earnings call insights or notable corporate events means these factors did not influence the score.

Dexus Business Overview & Revenue Model

Company Description

Dexus is one of Australia's leading real estate groups, proudly managing a high-quality Australian property portfolio valued at $44.3 billion. We believe that the strength and quality of our relationships will always be central to our success and are deeply committed to working with our customers to provide spaces that engage and inspire. We invest only in Australia, and directly own $16.5 billion of office and industrial properties. We manage a further $15.6 billion of office, retail, industrial and healthcare properties for third party clients. The group's $11.4 billion development pipeline provides the opportunity to grow both portfolios and enhance future returns. With 1.6 million square metres of office workspace across 51 properties, we are Australia's preferred office partner. Dexus is a Top 50 entity by market capitalisation listed on the Australian Securities Exchange (trading code: DXS) and is supported by more than 29,000 investors from 24 countries. With 36 years of expertise in property investment, development and asset management, we have a proven track record in capital and risk management, providing service excellence to tenants and delivering superior risk adjusted returns for investors.

How the Company Makes Money

Dexus generates revenue primarily through leasing and rental income from its owned properties. The company leases office and industrial spaces to a range of tenants, including corporations and government entities, which provides a stable cash flow. Additionally, Dexus earns management fees from its investment management services, where it manages assets on behalf of third-party investors. This revenue model is bolstered by long-term lease agreements, which help ensure consistent income. Key partnerships with institutional investors and strategic collaborations with developers further enhance its financial performance, allowing Dexus to expand its portfolio and capitalize on growth opportunities in the real estate sector.

Dexus Financial Statement Overview

Summary

Dexus demonstrates strong gross profit margins and a solid equity base, which are positive indicators of financial health. However, challenges such as declining revenue growth and negative return on equity highlight areas for improvement. The company's cash flow remains stable, but the recent decline in free cash flow growth could pose risks if not addressed. Overall, Dexus is in a stable financial position but needs to focus on enhancing profitability and growth.

Income Statement

Dexus has shown a strong gross profit margin of 76.13% in the latest year, indicating efficient cost management. However, the revenue growth rate has been negative at -9.08%, reflecting a decline in sales. The net profit margin improved significantly to 16.99% from a negative margin in the previous year, showing a turnaround in profitability. Despite these improvements, the EBIT and EBITDA margins have decreased, suggesting potential challenges in operational efficiency.

Balance Sheet

The company's debt-to-equity ratio of 0.49 indicates a moderate level of leverage, which is manageable. The equity ratio stands at 64.30%, reflecting a strong equity base. However, the return on equity has been negative in recent years, indicating challenges in generating returns for shareholders. The balance sheet remains stable with a strong equity position, but profitability needs improvement.

Cash Flow

Dexus has experienced a slight decline in free cash flow growth at -2.93%, which could impact future investments. The operating cash flow to net income ratio is healthy at 0.55, indicating good cash generation relative to net income. The free cash flow to net income ratio is nearly 1, suggesting that most of the net income is being converted into free cash flow. Overall, cash flow generation is stable but shows signs of slowing growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.10B	921.20M	880.90M	877.60M	863.10M	1.02B
Gross Profit	486.80M	701.30M	646.90M	574.70M	494.60M	578.70M
EBITDA	406.73M	355.70M	-6.30M	-582.90M	471.20M	448.80M
Net Income	137.80M	156.50M	-1.58B	-752.70M	1.62B	1.14B
Balance Sheet
Total Assets	15.39B	15.39B	15.82B	18.54B	19.23B	18.14B
Cash, Cash Equivalents and Short-Term Investments	65.30M	65.30M	54.00M	123.90M	75.30M	43.50M
Total Debt	4.83B	4.83B	5.00B	5.35B	4.94B	4.95B
Total Liabilities	5.48B	5.48B	5.66B	6.28B	5.67B	5.63B
Stockholders Equity	9.90B	9.90B	10.16B	12.26B	13.57B	12.51B
Cash Flow
Free Cash Flow	870.80M	798.10M	611.10M	762.90M	553.80M	982.90M
Operating Cash Flow	828.70M	811.30M	613.50M	770.90M	560.10M	999.30M
Investing Cash Flow	-127.00M	-109.60M	311.00M	-579.80M	41.20M	-698.00M
Financing Cash Flow	-690.40M	-690.40M	-994.40M	-142.50M	-569.50M	-289.60M

Dexus Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.01
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:DXS, the sentiment is Negative. The current price of 7.01 is below the 20-day moving average (MA) of 7.18, below the 50-day MA of 7.28, and below the 200-day MA of 7.14, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 39.87 is Neutral, neither overbought nor oversold. The STOCH value of 14.54 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:DXS.

Dexus Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SGP	75 Outperform	AU$14.08B	16.82	7.99%	4.33%	4.75%	170.39%
CHC	66 Neutral	$11.59B	51.34	24.58%	1.97%	15.06%	47.66%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
GPT	60 Neutral	$10.46B	27.69	3.56%	4.47%	12.66%	―
DXS	59 Neutral	$7.67B	55.53	1.32%	5.28%	4.52%	―
GMG	54 Neutral	$59.89B	34.29	7.99%	1.02%	16.87%	―
CLW	52 Neutral	AU$2.99B	25.42	3.57%	6.19%	-9.63%	―

Dexus Corporate Events

Dexus Updates on Director’s Interest and Incentive Plans

Dexus announced a change in the director’s interest, with Ross Du Vernet acquiring 919,505 performance rights under the FY25 and FY26 Long Term Incentive Plans. This move reflects Dexus’s commitment to aligning executive incentives with company performance, potentially impacting its market positioning and stakeholder confidence.

Dexus Announces Cessation of Performance Rights

Dexus has announced the cessation of 35,118 performance rights due to the conditions for these securities not being met or becoming incapable of being satisfied. This development may impact the company’s capital structure and could have implications for stakeholders, particularly in terms of performance-based incentives.

Dexus Issues New Stapled Securities to Enhance Capital Structure

Dexus has announced the issuance of 30,581 fully paid units of stapled securities, marking a significant move in its financial operations. This issuance reflects the company’s ongoing efforts to optimize its capital structure and enhance shareholder value, potentially impacting its market positioning and stakeholder interests.

Dexus Director Increases Stake with On-Market Purchase

Dexus has announced a change in the director’s interest, with Rhoda Harrington acquiring an additional 1,402 ordinary securities through an on-market purchase, increasing her holding to 20,568 securities. This change reflects an ongoing commitment to the company’s growth and stability, potentially impacting investor confidence and market perception positively.

Dexus AGM Approves Key Resolutions and Strengthens Leadership

Dexus announced the successful passing of several resolutions at its 2025 Annual General Meeting, including the adoption of the Remuneration Report and the approval of long-term incentive performance rights for the CEO. Additionally, the appointments of two independent directors, Rhoda Harrington and Elana Rubin AM, were confirmed. These decisions reflect Dexus’s strategic focus on strengthening its leadership and aligning executive incentives with long-term performance goals, which could enhance its market position and stakeholder confidence.

Dexus AGM Highlights Board Changes and Strategic Focus

At the 2025 Annual General Meeting, Dexus announced the retirement of two key board members, Nicola Roxon and Paula Dwyer, acknowledging their significant contributions to the company. The meeting also highlighted Dexus’s strategic focus on leveraging its strengths in real estate and infrastructure to deliver superior returns, emphasizing sustainability and governance as central to its operations.

Dexus Reports Strong Performance and Strategic Growth in September 2025 Quarter

Dexus has reported a strong performance for the September 2025 quarter, highlighting a well-positioned investment portfolio with high occupancy rates in both its industrial and office sectors. The company has successfully exchanged or settled approximately $2.0 billion in transactions and continues to see outperformance in its wholesale property and shopping centre funds. Dexus is actively involved in development projects and is progressing with significant real estate developments, including Atlassian Central in Sydney and Waterfront Brisbane. The company is also expanding its funds management business, with Powerco acquiring Firstlight Network to support energy transition initiatives.

Dexus Announces Cessation of Performance Rights

Dexus has announced the cessation of 533,667 performance rights due to the conditions for these securities not being met or becoming incapable of being satisfied. This development may impact the company’s capital structure and could have implications for stakeholders, reflecting on the company’s operational adjustments and strategic decisions.

Dexus Issues New Stapled Securities to Enhance Market Position

Dexus announced the issuance of 652,542 fully paid units of stapled securities, effective August 21, 2025. This move is part of the company’s ongoing strategy to manage its equity securities, potentially impacting its market positioning and offering implications for investors and stakeholders in terms of equity distribution and capital structure.

Dexus Addresses Late Lodgement of Appendix 3Y Form

Dexus announced a late lodgement of an Appendix 3Y form due to an administrative delay in processing changes in Key Management Personnel interests following the vesting of Performance Rights. The company has addressed the issue, considering it an isolated incident, and assures that its current practices are adequate to ensure compliance with ASX Listing Rules.

Dexus Proposes CEO Performance Rights Grant Under FY26 LTI Plan

Dexus has announced a proposal for the approval of granting 406,504 Performance Rights to its CEO, Ross Du Vernet, under the FY26 Long-Term Incentive Plan. This proposal, part of the 2025 Notice of Annual General Meeting, reflects Dexus’s commitment to aligning executive compensation with company performance, potentially impacting its operational strategies and stakeholder interests.

Dexus Announces Hybrid 2025 Annual General Meeting

Dexus has announced the details of its 2025 Annual General Meeting (AGM), which will be held as a hybrid event on October 29, 2025. Security holders can attend in person or virtually, with registration starting at 1:30 pm AEDST. The AGM materials, including the Notice of Meeting and voting forms, are available to security holders and online. This announcement underscores Dexus’s commitment to engaging with its stakeholders and providing accessible options for participation.