Endeavour Group Ltd (EDV) AI Stock Analysis

• Market Cap: AU$7.24B
• Dividend Yield: 4.95%
• Average Volume (3M): 3.39M
• Price to Earnings (P/E): 15.8
• Beta (1Y): 0.60
• Revenue Growth: 1.78%
• EPS Growth: -11.07%
• Country: AU
• Employees: 30,000
• Sector: Real Estate
• Sector Strength: 57
• Industry: Beverages - Wineries & Distilleries
• EPS (TTM): 0.17
• Shares Outstanding: 1,790,980,000
• 10 Day Avg. Volume: 3,566,003
• 30 Day Avg. Volume: 3,393,087
• PEG Ratio: -1.54
• Price to Book (P/B): 1.86
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 7.39
• 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$4.33
• Price Target Upside: 7.18% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 12

• Rating: 73 Outperform
• Price Target: AU$4.50 ▲(11.39%Upside)

Endeavour Group Ltd's strong financial performance is the primary driver of its stock score, with solid revenue growth and efficient cash flow management. The technical analysis indicates a neutral position, and valuation metrics suggest the stock is fairly valued with a good dividend yield.

Positive Factors

Business Performance

Company’s core businesses are high quality, evidenced by Retail share gains and Hotels F&B margin improvement.

Management Changes

New Chairman Ari Mervis appointed with extensive industry experience.

Negative Factors

Leadership Uncertainty

CEO Step-Down earlier than expected and may create near-term volatility.

Endeavour Group Ltd Business Overview & Revenue Model

Company Description

Endeavour Group Ltd (EDV) is a leading Australian retail and hospitality company specializing in alcoholic beverages. The company operates through two main segments: Retail and Hotels. The Retail segment includes a network of liquor stores such as Dan Murphy's and BWS, offering a wide range of products including wines, beers, and spirits. The Hotels segment operates a portfolio of licensed venues that provide food, beverages, and gaming services. Endeavour Group Ltd is known for its extensive supply chain and customer-focused service in both retail and hospitality sectors.

How the Company Makes Money

Endeavour Group Ltd makes money primarily through its retail and hospitality operations. The Retail segment generates revenue from the sale of alcoholic beverages through its well-established brands, Dan Murphy's and BWS, both in physical stores and online platforms. The company leverages its extensive distribution network and strategic pricing to maximize sales. The Hotels segment contributes to revenue by providing food, beverage, and gaming services in its licensed venues, attracting a diverse customer base. Additionally, Endeavour Group benefits from strategic partnerships with suppliers to offer a wide array of products, enhancing its competitive edge in the market.

Endeavour Group Ltd Financial Statement Overview

Summary

Endeavour Group Ltd demonstrates strong financial performance with consistent revenue growth and healthy profit margins. The financial statements indicate solid operational management and robust cash generation capabilities. However, moderate debt levels suggest a need for careful monitoring.

Income Statement

Endeavour Group Ltd shows a strong financial performance with consistent revenue growth, evidenced by a 3.57% increase from 2023 to 2024. The company maintains healthy profit margins, with a gross profit margin of 34.54% and a net profit margin of 4.16% in 2024. The EBIT margin is solid at 8.21%, and the EBITDA margin is 11.96%, indicating efficient operational management.

Balance Sheet

The balance sheet depicts a stable financial position, with an equity ratio of 32.01% in 2024, reflecting a reasonable level of leverage. However, the debt-to-equity ratio stands at 1.61, which suggests moderate financial risk. The return on equity is satisfactory at 13.57%, indicating effective use of equity to generate profits.

Cash Flow

Cash flow analysis shows robust operating cash flow of AUD 1.21 billion in 2024, with a significant free cash flow to net income ratio of 1.54, highlighting strong cash generation capabilities. The free cash flow growth rate of 119.39% from 2023 to 2024 underscores the company's ability to generate cash to support operations and growth.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	12.31B	11.88B	11.60B	11.60B	4.14B
Gross Profit	4.25B	4.02B	3.63B	3.67B	1.11B
EBITDA	1.47B	1.60B	1.45B	1.40B	238.00M
Net Income	512.00M	529.00M	495.00M	445.00M	-64.00M
Balance Sheet
Total Assets	11.78B	11.67B	10.85B	10.76B	10.79B
Cash, Cash Equivalents and Short-Term Investments	293.00M	290.00M	294.00M	437.00M	375.00M
Total Debt	6.07B	6.09B	5.32B	5.49B	4.69B
Total Liabilities	8.01B	7.96B	7.29B	7.38B	7.41B
Stockholders Equity	3.77B	3.71B	3.56B	3.39B	3.39B
Cash Flow
Free Cash Flow	791.00M	361.00M	668.00M	835.00M	445.00M
Operating Cash Flow	1.21B	769.00M	953.00M	1.11B	560.00M
Investing Cash Flow	-441.00M	-519.00M	-275.00M	-318.00M	-169.00M
Financing Cash Flow	-766.00M	-254.00M	-821.00M	-734.00M	-247.00M

Endeavour Group Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:EDV, the sentiment is Negative. The current price of 4.04 is below the 20-day moving average (MA) of 4.10, below the 50-day MA of 4.08, and below the 200-day MA of 4.14, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 44.56 is Neutral, neither overbought nor oversold. The STOCH value of 49.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:EDV.

Endeavour Group Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EDV	73 Outperform	AU$7.24B	15.76	11.71%	4.95%	1.78%	-11.07%
CBO	65 Neutral	AU$1.07B	50.20	7.32%	1.29%	13.04%	103.19%
Sector *	63 Neutral	$6.73B	14.24	-1.44%	7.30%	4.75%	-35.88%
TWE	61 Neutral	AU$6.11B	39.90	3.25%	5.18%	22.94%	-40.23%
AVG	50 Neutral	$34.59M	―	-38.39%	―	-2.72%	-1624.66%
LRK	50 Neutral	AU$91.13M	―	-4.70%	―	-7.45%	-0.15%

Endeavour Group Ltd Corporate Events

AustralianSuper Increases Stake in Endeavour Group

AustralianSuper Pty Ltd has increased its voting power in Endeavour Group Limited from 11.42% to 12.44%, reflecting a significant change in its stake in the company. This change in substantial holding indicates a strengthened position for AustralianSuper in Endeavour Group, potentially impacting the company’s governance and strategic decisions.

The most recent analyst rating on (AU:EDV) stock is a Hold with a A$4.50 price target. To see the full list of analyst forecasts on Endeavour Group Ltd stock, see the AU:EDV Stock Forecast page.

BWS Managing Director Scott Davidson to Step Down

Endeavour Group Ltd announced the resignation of Scott Davidson, the Managing Director of BWS, effective at the end of November. Davidson, who has been with the company for over five years, played a crucial role in transforming BWS post its demerger from Woolworths in 2021, enhancing its eCommerce capabilities and retail operations. His departure marks a significant leadership change as the company prepares for its next growth phase.

The most recent analyst rating on (AU:EDV) stock is a Hold with a A$4.50 price target. To see the full list of analyst forecasts on Endeavour Group Ltd stock, see the AU:EDV Stock Forecast page.

Endeavour Group Director Acquires Significant Shareholding

Endeavour Group Limited announced a change in the director’s interest, with Penelope Ann Winn acquiring 48,560 fully paid ordinary shares through an on-market acquisition. This transaction, valued at $200,067.20, reflects a strategic move by the director, potentially indicating confidence in the company’s future performance and aligning with shareholder interests.

The most recent analyst rating on (AU:EDV) stock is a Hold with a A$4.50 price target. To see the full list of analyst forecasts on Endeavour Group Ltd stock, see the AU:EDV Stock Forecast page.

Endeavour Group Reports Strong Q4 Sales and Announces New CEO

Endeavour Group Ltd reported solid Easter sales in Q4 following a subdued Q3 in retail trading, with hotels performing well. The company announced Jayne Hrdlicka as the new Managing Director and CEO, effective January 2026. Retail sales showed positive growth in April, driven by improved trading over the Easter holiday period, while hotel sales continued to grow across all business drivers. The company’s customer loyalty programs have expanded, with significant growth in My Dan’s and pub+ memberships. Endeavour Group plans to expand its retail and hotel networks with new store openings and renewals, alongside refinancing its $1 billion debt facility. The group remains focused on optimizing its assets and cost base to deliver returns for shareholders.