Endeavour Group Ltd (EDV) AI Stock Analysis

• Market Cap: AU$6.52B
• Dividend Yield: 5.16%
• Average Volume (3M): 2.91M
• Price to Earnings (P/E): 15.3
• Beta (1Y): 0.44
• Revenue Growth: -2.04%
• EPS Growth: -16.79%
• Country: AU
• Employees: 30,000
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Wineries & Distilleries
• EPS (TTM): 0.07
• Shares Outstanding: 1,795,725,700
• 10 Day Avg. Volume: 2,547,397
• 30 Day Avg. Volume: 2,908,436
• PEG Ratio: -0.98
• Price to Book (P/B): 1.87
• Price to Sales (P/S): 0.60
• P/FCF Ratio: 8.80
• 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$3.89
• Price Target Upside: 7.16% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 10
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: AU$4.00 ▲(10.19% Upside)

Endeavour Group Ltd's overall stock score is driven primarily by its solid financial performance, despite challenges in growth and leverage management. The technical analysis indicates bearish momentum, which is a significant concern. Valuation metrics are reasonable, with an attractive dividend yield providing some support.

Positive Factors

Operational Efficiency

Stable gross and EBIT margins indicate the company's ability to manage costs effectively, maintaining profitability despite market challenges.

Cash Flow Generation

Strong operating cash flow supports the company's ability to fund operations and investments, ensuring financial stability and growth potential.

Market Position

A leading position in the retail and hospitality sectors provides a competitive advantage, supporting long-term revenue and market share growth.

Negative Factors

Revenue Growth Decline

Negative revenue growth indicates challenges in expanding sales, which could impact future profitability and market competitiveness.

High Leverage

High leverage can increase financial risk, potentially limiting the company's ability to invest in growth opportunities and withstand economic downturns.

Profit Margin Pressure

Decreasing net profit margin suggests pressure on profitability, which could affect the company's ability to reinvest in its business and sustain growth.

Endeavour Group Ltd Business Overview & Revenue Model

Company Description

Endeavour Group Ltd (EDV) is a leading Australian retail and hospitality company specializing in the sale of alcohol and beverage products. The company operates a diverse portfolio of businesses, including liquor retailing through its Dan Murphy's and BWS brands, as well as a range of hotels and pubs that provide food and beverage services. Endeavour Group is committed to delivering exceptional customer experiences while promoting responsible consumption and sustainability within the alcohol industry.

How the Company Makes Money

Endeavour Group generates revenue primarily through the sale of alcoholic beverages in its retail locations and hospitality venues. The company's key revenue streams include direct sales from its liquor retail stores, which offer a wide range of products including beer, wine, and spirits. Additionally, the hospitality segment contributes significantly to revenue through food and drink sales at its pubs and hotels. Partnerships with various alcohol suppliers and brands also enhance its product offerings and create promotional opportunities that drive sales. The company's focus on digital retailing and e-commerce has further expanded its market reach, contributing to its overall profitability.

Endeavour Group Ltd Financial Statement Overview

Summary

Endeavour Group Ltd demonstrates solid operational efficiency with stable gross and EBIT margins. However, the decline in revenue growth and net profit margin indicates potential challenges in maintaining growth momentum. The balance sheet shows a high leverage level, which could be a risk if not managed properly. Cash flow generation is strong, but the decline in free cash flow growth warrants attention.

Income Statement

Endeavour Group Ltd shows a stable gross profit margin around 35% over the years, indicating consistent profitability in its core operations. However, the net profit margin has slightly decreased to 3.53% in the latest year, reflecting some pressure on overall profitability. The revenue growth rate has turned negative at -1.67%, which is a concern for future growth prospects. Despite this, the company maintains a reasonable EBIT margin of 6.10% and an EBITDA margin of 11.74%, suggesting operational efficiency.

Balance Sheet

The company's debt-to-equity ratio of 1.52 indicates a relatively high level of leverage, which could pose risks if not managed carefully. Return on equity has decreased to 11.11%, showing a decline in profitability from shareholders' perspective. The equity ratio stands at 32.68%, suggesting a moderate reliance on equity financing. Overall, the balance sheet reflects a stable but leveraged financial position.

Cash Flow

Operating cash flow remains strong at $1.15 billion, but free cash flow has decreased by 17.83%, indicating potential challenges in generating cash after capital expenditures. The operating cash flow to net income ratio is 2.70, showing strong cash generation relative to net income. However, the free cash flow to net income ratio of 0.71 suggests that a significant portion of earnings is reinvested back into the business.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	12.06B	12.06B	12.31B	11.88B	11.60B	11.60B
Gross Profit	4.23B	4.23B	4.25B	4.02B	3.63B	3.67B
EBITDA	1.35B	1.42B	1.47B	1.42B	1.28B	1.23B
Net Income	426.00M	426.00M	512.00M	529.00M	495.00M	445.00M
Balance Sheet
Total Assets	11.73B	11.73B	11.78B	11.67B	10.85B	10.76B
Cash, Cash Equivalents and Short-Term Investments	318.00M	318.00M	293.00M	290.00M	294.00M	437.00M
Total Debt	5.82B	5.82B	6.07B	6.09B	5.32B	5.49B
Total Liabilities	7.90B	7.90B	8.01B	7.96B	7.29B	7.38B
Stockholders Equity	3.83B	3.83B	3.77B	3.71B	3.56B	3.39B
Cash Flow
Free Cash Flow	817.00M	816.00M	791.00M	361.00M	668.00M	835.00M
Operating Cash Flow	1.15B	1.15B	1.21B	769.00M	953.00M	1.11B
Investing Cash Flow	-300.00M	-299.00M	-441.00M	-519.00M	-275.00M	-318.00M
Financing Cash Flow	-826.00M	-826.00M	-766.00M	-254.00M	-821.00M	-734.00M

Endeavour Group Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.63
• 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 3.63 is below the 20-day moving average (MA) of 3.69, below the 50-day MA of 3.65, and below the 200-day MA of 3.85, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 45.46 is Neutral, neither overbought nor oversold. The STOCH value of 40.17 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
CBO	75 Outperform	AU$1.38B	24.37	14.44%	1.56%	6.09%	166.89%
TWE	70 Outperform	AU$4.02B	9.25	9.13%	8.03%	6.47%	281.30%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
EDV	60 Neutral	AU$6.52B	15.26	11.20%	5.16%	-2.04%	-16.79%
AVG	44 Neutral	AU$34.59M	-3.62	-4.54%	―	-1.31%	92.08%
LRK	43 Neutral	AU$66.13M	-5.52	-10.39%	―	2.62%	-85.79%

Endeavour Group Ltd Corporate Events

Endeavour Group Issues Unquoted Equity Securities for Employee Incentives

Endeavour Group Limited announced the issuance of unquoted equity securities, including 875,834 share rights and 3,299,756 performance rights, as part of an employee incentive scheme. This move is likely to strengthen employee engagement and align their interests with the company’s long-term goals, potentially enhancing operational performance and market competitiveness.

Endeavour Group Limited Announces Cessation of Securities

Endeavour Group Limited announced the cessation of certain securities, specifically 42,260 share rights and 590,349 performance rights, due to unmet conditions. 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.

Endeavour Group Ltd Issues New Securities to Boost Market Presence

Endeavour Group Ltd has announced the issuance of 13,656 ordinary fully paid securities, effective from October 31, 2025. This move is part of the company’s ongoing financial strategies to manage its equity and enhance its market presence, potentially impacting its stakeholders by increasing the liquidity and value of its shares.

Endeavour Group’s 2025 AGM: Key Resolutions Passed and Leadership Changes

Endeavour Group Limited held its 2025 Annual General Meeting where all resolutions were passed via a poll. Notably, Anne Brennan retired as a Director, and multiple directors were re-elected or newly elected, including Duncan Makeig, Joanne Pollard, Peter Hardy, and Penelope Winn. The adoption of the remuneration report was also approved, indicating strong shareholder support for the company’s governance and compensation strategies.

Endeavour Group Reports Stable Revenue Amid Strategic Transition

Endeavour Group Ltd’s CEO, Kate Beattie, addressed the 2025 Annual General Meeting, highlighting a year of significant transition and strategic review. Despite a slight decline in retail liquor sales due to market conditions and supply chain disruptions, the company maintained stable revenue with strong hotel sales growth. The introduction of a new pub loyalty platform and investment in hotel renewals contributed to a positive performance in the hospitality sector. The company also reported strong cash flow and reduced net debt, enabling dividend payments at the top of their target range.

Endeavour Group Announces Strategic Executive Leadership Changes

Endeavour Group Ltd has announced significant changes to its Executive Leadership Team to align with its refreshed business strategy aimed at driving growth. Key appointments include Benjamin Ward as Managing Director of Dan Murphy’s, Catriona Larritt as Chief Customer Officer, Brendan Sweeney as Chief Digital and Data Officer, and Jill Henderson as Chief Legal Officer. These changes are expected to strengthen the company’s focus on customer strategy, digital transformation, and legal governance, positioning Endeavour Group for future success.

Endeavour Group Sees Growth in Hotels, Retail Sales Improve

Endeavour Group Ltd reported an improvement in retail sales trends and continued growth in its hotels segment for the first quarter of fiscal year 2026. Despite a slight decline in retail sales for Dan Murphy’s and BWS, the company saw a 4.4% increase in hotel sales, driven by growth in food, bars, gaming, and accommodation. The company attributes its success to strategic promotions and a focus on customer satisfaction, with plans to capitalize on upcoming key trading periods. The group’s strategy review aims to create sustainable value for stakeholders.

Endeavour Group Updates Business Address and Contact Method

Endeavour Group Ltd has announced a change in its registered office and principal place of business to Level 3, 10 Shelley Street, Sydney NSW 2000, effective immediately. This move signifies a strategic update in their operational logistics, potentially impacting their stakeholder communications as they transition away from a landline to email-only contact.

Endeavour Group Ltd Announces 2025 Annual General Meeting Details

Endeavour Group Ltd has announced that its 2025 Annual General Meeting will be held on November 17, 2025, at the Sofitel Sydney Wentworth, with options for shareholders to attend both in person and online. This meeting is a significant event for stakeholders, providing them with the opportunity to engage with the company’s leadership and discuss future strategies, although voting will not be available via telephone.

Endeavour Group Limited Announces Quotation of New Securities

Endeavour Group Limited has announced the quotation of 4,745,656 fully paid ordinary securities on the Australian Securities Exchange (ASX) as of October 14, 2025. This move is part of a dividend or distribution plan, potentially enhancing the company’s market liquidity and providing additional value to its shareholders.

Endeavour Group Ltd Announces Cessation of Securities

Endeavour Group Ltd announced the cessation of certain securities, specifically 48,741 share rights and 343,095 performance rights, due to the lapse of conditional rights. This cessation indicates that the conditions for these securities were not met, impacting the company’s issued capital and potentially affecting investor perceptions.

Endeavour Group Strengthens Board with New Appointment

Endeavour Group Limited has announced the appointment of Michael Ihlein as an independent Non-executive Director, pending regulatory approvals. Ihlein, with extensive experience in financial and governance leadership, will succeed Anne Brennan as Chair of the Audit, Risk and Compliance Management Committee after her retirement. This move is part of Endeavour’s ongoing board renewal process, aiming to enhance its strategic direction and governance structure.

Endeavour Group Ltd Updates Dividend Distribution Details

Endeavour Group Ltd has updated its previous announcement regarding its dividend distribution, specifically amending details related to currency information and the Dividend Reinvestment Plan. This update pertains to the dividend for the six-month period ending June 29, 2025, and reflects the company’s ongoing commitment to providing value to its shareholders through regular dividend payments.

Endeavour Group Appoints New BWS Managing Director

Endeavour Group Limited has appointed Jeanette Fenske as the new Managing Director of BWS, effective early next year. Fenske, who brings 35 years of retail experience, including senior roles at Woolworths Group and Clicks Group, is expected to lead BWS through its next growth phase, following the departure of Scott Davidson.