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Goodman Group (AU:GMG)
ASX:GMG

Goodman Group (GMG) AI Stock Analysis

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AU

Goodman Group

(Sydney:GMG)

66Neutral
Goodman Group's overall stock score reflects a mix of strong financial fundamentals and bearish technical indicators. The company benefits from robust cash flow and a solid balance sheet, which provides resilience against current financial challenges. However, the stock's high valuation and bearish technical trends suggest caution for potential investors. The absence of recent earnings call insights or notable corporate events leaves the focus on the company's existing financial and market data.

Goodman Group (GMG) vs. S&P 500 (SPY)

Goodman Group Business Overview & Revenue Model

Company DescriptionGoodman Group is an integrated property group with operations throughout Australia, New Zealand, Asia, Continental Europe, the United Kingdom, North America and Brazil. Goodman Group, comprised of the stapled entities Goodman Limited, Goodman Industrial Trust and Goodman Logistics (HK) Limited, is the largest industrial property group listed on the Australian Securities Exchange and one of the largest listed specialist investment managers of industrial property and business space globally. Goodman's global property expertise, integrated own+develop+manage customer service offering and significant investment management platform ensures it creates innovative property solutions that meet the individual requirements of its customers, while seeking to deliver long-term returns for investors.
How the Company Makes MoneyGoodman Group makes money through a combination of property ownership, development, and management services. Its primary revenue streams include rental income from its extensive portfolio of logistics and industrial properties, development profits from constructing new facilities, and management fees from overseeing properties on behalf of third-party investors. The company benefits from strategic partnerships with major global e-commerce and logistics companies, which drive demand for its properties. Additionally, Goodman Group leverages its expertise in logistics real estate to optimize the value of its assets and maximize returns for its investors.

Goodman Group Financial Statement Overview

Summary
Goodman Group displays underlying financial strength with a solid balance sheet and strong cash flow generation. The recent negative turn in net income and volatility in revenue growth present challenges that could impact future profitability. However, the company's low leverage and strong cash flow position provide a buffer against these challenges, suggesting potential for recovery and growth.
Income Statement
68
Positive
Goodman Group's revenue has shown slight volatility, with a minor dip in 2024 compared to 2023, indicating some instability in revenue streams. The net profit margin turned negative in 2024 due to a significant drop in net income, which suggests potential challenges in cost management or other financial pressures. The gross profit margin remains strong, reflecting efficient core operations. However, the EBIT margin is absent for 2024, which could indicate operational difficulties.
Balance Sheet
75
Positive
The balance sheet indicates a robust equity base with a high equity ratio, showcasing financial stability. The debt-to-equity ratio is relatively low, which suggests conservative financial leverage and good financial health. The return on equity declined significantly in 2024 due to negative net income, highlighting a recent challenge in generating returns for shareholders.
Cash Flow
80
Positive
The company maintains strong operating cash flow, indicating efficient cash generation from operations. The free cash flow has been positive and stable over the years, supporting potential reinvestments and shareholder returns. Despite a decrease in net income, the operating cash flow to net income ratio remains solid, demonstrating resilience in cash flow management.
Breakdown
Jun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
1.92B1.96B2.06B1.87B1.50B
Gross Profit
1.37B1.33B1.45B947.90M993.20M
EBIT
464.50M445.40M671.10M492.00M550.00M
EBITDA
22.80M462.10M688.20M515.00M572.50M
Net Income Common Stockholders
-98.90M1.56B3.41B2.31B1.50B
Balance SheetCash, Cash Equivalents and Short-Term Investments
1.79B1.36B1.06B920.40M1.78B
Total Assets
23.83B24.07B21.47B16.89B16.15B
Total Debt
3.72B3.36B2.90B2.15B2.99B
Net Debt
1.94B2.00B1.85B1.23B1.20B
Total Liabilities
6.29B6.05B5.04B3.73B4.63B
Stockholders Equity
17.54B18.02B16.42B13.16B11.52B
Cash FlowFree Cash Flow
1.18B1.27B835.10M1.11B1.15B
Operating Cash Flow
1.19B1.28B841.00M1.11B1.16B
Investing Cash Flow
-688.20M-716.00M-1.00B-549.90M-306.40M
Financing Cash Flow
-52.40M-308.80M299.70M-1.35B-660.90M

Goodman Group Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price31.35
Price Trends
50DMA
29.97
Positive
100DMA
33.14
Negative
200DMA
34.31
Negative
Market Momentum
MACD
0.44
Negative
RSI
61.53
Neutral
STOCH
82.72
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:GMG, the sentiment is Neutral. The current price of 31.35 is above the 20-day moving average (MA) of 29.19, above the 50-day MA of 29.97, and below the 200-day MA of 34.31, indicating a neutral trend. The MACD of 0.44 indicates Negative momentum. The RSI at 61.53 is Neutral, neither overbought nor oversold. The STOCH value of 82.72 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:GMG.

Goodman Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUGMG
66
Neutral
$63.23B64.445.14%0.98%9.68%273.05%
60
Neutral
$2.81B11.040.20%8508.34%6.12%-16.66%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:GMG
Goodman Group
31.35
-2.12
-6.33%
CTOUF
Charter Hall Group
12.54
4.87
63.49%
DEXSF
Dexus
4.74
0.30
6.76%
GPTGF
GPT Group
3.01
0.35
13.16%
MRVGF
Mirvac Group
1.57
0.26
19.85%
STGPF
Scentre Group
2.38
0.42
21.43%

Goodman Group Corporate Events

Goodman Group Announces Quotation of New Securities on ASX
Mar 20, 2025

Goodman Group has announced the quotation of 152,057 fully paid ordinary units stapled securities on the Australian Securities Exchange (ASX) as of March 20, 2025. This issuance is part of previously announced transactions, potentially enhancing the company’s market presence and providing additional liquidity options for stakeholders.

Goodman Group Completes $5.1 Million Share Purchase Plan
Mar 18, 2025

Goodman Group has successfully completed its Share Purchase Plan (SPP), raising approximately $5.1 million through the issuance of 152,057 new stapled securities at $33.50 each. This follows a $4.0 billion institutional placement, with the new securities set to trade on the ASX, aligning with existing securities. This move strengthens Goodman’s capital base, supporting its strategic growth initiatives in the industrial property sector.

Goodman Group Launches Security Purchase Plan Following Successful Placement
Feb 27, 2025

Goodman Group has opened its Security Purchase Plan (SPP) for eligible securityholders in Australia and New Zealand, following a successful $4 billion institutional placement. The SPP aims to raise up to $400 million, allowing eligible securityholders to purchase new securities at $33.50 each, equal to the institutional placement price. This move is part of Goodman’s strategy to strengthen its financial position and expand its property portfolio, potentially enhancing its market presence and offering value to its investors.

Goodman Group Dispatches Six-Month Distribution to Securityholders
Feb 25, 2025

Goodman Group has announced the dispatch of its distribution for the six months ending 31 December 2024, amounting to 15.00 cents per security. This distribution reflects Goodman’s ongoing commitment to providing value to its securityholders and highlights its strong financial performance. As a major player in the industrial property sector, this announcement reinforces Goodman’s robust market positioning and its strategic focus on sustainable growth and value creation for investors.

Goodman Group Successfully Raises $4 Billion Through Institutional Placement
Feb 24, 2025

Goodman Group announced the successful completion of a fully underwritten institutional placement, raising approximately $4 billion. The placement involved issuing 119,402,986 new fully paid ordinary Goodman stapled securities at an issue price of $33.50 per security. This capital raise is expected to enhance Goodman’s capacity to invest in its property portfolio, supporting its long-term strategy of creating value for customers and investors by focusing on high-quality sustainable properties in key cities worldwide.

Goodman Group Quotes New Securities to Bolster Market Strategy
Feb 24, 2025

Goodman Group announced the quotation of 119,402,986 fully paid ordinary units stapled securities on the ASX, following previous transactions. This move is part of the company’s ongoing strategy to strengthen its market presence and expand its operational capabilities in the industrial property sector.

Goodman Group Announces Distribution for 2024 Half-Year
Feb 21, 2025

Goodman Group announced a distribution of 15 cents per security for the six months ending 31 December 2024, with a scheduled payment date of 25 February 2025. The distribution includes various components such as capital gains, other income, and foreign income, with a significant portion designated as a fund payment. This announcement reflects Goodman’s ongoing commitment to providing value to its stakeholders, aligning with its strategy of managing sustainable properties in key global markets.

Goodman Group Secures $4 Billion Through Institutional Placement
Feb 20, 2025

Goodman Group has successfully raised approximately $4.0 billion through a fully underwritten institutional placement, issuing around 119.4 million new securities. This move, supported by both existing and new institutional investors, will enhance Goodman’s financial and operational flexibility, particularly in its data center offerings, supporting long-term growth and infrastructure development crucial for the digital economy.

Goodman Group Announces Significant Securities Issuance
Feb 18, 2025

Goodman Group has announced the proposed issuance of new securities, totaling 131,343,284 fully paid ordinary units, as part of a securities purchase plan and a placement. This strategic move aims to strengthen its financial position and expand its operational capabilities, potentially impacting its market positioning and offering opportunities for stakeholders to engage with the company’s growth trajectory.

Goodman Group Announces Strong Profit and $4 Billion Equity Raising for Data Center Expansion
Feb 18, 2025

Goodman Group reported a substantial operating profit of $1,222.4 million for the first half of fiscal year 2025, reflecting an 8% increase from the previous year, and announced a $4.0 billion equity raising initiative to fund data center growth. The initiative enhances financial flexibility and supports the company’s strategy to expand its data center operations, which are crucial for cloud and AI deployments in major global metro markets, positioning Goodman to capitalize on growing demand in this sector.

Goodman Group Reports Robust Financial Growth and Strategic Portfolio Expansion
Feb 18, 2025

Goodman Group reported strong financial performance for the half year ended 31 December 2024, with an 8.4% increase in operating profit and a significant 25.2% rise in revenue compared to the previous year. The company’s strategic acquisitions and divestments, alongside an expanded portfolio worth $84.4 billion, highlight its robust market positioning and operational growth, despite a decline in external assets under management.

Goodman Group Initiates Trading Halt for Capital Raising Announcement
Feb 18, 2025

Goodman Group has requested a trading halt on its securities as it prepares to make an announcement regarding an equity capital raising initiative, which includes an institutional placement and security purchase plan. This strategic move aims to strengthen the company’s financial position and could have implications for its market operations and stakeholder interests.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.