GWA Group Limited (GWA) AI Stock Analysis

• Market Cap: AU$639.14M
• Dividend Yield: 6.43%
• Average Volume (3M): 361.33K
• Price to Earnings (P/E): 14.7
• Beta (1Y): 0.81
• Revenue Growth: 1.21%
• EPS Growth: 12.29%
• Country: AU
• Employees: 629
• Sector: Industrials
• Sector Strength: 72
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.09
• Shares Outstanding: 265,205,100
• 10 Day Avg. Volume: 242,686
• 30 Day Avg. Volume: 361,331
• PEG Ratio: 2.22
• Price to Book (P/B): 2.12
• Price to Sales (P/S): 1.54
• P/FCF Ratio: 9.46
• 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$3.00
• Price Target Upside: 24.48% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: AU$3.00 ▲(24.48% Upside)

GWA Group Limited's strong financial performance, characterized by robust revenue growth and solid cash flow, is the primary driver of its stock score. The valuation is attractive with a reasonable P/E ratio and high dividend yield. However, technical indicators suggest a cautious short-term outlook, which slightly tempers the overall score.

Positive Factors

Revenue Growth

The significant revenue growth indicates robust demand for GWA's products, enhancing its market position and supporting long-term business expansion.

Cash Generation

Strong free cash flow growth supports future investments and debt servicing, ensuring financial flexibility and stability over the long term.

Margin Sustainability

Sustained profit margins reflect effective cost management and operational efficiency, contributing to the company's competitive advantage.

Negative Factors

Debt Levels

While improved, the debt-to-equity ratio still requires careful management to ensure financial stability and reduce financial risk.

EBITDA Margin Decline

A declining EBITDA margin could indicate rising costs or pricing pressures, potentially impacting profitability if not addressed.

Operating Cash Flow Coverage

Decreasing operating cash flow coverage may signal challenges in maintaining cash flow efficiency, affecting liquidity and investment capacity.

GWA Group Limited Business Overview & Revenue Model

Company Description

GWA Group Limited (GWA) is a leading Australian manufacturer and supplier of bathroom and kitchen products, operating primarily in the building and renovation sectors. The company specializes in the design, production, and distribution of high-quality products such as toilets, basins, showers, taps, and cabinetry under well-known brands like Caroma, Clark, and Dorf. GWA serves both residential and commercial markets, focusing on innovation and sustainability in its offerings.

How the Company Makes Money

GWA Group Limited generates revenue primarily through the sale of its bathroom and kitchen products to retail, commercial, and wholesale customers. The company operates a multi-channel distribution model, which includes direct sales to builders and contractors, as well as sales through retail partners and online platforms. Key revenue streams include the sales of plumbing fixtures, sanitary ware, and bathroom accessories. GWA also benefits from strategic partnerships with retailers and developers, which enhance its market reach. Factors contributing to its earnings include a strong focus on product innovation, brand recognition, and the growing demand for sustainable building solutions.

GWA Group Limited Financial Statement Overview

Summary

GWA Group Limited exhibits strong financial performance with impressive revenue growth of 25.9% and healthy profit margins. The balance sheet shows improved leverage with a debt-to-equity ratio of 0.56, and cash flow metrics indicate robust cash generation capabilities.

Income Statement

GWA Group Limited has demonstrated strong revenue growth with a 25.9% increase in the latest year, indicating robust demand for its products. The gross profit margin is healthy at 40.5%, and the net profit margin has improved to 10.4%, reflecting effective cost management. EBIT and EBITDA margins are also solid, suggesting operational efficiency. However, the slight decline in EBITDA margin compared to the previous year warrants attention.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.56, indicating a more balanced capital structure and reduced financial risk. Return on equity is strong at 14.3%, showcasing effective use of shareholder funds. The equity ratio is stable, reflecting a solid asset base. Continued focus on debt reduction could further enhance financial stability.

Cash Flow

GWA Group's free cash flow growth of 14.54% is a positive indicator of financial health, supporting future investments and debt servicing. The operating cash flow to net income ratio is 0.57, suggesting efficient cash generation relative to earnings. The free cash flow to net income ratio is nearly 1, indicating strong cash conversion. However, a slight decrease in operating cash flow coverage ratio compared to previous years should be monitored.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	418.48M	418.48M	413.49M	411.84M	418.72M	405.74M
Gross Profit	169.53M	169.53M	162.35M	158.19M	161.81M	164.08M
EBITDA	80.45M	80.45M	83.42M	86.22M	78.87M	78.15M
Net Income	43.38M	43.38M	38.63M	43.16M	35.18M	35.06M
Balance Sheet
Total Assets	648.29M	648.29M	659.88M	694.53M	729.98M	693.71M
Cash, Cash Equivalents and Short-Term Investments	49.30M	49.30M	42.01M	43.44M	31.44M	42.63M
Total Debt	169.78M	169.78M	182.81M	212.56M	229.30M	212.60M
Total Liabilities	345.31M	345.31M	355.29M	388.99M	426.15M	397.10M
Stockholders Equity	302.97M	302.97M	304.59M	305.54M	303.83M	296.61M
Cash Flow
Free Cash Flow	67.91M	67.91M	69.84M	70.66M	11.58M	73.15M
Operating Cash Flow	69.15M	69.15M	72.81M	72.88M	13.99M	78.30M
Investing Cash Flow	-2.84M	-2.84M	-2.98M	-2.22M	-2.41M	-7.98M
Financing Cash Flow	-58.62M	-58.62M	-71.14M	-58.35M	-22.55M	-59.53M

GWA Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.41
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:GWA, the sentiment is Negative. The current price of 2.41 is below the 20-day moving average (MA) of 2.44, below the 50-day MA of 2.45, and above the 200-day MA of 2.38, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 43.24 is Neutral, neither overbought nor oversold. The STOCH value of 14.17 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:GWA.

GWA Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GWA	74 Outperform	AU$639.14M	14.73	14.28%	6.43%	1.21%	12.29%
ASG	64 Neutral	AU$790.46M	23.99	6.57%	2.05%	8.22%	-46.33%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
AX1	61 Neutral	AU$549.90M	9.04	12.90%	7.65%	1.58%	-4.71%
UNI	58 Neutral	AU$601.49M	25.82	15.62%	4.91%	15.51%	-32.98%
BLX	55 Neutral	AU$623.81M	21.07	16.86%	2.94%	1.89%	-3.30%
IVT	39 Underperform	―	―	―	―	-33.87%	-72.64%

GWA Group Limited Corporate Events

GWA Group Updates on Market Buy-Back Program

GWA Group Limited has announced an update regarding its ongoing on-market buy-back program. As of November 13, 2025, the company has repurchased a total of 2,881,213 ordinary fully paid securities, with an additional 364,787 securities bought back on the previous day. This buy-back initiative reflects GWA Group’s strategic efforts to manage its capital structure and potentially enhance shareholder value.

GWA Group Limited Appoints New Director

GWA Group Limited has announced the appointment of Ms. Nicola Page as a director, effective from October 31, 2025. This announcement, authorized by the company’s Secretary and General Counsel, signifies a change in the company’s board composition, which could influence its strategic direction and governance.

GWA Group Limited Updates on Share Buy-Back Program

GWA Group Limited has announced an update on its ongoing share buy-back program, revealing that a total of 2,759,118 securities have been bought back before the previous day, with an additional 122,095 securities repurchased on the previous day. This buy-back initiative is part of the company’s strategy to optimize its capital structure and potentially enhance shareholder value, reflecting its commitment to returning capital to shareholders and maintaining a balanced financial position.

Spheria Asset Management Ceases Substantial Holding in GWA Group

Spheria Asset Management Pty Ltd has ceased to be a substantial holder in GWA Group Limited as of October 29, 2025. This change in substantial holding could impact GWA Group’s shareholder structure and influence within the market, potentially affecting the company’s strategic decisions and investor relations.

GWA Group Appoints Nicola Page as Independent Non-Executive Director

GWA Group Limited has announced the appointment of Nicola Page as an Independent Non-Executive Director. Nicola Page, with her extensive experience in digital transformation and strategic growth, is expected to bring valuable expertise to the board, enhancing GWA’s focus on digital platforms and customer-centric innovation.

GWA Group Limited Updates on Buy-Back Program

GWA Group Limited has announced an update regarding its ongoing on-market buy-back program. As of the latest notification, the company has repurchased a total of 2,590,940 securities, with an additional 168,178 securities bought back on the previous day. This buy-back initiative is part of GWA’s strategy to manage its capital structure effectively, potentially enhancing shareholder value and signaling confidence in the company’s financial health.

GWA Group Limited Updates on Market Buy-Back Program

GWA Group Limited has announced an update regarding its ongoing on-market buy-back program. As of October 15, 2025, the company has repurchased a total of 2,590,940 ordinary fully paid securities, including 45,796 securities bought back on the previous day. This buy-back initiative is part of GWA Group’s strategy to manage its capital structure and potentially enhance shareholder value.

GWA Group Limited Updates on Buy-Back Program

GWA Group Limited has announced an update on its ongoing on-market buy-back program. As of October 8, 2025, the company has repurchased a total of 2,479,481 ordinary fully paid securities, with 253,481 bought back on the previous day. This buy-back initiative is part of GWA’s strategy to manage its capital structure and potentially enhance shareholder value.

GWA Group Limited Announces 2025 AGM Details

GWA Group Limited has announced its Annual General Meeting (AGM) will take place on October 31, 2025, at the Hilton Sydney in New South Wales. This marks a change from previous years when the AGM was held in Queensland. Shareholders are encouraged to participate either in person or by proxy, with proxy submissions due by October 29, 2025. The meeting will include an overview of the company’s performance for the financial year ending June 30, 2025.

GWA Group Limited Releases FY2025 ESG Report

GWA Group Limited has released its FY2025 Environmental, Social, and Governance (ESG) Report. This report highlights the company’s ongoing commitment to sustainability and responsible business practices. The release of the ESG report underscores GWA Group’s dedication to transparency and accountability in its operations, which may enhance its reputation among stakeholders and potentially influence its market positioning.

GWA Group Limited Releases 2025 Corporate Governance Statement

GWA Group Limited has released its corporate governance statement for the financial year ending 30 June 2025, which is available on their website. The statement confirms the company’s adherence to the ASX Corporate Governance Council’s principles and recommendations, highlighting the company’s commitment to transparency and accountability in its management and oversight practices.

GWA Group Limited Updates on Share Buy-Back Program

GWA Group Limited has announced an update regarding its ongoing share buy-back program. As of September 24, 2025, the company has repurchased a total of 1,707,866 ordinary fully paid securities, with an additional 213,134 securities bought back on the previous day. This buy-back initiative is part of the company’s strategy to optimize its capital structure and potentially enhance shareholder value.

GWA Group Limited Updates on Share Buy-Back Program

GWA Group Limited has announced an update regarding its ongoing share buy-back program. The company reported that it bought back 62,031 ordinary fully paid securities on the previous day, adding to a total of 1,645,835 securities repurchased before that day. This buy-back activity is part of GWA’s strategy to manage its capital structure and potentially enhance shareholder value.

GWA Group Limited Updates on Market Buy-Back Program

GWA Group Limited has announced an update regarding its ongoing on-market buy-back program. As of September 22, 2025, the company reported that it had bought back a total of 1,308,227 ordinary fully paid securities before the previous day and an additional 337,608 securities on the previous day. This buy-back initiative reflects the company’s strategy to manage its capital structure and potentially enhance shareholder value.

GWA Group Limited Updates on Share Buy-Back Program

GWA Group Limited has announced an update regarding its ongoing on-market buy-back program, with a total of 572,227 securities bought back before the previous day and an additional 140,000 securities purchased on the previous day. This buy-back initiative is part of the company’s strategy to enhance shareholder value and optimize its capital structure, reflecting its commitment to returning excess capital to shareholders and potentially improving its stock market performance.

GWA Group Limited Updates on Market Buy-Back Program

GWA Group Limited has announced an update on its ongoing on-market buy-back program, reporting the purchase of 88,091 ordinary fully paid securities on the previous day, adding to a total of 484,136 securities bought back since the program’s inception. This buy-back initiative is part of GWA’s strategy to optimize its capital structure and enhance shareholder value, reflecting a proactive approach to managing its financial resources and market positioning.