Ingenia Communities Group (INA) AI Stock Analysis

• Market Cap: AU$2.14B
• Dividend Yield: 2.16%
• Average Volume (3M): 1.47M
• Price to Earnings (P/E): 36.2
• Beta (1Y): 1.06
• Revenue Growth: 22.09%
• EPS Growth: -19.31%
• Country: AU
• Employees: 1,300
• Sector: Real Estate
• Sector Strength: 60
• Industry: REIT - Residential
• EPS (TTM): 0.21
• Shares Outstanding: 407,583,250
• 10 Day Avg. Volume: 1,195,461
• 30 Day Avg. Volume: 1,472,635
• PEG Ratio: 0.10
• Price to Book (P/B): 1.34
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.43
• 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$6.05
• Price Target Upside: 15.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 54 Neutral
• Price Target: AU$5.50 ▲(5.36%Upside)

The overall stock score is primarily influenced by mixed financial performance and weak technical analysis. The high P/E ratio indicates potential overvaluation, while technical indicators suggest bearish momentum. These factors outweigh the company's revenue growth and operational efficiency.

Ingenia Communities Group Business Overview & Revenue Model

Company Description

Ingenia is an S&P/ASX 200 entity and listed on the Australian Securities Exchange under the stock market trading code 'INA'. With a positive impact on more than 10,850 residents each and every day, our commitment to all stakeholders is to perform with integrity, foster respect for all and build community through continuous improvement in everything we do. In addition to the Group's on balance sheet portfolio of 99 communities, Ingenia's portfolio includes: five greenfield lifestyle community developments owned through a development Joint Venture with Sun Communities, Inc (NYSE: SUI); and six established communities through the Group's managed funds. In addition to ownership interests in the JV and funds, Ingenia receives fees for services provided to these entities. The Group is supported by over 4,000 investors and more than 1,200 employees dedicated to creating community for our residents and guests.

How the Company Makes Money

Ingenia Communities Group generates revenue primarily through the sale and leasing of residential properties within its lifestyle and seniors living communities. The company earns rental income from properties owned within its portfolio, as well as from holiday parks where guests pay for short-term stays. Additionally, Ingenia makes money through development and sales of new homes in its communities, which contributes to capital growth and recurring income. Significant partnerships with local governments and developers enhance its capability to expand and manage new projects effectively, thereby contributing to its earnings. The company's strategic focus on acquisitions and development opportunities in high-demand areas also plays a crucial role in boosting revenue.

Ingenia Communities Group Financial Statement Overview

Summary

Ingenia Communities Group shows a mixed financial performance. Revenue growth and operational efficiency are strengths, but declining net profit margins and increased leverage present challenges. The balance sheet's high debt level necessitates careful financial management, and the cash flow reveals solid operational cash generation but indicates pressure on free cash flow.

Income Statement

Ingenia Communities Group has demonstrated consistent revenue growth, evidenced by a 17.8% increase from 2023 to 2024. However, net profit margins have declined significantly, from 16.2% in 2023 to 3.0% in 2024, indicating potential profitability issues. The gross profit margin remains robust at 61.5%, showing operational efficiency. Despite a strong EBIT margin of 22.2%, the decreasing EBITDA margin from 27.6% to 16.6% highlights rising operating costs or other financial pressures.

Balance Sheet

The company's balance sheet reflects a high debt-to-equity ratio of 0.50, indicating leverage that may pose financial risks if not managed. The equity ratio of 61.0% suggests a sound capital structure, with equity comprising a significant portion of assets. Return on equity has decreased to 0.9% in 2024, reflecting lower profitability on shareholder investments, which could concern investors.

Cash Flow

The cash flow statement indicates stable operating cash flow, though there is a modest decline in free cash flow from 2023 to 2024. The operating cash flow to net income ratio is strong at 5.86, highlighting solid cash generation despite lower net income. However, the free cash flow to net income ratio has decreased, implying reduced cash availability for reinvestment or debt servicing.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	466.33M	395.95M	338.18M	295.59M	244.29M
Gross Profit	287.05M	254.10M	212.57M	175.95M	140.35M
EBITDA	77.48M	109.44M	81.39M	94.79M	71.49M
Net Income	14.02M	64.37M	100.59M	72.78M	31.45M
Balance Sheet
Total Assets	2.48B	2.38B	2.18B	1.37B	1.10B
Cash, Cash Equivalents and Short-Term Investments	14.46M	45.72M	14.49M	18.80M	10.75M
Total Debt	754.15M	661.67M	495.60M	274.33M	85.40M
Total Liabilities	965.17M	841.34M	668.46M	377.24M	157.81M
Stockholders Equity	1.51B	1.54B	1.51B	993.03M	943.02M
Cash Flow
Free Cash Flow	77.58M	78.09M	112.18M	132.95M	64.44M
Operating Cash Flow	82.19M	82.50M	114.90M	137.65M	67.19M
Investing Cash Flow	-148.14M	-168.05M	-731.71M	-275.63M	-187.11M
Financing Cash Flow	34.69M	116.79M	612.50M	146.03M	110.49M

Ingenia Communities Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.22
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:INA, the sentiment is Negative. The current price of 5.22 is below the 20-day moving average (MA) of 5.31, below the 50-day MA of 5.52, and below the 200-day MA of 5.26, indicating a bearish trend. The MACD of -0.09 indicates Negative momentum. The RSI at 39.00 is Neutral, neither overbought nor oversold. The STOCH value of 69.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:INA.

Ingenia Communities Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HMC	70 Neutral	AU$1.59B	6.80	15.75%	3.18%	107.77%	257.12%
Sector *	63 Neutral	$6.74B	18.39	-1.93%	7.18%	4.59%	-25.63%
INA	54 Neutral	AU$2.14B	36.21	3.77%	2.16%	22.09%	-19.31%
AYV1	―	€491.07M	11.81	13.65%	2.56%	―	―
CIP	69 Neutral	AU$2.00B	20.30	3.99%	5.21%	4.34%	―
LIC	62 Neutral	AU$565.26M	10.46	7.50%	2.26%	8.28%	-39.60%
URF	46 Neutral	AU$217.63M	―	-10.88%	2.45%	-26.43%	-144.83%

Ingenia Communities Group Corporate Events

Ingenia Communities Group Evaluates Deferred Management Fee Exposure

Ingenia Communities Group has limited exposure to Deferred Management Fee (DMF) contracts, with these fees representing about $26 million, or 1% of its investment property value, as of June 30, 2025. The company does not sell new homes with DMF or exit fees but has four communities in Victoria with legacy DMF arrangements. Ingenia plans to review a recent VCAT decision to assess potential changes to its DMF operations.

The most recent analyst rating on (AU:INA) stock is a Hold with a A$6.15 price target. To see the full list of analyst forecasts on Ingenia Communities Group stock, see the AU:INA Stock Forecast page.

Macquarie Group Corrects Substantial Holder Notice for Ingenia Communities

Ingenia Communities Group, a prominent player in the real estate sector, has been informed by Macquarie Group Limited of a correction to a previously lodged substantial holder notice. The error involved the misidentification of the entity with a relevant interest in certain shares, which should have been attributed to Macquarie Investment Management Global Limited instead of the deregistered Macquarie Asset Management Public Investments (NZ) Limited. This correction does not affect the aggregate voting power previously reported, ensuring transparency and accuracy in shareholder disclosures.

The most recent analyst rating on (AU:INA) stock is a Hold with a A$6.15 price target. To see the full list of analyst forecasts on Ingenia Communities Group stock, see the AU:INA Stock Forecast page.

Mitsubishi UFJ Financial Group Acquires Substantial Stake in Ingenia Communities

Ingenia Communities Group, a company involved in real estate and property management, has announced that Mitsubishi UFJ Financial Group, Inc. has become a substantial holder in the company. Mitsubishi UFJ Financial Group, Inc. now holds a 5.15% voting power in Ingenia Communities Group through its relevant interests in securities managed by Morgan Stanley and First Sentier Investors Holdings Pty Limited. This development could potentially influence Ingenia’s strategic decisions and market positioning, given the significant stake acquired by a major financial entity.

The most recent analyst rating on (AU:INA) stock is a Hold with a A$6.15 price target. To see the full list of analyst forecasts on Ingenia Communities Group stock, see the AU:INA Stock Forecast page.

First Sentier Investors Acquires Substantial Stake in Ingenia Communities

Ingenia Communities Group has announced that First Sentier Investors has become a substantial holder, acquiring significant voting power in the company. This development indicates a strategic investment by First Sentier, potentially impacting Ingenia’s market positioning and stakeholder interests by aligning with a prominent investment manager.

The most recent analyst rating on (AU:INA) stock is a Hold with a A$6.15 price target. To see the full list of analyst forecasts on Ingenia Communities Group stock, see the AU:INA Stock Forecast page.

Ingenia Communities Group Updates Office Location

Ingenia Communities Group has announced a change in its Registered Office and Principal Place of Business to Level 10, 20 Bond Street, Sydney NSW 2000. This move is part of the company’s ongoing efforts to streamline operations and enhance its market presence, potentially impacting its operational efficiency and stakeholder engagement.