Peet Limited (PPC) AI Stock Analysis

• Market Cap: AU$861.41M
• Dividend Yield: 3.88%
• Average Volume (3M): 1.52M
• Price to Earnings (P/E): 4.6
• Beta (1Y): 0.82
• Revenue Growth: 41.77%
• EPS Growth: 60.62%
• Country: AU
• Employees: 193
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): 0.11
• Shares Outstanding: 468,158,970
• 10 Day Avg. Volume: 3,318,304
• 30 Day Avg. Volume: 1,517,523
• PEG Ratio: 0.25
• Price to Book (P/B): 1.33
• Price to Sales (P/S): 1.92
• P/FCF Ratio: 7.49
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.16
• Revenue Forecast (FY): AU$529.40M

• Rating: 72 Outperform
• Price Target: AU$2.50 ▲(27.55% Upside)
• Action: Upgraded Date: 10/02/25
• Date: Action: Upgraded 10/02/25

Peet Limited's strong financial performance is the primary driver of its stock score, supported by robust revenue growth and effective cash flow management. The technical analysis indicates bullish momentum, though caution is advised due to overbought signals. The valuation is fair, offering a balance of growth and income potential.

Positive Factors

Revenue Growth & Profitability

Sustained double-digit revenue growth and healthy net margins indicate Peet's core land‑sale model is delivering expanding revenue and profitable project execution. Over the medium term this supports reinvestment into new communities, steady lot supply, and resilience in earnings through multi-year development cycles.

Free Cash Flow Generation

A large turnaround to positive free cash flow and near‑parity of operating cash to net income materially improves liquidity. Reliable FCF supports funding land acquisitions, civil works and dividends with less reliance on external financing, strengthening long‑term financial flexibility across development cycles.

Balance Sheet & Capital Structure

Moderate leverage and a strong equity ratio provide a durable capital base for multi‑year masterplanned projects. A sub‑1 D/E and positive ROE imply the company can scale developments without excessive financial strain, offering a buffer in downturns and capacity to finance future growth internally or at reasonable cost.

Negative Factors

Rising Absolute Debt Levels

Although leverage appears moderate, rising total debt increases interest and refinancing exposure across long development horizons. If lot settlements slow, higher absolute debt could pressure cash flow and reduce capacity to finance new projects or absorb cost overruns, elevating balance sheet risk over months.

Margin Pressure Risk

A slipping gross margin points to rising land, construction or infrastructure costs or pricing pressure. Sustained margin erosion would reduce per‑lot profitability and free cash per project, limiting reinvestment and dividend capacity, and making the business more vulnerable to prolonged cost inflation in the sector.

Concentration in Residential Land Market

Peet's business is closely tied to Australian residential lot demand and approval cycles. This concentration exposes earnings and cash flow timing to housing market cycles, regulatory delays and builder demand shifts; limited diversification into non‑residential assets increases structural revenue volatility risk.

Peet Limited Business Overview & Revenue Model

Company Description

Peet Limited acquires, develops, and markets residential land in Australia. It operates through Funds Management, Company-Owned Projects, and Joint Arrangements segments. The Funds Management segment provides underwriting, capital raising, and asset identification services. The Company-Owned Projects segment acquires parcels of land primarily for residential development purpose, as well as produces non-residential blocks of land. The Joint Arrangements segment undertakes the development of land through joint arrangements with government, statutory authorities, and private landowners. Peet Limited was founded in 1895 and is headquartered in Perth, Australia.

How the Company Makes Money

Peet Limited generates revenue primarily through the sale of residential lots and homes, as well as commercial properties developed on their land. The company earns significant income from its residential projects, which involve acquiring land, obtaining necessary approvals, and then selling developed lots to builders or directly to homebuyers. In addition to sales, Peet earns revenue from joint ventures and partnerships with other developers and governmental bodies, allowing them to leverage shared resources and expertise in larger projects. The company's investment properties also contribute to its earnings through rental income and capital appreciation over time. Overall, Peet's diversified portfolio and strategic partnerships are key factors driving its financial performance.

Peet Limited Financial Statement Overview

Summary

Peet Limited exhibits strong financial health with impressive revenue growth and profitability. The balance sheet reflects a stable capital structure with moderate leverage. Cash flow improvements highlight effective cash management. While the company shows robust performance, careful attention to debt levels and cost management will be crucial for sustained growth.

Income Statement

Peet Limited has shown strong revenue growth of 30.02% in the latest year, indicating robust business expansion. The gross profit margin of 27.66% and net profit margin of 14.10% reflect solid profitability. The EBIT margin of 14.27% and EBITDA margin of 14.59% further highlight operational efficiency. However, the slight decline in gross profit margin compared to previous years suggests potential cost pressures.

Balance Sheet

The company maintains a healthy debt-to-equity ratio of 0.56, indicating moderate leverage. The return on equity (ROE) of 9.75% suggests effective use of equity to generate profits. The equity ratio of 55.39% reflects a strong capital structure. However, the increase in total debt over the years could pose a risk if not managed carefully.

Cash Flow

Peet Limited has demonstrated a remarkable free cash flow growth rate of 5576.62%, indicating significant improvement in cash generation. The operating cash flow to net income ratio of 0.99 and free cash flow to net income ratio of 0.99 suggest efficient cash flow management. The turnaround from negative to positive cash flows is a positive sign for liquidity.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	463.54M	414.79M	292.58M	318.91M	266.61M	220.27M
Gross Profit	147.09M	114.74M	79.53M	103.69M	97.14M	70.11M
EBITDA	104.84M	60.51M	35.56M	55.03M	53.45M	34.54M
Net Income	84.17M	58.47M	36.55M	70.14M	52.32M	28.50M
Balance Sheet
Total Assets	1.05B	1.08B	1.09B	1.05B	1.01B	913.35M
Cash, Cash Equivalents and Short-Term Investments	28.45M	47.31M	23.76M	38.79M	55.38M	64.13M
Total Debt	250.60M	335.72M	350.18M	316.03M	304.34M	273.50M
Total Liabilities	403.77M	461.58M	499.09M	464.47M	450.86M	380.75M
Stockholders Equity	628.13M	599.62M	574.26M	567.50M	541.46M	516.28M
Cash Flow
Free Cash Flow	180.51M	106.32M	-31.20M	36.17M	45.03M	14.23M
Operating Cash Flow	181.29M	107.13M	-28.87M	37.07M	46.20M	14.43M
Investing Cash Flow	-20.50M	2.82M	-1.28M	1.45M	-15.92M	29.46M
Financing Cash Flow	-147.18M	-86.39M	15.12M	-55.10M	-39.02M	-26.60M

Peet Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.96
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:PPC, the sentiment is Negative. The current price of 1.96 is below the 20-day moving average (MA) of 2.00, above the 50-day MA of 1.95, and above the 200-day MA of 1.78, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 38.28 is Neutral, neither overbought nor oversold. The STOCH value of 23.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:PPC.

Peet Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UOS	79 Outperform	AU$1.19B	7.80	7.18%	3.65%	49.41%	23.84%
PPC	72 Outperform	AU$861.41M	4.55	13.71%	3.88%	41.77%	60.62%
CWP	69 Neutral	AU$655.08M	4.51	14.27%	3.32%	14.95%	18.79%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
FRI	65 Neutral	AU$214.98M	5.46	6.19%	11.49%	47.37%	-13.44%
MPX	38 Underperform	AU$18.35M	-12.65	-14.04%	―	-81.98%	-131.34%

Peet Limited Corporate Events

Peet Limited Affirms Strategic Review Status Amid Media Speculation

Peet Limited has addressed media speculation regarding its strategic review, confirming that no new updates are available beyond what was shared at their recent Annual General Meeting. The company remains committed to implementing the strategies outlined to maximize shareholder returns, emphasizing its adherence to continuous disclosure obligations.

The most recent analyst rating on (AU:PPC) stock is a Buy with a A$2.00 price target. To see the full list of analyst forecasts on Peet Limited stock, see the AU:PPC Stock Forecast page.

Peet Limited Completes On-Market Buy-Back

Peet Limited has announced the completion of its on-market buy-back program, repurchasing a total of 21,821,603 ordinary fully paid securities for a consideration of AUD 23,353,365.32. This buy-back is part of Peet Limited’s strategy to manage its capital structure and potentially enhance shareholder value, reflecting a commitment to optimizing financial performance and market positioning.

The most recent analyst rating on (AU:PPC) stock is a Buy with a A$2.00 price target. To see the full list of analyst forecasts on Peet Limited stock, see the AU:PPC Stock Forecast page.