Peter Warren Automotive Holdings Ltd (PWR) AI Stock Analysis

• Market Cap: AU$242.53M
• Dividend Yield: 2.27%
• Average Volume (3M): 82.57K
• Price to Earnings (P/E): 13.3
• Beta (1Y): 0.64
• Revenue Growth: 10.15%
• EPS Growth: -61.72%
• Country: AU
• Employees: 2,300
• Sector: Consumer Cyclical
• Sector Strength: 56
• Industry: Auto - Dealerships
• EPS (TTM): 0.02
• Shares Outstanding: 172,256,070
• 10 Day Avg. Volume: 155,928
• 30 Day Avg. Volume: 82,568
• PEG Ratio: -0.34
• Price to Book (P/B): 0.54
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.21
• 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$1.45
• Price Target Upside: 2.84% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 65 Neutral
• Price Target: AU$1.50 ▲(6.38%Upside)

The overall score is primarily influenced by solid revenue growth and strong cash flow. However, the declining profit margins, high leverage, and weak technical indicators limit the stock's attractiveness.

Peter Warren Automotive Holdings Ltd Business Overview & Revenue Model

Company Description

Peter Warren Automotive Holdings Ltd (PWR) is an Australian-based automotive dealership group. It operates a network of automotive dealerships and service centers primarily located in New South Wales and Queensland. The company offers a wide range of new and used vehicles from multiple manufacturers, along with comprehensive vehicle financing, servicing, and parts distribution. Its core services include the sale of passenger and commercial vehicles, as well as related aftersales support.

How the Company Makes Money

Peter Warren Automotive Holdings Ltd generates revenue primarily through the sale of new and used vehicles. These sales are complemented by its robust aftersales services, including vehicle servicing, repairs, and maintenance, which provide regular revenue from existing vehicle owners. Additionally, the company earns income from the sale of automotive parts and accessories, as well as through financing and insurance products offered to vehicle buyers. Strategic partnerships with major automotive manufacturers allow PWR to maintain a diverse inventory, catering to a wide range of customer preferences and needs. These partnerships, along with a focus on customer service, contribute significantly to its earnings.

Peter Warren Automotive Holdings Ltd Financial Statement Overview

Summary

Peter Warren Automotive Holdings Ltd exhibits solid revenue growth and a strong cash flow position, which are positive indicators of operational strength. However, declining profit margins and high financial leverage present potential risks. The company should focus on improving profitability and managing debt levels to enhance financial stability.

Income Statement

Peter Warren Automotive Holdings Ltd has shown consistent revenue growth, with a notable increase of 20.06% from 2023 to 2024. However, margins have declined, with the gross profit margin dropping to 7.24% and the net profit margin to 1.46%. The EBIT margin is at 3.89%, while the EBITDA margin is slightly better at 4.80%. Despite revenue growth, declining margins suggest pressure on profitability.

Balance Sheet

The company has a high debt-to-equity ratio of 1.53, indicating significant leverage, which could pose risks. The return on equity is modest at 6.99%, and the equity ratio stands at 35.56%, suggesting a moderate reliance on equity financing. Overall, the balance sheet reflects stability but with notable leverage concerns.

Cash Flow

Operating cash flow remains healthy with a slight growth from the previous year, and the free cash flow to net income ratio is strong at 1.78. However, the free cash flow growth rate is minimal at 1.50%. The ability to generate cash remains robust, supporting the company's operational needs.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	2.50B	2.47B	2.06B	1.70B	1.61B	1.37B
Gross Profit	404.09M	179.22M	165.06M	327.06M	274.68M	64.20M
EBITDA	162.91M	118.91M	139.66M	122.67M	102.09M	65.54M
Net Income	18.25M	36.09M	56.36M	56.51M	37.55M	8.91M
Balance Sheet
Total Assets	1.42B	1.45B	1.20B	1.10B	846.90M	744.04M
Cash, Cash Equivalents and Short-Term Investments	22.71M	35.89M	55.51M	56.85M	45.34M	76.31M
Total Debt	777.16M	790.62M	575.49M	491.53M	328.55M	535.52M
Total Liabilities	902.25M	927.22M	690.61M	622.49M	427.44M	614.07M
Stockholders Equity	509.36M	516.48M	514.24M	478.95M	419.46M	129.98M
Cash Flow
Free Cash Flow	53.12M	64.33M	63.38M	63.21M	-68.58M	70.51M
Operating Cash Flow	65.18M	75.01M	73.85M	74.86M	56.55M	74.77M
Investing Cash Flow	-46.65M	-74.67M	-10.35M	-102.99M	-132.41M	-4.51M
Financing Cash Flow	-19.73M	-15.79M	-65.04M	37.39M	44.10M	-21.63M

Peter Warren Automotive Holdings Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.41
• 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:PWR, the sentiment is Negative. The current price of 1.41 is below the 20-day moving average (MA) of 1.43, below the 50-day MA of 1.49, and below the 200-day MA of 1.54, indicating a bearish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 46.47 is Neutral, neither overbought nor oversold. The STOCH value of 48.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:PWR.

Peter Warren Automotive Holdings Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MTO	76 Outperform	AU$228.06M	13.42	8.49%	5.18%	3.76%	-26.42%
ASG	72 Outperform	AU$483.82M	13.32	7.39%	4.54%	0.90%	-45.49%
PWR	65 Neutral	AU$242.53M	13.29	3.56%	2.27%	10.15%	-61.72%
APE	64 Neutral	AU$4.67B	22.55	15.87%	5.53%	13.62%	-27.61%
BBN	62 Neutral	AU$248.25M	83.26	2.78%	1.03%	-2.62%	-70.47%
Sector *	61 Neutral	AU$2.85B	25.94	5.01%	5.14%	2.63%	-29.95%
AMA	57 Neutral	AU$468.69M	475.00	1.53%	―	-1.09%	―

Peter Warren Automotive Holdings Ltd Corporate Events

Peter Warren Automotive Issues New Performance Rights

Peter Warren Automotive Holdings Limited has announced the issuance of 815,828 performance rights as part of an employee incentive scheme. These securities are unquoted and are intended to enhance employee engagement and retention, potentially impacting the company’s operational efficiency and market competitiveness.

The most recent analyst rating on (AU:PWR) stock is a Hold with a A$1.98 price target. To see the full list of analyst forecasts on Peter Warren Automotive Holdings Ltd stock, see the AU:PWR Stock Forecast page.

Peter Warren Automotive Announces Registry Address Change

Peter Warren Automotive Holdings Limited has announced a change in the address of its registry office in Sydney, effective from April 14, 2025. The registry, managed by MUFG Corporate Markets (AU) Limited, will move to Liberty Place, Level 41, 161 Castlereagh St, Sydney NSW 2000, with telephone numbers and postal addresses remaining unchanged. This change is part of the company’s ongoing operational adjustments and does not affect its overall business operations or stakeholder engagements.

Perpetual Limited Acquires Substantial Stake in Peter Warren Automotive

Perpetual Limited has become a substantial holder in Peter Warren Automotive Holdings Ltd, acquiring a 5.805% voting power through 10 million ordinary shares. This acquisition signifies a strategic investment move by Perpetual Limited, potentially impacting the company’s shareholder dynamics and market perception.

Regal Funds Management Reduces Stake in Peter Warren Automotive

Regal Funds Management Pty Limited, along with its associates, has announced a change in its substantial holding in Peter Warren Automotive Holdings Ltd. The notice reveals a decrease in voting power from 10.83% to 8.10%, reflecting a reduction in the number of shares held. This change may impact the company’s shareholder dynamics and influence its market positioning.