Regis Healthcare Ltd. (REG) AI Stock Analysis

• Market Cap: AU$2.33B
• Dividend Yield: 1.89%
• Average Volume (3M): 905.77K
• Price to Earnings (P/E): 47.1
• Beta (1Y): 1.22
• Revenue Growth: 14.61%
• EPS Growth: N/A
• Country: AU
• Employees: 11,000
• Sector: Healthcare
• Sector Strength: 51
• Industry: Medical - Care Facilities
• EPS (TTM): 0.08
• Shares Outstanding: 301,249,360
• 10 Day Avg. Volume: 1,208,708
• 30 Day Avg. Volume: 905,774
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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$8.47
• Price Target Upside: 8.73% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 47 Neutral
• Price Target: AU$7.50 ▼(-3.72% Downside)

Regis Healthcare Ltd. faces significant financial challenges, with high leverage and negative equity impacting its stability. The technical analysis indicates bearish momentum, suggesting potential downside risk. Additionally, the high P/E ratio points to overvaluation concerns. While there are positive operational trends, these are overshadowed by financial and market sentiment risks.

Regis Healthcare Ltd. Business Overview & Revenue Model

Company Description

Regis Healthcare Limited provides residential aged care services in Australia. The company offers home care services, including personal hygiene and care, dressing and undressing, mobility and transportation, rehabilitation, and others; and home help services, such as cleaning, cooking, shopping, transportation, and facilitating social outings. It also provides companionship, and government-funded and private home care services; and owns and operates specialist retirement and independent living villages, which offers laundry, meals, and cleaning, as well as allied health services comprising physiotherapy, podiatry, diversional therapy, and therapeutic activities. In addition, the company provides aged care services, including ageing-in-place, respite care, dementia care, and palliative care services; in-home disability support and veterans' home care services; and therapeutic services to people living in the community, in retirement villages, and low care homes, as well as operates Day Respite centres. As of June 30, 2022, it owned and operated 64 residential aged care homes. The company was formerly known as Fairway Investment Holdings Pty Ltd. and changed its name to Regis Healthcare Limited in 2014. Regis Healthcare Limited was founded in 1994 and is based in Armadale, Australia.

How the Company Makes Money

Regis Healthcare Ltd. generates revenue primarily through the provision of aged care services. Key revenue streams include government funding, resident contributions, and additional services offered to residents. The company receives government subsidies and funding under Australian aged care legislation, which form a significant part of its income. Resident contributions, including daily fees and accommodation payments, also contribute to the company's earnings. Additionally, Regis offers extra services, such as specialized care programs and lifestyle activities, which provide additional revenue. The company's financial performance is influenced by factors such as occupancy rates, government policy changes, and the overall demand for aged care services.

Regis Healthcare Ltd. Financial Statement Overview

Summary

Regis Healthcare Ltd. shows signs of revenue recovery and operational efficiency, as evidenced by improved margins. However, the balance sheet reveals high leverage and negative equity, posing financial risks. Cash flow generation is robust, but declining free cash flow growth could be a concern. Overall, while there are positive trends, financial stability remains a challenge.

Income Statement

Regis Healthcare Ltd. has shown a positive revenue growth rate of 4.98% in the latest year, indicating a recovery trend. The gross profit margin has significantly improved to over 100%, suggesting effective cost management. However, the net profit margin remains low at 4.25%, reflecting challenges in converting revenue into profit. The EBIT and EBITDA margins are healthy, indicating operational efficiency.

Balance Sheet

The company has a negative stockholders' equity, resulting in an unfavorable debt-to-equity ratio. This indicates high financial leverage and potential risk. The return on equity is negative, suggesting inefficiencies in generating returns from shareholders' investments. The equity ratio is also concerning, highlighting a reliance on debt financing.

Cash Flow

Operating cash flow is strong relative to net income, indicating good cash generation from operations. However, free cash flow has declined by 9.13%, which could impact future investments. The free cash flow to net income ratio is healthy, suggesting that the company is generating sufficient cash relative to its earnings.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.16B	1.15B	1.01B	771.48M	717.89M	685.87M
Gross Profit	168.77M	141.46M	47.17M	-3.78M	5.18M	67.54M
EBITDA	240.75M	240.44M	191.45M	96.81M	55.86M	82.65M
Net Income	48.95M	48.95M	-21.41M	-28.45M	-38.80M	19.95M
Balance Sheet
Total Assets	2.11B	2.11B	1.81B	1.71B	1.76B	1.75B
Cash, Cash Equivalents and Short-Term Investments	192.47M	192.47M	64.91M	61.32M	4.15M	3.89M
Total Debt	5.11M	5.11M	3.84M	71.07M	113.32M	153.41M
Total Liabilities	2.12B	2.12B	1.84B	1.67B	1.68B	1.61B
Stockholders Equity	-16.72M	-16.72M	-22.89M	38.39M	79.01M	141.97M
Cash Flow
Free Cash Flow	219.64M	219.64M	186.57M	53.73M	67.60M	87.75M
Operating Cash Flow	306.11M	306.11M	252.30M	105.16M	114.79M	105.03M
Investing Cash Flow	-132.74M	-132.74M	-136.59M	6.58M	-48.62M	7.50M
Financing Cash Flow	-45.81M	-45.81M	-112.12M	-43.17M	-62.39M	-119.47M

Regis Healthcare Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.79
• 50DMA: Negative
• 100DMA: Positive
• 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:REG, the sentiment is Positive. The current price of 7.79 is below the 20-day moving average (MA) of 8.14, below the 50-day MA of 7.95, and above the 200-day MA of 7.06, indicating a neutral trend. The MACD of -0.11 indicates Positive momentum. The RSI at 40.83 is Neutral, neither overbought nor oversold. The STOCH value of 14.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:REG.

Regis Healthcare Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACL	70 Outperform	AU$516.51M	15.34	18.59%	4.75%	6.73%	37.16%
IDX	61 Neutral	AU$1.06B	188.16	0.94%	2.24%	33.54%	―
PSQ	55 Neutral	AU$254.54M	128.05	3.28%	3.39%	9.05%	-75.79%
BOT	53 Neutral	AU$264.78M	―	-90.93%	―	456.50%	-457.14%
Sector *	51 Neutral	$7.92B	-0.43	-41.67%	2.21%	22.29%	-1.85%
REG	47 Neutral	AU$2.33B	47.08	-276.16%	1.89%	14.61%	―
RMSYF	―	$5.14B	1,250.00	0.38%	2.04%	―	―

Regis Healthcare Ltd. Corporate Events

Regis Healthcare Expands with Acquisition of Rockpool Aged Care

Regis Healthcare Ltd. has entered into a binding agreement to acquire Rockpool RAC Holdings Pty Ltd, which includes four premium residential aged care homes in South-East Queensland, totaling 600 beds. The acquisition, valued at approximately $135 million, is expected to be earnings accretive by FY26 and will be funded through existing net cash, with the transaction anticipated to complete by 1 September 2025.

The most recent analyst rating on (AU:REG) stock is a Buy with a A$5.00 price target. To see the full list of analyst forecasts on Regis Healthcare Ltd. stock, see the AU:REG Stock Forecast page.

Regis Healthcare Expands with Acquisition of Rockpool Aged Care Homes

Regis Healthcare Limited has announced the acquisition of Rockpool RAC Holdings Pty Ltd, which includes four premium aged care homes in South-East Queensland, adding 600 beds to its portfolio. This strategic acquisition, expected to complete by September 2025, will enhance Regis’ market position by increasing its total number of homes to 72 and beds to approximately 8,200. The transaction is anticipated to be EPS accretive by FY26, with expected cost synergies and a strong accreditation history, positioning Regis for future growth in the aged care sector.

The most recent analyst rating on (AU:REG) stock is a Buy with a A$5.00 price target. To see the full list of analyst forecasts on Regis Healthcare Ltd. stock, see the AU:REG Stock Forecast page.

Regis Healthcare to Announce FY25 Results on 25 August

Regis Healthcare Limited announced that it will release its full-year financial results for the year ended 30 June 2025 on 25 August 2025. The announcement includes an invitation for investors and analysts to join a briefing conference call hosted by the company’s Managing Director and CEO, Dr. Linda Mellors, and CFO, Rick Rostolis. This release is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction.

The most recent analyst rating on (AU:REG) stock is a Buy with a A$5.00 price target. To see the full list of analyst forecasts on Regis Healthcare Ltd. stock, see the AU:REG Stock Forecast page.

Regis Healthcare Responds to Delay in Aged Care Act Implementation

Regis Healthcare Limited has acknowledged the Australian Government’s decision to delay the commencement of the new Aged Care Act 2024 from July 1, 2025, to November 1, 2025. This postponement affects the implementation of funding reforms outlined in the Act, potentially impacting the company’s operations and planning. Regis has committed to keeping stakeholders informed as further details emerge, maintaining transparency in line with its disclosure obligations.

The most recent analyst rating on (AU:REG) stock is a Buy with a A$5.00 price target. To see the full list of analyst forecasts on Regis Healthcare Ltd. stock, see the AU:REG Stock Forecast page.

Ashburn Pty Ltd Reduces Stake in Regis Healthcare

Ashburn Pty Ltd, acting as trustee for the Dorman Family Trust, has reduced its stake in Regis Healthcare Ltd. by selling 15 million fully paid ordinary shares, decreasing its voting power from 21.40% to 16.40%. This change in shareholding could impact the company’s shareholder dynamics and influence future decision-making processes.

The most recent analyst rating on (AU:REG) stock is a Buy with a A$5.00 price target. To see the full list of analyst forecasts on Regis Healthcare Ltd. stock, see the AU:REG Stock Forecast page.

Regis Healthcare Highlights Current Activities and Financial Performance

Regis Healthcare Ltd. has released a presentation highlighting its current activities and financial performance. The company emphasizes the use of non-IFRS financial measures to better reflect its underlying performance. The presentation includes forward-looking statements subject to various risks and uncertainties, including regulatory changes and staffing challenges. Stakeholders are advised to consider these factors when evaluating the company’s future performance.