SGH Limited (AU:SGH)
ASX:SGH
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SGH
(Sydney:SGH)
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Rating:55Neutral
Price Target:
AU$49.00
▲(17.31% Upside)
Action:ReiteratedDate:11/19/25
The overall stock score for Seven Group Holdings Limited is primarily influenced by its solid financial performance, despite concerns over high leverage. Technical analysis indicates bearish momentum, with the stock trading below key moving averages and showing oversold conditions. The valuation suggests potential overvaluation with a high P/E ratio and modest dividend yield.
Positive Factors
Diversified portfolio and controlling positions
SGH's ownership across equipment sales/services (WesTrac), hire (Coates), energy (Beach) and media provides durable revenue diversification. This multi‑vertical exposure smooths cash flows across cycles, supplies strategic optionality and reduces single‑market concentration risk over months.
Negative Factors
Elevated leverage despite improvement
Although leverage has decreased, a still‑elevated debt load constrains financial flexibility and increases interest expense sensitivity. High debt magnifies downside in cyclical end markets (equipment, energy, advertising) and reduces room to invest or smooth payouts during downturns.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified portfolio and controlling positions
SGH's ownership across equipment sales/services (WesTrac), hire (Coates), energy (Beach) and media provides durable revenue diversification. This multi‑vertical exposure smooths cash flows across cycles, supplies strategic optionality and reduces single‑market concentration risk over months.
Read all positive factors
SGH (SGH) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$16.98B
Dividend Yield1.31%
Average Volume (3M)525.43K
Price to Earnings (P/E)10.0
Beta (1Y)1.41
Revenue Growth1.19%
EPS Growth1.09%
CountryAU
Employees4,210
SectorIndustrials
Sector Strength72
IndustryEngineering & Construction
Share Statistics
EPS (TTM)1.27
Shares Outstanding406,998,170
10 Day Avg. Volume481,844
30 Day Avg. Volume525,432
Financial Highlights & Ratios
PEG Ratio17.66
Price to Book (P/B)4.60
Price to Sales (P/S)2.05
P/FCF Ratio33.77
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
AU$53.03Price Target Upside26.96% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering5
EPS Forecast (FY)2.36
Revenue Forecast (FY)AU$10.79B
SGH Business Overview & Revenue Model
Company Description
SGH Ltd. is an investment company, which focuses on industrial services, media, and investments. It operates through the following business segments: WesTrac, Coates, Boral, Energy, Media Investments, and Other Investments. The WesTrac segment pro...
How the Company Makes Money
SGH generates revenue through multiple streams, primarily from its investments in industrial services and media. The company earns a significant portion of its income from the rental and sale of construction and mining equipment provided by its su...
SGH Financial Statement Overview
Summary
Income Statement
75
Positive
Balance Sheet
68
Positive
Cash Flow
70
Positive
| Breakdown | TTM | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 10.65B | 10.74B | 10.62B | 9.63B | 8.01B | 154.25M |
| Gross Profit | 2.30B | 4.01B | 3.86B | 3.56B | 8.04B | 202.34M |
| EBITDA | 1.88B | 1.56B | 1.55B | 1.62B | 795.89M | 39.49M |
| Net Income | 470.40M | 522.90M | 464.40M | 596.60M | 558.40M | 14.47M |
Balance Sheet | ||||||
| Total Assets | 12.97B | 12.93B | 13.60B | 13.63B | 13.59B | 418.60M |
| Cash, Cash Equivalents and Short-Term Investments | 261.20M | 176.60M | 654.30M | 876.50M | 15.63M | 20.70M |
| Total Debt | 6.40B | 5.37B | 5.98B | 5.88B | 6.63B | 112.38M |
| Total Liabilities | 7.81B | 8.12B | 9.49B | 9.01B | 9.31B | 238.15M |
| Stockholders Equity | 5.13B | 4.78B | 4.09B | 3.91B | 3.55B | 180.46M |
Cash Flow | ||||||
| Free Cash Flow | 796.30M | 651.00M | 133.20M | 589.80M | -130.30M | 420.30M |
| Operating Cash Flow | 1.65B | 1.42B | 808.20M | 1.19B | 9.75M | 622.40M |
| Investing Cash Flow | -822.50M | -677.70M | -467.60M | -528.90M | 2.84B | -591.20M |
| Financing Cash Flow | -752.70M | -1.22B | -563.00M | -1.08B | 8.17M | 12.20M |
SGH Technical Analysis
Negative
41.77
Price Trends
45.10
Negative
45.52
Negative
47.71
Negative
Market Momentum
-1.33
Negative
42.47
Neutral
78.82
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SGH, the sentiment is Negative. The current price of 41.77 is below the 20-day moving average (MA) of 42.24, below the 50-day MA of 45.10, and below the 200-day MA of 47.71, indicating a bearish trend. The MACD of -1.33 indicates Negative momentum. The RSI at 42.47 is Neutral, neither overbought nor oversold. The STOCH value of 78.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:SGH.
SGH Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
66 Neutral | AU$1.62B | 12.97 | 9.26% | 1.30% | 15.14% | -7.23% | |
66 Neutral | AU$1.55B | 17.28 | 13.62% | 1.85% | 23.76% | 21.18% | |
65 Neutral | AU$2.81B | 10.17 | 20.27% | 2.65% | 7.20% | 32.60% | |
64 Neutral | AU$5.11B | 14.22 | 7.97% | 3.11% | -4.53% | 97.67% | |
64 Neutral | AU$2.53B | 8.10 | 7.79% | 3.20% | 12.18% | -73.81% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
55 Neutral | AU$16.98B | 10.03 | 9.50% | 1.31% | 1.19% | 1.09% |
* Industrials Sector Average
AU:SGH
SGH
41.77
-7.22
-14.73%
AU:DOW
Downer EDI Limited
7.73
2.50
47.74%
AU:MND
Monadelphous Group Limited
28.06
13.25
89.43%
AU:NWH
NRW Holdings Limited
5.50
2.85
107.55%
AU:SRG
SRG Global Limited
2.47
1.32
114.97%
AU:MGH
MAAS Group Holdings Ltd.
4.48
0.89
24.79%
SGH Corporate Events
Seven Group lifts profit and margins on stronger cash generation
Feb 11, 2026
Seven Group Holdings reported a strong first half for the period to 31 December 2025, with EBITDA rising 1 per cent to $1.1 billion and net profit after tax up 2 per cent to $518 million. Revenue was broadly flat at $5.4 billion as previously elev...
Seven Group Holdings Declares A$0.32 Interim Dividend for Half-Year to December 2025
Feb 10, 2026
Seven Group Holdings Limited has declared an interim dividend of A$0.32 per ordinary fully paid share, relating to the six-month period ended 31 December 2025. The dividend will trade ex-dividend on 4 March 2026, with a record date of 5 March 2026...
SGH Releases Half‑Year Results Presentation for Diversified Portfolio
Feb 10, 2026
SGH Ltd has released a presentation of its half‑year results for the six months ended 31 December 2025, providing investors with an update on the performance of its diversified portfolio. The disclosure underscores the board’s focus on...
Seven Group files half‑year report for December 2025
Feb 10, 2026
Seven Group Holdings has released its Appendix 4D and half‑year financial report for the six months to 31 December 2025, providing investors with updated financial performance details across its diversified portfolio. The lodgement underscor...
Seven Group Names John Gillam as Incoming Chairman
Feb 1, 2026
Seven Group Holdings has confirmed the appointment of John Gillam as a non‑executive director effective 1 February 2026, with a planned transition to the role of board chairman on 1 June 2026. The move signals an upcoming change in board lea...
Seven Group to Unveil Half-Year 2026 Results on 11 February
Jan 28, 2026
Seven Group Holdings Ltd will announce its half-year 2026 financial results on 11 February 2026 at 9:30am AEDT, with Managing Director and CEO Ryan Stokes and CFO Richard Richards set to present the numbers via a teleconference and webcast accessi...
SGH Limited Issues 4,761 New Ordinary Shares on Conversion of Unquoted Securities
Jan 6, 2026
SGH Limited has notified the ASX of the issue of 4,761 new ordinary fully paid shares following the conversion or exercise of previously unquoted options or other unquoted convertible securities, with an effective issue date of 22 December 2025. T...
SGH Limited Reports Lapse of 5,876 Conditional Share Rights
Jan 6, 2026
SGH Limited has notified the ASX that a total of 5,876 share rights have lapsed after performance or vesting conditions were not met or became incapable of being satisfied in December 2025. The cessation of these conditional rights, disclosed as a...
Seven Group and Steel Dynamics Launch A$13.2bn Bid to Break Up BlueScope Steel
Jan 5, 2026
Seven Group Holdings and US-based Steel Dynamics have lodged a non-binding indicative offer to acquire 100% of BlueScope Steel via a scheme of arrangement in a deal valuing the Australian steelmaker’s equity at about A$13.2 billion. Under th...
SGH Ltd Announces Leadership Transition with John Gillam as Chair-elect
Dec 16, 2025
SGH Ltd has announced the appointment of John Gillam as the Non-Executive Director and Chair-elect, succeeding Terry Davis in June 2026. Gillam, known for his strategic transformation and operational excellence, is expected to continue SGH’s...
Seven Group Holdings Updates Director’s Interest Notice
Dec 3, 2025
Seven Group Holdings Limited (SGH) has announced a change in the director’s interest notice, specifically regarding Ryan Stokes AO. The change involves the acquisition of 18,922 share rights as part of the FY25 Short Term Incentive Plan. The...
SGH Issues Unquoted Share Rights to Employees
Dec 3, 2025
Seven Group Holdings Limited (SGH) has announced the issuance of 18,922 unquoted share rights under an employee incentive scheme. This move is part of the company’s strategy to incentivize and retain employees, potentially impacting its oper...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.