SGH Limited (AU:SGH)
ASX:SGH
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SGH
(Sydney:SGH)
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Rating:55Neutral
Price Target:
AU$39.00
â–Ľ(-4.44% Downside)
Action:Reiterated
Date: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 operating model across industries
SGH’s diversified portfolio (WesTrac, Coates, Beach Energy, Seven West Media) creates multiple, structurally different cash sources. This reduces single-market cyclicality, supports resilience across commodity and advertising cycles, and smooths distributable earnings over time.
Negative Factors
Elevated leverage despite improvement
Persistently high leverage constrains strategic flexibility, increases interest expense sensitivity to rate rises, and reduces buffer for cyclical downturns in mining, energy or advertising. Servicing elevated debt can limit capacity for acquisitions or cyclical support.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified operating model across industries
SGH’s diversified portfolio (WesTrac, Coates, Beach Energy, Seven West Media) creates multiple, structurally different cash sources. This reduces single-market cyclicality, supports resilience across commodity and advertising cycles, and smooths distributable earnings over time.
Read all positive factors
SGH (SGH) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$16.85B
Dividend Yield1.31%
Average Volume (3M)525.43K
Price to Earnings (P/E)10.0
Beta (1Y)1.35
Revenue Growth-0.85%
EPS Growth-42.67%
CountryAU
Employees4,210
SectorIndustrials
Sector Strength72
IndustryEngineering & Construction
Share Statistics
EPS (TTM)1.16
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$47.18Price Target Upside15.61% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering5
EPS Forecast (FY)2.36
Revenue Forecast (FY)AU$10.76B
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 makes money primarily through earnings and cash distributions from its operating businesses and equity-accounted investments, as well as dividends received from investee companies.
1) Industrial services, equipment sales, and aftermarket supp...
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
Neutral
40.81
Price Trends
40.81
Negative
43.84
Negative
45.79
Negative
Market Momentum
-0.42
Negative
48.83
Neutral
33.86
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SGH, the sentiment is Neutral. The current price of 40.81 is above the 20-day moving average (MA) of 39.92, above the 50-day MA of 40.81, and below the 200-day MA of 45.79, indicating a neutral trend. The MACD of -0.42 indicates Negative momentum. The RSI at 48.83 is Neutral, neither overbought nor oversold. The STOCH value of 33.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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 |
|---|---|---|---|---|---|---|---|
81 Outperform | AU$1.81B | 11.36 | 27.29% | 0.57% | 50.42% | 92.71% | |
66 Neutral | AU$1.87B | 17.28 | 13.26% | 1.85% | 22.85% | 30.32% | |
65 Neutral | AU$2.90B | 10.17 | 20.27% | 2.65% | 26.80% | 40.18% | |
64 Neutral | AU$4.99B | 14.22 | 7.97% | 3.11% | -4.99% | 120.98% | |
64 Neutral | AU$3.24B | 8.10 | 7.79% | 3.20% | 14.40% | -57.82% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
55 Neutral | AU$16.85B | 10.03 | 9.50% | 1.31% | -0.85% | -42.67% |
* Industrials Sector Average
AU:SGH
SGH
41.45
-10.73
-20.57%
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SGH Corporate Events
SGH Limited Reports Lapse of 7,233 Conditional Share Rights
Apr 2, 2026
SGH Limited has notified the market of the cessation of certain share rights under its equity plans, following the lapse of conditions attached to those rights. A total of 7,233 SGHAB share rights lapsed in late January and late February 2026 afte...
SGH Names Vik Bansal Director, Discloses Equity Interests
Apr 1, 2026
SGH Limited has appointed Vik Bansal as a director effective 1 April 2026, marking a change in the company’s boardroom lineup and potentially signalling a strategic shift or strengthening of its leadership. The filing outlines Bansal’s...
SGH Adds Former Boral CEO Vik Bansal to Board to Guide Leadership Transition
Apr 1, 2026
SGH Ltd has appointed former Boral chief executive Vik Bansal to its board as an Executive Director, effective immediately, to help oversee the orderly transition of executive leadership at Boral to incoming CEO Matt McKenzie through to the end of...
Seven Group Holdings reshapes board roles as director retires
Mar 1, 2026
Seven Group Holdings Limited has reaffirmed its position as a diversified Australian operator spanning industrial services, energy and media, with key assets including WesTrac, Boral and Coates, and strategic shareholdings in Beach Energy and Sout...
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...
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.