Stockland (SGP) AI Stock Analysis

• Market Cap: AU$12.14B
• Dividend Yield: 4.29%
• Average Volume (3M): 6.56M
• Price to Earnings (P/E): 14.0
• Beta (1Y): 0.80
• Revenue Growth: 4.75%
• EPS Growth: 170.39%
• Country: AU
• Employees: 1,600
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): 0.12
• Shares Outstanding: 2,431,644,000
• 10 Day Avg. Volume: 7,109,613
• 30 Day Avg. Volume: 6,560,095
• PEG Ratio: 0.09
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 4.09
• P/FCF Ratio: 39.36
• 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$6.20
• Price Target Upside: 13.17% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 0.36
• Revenue Forecast (FY): AU$1.27B

• Rating: 75 Outperform
• Price Target: AU$5.50 ▲(0.36% Upside)
• Action: Upgraded Date: 09/03/25
• Date: Action: Upgraded 09/03/25

Stockland's overall stock score is driven by strong technical analysis indicators and solid financial performance. The valuation is reasonable, offering a good balance of growth and income potential. The absence of earnings call and corporate events data did not impact the score.

Positive Factors

Diversified business model

Stockland's integrated developer-and-landlord model across residential, retail, workplace and logistics provides diversified revenue streams and operational synergies. This mix reduces cyclical swings, supports cross‑selling and asset recycling, and enhances long-term earnings resilience.

Recurring rental income

A significant portion of income is recurring rental revenue with fixed or CPI-linked escalators, providing predictable cash flow and partial inflation protection. That stability underpins distributions, funds capex and development activity, and cushions earnings when development cycles weaken.

Balance sheet & cash generation

A moderate leverage position and strong equity base, combined with 15.25% free cash flow growth, signal improving financial flexibility. This supports funding of new developments, debt servicing and distributions, while giving scope for capital recycling and investment.

Negative Factors

Rising debt levels

Management flags rising debt as a concern. Increasing leverage can raise interest costs and reduce financial flexibility, especially in a higher-rate environment, amplifying refinancing and execution risk on long-dated development projects and pressuring net returns over time.

Cash conversion efficiency

Profitability is not fully converting to cash, with sub‑1 FCF/net income ratios. Persistent conversion gaps constrain capacity to fund growth, pay distributions or reduce debt without asset sales, and reflect timing risks from development settlements and working capital.

Residential development cyclicality

Development earnings depend on housing demand and settlement timing, creating cyclical volatility and execution risk. Delays, weaker sales or rising costs can swing profits materially, so despite stable rental income, development exposure keeps earnings and cash flow less predictable.

Stockland Business Overview & Revenue Model

Company Description

Stockland (ASX:SGP) was founded in 1952 and has grown to become one of Australia's largest diversified property groups owning, developing and managing a large portfolio of shopping centres, residential communities, workplace and logistic assets and retirement living villages. Stockland is consistently rated as one of the most sustainable real estate companies in the world by the Dow Jones Sustainability World Index (DJSI). Stockland is also an Employer of Choice for Gender Equality, as recognised by the Workplace Gender Equality Agency.

How the Company Makes Money

Stockland generates revenue through multiple key streams, including rental income from its retail and commercial properties, sales from residential developments, and management fees from its investment properties. The company owns and operates a diverse portfolio of shopping centers, office buildings, and residential communities, which provide a steady income through long-term leases and tenant agreements. Additionally, Stockland benefits from strategic partnerships with various stakeholders, including local governments and community organizations, to drive development projects. The company's focus on sustainable practices and innovation in property management further enhances its appeal to tenants and investors, contributing to its overall profitability.

Stockland Financial Statement Overview

Summary

Stockland demonstrates solid financial performance with stable revenue growth and strong profitability margins. The balance sheet is well-structured with a balanced leverage position, though rising debt levels should be monitored. Cash flow generation is improving, but there is room for enhancing cash conversion efficiency.

Income Statement

Stockland's income statement shows a stable revenue growth rate of 2.82% in the latest year, with a strong gross profit margin of 38.87%. The net profit margin improved significantly to 26.39%, indicating enhanced profitability. However, the EBIT margin slightly decreased to 23.44%, suggesting some operational cost pressures. Overall, the company demonstrates solid revenue growth and profitability, but there is room for improvement in operational efficiency.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 0.51, indicating a balanced leverage position. The return on equity (ROE) is robust at 8.11%, showcasing effective use of equity to generate profits. The equity ratio stands at 57.41%, suggesting a strong equity base relative to total assets. While the company maintains a healthy financial structure, the increasing debt levels warrant monitoring.

Cash Flow

Stockland's cash flow statement reveals a significant free cash flow growth rate of 15.25%, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 0.40, reflecting efficient cash conversion. However, the free cash flow to net income ratio is 0.39, suggesting potential constraints in cash flow relative to net income. Overall, the cash flow position is improving, but further enhancement in cash conversion efficiency is desirable.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	3.37B	3.13B	2.99B	2.81B	2.81B	2.73B
Gross Profit	1.51B	1.22B	1.18B	862.00M	760.00M	1.07B
EBITDA	894.00M	1.00B	701.00M	614.00M	755.00M	1.19B
Net Income	873.00M	826.00M	305.00M	440.00M	1.38B	1.10B
Balance Sheet
Total Assets	18.79B	17.74B	17.06B	16.64B	20.41B	19.30B
Cash, Cash Equivalents and Short-Term Investments	470.00M	647.00M	807.00M	306.00M	399.00M	1.29B
Total Debt	5.67B	5.18B	4.77B	3.95B	4.51B	4.79B
Total Liabilities	8.44B	7.56B	7.17B	6.46B	10.05B	9.72B
Stockholders Equity	10.35B	10.19B	9.89B	10.18B	10.36B	9.58B
Cash Flow
Free Cash Flow	198.00M	325.00M	110.00M	309.00M	896.00M	1.03B
Operating Cash Flow	200.00M	328.00M	114.00M	332.00M	918.00M	1.05B
Investing Cash Flow	-151.00M	-139.00M	101.00M	763.00M	-976.00M	95.00M
Financing Cash Flow	-179.00M	-261.00M	233.00M	-1.22B	-705.00M	-423.00M

Stockland Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.48
• 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:SGP, the sentiment is Negative. The current price of 5.48 is above the 20-day moving average (MA) of 5.15, above the 50-day MA of 5.40, and below the 200-day MA of 5.69, indicating a bearish trend. The MACD of -0.11 indicates Negative momentum. The RSI at 36.20 is Neutral, neither overbought nor oversold. The STOCH value of 35.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:SGP.

Stockland Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SGP	75 Outperform	AU$12.14B	14.02	7.99%	4.29%	4.75%	170.39%
CHC	70 Outperform	AU$10.39B	27.44	24.58%	1.97%	15.06%	47.66%
GPT	69 Neutral	AU$9.62B	9.88	3.56%	4.41%	12.66%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
GMG	65 Neutral	$59.03B	34.49	7.99%	1.02%	16.87%	―
DXS	56 Neutral	AU$7.18B	15.15	1.32%	5.32%	4.52%	―
CLW	54 Neutral	AU$2.68B	12.11	3.57%	6.14%	-9.63%	―

Stockland Corporate Events

Stockland Forms 50/50 Venture With EdgeConneX to Build Australian Data Centres

Stockland has established Stockland EdgeConneX, a 50/50 partnership with global data centre specialist EdgeConneX, to develop, own and operate an Australian portfolio of data centres. The venture will utilise Stockland’s landholdings and development capabilities alongside EdgeConneX’s experience serving cloud and AI providers, positioning Stockland to tap growing demand for hyperscale data infrastructure in key Australian markets and diversify its logistics and digital infrastructure footprint.

By leveraging its existing asset base in major markets, Stockland aims to convert underutilised or strategically located land into high-value data centre developments. The move aligns the group more closely with structural growth themes in cloud computing and artificial intelligence, potentially enhancing long-term earnings resilience and strengthening its competitive position within the broader property and infrastructure landscape.

The most recent analyst rating on (AU:SGP) stock is a Buy with a A$5.50 price target. To see the full list of analyst forecasts on Stockland stock, see the AU:SGP Stock Forecast page.

Stockland Updates Half‑Year Distribution Details and Confirms DRP Price

Stockland has updated its previously announced distribution details for the six‑month period ending 31 December 2025, relating to its fully paid stapled securities. The latest filing, dated 28 January 2026, confirms an amendment to the earlier 22 December 2025 notice to specify the price under the company’s dividend reinvestment plan, clarifying key payment parameters for securityholders around the ex‑date and record date of the half‑year distribution.

The most recent analyst rating on (AU:SGP) stock is a Buy with a A$6.00 price target. To see the full list of analyst forecasts on Stockland stock, see the AU:SGP Stock Forecast page.

Stockland Reports Lapse of 311,934 Performance Rights

Stockland has notified the ASX of the cessation of 311,934 performance rights (SGPAA), which lapsed on 31 December 2025 because the conditions attached to those rights were not met or became incapable of being satisfied. The lapse reduces the pool of potential equity issuance under this particular incentive arrangement, signalling that specific performance hurdles tied to these rights were not achieved, with implications for employee or executive equity-based remuneration but no immediate change to the company’s ordinary share capital on issue.

The most recent analyst rating on (AU:SGP) stock is a Buy with a A$6.90 price target. To see the full list of analyst forecasts on Stockland stock, see the AU:SGP Stock Forecast page.

Stockland to Issue 3.8 Million Unquoted Performance Rights Under Incentive Plan

Stockland has notified the market of the planned issue of 3,805,255 unquoted performance rights under its employee incentive scheme, scheduled for 16 October 2025. The new performance rights, which will not be quoted on the ASX, form part of Stockland’s ongoing remuneration and retention strategy for employees and executives, aligning management incentives with long‑term securityholder value and potentially leading to future equity dilution if vesting conditions are met.

The most recent analyst rating on (AU:SGP) stock is a Buy with a A$6.90 price target. To see the full list of analyst forecasts on Stockland stock, see the AU:SGP Stock Forecast page.

Stockland Declares AUD 0.09 Interim Distribution on Stapled Securities

Stockland has declared a distribution of AUD 0.09 per fully paid stapled security for the six-month period ending 31 December 2025, with an ex‑date of 30 December 2025, a record date of 31 December 2025 and payment scheduled for 27 February 2026. The announcement confirms the ongoing return of cash to securityholders on a semi‑annual basis, underlining the group’s commitment to maintaining regular income streams for investors in its stapled securities and providing clarity on near‑term cash flows for income‑focused stakeholders.

The most recent analyst rating on (AU:SGP) stock is a Buy with a A$6.90 price target. To see the full list of analyst forecasts on Stockland stock, see the AU:SGP Stock Forecast page.

Stockland Sets 1H26 Estimated Distribution and Activates Discounted DRP

Stockland has announced an estimated distribution of 9.0 cents per Ordinary Stapled Security for the six months to 31 December 2025, with a record date of 31 December 2025 and payment scheduled for 27 February 2026. The company will confirm the actual distribution alongside its first-half 2026 financial results on 16 February 2026, and will operate its Distribution Reinvestment Plan for this period, offering securityholders the option to reinvest all or part of their distribution at a 1% discount to the market price, with elections due by 30 January 2026. The move gives investors clarity on expected income and an incentivised pathway to increase their holdings, supporting Stockland’s capital management and funding flexibility as it continues to develop and manage its diversified property portfolio.

The most recent analyst rating on (AU:SGP) stock is a Buy with a A$6.90 price target. To see the full list of analyst forecasts on Stockland stock, see the AU:SGP Stock Forecast page.