Vicinity Centres (VCX) AI Stock Analysis

• Market Cap: AU$11.32B
• Dividend Yield: 4.72%
• Average Volume (3M): 7.67M
• Price to Earnings (P/E): 11.1
• Beta (1Y): 0.67
• Revenue Growth: 0.29%
• EPS Growth: 83.44%
• Country: AU
• Employees: 1,257
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Retail
• EPS (TTM): 0.07
• Shares Outstanding: 4,599,700,700
• 10 Day Avg. Volume: 6,620,781
• 30 Day Avg. Volume: 7,666,209
• PEG Ratio: 0.13
• Price to Book (P/B): 1.01
• Price to Sales (P/S): 8.51
• P/FCF Ratio: 17.46
• 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$2.57
• Price Target Upside: 4.53% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: AU$2.50 ▲(1.63% Upside)

Vicinity Centres' stock score is primarily influenced by its mixed financial performance and neutral technical indicators. The attractive valuation, with a low P/E ratio and high dividend yield, provides some upside potential. However, concerns about declining revenue and free cash flow growth rates, along with increasing debt, weigh on the overall score.

Positive Factors

Strong Gross Profit Margins

Efficient cost management through strong gross profit margins supports long-term profitability and operational resilience.

Stable Balance Sheet

A stable balance sheet with a moderate debt-to-equity ratio ensures financial stability and supports sustainable growth.

Cash Generation Ability

Strong cash generation relative to earnings enhances liquidity, enabling strategic investments and debt servicing.

Negative Factors

Declining Revenue Growth

Declining revenue growth can hinder market expansion and reduce competitive positioning over the long term.

Increasing Debt Levels

Rising debt levels may strain financial resources, limiting flexibility and increasing risk in economic downturns.

Negative Free Cash Flow Growth

Negative free cash flow growth constrains investment capacity and may affect long-term strategic initiatives.

Vicinity Centres Business Overview & Revenue Model

Company Description

Vicinity Centres (Vicinity or the Group) is one of Australia's leading retail property groups. With a fully integrated asset management platform, and $24 billion in retail assets under management across 63 shopping centres, it is the second largest listed manager of Australian retail property. Vicinity has a Direct Portfolio with interests in 60 shopping centres (including the DFO Brisbane business) and manages 31 assets on behalf of Strategic Partners, 28 of which are co-owned by the Group. Vicinity is listed on the Australian Securities Exchange (ASX) under the code VCX and has over 28,000 securityholders. Vicinity also has European medium term notes listed on the ASX under the code VCD.

How the Company Makes Money

Vicinity Centres generates revenue primarily through rental income derived from its retail properties, which includes long-term leases with major retailers and specialty stores. This rental income is enhanced by periodic rent reviews and incentives designed to attract and retain tenants. Additionally, the company earns revenue from management fees related to the operational oversight of its properties, as well as from development projects that increase the value and utility of its portfolio. Key partnerships with retailers and brands allow Vicinity to create exclusive retail experiences, driving foot traffic and, in turn, rental revenue. Furthermore, the company may benefit from strategic joint ventures and collaborations that enhance its market reach and operational efficiency.

Vicinity Centres Financial Statement Overview

Summary

Vicinity Centres shows a mixed financial performance. Strong gross profit margins and a stable balance sheet are offset by declining revenue and free cash flow growth rates. Increasing debt levels could pose future risks.

Income Statement

Vicinity Centres shows a mixed performance in its income statement. The company has a strong gross profit margin, indicating efficient cost management. However, the net profit margin has been volatile, with a significant drop in the latest year due to a decline in revenue. The EBIT and EBITDA margins are healthy, but the negative revenue growth rate is a concern, suggesting challenges in maintaining sales momentum.

Balance Sheet

The balance sheet of Vicinity Centres is relatively stable. The debt-to-equity ratio is moderate, indicating a balanced approach to leveraging. Return on equity has been inconsistent, reflecting fluctuations in profitability. The equity ratio is strong, suggesting a solid capital structure. However, the increase in total debt over the years could pose a risk if not managed carefully.

Cash Flow

Cash flow analysis reveals some challenges for Vicinity Centres. The operating cash flow to net income ratio is strong, indicating good cash generation relative to earnings. However, the free cash flow growth rate is negative, which could impact future investments and financial flexibility. The free cash flow to net income ratio is healthy, but the declining trend in free cash flow is a concern.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.36B	1.32B	1.31B	1.23B	1.18B	1.11B
Gross Profit	493.70M	945.00M	916.50M	880.80M	851.50M	758.20M
EBITDA	861.90M	1.21B	736.00M	446.80M	785.70M	506.40M
Net Income	1.00B	1.00B	547.10M	271.50M	1.22B	-256.80M
Balance Sheet
Total Assets	16.34B	16.34B	15.73B	15.58B	15.55B	14.34B
Cash, Cash Equivalents and Short-Term Investments	80.70M	80.70M	49.60M	192.90M	55.60M	36.20M
Total Debt	4.85B	4.85B	4.62B	4.46B	4.14B	3.63B
Total Liabilities	5.21B	5.21B	5.09B	4.95B	4.67B	4.33B
Stockholders Equity	11.13B	11.13B	10.64B	10.64B	10.89B	10.01B
Cash Flow
Free Cash Flow	430.20M	644.60M	353.10M	367.50M	334.90M	598.70M
Operating Cash Flow	651.00M	651.00M	690.10M	702.20M	589.50M	599.90M
Investing Cash Flow	-176.80M	-176.80M	-435.70M	-203.20M	-512.30M	-126.50M
Financing Cash Flow	-443.10M	-443.10M	-397.70M	-361.70M	-68.80M	-655.30M

Vicinity Centres Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.46
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:VCX, the sentiment is Negative. The current price of 2.46 is below the 20-day moving average (MA) of 2.55, below the 50-day MA of 2.52, and below the 200-day MA of 2.47, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 36.72 is Neutral, neither overbought nor oversold. The STOCH value of 13.18 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:VCX.

Vicinity Centres Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SGP	75 Outperform	AU$13.04B	15.34	7.99%	4.29%	4.75%	170.39%
SCG	70 Outperform	AU$21.26B	14.81	7.71%	4.13%	5.44%	231.88%
VCX	66 Neutral	AU$11.32B	11.07	9.03%	4.72%	0.29%	83.44%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
GPT	60 Neutral	AU$10.13B	26.52	3.56%	4.41%	12.66%	―
DXS	59 Neutral	AU$7.23B	52.49	1.32%	5.32%	4.52%	―
MGR	54 Neutral	AU$7.89B	114.83	0.71%	4.39%	-18.48%	―

Vicinity Centres Corporate Events

Vicinity Centres Reports Lapse of Performance and Restricted Rights

Vicinity Centres has notified the ASX that a total of 78,265 equity-based incentives, comprising 40,761 performance rights (VCXAK) and 37,504 restricted rights (VCXAA), have lapsed as of 31 December 2025 because the conditions attached to these rights were not met or became incapable of being satisfied. The cessation of these conditional rights marginally reduces the company’s potential future share issuance under its incentive plans, implying a slightly lower level of prospective equity dilution for existing security holders while signalling that certain performance or service hurdles tied to executive or employee incentives were not achieved.

The most recent analyst rating on (AU:VCX) stock is a Hold with a A$2.60 price target. To see the full list of analyst forecasts on Vicinity Centres stock, see the AU:VCX Stock Forecast page.

Vicinity Centres Releases 2025 Modern Slavery Statement

Vicinity Centres has released its 2025 Modern Slavery Statement, highlighting its commitment to addressing modern slavery risks within its operations and supply chains. This announcement underscores the company’s dedication to ethical practices and compliance with regulatory standards, potentially strengthening its reputation and trust among stakeholders.

The most recent analyst rating on (AU:VCX) stock is a Sell with a A$2.68 price target. To see the full list of analyst forecasts on Vicinity Centres stock, see the AU:VCX Stock Forecast page.

Vicinity Centres Issues Unquoted Equity Securities for Employee Incentive

Vicinity Centres has announced the issuance of unquoted equity securities, specifically 2,544,526 performance rights and 555,824 restricted rights, as part of an employee incentive scheme. This move is likely aimed at aligning employee interests with company performance, potentially enhancing operational efficiency and stakeholder value.

The most recent analyst rating on (AU:VCX) stock is a Sell with a A$2.68 price target. To see the full list of analyst forecasts on Vicinity Centres stock, see the AU:VCX Stock Forecast page.

Vicinity Centres Updates Director’s Equity Incentive Plan

Vicinity Centres announced a change in the interest of its director, Peter Huddle, with the allocation of 913,591 Performance Rights under the FY2026 Equity Incentive Plan. This adjustment, approved by securityholders at the 2025 Annual General Meeting, reflects the company’s ongoing commitment to aligning executive incentives with long-term performance goals, potentially impacting its operational strategies and stakeholder interests.

The most recent analyst rating on (AU:VCX) stock is a Sell with a A$2.68 price target. To see the full list of analyst forecasts on Vicinity Centres stock, see the AU:VCX Stock Forecast page.

Vicinity Centres Updates Trust Constitution with New Provisions

Vicinity Centres announced the consolidation of its Vicinity Centres Trust constitution, incorporating partial takeover provisions approved by securityholders at the recent Annual General Meeting. This update reflects the company’s ongoing efforts to streamline its governance structure, potentially impacting its operational efficiency and market positioning.

The most recent analyst rating on (AU:VCX) stock is a Hold with a A$2.60 price target. To see the full list of analyst forecasts on Vicinity Centres stock, see the AU:VCX Stock Forecast page.

Vicinity Centres Updates Constitution with New Provisions

Vicinity Centres has updated its constitution to include partial takeover provisions as approved by its securityholders during the recent Annual General Meeting. This change reflects the company’s commitment to maintaining robust governance practices and could influence its strategic flexibility and attractiveness to potential investors.

The most recent analyst rating on (AU:VCX) stock is a Hold with a A$2.60 price target. To see the full list of analyst forecasts on Vicinity Centres stock, see the AU:VCX Stock Forecast page.

Vicinity Centres’ 2025 AGM: Resolutions Passed, Strategic Stability Reinforced

Vicinity Centres successfully concluded its 2025 Annual General Meeting, with all resolutions passed by poll. Key decisions included the re-election of directors and the approval of an equity grant to the CEO, reflecting strong shareholder support. The renewal of partial takeover provisions in both the company and trust constitutions was also approved, indicating a strategic focus on maintaining control over potential acquisition activities. These outcomes reinforce Vicinity Centres’ stability and strategic direction, potentially impacting its market positioning and stakeholder confidence positively.

The most recent analyst rating on (AU:VCX) stock is a Hold with a A$2.60 price target. To see the full list of analyst forecasts on Vicinity Centres stock, see the AU:VCX Stock Forecast page.