Wagners Holding Co. Ltd. (WGN) AI Stock Analysis

• Market Cap: AU$876.79M
• Dividend Yield: 0.88%
• Average Volume (3M): 451.49K
• Price to Earnings (P/E): 26.9
• Beta (1Y): 0.25
• Revenue Growth: -10.46%
• EPS Growth: 120.44%
• Country: AU
• Employees: 820
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 0.10
• Shares Outstanding: 199,723,830
• 10 Day Avg. Volume: 219,140
• 30 Day Avg. Volume: 451,488
• PEG Ratio: 0.16
• Price to Book (P/B): 2.85
• Price to Sales (P/S): 1.02
• P/FCF Ratio: 23.35
• 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$5.00
• Price Target Upside: 25.94% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 0.15
• Revenue Forecast (FY): AU$458.30M

• Rating: 62 Neutral
• Price Target: AU$4.50 ▲(13.35% Upside)
• Action: Reiterated Date: 02/27/26
• Date: Action: Reiterated 02/27/26

Overall score reflects mixed financial performance (weak revenue and cash flow plus higher leverage) offset by solid technical strength (price above key moving averages with positive momentum). Valuation is neutral with a moderate P/E and low dividend yield.

Positive Factors

Improved margins and operational efficiency

Sustained margin expansion indicates stronger cost control and operational leverage across the materials and engineered-products businesses. Higher gross and net margins plus improved EBIT/EBITDA support durable profitability, improving resilience to cyclical volume swings and underpinning future cash generation.

Diversified business model across materials and engineered products

A multi-segment model (cement/concrete/aggregates, CFT poles, new building materials) reduces reliance on a single commodity cycle. Structural exposure to utilities, infrastructure and specialty products supports steadier revenue streams, cross-selling opportunities and long-term market positioning.

Improved return on equity and stable equity base

A higher ROE signals more effective use of shareholder capital to generate profits while a stable equity ratio suggests the asset base isn't rapidly deteriorating. Together these point to durable capital efficiency and capacity to reinvest in operations or support targeted growth initiatives.

Negative Factors

Elevated leverage

A debt-to-equity ratio above 1 indicates significant leverage that can constrain financial flexibility. Over a multi-month horizon higher debt raises refinancing and interest-rate exposure, limits ability to pursue opportunistic capex or acquisitions, and amplifies downside in weaker demand cycles.

Weak free cash flow conversion

A large drop in free cash flow and low FCF-to-net-income conversion reduce the company’s ability to deleverage, invest, or return capital. Persistent weak cash conversion undermines balance-sheet repair and makes funding routine operations more dependent on external finance, raising structural liquidity risk.

Revenue decline / modest top-line pressure

A falling top line suggests pressure on volumes or pricing in core construction markets. Without sustained revenue growth, fixed-cost absorption and long-term margins can be challenged; continued top-line weakness would hamper scale advantages and make margin improvements harder to sustain.

Wagners Holding Co. Ltd. Business Overview & Revenue Model

Company Description

Wagners Holding Company Limited produces and sells construction materials in Australia, the United States, New Zealand, the United Kingdom, and PNG & Malaysia. It operates through three segments: Construction Materials & Services, Composite Fibre Technology, and Earth Friendly Concrete segments. The Construction Materials & Services segment primarily provides cement, flyash, ready-mix concrete, precast concrete products, aggregates, and reinforcing steel, as well as mobile concrete, crushing, and haulage services through medium to long-term contracts. This segment serves customers in the construction, infrastructure, and resources industries. The Composite Fibre Technology segment provides new generation building materials. The Earth Friendly Concrete segment offers new generation building material and EFC technology. The company was founded in 1989 and is headquartered in Wellcamp, Australia.

How the Company Makes Money

Wagners generates revenue through several key streams, primarily by selling construction materials such as concrete, aggregates, and cement to contractors and builders in the construction industry. Their advanced composite materials also contribute to revenue, particularly in specialized applications within the mining and infrastructure sectors. The company capitalizes on long-term contracts with major construction firms and government projects, which provide a stable income flow. Additionally, WGN may engage in partnerships with other companies to enhance its product offerings or expand its market reach, further contributing to its earnings. The focus on innovation and sustainable practices positions Wagners favorably in a competitive market, enabling it to attract a diverse customer base and drive revenue growth.

Wagners Holding Co. Ltd. Financial Statement Overview

Summary

Mixed fundamentals: profitability improved (gross margin 37.43%, net margin 5.27%, better EBIT/EBITDA), but revenue declined (-2.52%), free cash flow fell sharply (-34.83%) and leverage is elevated (debt-to-equity 1.23).

Income Statement

Wagners Holding Co. Ltd. has shown a mixed performance in its income statement. The company experienced a slight decline in revenue growth rate at -2.52% in the most recent year, indicating some challenges in maintaining sales momentum. However, the gross profit margin improved significantly to 37.43%, showcasing better cost management. The net profit margin also increased to 5.27%, reflecting enhanced profitability. EBIT and EBITDA margins have improved, suggesting operational efficiency gains.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.23, indicating significant leverage, which could pose financial risk. However, the return on equity improved to 14.71%, demonstrating effective use of equity to generate profits. The equity ratio is relatively stable, suggesting a balanced asset structure.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth by -34.83%, indicating potential liquidity challenges. The operating cash flow to net income ratio is 0.63, suggesting moderate cash generation relative to net income. The free cash flow to net income ratio is 0.34, which is lower than previous years, pointing to reduced cash flow efficiency.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	457.56M	431.27M	481.64M	475.45M	336.85M	320.65M
Gross Profit	147.54M	161.44M	110.86M	99.72M	75.74M	83.68M
EBITDA	73.06M	55.70M	51.14M	45.27M	45.41M	48.38M
Net Income	31.42M	22.72M	10.28M	3.12M	7.63M	10.00M
Balance Sheet
Total Assets	427.86M	417.56M	413.11M	500.49M	429.28M	371.27M
Cash, Cash Equivalents and Short-Term Investments	30.12M	23.02M	18.66M	11.36M	12.20M	22.24M
Total Debt	280.71M	189.23M	202.90M	248.85M	204.39M	171.02M
Total Liabilities	229.69M	263.10M	278.55M	376.51M	308.38M	258.32M
Stockholders Equity	198.17M	154.46M	134.56M	123.98M	120.90M	112.95M
Cash Flow
Free Cash Flow	16.69M	18.88M	48.74M	1.64M	-20.10M	37.62M
Operating Cash Flow	59.57M	55.46M	72.60M	16.80M	3.87M	53.10M
Investing Cash Flow	-41.07M	-33.13M	-20.42M	-14.02M	-23.55M	-16.30M
Financing Cash Flow	-8.98M	-18.56M	-44.27M	-3.67M	9.63M	-18.01M

Wagners Holding Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.97
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:WGN, the sentiment is Positive. The current price of 3.97 is below the 20-day moving average (MA) of 3.98, above the 50-day MA of 3.79, and above the 200-day MA of 2.88, indicating a bullish trend. The MACD of 0.19 indicates Negative momentum. The RSI at 63.59 is Neutral, neither overbought nor oversold. The STOCH value of 87.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:WGN.

Wagners Holding Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MLX	82 Outperform	AU$1.36B	13.01	33.38%	―	45.73%	716.15%
MMI	73 Outperform	AU$421.64M	2.96	145.87%	―	45.56%	―
ALK	71 Outperform	$2.36B	31.59	9.84%	―	51.66%	86.35%
WGN	62 Neutral	AU$876.79M	26.93	15.95%	0.88%	-10.46%	120.44%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SVM	52 Neutral	AU$572.54M	-13.37	-90.12%	―	―	-98.20%
CAY	44 Neutral	AU$360.87M	-12.32	-45.39%	―	―	-91.89%

Wagners Holding Co. Ltd. Corporate Events

Wagners lifts earnings, upgrades guidance on strong materials and composites demand

Wagners Holding Company Limited reported a strong first half for FY26, with group revenue rising 12% to $251.7 million, underpinned by a 21% jump in Construction Materials revenue to $156.5 million and a 36% surge in Composite Fibre Technology sales to $47.3 million. Operating EBIT climbed 72% to $35 million and NPAT rose to $21 million, aided by stronger margins, while a $30 million capital raise and robust cash generation shifted the group from net debt to a net cash position.

Management highlighted increased cement and concrete volumes, supported by the expansion of its vertically integrated concrete plant network and higher quarry output, with three additional plants in various development stages expected to further boost the Construction Materials segment. The company also reported sharply higher demand for composite power poles and crossarms, prompting capacity expansion in Australia and the U.S., and upgraded its FY26 operating EBIT guidance to a range of about $62 million to $66 million, underscoring confidence in continued growth across its core markets.

The most recent analyst rating on (AU:WGN) stock is a Hold with a A$4.00 price target. To see the full list of analyst forecasts on Wagners Holding Co. Ltd. stock, see the AU:WGN Stock Forecast page.

Wagners Lifts Profit, Dividend and Asset Backing on Strong Half-Year

Wagners Holding Company Limited reported strong interim results for the half-year ended 31 December 2025, with revenue from continuing operations rising to A$251.7 million from A$225.4 million a year earlier and net profit after tax increasing to A$21.0 million from A$12.3 million. The company also lifted its final dividend to 3.2 cents per share from 2.5 cents and expanded net tangible assets per share to A$0.98 from A$0.76, signalling improved profitability and balance sheet strength for shareholders.

These results indicate solid operational momentum and improved margins in Wagners’ core businesses, enhancing its financial flexibility and potentially reinforcing its competitive position in the construction materials sector. The reviewed interim financial statements and associated management commentary underscore a period of profitable growth that may support continued shareholder returns, while a higher asset backing per share suggests a stronger underlying valuation base for investors.

The most recent analyst rating on (AU:WGN) stock is a Hold with a A$4.00 price target. To see the full list of analyst forecasts on Wagners Holding Co. Ltd. stock, see the AU:WGN Stock Forecast page.