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Wisetech Global Ltd. (AU:WTC)
:WTC

Wisetech Global (WTC) AI Stock Analysis

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AU

Wisetech Global

(OTC:WTC)

Rating:78Outperform
Price Target:
AU$109.00
▲(3.44%Upside)
Wisetech Global Ltd. demonstrates robust financial performance, with strong revenue and profit growth and a conservative balance sheet. The company's strategic acquisitions and increased dividend signal positive future prospects. However, the high P/E ratio raises valuation concerns, and technical analysis presents mixed signals. Despite these, the positive earnings call with growth achievements highlights a favorable overall outlook.

Wisetech Global (WTC) vs. iShares MSCI Australia ETF (EWA)

Wisetech Global Business Overview & Revenue Model

Company DescriptionWiseTech Global Limited provides software solutions to the logistics execution industry worldwide. The company offers CargoWise, a software platform for logistics service providers that enables execution of complex logistics transactions and manage operations. It provides customs declaration management and related international trade, customs compliance and warehouse, customs management, freight forwarding, warehousing, transport, customs clearance, tracking, shipping and port logistics software solutions, cloud-enabled customs compliance, freight forwarding software, trade compliance, container optimization, and parcel, less than truckload and logistics transportation management, as well as freight rate management, ocean freight rate management, container yard/terminal management, and messaging integration software solutions. The company was incorporated in 1994 and is headquartered in Alexandria, Australia.
How the Company Makes MoneyWiseTech Global Ltd. generates revenue primarily through the sale of software licenses and subscription fees for its CargoWise platform. The company employs a Software as a Service (SaaS) model, where customers pay recurring fees for access to the platform and its various modules. Additional revenue streams include consulting services, training, and support, which help clients optimize their use of the software. Strategic acquisitions and partnerships with logistics service providers and technology companies further enhance WiseTech Global's market reach and contribute to its financial growth.

Wisetech Global Earnings Call Summary

Earnings Call Date:Feb 25, 2025
(Q2-2025)
|
% Change Since: 11.59%|
Next Earnings Date:Aug 27, 2025
Earnings Call Sentiment Positive
The earnings call presented significant revenue and EBITDA growth, successful acquisitions, and expansions in global freight forwarding. However, challenges such as product development delays, high R&D costs, and governance concerns were noted. Despite these challenges, the financial performance and strategic achievements indicate a positive outlook.
Q2-2025 Updates
Positive Updates
Strong Revenue and EBITDA Growth
In 1H 2025, WiseTech delivered total revenue of $381 million, an increase of 17% on 1H 2024. EBITDA was up 28% to $192.3 million with the EBITDA margin increasing by 5 percentage points to 50%.
Impressive CargoWise Performance
CargoWise revenue grew organically by 20% to $331.7 million with recurring revenue at 99%.
Successful Strategic Acquisitions
Post-period, WiseTech completed the acquisition of BSM Global and entered into an agreement to acquire ImpexDocs, enhancing its digital documentation capabilities.
Significant Dividend Increase
The Board determined an interim dividend of $0.067 per share, up 31% on first half 2024, representing a payout ratio of 20% of underlying NPAT.
Expansion of Global Freight Forwarder Rollouts
Business momentum continued with two new top 25 large global freight forwarder wins, Nippon Express and LOGISTEED.
Negative Updates
Product Development Delays
Development of Container Transport Optimization is ongoing, with initial launch delayed to 2H 2025 in Australia.
High R&D Investment
Overall R&D investment increased by $20.6 million or 18% versus 1H 2024, representing 36% of revenue, indicating high operational costs.
Governance Concerns
There were questions regarding the impact of recent Board changes on governance and customer reactions.
Company Guidance
In the call regarding WiseTech Global Limited's first half of 2025 financial results, Andrew Cartledge highlighted several key metrics and strategic developments. The company reported a 17% increase in total revenue to $381 million compared to the first half of 2024, with CargoWise revenue growing organically by 20% to $331.7 million. The EBITDA was up by 28% to $192.3 million, with an EBITDA margin increase of 5 percentage points to 50%. The underlying net profit after tax rose by 34% to $112.1 million, and free cash flow improved by 22% to $124.1 million. An interim dividend of $0.067 per share was declared, marking a 31% increase from the previous year. The company also achieved two significant wins with top 25 global freight forwarders, Nippon Express and LOGISTEED. WiseTech is progressing with strategic acquisitions and product developments, including the launch of ComplianceWise and CargoWise Next, and anticipates launching Container Transport Optimization in the second half of FY 2025 in Australia. The guidance for FY 2025 suggests revenue at the lower end of $792 million to $858 million, with a projected EBITDA growth of 22% to 34% and an exit margin rate of around 52%.

Wisetech Global Financial Statement Overview

Summary
Wisetech Global Ltd.'s financial statements reflect strong growth and financial health. The company showcases impressive revenue and profit growth, coupled with robust margins and efficient cash flow management. Its conservative balance sheet with low leverage supports long-term stability, positioning the company well within the software application industry.
Income Statement
90
Very Positive
Wisetech Global Ltd. exhibits strong revenue growth, with a 27.52% increase from 2023 to 2024. The gross profit margin is robust at 84.00%, indicating efficient cost management. The net profit margin improved to 25.23%, reflecting enhanced profitability. EBIT and EBITDA margins of 36.53% and 40.27% respectively showcase strong operational performance.
Balance Sheet
85
Very Positive
The company maintains a low debt-to-equity ratio of 0.05, suggesting a conservative financial structure. Return on equity is solid at 11.87%, demonstrating effective use of shareholder funds. An equity ratio of 78.31% indicates strong capitalization and financial stability.
Cash Flow
88
Very Positive
Free cash flow grew by 3.72%, signifying improved cash generation. The operating cash flow to net income ratio is 1.71, and the free cash flow to net income ratio is 0.95, both reflecting healthy cash flow management relative to earnings.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
1.16B1.04B816.80M632.20M507.50M429.40M
Gross Profit
983.43M875.20M633.10M493.70M381.80M315.40M
EBIT
446.97M380.70M301.50M256.10M150.00M81.80M
EBITDA
506.00M419.70M395.00M321.40M209.40M130.50M
Net Income Common Stockholders
316.51M262.80M212.20M194.70M108.10M160.80M
Balance SheetCash, Cash Equivalents and Short-Term Investments
166.42M121.70M143.00M483.40M315.00M223.70M
Total Assets
3.17B2.83B2.66B1.66B1.40B1.28B
Total Debt
73.84M104.40M256.40M33.50M35.00M45.80M
Net Debt
-92.58M-17.30M113.40M-449.90M-280.00M-177.90M
Total Liabilities
651.13M613.70M764.10M348.40M293.90M273.50M
Stockholders Equity
2.52B2.21B1.89B1.32B1.11B1.00B
Cash FlowFree Cash Flow
464.39M250.60M241.60M201.90M119.70M40.10M
Operating Cash Flow
500.78M448.70M383.60M304.20M210.50M130.60M
Investing Cash Flow
-243.18M-240.30M-882.00M-105.70M-96.50M-147.50M
Financing Cash Flow
-235.82M-225.50M173.30M-34.30M-22.00M-18.20M

Wisetech Global Technical Analysis

Technical Analysis Sentiment
Positive
Last Price105.38
Price Trends
50DMA
91.49
Positive
100DMA
100.51
Positive
200DMA
112.68
Negative
Market Momentum
MACD
4.05
Positive
RSI
61.24
Neutral
STOCH
67.18
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:WTC, the sentiment is Positive. The current price of 105.38 is above the 20-day moving average (MA) of 101.86, above the 50-day MA of 91.49, and below the 200-day MA of 112.68, indicating a neutral trend. The MACD of 4.05 indicates Positive momentum. The RSI at 61.24 is Neutral, neither overbought nor oversold. The STOCH value of 67.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:WTC.

Wisetech Global Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUWTC
78
Outperform
AU$35.05B114.3013.73%0.19%19.03%37.24%
AUREA
72
Outperform
$31.75B51.4337.91%0.89%20.28%118.95%
AUXRO
71
Outperform
$28.72B138.2012.98%23.95%
AUTNE
70
Outperform
AU$13.45B100.8837.44%0.63%17.52%20.78%
AUCPU
65
Neutral
$23.27B22.3927.30%2.21%-0.84%93.59%
61
Neutral
$11.55B10.41-6.86%2.93%7.50%-8.30%
AUNXT
58
Neutral
$8.24B-2.06%-2.69%-17.50%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:WTC
Wisetech Global
106.51
9.25
9.50%
AU:TNE
Technology One Limited
41.36
23.46
131.10%
AU:NXT
Nextdc Limited
13.25
-4.44
-25.10%
AU:XRO
Xero Limited
188.87
62.94
49.98%
AU:REA
REA Group Ltd
240.76
56.23
30.47%
AU:CPU
Computershare Limited
41.25
15.24
58.57%

Wisetech Global Corporate Events

WiseTech Global Acquires E2open to Boost Logistics Software Offerings
May 25, 2025

WiseTech Global announced the acquisition of E2open Parent Holdings, Inc., which is expected to enhance its operational capabilities and strengthen its position in the logistics software industry. This strategic move is likely to have significant implications for WiseTech’s market presence and stakeholders, as it aligns with the company’s mission to innovate and improve supply chain operations globally.

The most recent analyst rating on (AU:WTC) stock is a Buy with a A$120.00 price target. To see the full list of analyst forecasts on Wisetech Global stock, see the AU:WTC Stock Forecast page.

WiseTech Global Expands Market Reach with E2open Acquisition
May 25, 2025

WiseTech Global has announced its strategic acquisition of U.S.-based E2open Parent Holdings, Inc., a provider of SaaS-based solutions in the global logistics value chain, for an enterprise value of $2.1 billion. This acquisition is expected to significantly expand WiseTech’s market reach and product capabilities, enabling the creation of a multi-sided marketplace that connects various stakeholders in the trade and logistics industry. The deal is anticipated to be EPS accretive in the first year and will be fully funded through a new syndicated debt facility. The acquisition aligns with WiseTech’s strategy to accelerate product development and ecosystem reach, promising improved efficiency, visibility, and cost savings for customers.

The most recent analyst rating on (AU:WTC) stock is a Buy with a A$120.00 price target. To see the full list of analyst forecasts on Wisetech Global stock, see the AU:WTC Stock Forecast page.

WiseTech Global Showcases Strategies at Macquarie Conference
May 5, 2025

WiseTech Global Ltd is participating in the Macquarie Australia Conference to present its business strategies. This engagement underscores WiseTech’s commitment to innovation and its strategic positioning in the logistics software industry, potentially impacting its operations and stakeholders positively.

WiseTech Global Confirms Strategic Review with e2open Amid Acquisition Speculation
May 1, 2025

WiseTech Global is addressing media speculation regarding its potential acquisition of US-based e2open. The company confirms its participation in a strategic review process with e2open, aligning with its strategy to expand product development and ecosystem reach through acquisitions. However, there is no certainty about the outcome of these discussions. WiseTech emphasizes its commitment to keeping the market informed in accordance with its disclosure obligations.

WiseTech Global Announces Change of Office Address
Apr 17, 2025

WiseTech Global Ltd has announced a change in its registered office address and principal place of business to a new location in Alexandria, NSW, effective from April 22, 2025. This move is part of the company’s ongoing efforts to enhance its operations and maintain its leading position in the logistics software industry, potentially impacting stakeholders by improving operational efficiency and business processes.

WiseTech Global Appoints Zubin Appoo to Strengthen Leadership
Apr 16, 2025

WiseTech Global Limited has appointed Zubin Appoo as the Chief of Staff and Deputy Chief Innovation Officer, a newly created role aimed at enhancing the execution of the company’s product roadmap and growth strategies. With nearly 25 years of experience in software development and strategic product leadership, Appoo’s return to WiseTech is expected to strengthen the company’s leadership team and support its long-term vision and innovation culture, potentially impacting its market position positively.

WiseTech Global Announces Leadership Updates and Succession Planning
Apr 16, 2025

WiseTech Global Limited has announced a new employment agreement with its Founder and Executive Chair, Richard White, who will also serve as Chief Innovation Officer. This role is supported by a newly created Deputy Chief Innovation Officer position, aimed at enhancing product development and growth. White’s focus will be on delivering WiseTech’s product roadmap, innovation, and strategy development. The company is also advancing its search for a permanent CEO, with several strong candidates identified, and an appointment expected before the Annual General Meeting in November 2025. Interim CEO Andrew Cartledge has indicated his willingness to extend his tenure if necessary to ensure a smooth transition.

Wisetech Global Ltd. Issues New Securities on ASX
Apr 10, 2025

Wisetech Global Ltd. announced the issuance of 6,797 ordinary fully paid securities, which will be quoted on the Australian Securities Exchange (ASX). This move is part of a dividend or distribution plan, indicating a strategic step to enhance shareholder value and potentially strengthen the company’s financial position.

Wisetech Global Announces Cessation of Securities
Apr 4, 2025

Wisetech Global Ltd. announced the cessation of several securities, including the lapse of conditional rights and cancellations by agreement with holders. This move may impact the company’s capital structure and reflects adjustments in its financial strategy, potentially affecting stakeholders and market perception.

Wisetech Global Issues Unquoted Equity Securities to Boost Employee Incentives
Apr 4, 2025

Wisetech Global Ltd. announced the issuance of unquoted equity securities under an employee incentive scheme, with a total of 47,664 share rights being allocated. This move is part of the company’s strategy to incentivize and retain talent, potentially strengthening its operational capabilities and market position.

WiseTech Global Strengthens Leadership with New Director Appointment
Apr 4, 2025

WiseTech Global Limited has announced the appointment of Christopher Charlton as a director, effective from March 31, 2025. Charlton holds 4,250 ordinary shares in the company, indicating a vested interest in its success. This appointment is expected to strengthen the company’s leadership team, potentially enhancing its strategic direction and operational effectiveness in the competitive logistics software market.

WiseTech Global Amends Interim CEO Employment Terms
Apr 2, 2025

WiseTech Global Ltd has amended the employment agreement of Interim CEO Andrew Cartledge, recognizing his role since October 2024. The revised terms include a base remuneration of AU$1,700,000 per annum and performance equity incentives. The agreement also outlines post-employment restraints and access to company resources. Mr. Cartledge has expressed willingness to extend his tenure beyond 2025 to ensure a smooth transition to a permanent CEO, highlighting the company’s focus on stable leadership during this period.

Wisetech Global Ltd. Announces Quotation of New Securities on ASX
Apr 1, 2025

Wisetech Global Ltd. announced the quotation of 84,313 fully paid ordinary securities on the Australian Securities Exchange (ASX), effective April 1, 2025. This move is part of previously announced transactions and is expected to enhance the company’s market presence and liquidity, potentially benefiting stakeholders by increasing the company’s visibility and accessibility in the financial markets.

WiseTech Global Strengthens Board with New Appointments
Mar 31, 2025

WiseTech Global Limited has appointed Chris Charlton and Andrew Harrison as Independent Non-Executive Directors to its board, enhancing its expertise in logistics and corporate governance. Charlton brings over 35 years of experience in customs and international trade, notably from his tenure at UPS, while Harrison, a former Chair of WiseTech, offers a wealth of financial and governance experience. These appointments are part of a broader board renewal program aimed at supporting WiseTech’s future growth and innovation.

WiseTech Global Responds to Shareholder Survey with Strategic Board and Leadership Updates
Mar 31, 2025

WiseTech Global Limited has released the findings of a shareholder engagement survey, which highlights several key expectations from its top institutional shareholders. These include the need for a published summary of the Board Review into matters concerning Co-Founder Richard White, a clear succession plan with a focus on software and product development expertise, and strengthening board independence through the appointment of new independent directors. The Board has responded by releasing an update on the Board Review, appointing two new independent directors, and progressing a detailed succession plan. Additionally, WiseTech plans to hold its successful Investor Day annually to enhance shareholder engagement.

Wisetech Global Updates Dividend Reinvestment Plan
Mar 26, 2025

Wisetech Global Ltd. announced an update regarding its dividend distribution, specifically advising on the Dividend Reinvestment Plan (DRP) price. This update pertains to the dividend for the six-month period ending December 31, 2024, with a record date of March 17, 2025. The announcement reflects the company’s ongoing commitment to shareholder returns and may influence investor perceptions and market positioning.

WiseTech Global Updates on Board Review and Governance Enhancements
Mar 18, 2025

WiseTech Global Limited has provided an update on its Board Review concerning allegations related to its Co-Founder and Executive Chair, Richard White. The Board, supported by legal and forensic experts, is investigating these matters, with some issues still under review. The Board Sub-Committee has acknowledged the seriousness of the allegations and is taking steps to address governance concerns, including revising the company’s Code of Conduct and seeking shareholder feedback. Additionally, the Board plans to appoint an independent director to strengthen governance. Richard White has accepted the findings and committed to adhering to a more stringent Code of Conduct.

Wisetech Global Updates Dividend Distribution Currency Rates
Mar 17, 2025

Wisetech Global Ltd. announced an update regarding its dividend distribution, specifically addressing the currency rates for the Australian and New Zealand dollars. This update pertains to the dividend related to the six-month period ending December 31, 2024, with the record date set for March 17, 2025. The announcement reflects the company’s ongoing commitment to transparency and precision in financial reporting, which is crucial for maintaining stakeholder confidence.

WiseTech Global Addresses Compliance with ASX Listing Rules Amid Director Resignations
Mar 5, 2025

WiseTech Global Ltd has announced an update regarding its compliance with ASX Listing Rules 12.7 and 12.8 following the resignation of four directors, which left the company with only two independent directors. This situation temporarily affects the composition of its Audit & Risk Committee, which is required to have at least three non-executive directors. The company plans to appoint additional independent directors within four weeks to restore compliance. Despite the current shortfall, WiseTech assures stakeholders that the existing committee can adequately fulfill its responsibilities. The company remains compliant with ASX Listing Rule 12.8, with its People & Remuneration Committee properly constituted.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.