- Endeavour Group’s 3Q retail sales stood at A$2.41 billion, showing a 2.4% increase y/y.
- Total sales came up to A$2.89 billion, marking a 2.2% rise from the previous year.
- Hotel sales were A$487 million, which is 1.5% up y/y.
- The company foresees its capital expenditure to remain between A$420 million to A$480 million, and finance cost within A$300 million to A$310 million for the year.
- Even though trading conditions were weak in January, they improved slightly in February and March, albeit being still subdued in relation to the first half.
- BWS and DanMurphy’s saw flat sales on a comparable store basis.
- Easter week sales were ahead of the same period in the previous year.
- The market conditions in 4Q are expected to remain consistent with 3Q for both the Retail and Hotels segments.
- Endeavour Group is currently experiencing inflationary cost pressures, and is responding by closely monitoring Cost of Doing Business (CODB).
- The Group is predicted to perform well despite the economic cycle.
- The company’s stock has twelve buys, three holds, and no sells.
- The comparisons to past results are based on values reported by the company’s original disclosures.
Endeavour Group /Australia on Smartkarma
Analysts on Smartkarma, such as Clarence Chu, are closely watching the developments surrounding Endeavour Group in Australia. Chu, in his recent report titled “Endeavour Group Placement – While There Is an Overhang, Selldown Now Appears Well Flagged,” discusses Woolworths Ltd’s plan to raise A$468m by divesting its stake in Endeavour Group. Endeavour Group, which was spun off from Woolworths in June 2021, oversees the drinks and hospitality segment of the company. Chu’s analysis delves into the dynamics of the deal and evaluates it through an Equity Capital Markets (ECM) framework.
Given Chu’s bullish lean on the situation, it indicates a positive sentiment surrounding the divestment of Woolworths’ stake in Endeavour Group. This insight, along with other independent analysts’ research on Smartkarma, provides investors with valuable perspectives on the investment landscape related to Endeavour Group in Australia.
A look at Endeavour Group /Australia Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts give a positive long-term outlook for Endeavour Group / Australia as indicated by its Smartkarma Smart Scores. With solid scores in growth and momentum, the company is positioned for future success in the retail drinks and hospitality sector. A high growth score reflects the potential for Endeavour Group to expand and increase its market presence, while a strong momentum score suggests that the company is currently on a favorable trajectory.
Although the company’s resilience score is somewhat lower, indicating a potentially lower ability to withstand economic shocks, the overall outlook remains optimistic. With a balanced mix of scores across different categories, Endeavour Group / Australia shows promise for sustained growth and development in the future.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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