Overview
Downer EDI combines transport infrastructure, energy and utilities, and facilities services in a large, diversified Australian-listed business. Its A$9.7B in trailing revenue and 4.5B market capitalisation indicate considerable scale, while revenue growth of -7.70% and a 2.23% profit margin show that scale has not translated into strong recent growth or a wide earnings cushion. At A$6.83, the shares sit within their A$6.25–A$8.31 52-week range and below both supplied moving averages. A 4.35% dividend yield adds an income dimension, but the business’s recent performance and contract execution remain central to its outlook.
Downer EDI is an Australian-based services group whose operations span transport, energy and utilities, and facilities management. In transport, it works across road and rail infrastructure, maintenance and related services; its energy and utilities activities cover assets and services in areas such as power, gas, water and telecommunications. Its facilities business supports the operation and maintenance of strategic assets for customers including health, education, government and defence. This mix gives Downer broad exposure to essential infrastructure and outsourced services, while also bringing together businesses with differing project, operating and contract requirements.
Key facts
- Ticker
- DOW
- Exchange
- AU
- ISIN
- AU000000DOW2
- Sector
- Industrials
- Industry
- Engineering & Construction
- Country
- Australia
- Currency
- AUD
- Price
- A$6.80
- Previous close
- A$6.77
- Day change
- +A$0.03 (+0.44%)
- Market cap
- 4.4B
- 52W low
- A$6.25
- 52W high
- A$8.31
Price and trend
Last price: A$6.80
- Price
- A$6.80
- 52W range
- A$6.25 – A$8.31
- 50-day SMA
- A$6.97
- 200-day SMA
- A$7.64
- Price vs 50D SMA
- -2.44%
- Price vs 200D SMA
- -11.03%
Valuation
- P/E
- 20.61
- PEG
- 1.58
- EPS
- 0.33
- Dividend yield
- 4.31%
- Beta
- 1.03
Downer has a market capitalisation of 4.5B and a price-to-earnings ratio of 20.7, alongside earnings per share of A$0.33. The supplied PEG ratio is 1.58. These figures should be considered against revenue growth of -7.70% and a profit margin of 2.23%: the scale of the business is substantial, but recent contraction and limited profitability make the earnings outlook important to valuation. The dividend yield is 4.35%, with a supplied dividend per share of A$0.292; the yield alone does not establish the sustainability of future payments.
Profitability and growth
- Revenue growth
- -7.70%
- Revenue TTM
- 9.7B
- Profit margin
- 2.23%
Analyst view
Comparison uses the last price shown; targets are analyst estimates.
Top Australian Brokers
- Pepperstone - Top Australian broker - Read our review
- eToro - Invest in ASX and international shares - Read our review
- Price
- A$6.80
- Target price
- A$7.78
- Target vs last price
- 14.34% from last price
The supplied target price is A$7.82, which is 14.42% above the last price of A$6.83. This is secondary context rather than a forecast: the figures do not remove the importance of Downer’s recent revenue contraction, modest margin or execution risks. The share price is also below its 50-day and 200-day moving averages, indicating a softer technical position than those averages.
Risks
Downer’s breadth across infrastructure and outsourced services gives it exposure to varied markets, but the supplied figures show revenue growth of -7.70% and a profit margin of 2.23%. A relatively thin margin leaves profitability sensitive to delivery costs and the performance of individual contracts. Its project and asset-services work also makes execution, cost control and the timing of customer activity important considerations. The share price remains below both supplied moving averages, adding a weaker recent technical context to the fundamental picture.
FAQ
What does Downer EDI do?
Downer provides services across transport, energy and utilities, and facilities management. Its work spans infrastructure construction and maintenance, network and asset services, and operational support for sectors including health, education, government and defence.
What is Downer EDI’s dividend yield?
The supplied dividend yield is 4.35%. Yield can change as the share price and dividend payments change, and it does not indicate that future dividends are assured.
How has Downer EDI’s share price compared with its moving averages?
At A$6.83, the share price is 2.94% below its 50-day moving average of A$7.04 and 10.84% below its 200-day moving average of A$7.66. These measures provide technical context but do not explain the company’s underlying prospects.
*This content is aimed to provide general information only, and does not take your personal objectives, financial situation or needs into account.