EDV endeavour

 EDV

07/07/26

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Endeavour Group Limited (ASX:EDV) has faced recent financial strain characterized by flat revenue, falling net profits, and a high debt load since its 2021 spin-off. The company trades around \(\$3.35\) per share, reflecting a roughly 48% decline from its all-time highs and underperforming the broader market. [1, 2, 3, 4, 5, 6]

Key financial highlights include:

• Profitability: The company has remained profitable but is in a decline. Net profit recently fell by about \(17.1\%\) in its latest half-year report, yielding an annual net profit margin of around \(3.09\%\). Overall 5-year average annual earnings growth sits at about \(7\%\), though the past year's trajectory has been heavily negative. [1, 2, 3, 4, 5]
• Debt: The company carries a substantial debt load. Total debt stands around \(\$5.8\) billion, yielding a debt-to-equity ratio of roughly \(134\%\). This high leverage remains a primary concern for Endeavour Group (ASX:EDV) Balance Sheet & Financial Health Metrics analysts. [1, 2, 3, 4]
• Return on Equity (ROE): The trailing twelve months (TTM) ROE is \(9.44\%\), while its return on assets is \(4.47\%\). [1, 2]
• Dividends: Yield is roughly \(5.1\%\); however, dividend policy revisions were announced alongside cost-cutting strategies as the company pivots to long-term investment. [1, 2, 3]
• Recent Momentum: The stock has seen extreme short-term volatility following the announcement of a three-year transformation plan targeting \(\$300\) million in cost savings. You can track the Endeavour Group Limited (ASX:EDV) - Share Price in real-time. [1, 2]

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Endeavour Group Limited (ASX: EDV) does not have a 10-year standalone trading history because it was demerged from Woolworths Group and listed on the ASX in June 2021. Its historical Price-to-Earnings (P/E) ratios are only available from 2021 onward, with the current trailing P/E ratio sitting at approximately 16.0x. [1, 2, 3, 4, 5]

The available historical fiscal year-end P/E ratios and the current valuation details break down as follows:

Track Historical P/E Ratios (2021–2026)

Year / Period [1, 2, 3, 4, 5, 6, 7]	P/E Ratio	Valuation Context & Driver
Current (July 2026)	16.0x	Lowered share price (~$3.37) offset by a compressed EPS environment.
June 2025	13.8x – 16.2x	Market compression pushed the stock to its lowest valuation multiples since listing.
June 2024	17.7x	Stabilization phase as retail drinks and hospitality metrics flattened.
June 2023	21.0x	Moderation from post-listing highs as interest rates cooled consumer demand.
June 2022	25.5x – 27.6x	Higher multiple sustained by strong post-pandemic hospitality sector recovery.
June 2021	63.8x	Initial listing spike driven by high market excitement and a temporary low supply of shares.

Analyze Key Trends & Blind Spots

• Demerged Limitations: For any long-term valuation modeling (like a Shiller PE10), you cannot calculate a true 10-year historical average for EDV because its financials before 2021 were integrated into Woolworths. [1]
• Compression Cycle: Over its 5-year public lifespan, EDV’s P/E ratio has continually compressed from a peak of over 60x down to a historically stable range of 14x to 18x. [1, 2]
• Peer Comparison: At a ~16x multiple, EDV trades roughly in line with the broader S&P/ASX 200 consumer sector average and its direct grocery-adjacent peers like Metcash. [1]

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