NRW Holdings Limited (ASX:NWH) Is Up But Financials Look Inconsistent: Which Way Is The Stock Headed?

Simply Wall St.

Feb 12

Most readers would already know that NRW Holdings' (ASX:NWH) stock increased by 7.7% over the past three months. However, we decided to study the company's mixed-bag of fundamentals to assess what ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

{"basename":"","ssrTDKData":{"titleTemplate":"%s - Tiger Brokers","title":"Tiger Brokers | Global Stocks, Options & Futures Trading App","description":"Tiger Brokers, one-stop investment in US stocks, SGX stocks, HK stocks, A-shares & other global assets. One of the best stock trading platforms in Singapore.","keywords":"tiger brokers,tiger trade,tiger brokers singapore,broker online,stock trading in singapore,share trading singapore,brokerage firm singapore,trading app,stock broker singapore,stock trading platforms,trading account","social":{"ogDescription":"Tiger Brokers, one-stop investment in US stocks, SGX stocks, HK stocks, A-shares & other global assets. One of the best stock trading platforms in Singapore.","ogImage":"https://c1.itigergrowtha.com/portal5/static/media/og-logo.be62fbe1.png","ogUrl":"https://www.itiger.com/news/2610998015"},"companyName":"Tiger Brokers"},"pageData":{"isMobile":false,"isTiger":false,"isTTM":true,"region":"SGP","license":"TBSG","edition":"fundamental"},"isCrawlerRequest":true,"__swrFallback__":{"@#url:\"https://stock-news.skytigris.cn/v3/news\",params:#id:\"2610998015\",edition:\"fundamental\",auth_exemption:1,,,undefined,":{"share":"https://ttm.financial/m/news/2610998015?lang=en_US&edition=fundamental","thumbnail":"https://images.simplywall.st/asset/industry/3041000-choice1-main-header/1585186744280","is_english":true,"pubTime":"2026-02-12 05:59","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2610998015","market":"sg","top_or_hot":-1,"title":"NRW Holdings Limited (ASX:NWH) Is Up But Financials Look Inconsistent: Which Way Is The Stock Headed?","media":"Simply Wall St.","content":"<div>\n<p>Most readers would already know that NRW Holdings' (ASX:NWH) stock increased by 7.7% over the past three months.   However, we decided to study the company's mixed-bag of fundamentals to assess what ...</p>\n\n<a href=\"https://simplywall.st/stocks/au/capital-goods/asx-nwh/nrw-holdings-shares/news/nrw-holdings-limited-asxnwh-is-up-but-financials-look-incons\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>NRW Holdings Limited (ASX:NWH) Is Up But Financials Look Inconsistent: Which Way Is The Stock Headed?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNRW Holdings Limited (ASX:NWH) Is Up But Financials Look Inconsistent: Which Way Is The Stock Headed?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-02-12 05:59 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/au/capital-goods/asx-nwh/nrw-holdings-shares/news/nrw-holdings-limited-asxnwh-is-up-but-financials-look-incons><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Most readers would already know that NRW Holdings' (ASX:NWH) stock increased by 7.7% over the past three months.   However, we decided to study the company's mixed-bag of fundamentals to assess what ...</p>\n\n<a href=\"https://simplywall.st/stocks/au/capital-goods/asx-nwh/nrw-holdings-shares/news/nrw-holdings-limited-asxnwh-is-up-but-financials-look-incons\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK7055","symbol_name":"建筑与工程","start_time":0,"source_url":"https://simplywall.st/stocks/au/capital-goods/asx-nwh/nrw-holdings-shares/news/nrw-holdings-limited-asxnwh-is-up-but-financials-look-incons","article_id":"2610998015","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/3041000-choice1-main-header/1585186744280"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/au/capital-goods/asx-nwh/nrw-holdings-shares/news/nrw-holdings-limited-asxnwh-is-up-but-financials-look-incons","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2610998015","pubTimestamp":1770847149,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"Most readers would already know that NRW Holdings' (ASX:NWH) stock increased by 7.7% over the past three months...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK7055":"建筑与工程","NWH.AU":"NRW HOLDINGS LTD"},"translate_title":"NRW Holdings Limited(ASX：NWH)上涨，但财务状况看起来不一致：该股将走向何方？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"NWH.AU":1.5},"content_text":"Most readers would already know that NRW Holdings' (ASX:NWH) stock increased by 7.7% over the past three months.   However, we decided to study the company's mixed-bag of fundamentals to assess what this could mean for future share prices, as stock prices tend to be aligned with a company's long-term financial performance.      Specifically, we decided to study NRW Holdings'  ROE in this article.    ROE or return on equity is a useful tool to assess how effectively a company can generate returns on the investment it received from its shareholders.  In short, ROE shows the profit each dollar generates with respect to its shareholder investments. Trump has pledged to \"unleash\" American oil and gas and these 15 US stocks have developments that are poised to benefit.Advertisement How Do You Calculate Return On Equity?  Return on equity can be calculated by using the formula:  Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for NRW Holdings is:4.5% = AU$28m ÷ AU$610m (Based on the trailing twelve months to June 2025). The 'return' is the income the business earned over the last year.  One way to conceptualize this is that for each A$1 of shareholders' capital it has, the company made A$0.05 in profit.  View our latest analysis for NRW Holdings   What Is The Relationship Between ROE And Earnings Growth?  Thus far, we have learned that ROE measures how efficiently a company is generating its profits.  Depending on how much of these profits the company reinvests or \"retains\", and how effectively it does so, we are then able to assess a company’s earnings growth potential.  Assuming everything else remains unchanged, the higher the ROE and profit retention, the higher the growth rate of a company compared to companies that don't necessarily bear these characteristics.  NRW Holdings' Earnings Growth And 4.5% ROE  As you can see, NRW Holdings' ROE looks pretty weak.   Even when compared to the industry average of 16%, the ROE figure is pretty disappointing.   However, the moderate 5.2% net income growth seen by NRW Holdings over the past five years is definitely a positive.  Therefore, the growth in earnings could probably have been caused by other variables.  Such as - high earnings retention or an efficient management in place.     Next, on comparing with the industry net income growth, we found that NRW Holdings' reported growth was lower than the industry growth of 21% over the last few years, which is not something we like to see.   ASX:NWH Past Earnings Growth February 11th 2026 The basis for attaching value to a company is, to a great extent, tied to its earnings growth.  The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in.  Doing so will help them establish if the stock's future looks promising or ominous.    What is NWH worth today? The  intrinsic value infographic in our free research report  helps visualize whether NWH is currently mispriced by the market.    Is NRW Holdings Using Its Retained Earnings Effectively?    While NRW Holdings has a three-year median payout ratio of 74% (which means it retains 26% of profits), the company has still seen a fair bit of earnings growth in the past, meaning that its high payout ratio hasn't hampered its ability to grow.      Moreover, NRW Holdings is determined to keep sharing its profits with shareholders which we infer from its long history of seven years of paying a dividend.      Upon studying the latest analysts' consensus data, we found that the company's future payout ratio is expected to drop to 55% over the next three years.   As a result, the expected drop in NRW Holdings' payout ratio explains the anticipated rise in the company's future ROE to 26%, over the same period.      Summary    In total, we're a bit ambivalent about NRW Holdings' performance.      While no doubt its earnings growth is pretty respectable, the low profit retention could mean that the company's earnings growth could have been higher, had it been paying reinvesting a higher portion of its profits. An improvement in its ROE could also help future earnings growth.       With that said, the latest industry analyst forecasts reveal that the company's earnings are expected to accelerate.     To know more about the company's future earnings growth forecasts take a look at this free report on analyst forecasts for the company to find out more. Valuation is complex, but we're here to simplify it.Discover if NRW Holdings might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.Access Free AnalysisHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":false,"code":"91000000","status":"200"}}}