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Treasury Wine Estates

DB:T7W
Snowflake Description

Excellent balance sheet with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
T7W
DB
A$13B
Market Cap
  1. Home
  2. DE
  3. Food, Beverage & Tobacco
Company description

Treasury Wine Estates Limited operates as a wine company in Australia, New Zealand, Asia, Europe, and the Americas. The last earnings update was 46 days ago. More info.


Add to Portfolio Compare Print
T7W Share Price and Events
7 Day Returns
0%
DB:T7W
-0.2%
DE Beverage
2.5%
DE Market
1 Year Returns
10.7%
DB:T7W
4.9%
DE Beverage
2.6%
DE Market
T7W Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Treasury Wine Estates (T7W) 0% -1.3% 9% 10.7% 36.1% -
DE Beverage -0.2% 2.3% -1.1% 4.9% 24.3% 68.1%
DE Market 2.5% 0.2% 1% 2.6% 7.8% 23.7%
1 Year Return vs Industry and Market
  • T7W outperformed the Beverage industry which returned 4.9% over the past year.
  • T7W outperformed the Market in Germany which returned 2.6% over the past year.
Price Volatility
T7W
Industry
5yr Volatility vs Market

Value

 Is Treasury Wine Estates undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Treasury Wine Estates to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Treasury Wine Estates.

DB:T7W Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 12 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 5%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:T7W
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Beverage Unlevered Beta Simply Wall St/ S&P Global 0.51
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.508 (1 + (1- 30%) (9.04%))
0.692
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (0.8 * 5.96%)
5%

Discounted Cash Flow Calculation for DB:T7W using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Treasury Wine Estates is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:T7W DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (AUD, Millions) Source Present Value
Discounted (@ 5%)
2020 177.85 Analyst x2 169.39
2021 325.70 Analyst x3 295.44
2022 394.70 Analyst x2 341.00
2023 565.90 Analyst x1 465.63
2024 696.26 Est @ 23.04% 545.64
2025 809.01 Est @ 16.19% 603.83
2026 901.27 Est @ 11.4% 640.69
2027 973.84 Est @ 8.05% 659.33
2028 1,029.39 Est @ 5.7% 663.78
2029 1,071.20 Est @ 4.06% 657.87
Present value of next 10 years cash flows A$5,042.00
DB:T7W DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= A$1,071.20 × (1 + 0.23%) ÷ (5% – 0.23%)
A$22,517.57
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= A$22,517.57 ÷ (1 + 5%)10
A$13,829.10
DB:T7W Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= A$5,042.00 + A$13,829.10
A$18,871.10
Equity Value per Share
(AUD)
= Total value / Shares Outstanding
= A$18,871.10 / 718.75
A$26.26
DB:T7W Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:T7W represents 0.60792x of ASX:TWE
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.60792x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (AUD) x Listing Adjustment Factor
= A$ 26.26 x 0.60792
€15.96
Value per share (EUR) From above. €15.96
Current discount Discount to share price of €10.90
= -1 x (€10.90 - €15.96) / €15.96
31.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Treasury Wine Estates is available for.
Intrinsic value
32%
Share price is €10.9 vs Future cash flow value of €15.96
Current Discount Checks
For Treasury Wine Estates to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Treasury Wine Estates's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Treasury Wine Estates's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Treasury Wine Estates's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Treasury Wine Estates's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:T7W PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in AUD A$0.58
ASX:TWE Share Price ** ASX (2019-10-11) in AUD A$17.93
Germany Beverage Industry PE Ratio Median Figure of 7 Publicly-Listed Beverage Companies 27.57x
Germany Market PE Ratio Median Figure of 417 Publicly-Listed Companies 19.72x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Treasury Wine Estates.

DB:T7W PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= ASX:TWE Share Price ÷ EPS (both in AUD)

= 17.93 ÷ 0.58

30.71x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Treasury Wine Estates is overvalued based on earnings compared to the DE Beverage industry average.
  • Treasury Wine Estates is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does Treasury Wine Estates's expected growth come at a high price?
Raw Data
DB:T7W PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 30.71x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts
17.7%per year
Europe Beverage Industry PEG Ratio Median Figure of 31 Publicly-Listed Beverage Companies 2.84x
Germany Market PEG Ratio Median Figure of 264 Publicly-Listed Companies 1.38x

*Line of best fit is calculated by linear regression .

DB:T7W PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 30.71x ÷ 17.7%

1.74x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Treasury Wine Estates is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Treasury Wine Estates's assets?
Raw Data
DB:T7W PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in AUD A$5.16
ASX:TWE Share Price * ASX (2019-10-11) in AUD A$17.93
Germany Beverage Industry PB Ratio Median Figure of 8 Publicly-Listed Beverage Companies 1.56x
Germany Market PB Ratio Median Figure of 597 Publicly-Listed Companies 1.74x
DB:T7W PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= ASX:TWE Share Price ÷ Book Value per Share (both in AUD)

= 17.93 ÷ 5.16

3.48x

* Primary Listing of Treasury Wine Estates.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Treasury Wine Estates is overvalued based on assets compared to the DE Beverage industry average.
X
Value checks
We assess Treasury Wine Estates's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Beverage industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Beverage industry average (and greater than 0)? (1 check)
  5. Treasury Wine Estates has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Treasury Wine Estates expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
17.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Treasury Wine Estates expected to grow at an attractive rate?
  • Treasury Wine Estates's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Treasury Wine Estates's earnings growth is expected to exceed the Germany market average.
  • Treasury Wine Estates's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:T7W Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:T7W Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts 17.7%
DB:T7W Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 12 Analysts 10%
Germany Beverage Industry Earnings Growth Rate Market Cap Weighted Average -0.7%
Europe Beverage Industry Revenue Growth Rate Market Cap Weighted Average 4.5%
Germany Market Earnings Growth Rate Market Cap Weighted Average 12.8%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:T7W Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
All numbers in AUD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:T7W Future Estimates Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-06-30 4,728 909 1
2022-06-30 3,902 666 750 7
2021-06-30 3,552 538 629 11
2020-06-30 3,176 389 509 11
2019-10-12
DB:T7W Past Financials Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income *
2019-06-30 2,883 416 420
2019-03-31 2,790 310 406
2018-12-31 2,698 204 392
2018-09-30 2,597 250 376
2018-06-30 2,496 295 360
2018-03-31 2,499 314 340
2017-12-31 2,502 334 320
2017-09-30 2,518 358 295
2017-06-30 2,534 383 269
2017-03-31 2,554 260
2016-12-31 2,574 459 251
2016-09-30 2,459 438 212

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Treasury Wine Estates's earnings are expected to grow by 17.7% yearly, however this is not considered high growth (20% yearly).
  • Treasury Wine Estates's revenue is expected to grow by 10% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:T7W Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below

All data from Treasury Wine Estates Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:T7W Future Estimates Data
Date (Data in AUD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-06-30 1.26 1.26 1.26 1.00
2022-06-30 1.02 1.10 0.89 7.00
2021-06-30 0.88 1.02 0.78 10.00
2020-06-30 0.72 0.81 0.68 8.00
2019-10-12
DB:T7W Past Financials Data
Date (Data in AUD Millions) EPS *
2019-06-30 0.58
2019-03-31 0.56
2018-12-31 0.55
2018-09-30 0.52
2018-06-30 0.50
2018-03-31 0.47
2017-12-31 0.44
2017-09-30 0.40
2017-06-30 0.37
2017-03-31 0.35
2016-12-31 0.34
2016-09-30 0.29

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Treasury Wine Estates is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Treasury Wine Estates's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Treasury Wine Estates has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Treasury Wine Estates performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Treasury Wine Estates's growth in the last year to its industry (Beverage).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Treasury Wine Estates has delivered over 20% year on year earnings growth in the past 5 years.
  • Treasury Wine Estates's 1-year earnings growth is less than its 5-year average (16.4% vs 49%)
  • Treasury Wine Estates's earnings growth has exceeded the DE Beverage industry average in the past year (16.4% vs -2%).
Earnings and Revenue History
Treasury Wine Estates's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Treasury Wine Estates Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:T7W Past Revenue, Cash Flow and Net Income Data
Date (Data in AUD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 2,883.00 419.50 564.50
2019-03-31 2,790.30 405.90 562.10
2018-12-31 2,697.60 392.30 559.70
2018-09-30 2,597.00 376.30 535.05
2018-06-30 2,496.40 360.30 510.40
2018-03-31 2,499.40 340.20 505.80
2017-12-31 2,502.40 320.10 501.20
2017-09-30 2,518.30 294.60 508.75
2017-06-30 2,534.20 269.10 516.30
2017-03-31 2,553.95 260.00 515.10
2016-12-31 2,573.70 250.90 513.90
2016-09-30 2,458.50 212.10 506.95
2016-06-30 2,343.30 173.30 500.00
2016-03-31 2,258.30 133.45 492.05
2015-12-31 2,173.30 93.60 484.10
2015-09-30 2,072.15 85.60 462.00
2015-06-30 1,971.00 77.60 439.90
2015-03-31 1,916.35 -43.45 421.60
2014-12-31 1,861.70 -164.50 403.30
2014-09-30 1,825.95 -132.70 392.50
2014-06-30 1,790.20 -100.90 381.70
2014-03-31 1,766.05 0.10 375.05
2013-12-31 1,741.90 101.10 368.40
2013-09-30 1,735.15 74.15 358.15
2013-06-30 1,728.40 47.20 347.90
2013-03-31 1,698.30 74.70 348.35
2012-12-31 1,668.20 102.20 348.80

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Treasury Wine Estates has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Treasury Wine Estates used its assets more efficiently than the DE Beverage industry average last year based on Return on Assets.
  • Treasury Wine Estates has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Treasury Wine Estates's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Beverage industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Treasury Wine Estates has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Treasury Wine Estates's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Treasury Wine Estates's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Treasury Wine Estates is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Treasury Wine Estates's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Treasury Wine Estates's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Treasury Wine Estates Company Filings, last reported 3 months ago.

DB:T7W Past Debt and Equity Data
Date (Data in AUD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 3,706.10 1,165.10 401.80
2019-03-31 3,706.10 1,165.10 401.80
2018-12-31 3,617.60 1,128.00 183.00
2018-09-30 3,617.60 1,128.00 183.00
2018-06-30 3,496.30 879.60 89.40
2018-03-31 3,496.30 879.60 89.40
2017-12-31 3,477.30 699.10 202.50
2017-09-30 3,477.30 699.10 202.50
2017-06-30 3,608.50 600.50 240.80
2017-03-31 3,608.50 600.50 240.80
2016-12-31 3,648.40 640.20 339.90
2016-09-30 3,648.40 640.20 339.90
2016-06-30 3,569.20 635.10 256.10
2016-03-31 3,569.20 635.10 256.10
2015-12-31 3,605.90 670.90 1,101.20
2015-09-30 3,605.90 670.90 1,101.20
2015-06-30 3,050.70 337.60 122.10
2015-03-31 3,050.70 337.60 122.10
2014-12-31 2,986.30 322.40 35.10
2014-09-30 2,986.30 322.40 35.10
2014-06-30 2,848.80 265.60 52.00
2014-03-31 2,848.80 265.60 52.00
2013-12-31 3,140.60 337.70 30.00
2013-09-30 3,140.60 337.70 30.00
2013-06-30 3,007.90 225.00 10.80
2013-03-31 3,007.90 225.00 10.80
2012-12-31 2,921.90 228.10 21.90
  • Treasury Wine Estates's level of debt (31.4%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (9.3% vs 31.4% today).
  • Debt is well covered by operating cash flow (35.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 12.9x coverage).
X
Financial health checks
We assess Treasury Wine Estates's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Treasury Wine Estates has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Treasury Wine Estates's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.23%
Current annual income from Treasury Wine Estates dividends. Estimated to be 3.08% next year.
If you bought €2,000 of Treasury Wine Estates shares you are expected to receive €45 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Treasury Wine Estates's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.46%).
  • Treasury Wine Estates's dividend is below the markets top 25% of dividend payers in Germany (3.86%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:T7W Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
Germany Beverage Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 1.8%
Germany Market Average Dividend Yield Market Cap Weighted Average of 337 Stocks 3.1%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.5%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:T7W Future Dividends Estimate Data
Date (Data in A$) Dividend per Share (annual) Avg. No. Analysts
2023-06-30 0.82 1.00
2022-06-30 0.64 9.00
2021-06-30 0.55 13.00
2020-06-30 0.47 12.00
2019-10-12
DB:T7W Past Annualized Dividends Data
Date (Data in A$) Dividend per share (annual) Avg. Yield (%)
2019-08-14 0.400 2.188
2019-02-13 0.360 2.297
2018-08-15 0.340 2.130
2018-01-30 0.300 1.702
2017-08-16 0.260 1.733
2017-02-13 0.260 2.070
2016-08-17 0.240 2.203
2015-08-18 0.140 1.696
2015-02-27 0.130 2.439
2014-08-20 0.130 2.731
2014-02-19 0.130 2.982
2013-09-25 0.130 2.873
2013-08-21 0.130 2.771
2013-02-28 0.130 2.310
2012-09-18 0.130 2.627
2012-08-16 0.140 2.967
2012-02-17 0.120 2.797
2011-08-22 0.060 1.643

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Treasury Wine Estates has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Treasury Wine Estates only paid a dividend in the past 8 years.
Current Payout to shareholders
What portion of Treasury Wine Estates's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.5x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.6x coverage).
X
Income/ dividend checks
We assess Treasury Wine Estates's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Treasury Wine Estates afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Treasury Wine Estates has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Treasury Wine Estates's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Mike Clarke
COMPENSATION A$11,387,045
AGE 54
TENURE AS CEO 5.6 years
CEO Bio

Mr. Michael A. Clarke, also known as Mike, CA, B.Com, has been the Chief Executive Officer and Managing Director of Treasury Wine Estates Limited since March 31, 2014. Mr. Clarke served as the Chief Executive Officer at Premier Foods plc from September 3, 2011 to January 28, 2013. He served as the Executive Vice President of Mondelez International, Inc. from January 27, 2009 to August 15, 2011. He served as the President of Mondelez Europe GmbH from January 27, 2009 to August 15, 2011. In his role at Kraft, he was responsible for managing its entire European business, with revenues of $13 billion, 58 manufacturing sites and 25,000 employees. He served on Kraft's global operating board. He served as the President of Nordics Business Unit of The Coca-Cola Company since March 2007. Mr. Clarke served as President of NorthWest Europe (Great Britain, France, Belgium, Netherlands, Ireland) business unit at The Coca-Cola Company from August 2005 to December 2008. He served as the President of the South Pacific & Korea Division of The Coca-Cola Company from March 2000 to July 2005. He served as Senior Vice President, International of The Minute Maid Company from 1996 to 2000. Mr. Clarke joined the Coca-Cola system in 1996 as Group Director, Europe for The Minute Maid Company until 2000. He spent over twelve years at The Coca-Cola Company. He served as Vice President, International of The Minute Maid Company since October 1996. Mr. Clarke had an extensive career with Reebok International Ltd. from 1991 to 1996 in the areas of finance and operations in the Asia Pacific region and served as its Managing Director of Reebok South Africa. He took on responsibility for managing the Africa and Middle East region and served as Vice President of the South Asia/Pacific region of Reebok. He joined Reebok International in 1991. He has over 20 years' senior leadership experience and an outstanding track record at some of the world's iconic consumer goods companies. He began his career in Accountancy with Deloitte Haskins and Sells and Acer Consulting (Far East) Ltd. from 1985 to 1989. He has been a Director of Treasury Wine Estates Limited since March 31, 2014. He served as a Non Executive Director of Wolseley plc since March 22, 2011 until March 2014. Mr. Clarke served as a Director of Quiksilver Inc. since April 23, 2013 until February 11, 2016. He is also on the Advisory Board of Inspire Foundation. He served as a Director of Premier Foods plc from August 2011 to January 28, 2013. He is a qualified accountant. Mr. Clarke holds a Bachelors of commerce degree from the University of Cape Town.

CEO Compensation
  • Mike's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Mike's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure of the Treasury Wine Estates management team in years:

1.8
Average Tenure
  • The average tenure for the Treasury Wine Estates management team is less than 2 years, this suggests a new team.
Management Team

Mike Clarke

TITLE
CEO, MD & Director
COMPENSATION
A$11M
AGE
54
TENURE
5.6 yrs

Matt Young

TITLE
Chief Financial Officer
COMPENSATION
A$1M
TENURE
1.4 yrs

Tim Ford

TITLE
Chief Operating Officer
COMPENSATION
A$1M
TENURE
0.8 yrs

Linnsey Caya

TITLE
Chief People & Legal Officer
TENURE
3.1 yrs

Angus G. McPherson

TITLE
President of Americas & Global Sales
COMPENSATION
A$1M
TENURE
0.2 yrs

Angus Lilley

TITLE
Chief Marketing Officer
TENURE
0.8 yrs

Tom King

TITLE
Managing Director of North Asia
TENURE
2.6 yrs

Peter Neilson

TITLE
Managing Director of Australia & New Zealand
TENURE
1.8 yrs

Kristy Keyte

TITLE
Global Marketing Director of Penfolds

Fiona Last

TITLE
Company Secretary
TENURE
3.1 yrs
Board of Directors Tenure

Average tenure and age of the Treasury Wine Estates board of directors in years:

5.6
Average Tenure
56
Average Age
  • The tenure for the Treasury Wine Estates board of directors is about average.
Board of Directors

Paul Rayner

TITLE
Chairman
COMPENSATION
A$533K
AGE
65
TENURE
7.1 yrs

Mike Clarke

TITLE
CEO, MD & Director
COMPENSATION
A$11M
AGE
54
TENURE
5.6 yrs

Warwick Every-Burns

TITLE
Non-Executive Director
COMPENSATION
A$241K
AGE
66
TENURE
8.4 yrs

Garry Hounsell

TITLE
Non-Executive Director
COMPENSATION
A$256K
AGE
64
TENURE
7.1 yrs

Ed Chan

TITLE
Independent Non-Executive Director
COMPENSATION
A$213K
AGE
56
TENURE
7.1 yrs

Lauri Shanahan

TITLE
Non-Executive Director
COMPENSATION
A$213K
AGE
56
TENURE
2.9 yrs

Colleen Jay

TITLE
Independent Non-Executive Director
COMPENSATION
A$213K
AGE
56
TENURE
1.5 yrs

Louisa Cheang

TITLE
Independent Non-Executive Director
COMPENSATION
A$112K
AGE
55
TENURE
0.8 yrs

Michelle Brampton

TITLE
Director
TENURE
0.4 yrs
Who owns this company?
Recent Insider Trading
  • Treasury Wine Estates individual insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
09. Sep 19 Sell Michael Clarke Individual 09. Sep 19 09. Sep 19 -34,012 €11.72 €-398,522
05. Sep 19 Buy Michael Clarke Individual 03. Sep 19 03. Sep 19 120 €11.62 €1,395
18. Aug 19 Sell Michael Clarke Individual 16. Aug 19 16. Aug 19 -212,537 €10.37 €-2,203,243
07. May 19 Sell Michael Clarke Individual 01. May 19 03. May 19 -400,000 €10.83 €-4,331,594
25. Apr 19 Sell BlackRock, Inc. Company 05. Apr 17 23. Apr 19 -14,475,585 €12.48 €-175,102,366
25. Apr 19 Buy BlackRock, Inc. Company 05. Apr 17 24. Apr 19 18,533,668 €12.41 €227,834,480
20. Mar 19 Buy Capital Research and Management Company Company 07. Mar 19 19. Mar 19 7,309,897 €9.72 €71,037,689
11. Mar 19 Buy Michael Clarke Individual 06. Mar 19 06. Mar 19 119 €9.53 €1,134
08. Mar 19 Buy Capital Research and Management Company Company 30. Oct 18 06. Mar 19 13,217,230 €9.60 €126,928,600
24. Feb 19 Sell Wellington Management Group LLP Company 21. Feb 19 21. Feb 19 -3,143,059 €9.26 €-29,099,939
17. Feb 19 Buy Garry Hounsell Individual 15. Feb 19 15. Feb 19 15,000 €10.38 €155,732
06. Dec 18 Sell The Vanguard Group, Inc. Company 03. Aug 18 03. Dec 18 -322,238 €12.72 €-4,089,372
06. Dec 18 Buy The Vanguard Group, Inc. Company 03. Aug 18 04. Dec 18 1,557,265 €12.76 €19,718,029
26. Nov 18 Buy Paul Rayner Individual 26. Nov 18 26. Nov 18 11,500 €9.02 €103,733
07. Nov 18 Buy Michael Clarke Individual 06. Nov 18 06. Nov 18 58 €9.91 €575
31. Oct 18 Sell Capital Research and Management Company Company 12. Jan 16 29. Oct 18 -8,875,302 €9.61 €-85,276,692
X
Management checks
We assess Treasury Wine Estates's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Treasury Wine Estates has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Treasury Wine Estates Limited operates as a wine company in Australia, New Zealand, Asia, Europe, and the Americas. It engages in the viticulture and winemaking; and marketing, sale, and distribution of wine. The company’s wine portfolio includes luxury, masstige, and commercial wine brands, such as Penfolds, Beringer, Lindeman’s, Wolf Blass, 19 Crimes, Chateau St Jean, Beaulieu Vineyard, and Sterling Vineyards. It also provides contract bottling services to third parties. The company owns and leases 9,149 planted hectares of vineyards in Australia and New Zealand; and owns and operates 3,728 planted hectares in various viticultural regions in California, including Napa Valley, Sonoma County, Lake County, and Central Coast, as well as 148 hectares in Europe. It markets and sells its products to distributors, wholesalers, retails chains, independent retailers, and on premise outlets, as well as directly to consumers. The company was founded in 1843 and is headquartered in Melbourne, Australia.

Details
Name: Treasury Wine Estates Limited
T7W
Exchange: DB
Founded: 1843
A$7,940,921,434
718,745,478
Website: http://www.tweglobal.com
Address: Treasury Wine Estates Limited
161 Collins Street,
Level 8,
Melbourne,
Victoria, 3000,
Australia
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
ASX TWE Ordinary Shares Australian Securities Exchange AU AUD 10. May 2011
OTCPK TSRY.F Ordinary Shares Pink Sheets LLC US USD 10. May 2011
DB T7W Ordinary Shares Deutsche Boerse AG DE EUR 10. May 2011
CHIA TWE Ordinary Shares Chi-X Australia AU AUD 10. May 2011
OTCPK TSRY.Y SPONSORED ADR Pink Sheets LLC US USD 13. May 2011
Number of employees
Current staff
Staff numbers
3,500
Treasury Wine Estates employees.
Industry
Distillers and Vintners
Food, Beverage & Tobacco
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/10/12 22:24
End of day share price update: 2019/10/11 00:00
Last estimates confirmation: 2019/10/07
Last earnings filing: 2019/08/27
Last earnings reported: 2019/06/30
Last annual earnings reported: 2019/06/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.