# Elders (ELD.AU)

Canonical: https://gigainvestors.com/s/ELD.AU

Analysis as of: 2026-10-16T07:44:16.947Z. Financial observations: FY2009–FY2025.

Listing currency: AUD. Reporting currency: AUD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: AUD 6.25 per share; close as of 2026-10-15.

Estimated value: low AUD 3.52 per share, central AUD 3.99 per share, high AUD 4.61 per share. Buy at or below the central value AUD 3.99 per share. Valuation as of 2026-10-16T07:44:16.947Z; scenarios are not confidence intervals.

Expected annual return: 7.4% at the stated quote. About 7.4% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; AU 10-year bond 5.2% + 4 points).

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 0

- Operating margin variation: 0.42×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.02×

- FY2017: 0.03×

- FY2018: 0.03×

- FY2019: 0.04×

- FY2020: 0.05×

- FY2021: 0.06×

- FY2022: 0.06×

- FY2023: 0.05×

- FY2024: 0.01×

- FY2025: 0.04×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 12.6%

- ROIC, second-lowest year: 7.6%

- Typical minus recent gross margin: 0.8 pp

- Typical gross margin (annual median): 20.4%

- Recent gross margin (lower of latest and 3-year median): 19.6%

- Years with nonpositive capital: 0

- Capital spending / revenue: 0.4%

- ROIC including acquisitions, ten-year median: 14.0%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 11.7%

- FY2017: 15.0%

- FY2018: 12.5%

- FY2019: 12.8%

- FY2020: 13.9%

- FY2021: 18.6%

- FY2022: 16.7%

- FY2023: 10.9%

- FY2024: 1.2%

- FY2025: 7.6%

### economics: fail

- working capital as a share of revenue rose more than 10pp and ends positive

- Owner earnings / net income, 5-yr: 0.93×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: AUD 475M

- Net income, five-year total: AUD 509M

- Return on incremental invested capital: 14.4%

- Working capital / revenue, annual change: 1.5 pp

- Working capital / revenue, change between three-year averages: 10.9 pp

- Working capital / revenue, final three-year average: 24.5%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.07×

- FY2022: 0.98×

- FY2023: 0.69×

- FY2024: 0.45×

- FY2025: 1.27×

### management: fail

- Historical market-dollar context (not the management verdict): 2017 to 2025 (8 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 12.5% vs 7.6%

- Per-share earnings: 0.43 to 0.64 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- acquired goodwill and intangibles (proxy) exceeds half of ten-year net income with low and deteriorating ROIC

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 6.0%

- Ordinary dilution, 5-year annual growth: 4.2%

- Market cap gain: AUD 853M

- Cumulative retained earnings: AUD 364M

- Diluted shares, 10-year annual growth: 6.0%

- Diluted shares, 5-year annual growth: 4.2%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 5.1%

- Per-share value change: AUD 0.21

- Per-share value, starting three-year median: AUD 0.43

- Per-share value, ending three-year median: AUD 0.64

- Buybacks concentrated in cheaper years (correlation): 0.43

- Average buyback yield: 2.4%

- Buyback history: 6 years

- Debt-funded buybacks: No

- Acquisition spending: AUD 552M

- Cumulative net income, 10 years: AUD 940M

- ROIC, first three-year median: 12.5%

- ROIC, last three-year median: 7.6%

Chart: Earnings per share; fiscal year observations.

- FY2016: AUD 0.43

- FY2017: AUD 0.97

- FY2018: AUD 0.58

- FY2019: AUD 0.44

- FY2020: AUD 0.79

- FY2021: AUD 0.95

- FY2022: AUD 1.04

- FY2023: AUD 0.64

- FY2024: AUD 0.83

- FY2025: AUD 0.26

### accounting: pass

- Sloan accruals: -2.6%

- Receivables to sales index (DSRI): 1.08×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.34×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.52×

Chart: Sloan accruals; fiscal year observations.

- FY2016: 0.4%

- FY2017: 4.3%

- FY2018: 9.0%

- FY2019: 5.7%

- FY2020: -1.2%

- FY2021: 0.4%

- FY2022: -2.3%

- FY2023: -3.3%

- FY2024: -1.6%

- FY2025: -2.6%

## Holders

## Price story

Down 56% since Apr 2022 · sales +2.1%

Story as of 2026-10-16T10:00:12.991Z; price observation 2026-10-15.

Price needs cash profits to grow 6.7% a year for ten years

### Sales · FY2024–2025

sales +2.1%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: AUD 1.6B 

- FY2017: AUD 1.6B 

- FY2018: AUD 1.6B 

- FY2019: AUD 1.7B 

- FY2020: AUD 2.1B 

- FY2021: AUD 2.5B 

- FY2022: AUD 3.4B 

- FY2023: AUD 3.3B 

- FY2024: AUD 3.1B 

- FY2025: AUD 3.2B 

### Gross margin · FY2025

gross margin 20.5%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 18.2% 

- FY2017: 20.6% 

- FY2018: 21.3% 

- FY2019: 20.3% 

- FY2020: 20.6% 

- FY2021: 20.4% 

- FY2022: 18.6% 

- FY2023: 18.2% 

- FY2024: 19.6% 

- FY2025: 20.5% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in farm products; annual sales are AUD 3.2 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2025: revenue 3185785000; grossProfit 654169000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ELD.AU: Elders Limited engages in the provision of agricultural products and services to rural and regional customers primarily in Australia. It operates through Branch Network, Wholesale Products, and Feed and Processing Services segments. The company supplies rural farm inputs, such as seeds, fertilizers, agricultural chemicals, animal health products, and general rural merchandise, as well as professional production and cropping advisory services; and provides retail services through corporate owned stores and through the Ag, Horse, and Pet brand names to independently owned member stores. The company also provides on-farm sales to third parties, regular physical, and online public livestock auctions, as well as directly sells through its owned and third-party feedlots and livestock exporters; agency services for the sale of greasy wool and grain; and brokering services for wool growers. In addition, it markets residential properties, agricultural land, lifestyle estates, and commercial real estate; residential property management and commercial asset management services; and water broking. Further, the company provides a range of banking and insurance products and services; and operates AuctionsPlus, an online livestock auction platform. Additionally, it is involved in grain-fed distribution, beef grass-fattening operations, cow manure processing, and irrigated corn production activities. The company was founded in 1839 and is headquartered in Adelaide, Australia.

### Why customers stay

Margins ranged from 18.2% to 20.5% during 2023–25; it earns 12.6% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2023: grossProfit / revenue = 18.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2024: grossProfit / revenue = 19.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2025: grossProfit / revenue = 20.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); 10-year return on capital observations [[2016,0.11700636135161942],[2017,0.15034513037378772],[2018,0.12451132341715053],[2019,0.1280412676924013],[2020,0.13934208798424164],[2021,0.1856387922646321],[2022,0.1667861929892926],[2023,0.10914777465963944],[2024,0.012212091801931946],[2025,0.07619254219426687]]; median 0.1262762955547759. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back AUD 6.8 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2016: growth capex 2280000; upkeep 3706000; owner earnings 51569000. Growth capex / owner earnings = 0.0442126083499777.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2017: growth capex 0; upkeep 3481000; owner earnings 116237000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2018: growth capex 0; upkeep 4099000; owner earnings 71865000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2019: growth capex 0; upkeep 3718000; owner earnings 70063800. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2020: growth capex 0; upkeep 8889000; owner earnings 134949800. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2021: growth capex 0; upkeep 8223000; owner earnings 160343600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2022: growth capex 0; upkeep 25164000; owner earnings 160234400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2023: growth capex 0; upkeep 47762000; owner earnings 69965200. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2024: growth capex 0; upkeep 47362000; owner earnings 20422800. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2025: growth capex 0; upkeep 16006000; owner earnings 64118600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); Dividend observations: [[2016,1871000],[2017,3557000],[2018,25819000],[2019,19267000],[2020,27434000],[2021,50633000],[2022,78201000],[2023,79841000],[2024,57113000],[2025,56096000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); FY2025: cash repurchases 6833000 AUD.

### Are managers owners

Insiders own 1.3% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ELD.AU SharesStats.PercentInsiders = 1.274 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 6.7% yearly over ten years; actual decline was 0.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:16.947Z); Ten-year compound average after fade. Initial solved rate 0.08264323469515145. Price 6.25; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.34693267639466496 → FY2025 0.3353286836754332. Closing-price date 2026-10-15.

## Monthly share-price history (AUD per share)

- 2016-10: AUD 3.83 per share

- 2016-11: AUD 3.88 per share

- 2016-12: AUD 3.92 per share

- 2017-01: AUD 4.20 per share

- 2017-02: AUD 4.30 per share

- 2017-03: AUD 4.48 per share

- 2017-04: AUD 4.40 per share

- 2017-05: AUD 5.12 per share

- 2017-06: AUD 5.28 per share

- 2017-07: AUD 5.14 per share

- 2017-08: AUD 4.63 per share

- 2017-09: AUD 4.79 per share

- 2017-10: AUD 5.01 per share

- 2017-11: AUD 6.79 per share

- 2017-12: AUD 8.07 per share

- 2018-01: AUD 7.74 per share

- 2018-02: AUD 6.83 per share

- 2018-03: AUD 7.37 per share

- 2018-04: AUD 7.82 per share

- 2018-05: AUD 8.74 per share

- 2018-06: AUD 8.36 per share

- 2018-07: AUD 7.42 per share

- 2018-08: AUD 6.57 per share

- 2018-09: AUD 7.00 per share

- 2018-10: AUD 7.20 per share

- 2018-11: AUD 6.68 per share

- 2018-12: AUD 6.97 per share

- 2019-01: AUD 6.18 per share

- 2019-02: AUD 6.12 per share

- 2019-03: AUD 6.00 per share

- 2019-04: AUD 5.97 per share

- 2019-05: AUD 5.60 per share

- 2019-06: AUD 6.13 per share

- 2019-07: AUD 7.37 per share

- 2019-08: AUD 6.85 per share

- 2019-09: AUD 6.32 per share

- 2019-10: AUD 5.91 per share

- 2019-11: AUD 6.45 per share

- 2019-12: AUD 6.47 per share

- 2020-01: AUD 7.42 per share

- 2020-02: AUD 7.74 per share

- 2020-03: AUD 7.52 per share

- 2020-04: AUD 8.67 per share

- 2020-05: AUD 9.95 per share

- 2020-06: AUD 9.42 per share

- 2020-07: AUD 10.24 per share

- 2020-08: AUD 10.04 per share

- 2020-09: AUD 10.85 per share

- 2020-10: AUD 11.21 per share

- 2020-11: AUD 10.48 per share

- 2020-12: AUD 9.86 per share

- 2021-01: AUD 10.64 per share

- 2021-02: AUD 11.26 per share

- 2021-03: AUD 12.43 per share

- 2021-04: AUD 12.17 per share

- 2021-05: AUD 11.19 per share

- 2021-06: AUD 11.55 per share

- 2021-07: AUD 11.32 per share

- 2021-08: AUD 12.21 per share

- 2021-09: AUD 12.23 per share

- 2021-10: AUD 12.03 per share

- 2021-11: AUD 11.21 per share

- 2021-12: AUD 12.26 per share

- 2022-01: AUD 10.90 per share

- 2022-02: AUD 11.57 per share

- 2022-03: AUD 13.29 per share

- 2022-04: AUD 14.28 per share

- 2022-05: AUD 13.35 per share

- 2022-06: AUD 12.59 per share

- 2022-07: AUD 11.28 per share

- 2022-08: AUD 11.58 per share

- 2022-09: AUD 11.85 per share

- 2022-10: AUD 13.00 per share

- 2022-11: AUD 10.32 per share

- 2022-12: AUD 10.14 per share

- 2023-01: AUD 9.72 per share

- 2023-02: AUD 9.32 per share

- 2023-03: AUD 8.63 per share

- 2023-04: AUD 8.11 per share

- 2023-05: AUD 6.40 per share

- 2023-06: AUD 6.58 per share

- 2023-07: AUD 7.29 per share

- 2023-08: AUD 6.44 per share

- 2023-09: AUD 5.78 per share

- 2023-10: AUD 5.93 per share

- 2023-11: AUD 7.35 per share

- 2023-12: AUD 7.53 per share

- 2024-01: AUD 8.98 per share

- 2024-02: AUD 9.10 per share

- 2024-03: AUD 9.38 per share

- 2024-04: AUD 8.49 per share

- 2024-05: AUD 8.24 per share

- 2024-06: AUD 8.16 per share

- 2024-07: AUD 9.52 per share

- 2024-08: AUD 9.20 per share

- 2024-09: AUD 8.45 per share

- 2024-10: AUD 8.53 per share

- 2024-11: AUD 7.79 per share

- 2024-12: AUD 7.16 per share

- 2025-01: AUD 7.16 per share

- 2025-02: AUD 7.07 per share

- 2025-03: AUD 6.71 per share

- 2025-04: AUD 6.33 per share

- 2025-05: AUD 6.30 per share

- 2025-06: AUD 6.30 per share

- 2025-07: AUD 7.25 per share

- 2025-08: AUD 7.44 per share

- 2025-09: AUD 7.45 per share

- 2025-10: AUD 7.09 per share

- 2025-11: AUD 7.35 per share

- 2025-12: AUD 6.85 per share

- 2026-01: AUD 7.37 per share

- 2026-02: AUD 7.26 per share

- 2026-03: AUD 7.20 per share

- 2026-04: AUD 7.14 per share

- 2026-05: AUD 5.56 per share

- 2026-06: AUD 5.14 per share

- 2026-07: AUD 5.63 per share

- 2026-08: AUD 6.02 per share

- 2026-09: AUD 6.48 per share

- 2026-10: AUD 6.55 per share

## Annual estimated value (AUD per share)

- FY2016: low AUD 0.42 per share, central AUD 0.47 per share, high AUD 0.55 per share

- FY2017: low AUD 3.63 per share, central AUD 4.13 per share, high AUD 4.79 per share

- FY2018: low AUD 4.50 per share, central AUD 5.12 per share, high AUD 5.95 per share

- FY2019: low AUD 4.94 per share, central AUD 5.62 per share, high AUD 6.53 per share

- FY2020: low AUD 6.62 per share, central AUD 7.53 per share, high AUD 8.73 per share

- FY2021: low AUD 11.17 per share, central AUD 12.71 per share, high AUD 14.76 per share

- FY2022: low AUD 11.19 per share, central AUD 12.74 per share, high AUD 14.79 per share

- FY2023: low AUD 10.83 per share, central AUD 12.32 per share, high AUD 14.31 per share

- FY2024: low AUD 29.36 per share, central AUD 33.41 per share, high AUD 38.80 per share

- FY2025: low AUD 3.84 per share, central AUD 4.37 per share, high AUD 5.07 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.