Highlights

  • Cedar Woods received buy ratings from Shaw and Partners, Moelis Australia Securities, and Bell Potter Securities with target prices ranging from AUD 9.40 to AUD 10.09.
  • FY26 net profit after tax guidance was upgraded to at least 20% growth, indicating record earnings for the company.
  • Record pre-sales of AUD 763 million provide enhanced earnings visibility across FY26 to FY28.

Cedar Woods Properties Limited (ASX: CWP) has received multiple buy ratings from leading Australian analysts following early indications for FY26. Shaw and Partners, Moelis Australia Securities, and Bell Potter Securities have all issued buy ratings on the stock, setting target prices ranging from AUD 9.40 to AUD 10.09. The ratings coincide with a further upgrade to the company’s earnings guidance for FY26.

FY26 Earnings Guidance Upgraded

Cedar Woods has raised its FY26 net profit after tax guidance to reflect expected growth of at least 20% compared to the prior year. This upgrade follows the earlier guidance provided in October, which had projected a 15% increase. The company anticipates record FY26 profits, supported by sales prices, high pre-sale levels, and accelerated project delivery across its development portfolio.

Sales growth has been particularly strong in Western Australia and Queensland, where market conditions remain favourable. Victoria is also showing signs of improvement with higher enquiry and sales volumes, while South Australia continues to maintain steady conditions. Overall, demand for the company’s housing projects remains elevated, supported by low supply levels, low unemployment, and government assistance programs for homebuyers.

Record Pre-Sales Drive Confidence

Cedar Woods reported record pre-sales of AUD 763 million at the end of the first quarter of FY26, representing a 36% increase compared to the prior corresponding period and a 16% rise from 30 June 2025. Approximately AUD 410 million of these pre-sales are expected to settle within FY26, while the remaining AUD 353 million is forecast to settle over FY27 and FY28. This provides increased visibility of earnings for the company over the next two to three years.

The company’s balance sheet remains favourable, with low gearing and significant undrawn finance facilities. Long-term funding security is supported by AUD 330 million in corporate finance facilities with staggered maturities, ensuring the capacity to continue acquiring new projects and replenishing its development pipeline.

Forward Outlook

Cedar Woods approaches the remainder of FY26 with confidence. Key drivers include significant pre-sales, advanced-stage project delivery programs, disciplined capital and cost management, and a diversified development pipeline. The company expects to continue delivering record earnings and dividend distributions, with further details to be disclosed in the half-year results announcement scheduled for 24 February 2026.