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CPU:ASXComputershare Limited Analysis

Data as of 2026-05-20 - not real-time

A$33.49

Latest Price

4/10Risk

Risk Level: Medium

Executive Summary

Computershare’s share price sits above the short‑term moving average while still trailing the longer‑term averages, indicating a mixed short‑term bias. The RSI is deep in overbought territory and the MACD remains bullish, but the overall trend is neutral and volume is on the rise, suggesting momentum may be waning soon.
Fundamentally, the company has reaffirmed its earnings guidance and highlighted higher margin income and growing recurring revenue streams, including a new tokenisation partnership. Operating margins and return on equity are robust, the dividend yield is attractive and the payout ratio is moderate, yet the discounted cash‑flow model points to a valuation below the current market price, flagging the stock as potentially overvalued despite solid earnings prospects.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • RSI indicates overbought conditions
  • price approaching recent resistance
  • valuation appears stretched

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • affirmed earnings guidance with margin upside
  • sustainable dividend and strong cash flow
  • new tokenisation partnership expanding recurring revenue

Long Term

> 3 years
Positive
Model confidence: 7/10

Key Factors

  • high return on equity and solid operating cash flow
  • global footprint diversifying revenue sources
  • consistent dividend policy supporting total return

Key Metrics & Analysis

Financial Health

Revenue Growth4.60%
Profit Margin18.81%
P/E Ratio23.3
ROE28.70%
ROA11.03%
Debt/Equity83.26
P/B Ratio6.2
Op. Cash FlowA$806.4M
Free Cash FlowA$687.0M
Industry P/E16.5

Technical Analysis

TrendNeutral
RSI72.6
SupportA$29.25
ResistanceA$33.96
MA 20A$30.76
MA 50A$29.71
MA 200A$33.91
MACDBullish
VolumeIncreasing
Fear & Greed Index89.29

Valuation

Fair ValueA$17.42
Target PriceA$35.07
Upside/Downside4.70%
GradeOvervalued
TypeBlend
Dividend Yield3.28%

Risk Assessment

Beta0.36
Volatility23.96%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskMedium
Liquidity RiskLow

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.