Highlights
- REH shares declined over 26% YTD
- HUB24 stock trades well above its 52-week low
- Valuations diverge from long-term averages
In 2025, shares of ASX200 stocks Reece Ltd (REH) and HUB24 Ltd (HUB) are showing contrasting market movements and valuations, drawing attention for different reasons.
REH Share Price Trends and Business Overview
Reece Ltd (ASX:REH), a leader in plumbing and bathroom supplies in Australia, has a long history spanning over a century. Its business now extends beyond plumbing to include HVAC systems, civil construction materials, and irrigation and pool equipment.
So far this year, REH shares have dropped approximately 26.8%. Despite the market pullback, the company maintains a steady operational rhythm. Over the years, Reece has posted consistent revenue growth, and while the dividend yield remains relatively low, its payouts have shown resilience and gradual improvement.
As of now, REH's dividend yield stands at around 1.54%, compared to a 5-year average of 1.06%. This higher yield might indicate a share price decline or an actual increase in dividends—or both. Notably, the company’s latest annual report reflects a dividend payout that exceeds its 3-year average, suggesting strengthening financials.
HUB24's Strong Momentum
In contrast, HUB24 Ltd (ASX:HUB) has surged by 88.2% from its 52-week low, making it a standout among ASX200 stocks. The company, established in 2007, delivers technology-driven wealth management solutions and platforms, including HUB24, Class, and myprosperity.
HUB24’s suite of offerings supports financial advisers, SMSFs, and clients with services ranging from portfolio management to document compliance and client portal access. The company’s reputation for delivering quality service has been cemented through industry accolades for satisfaction and brand reputation.
Valuation Metrics: REH vs HUB
REH’s valuation can be assessed through dividend yield trends. The current yield exceeding historical averages could either indicate undervaluation due to a price drop or growing dividend strength.
For HUB24, a company focused more on growth, a price-to-sales ratio offers a clearer lens. Its current ratio of 20.12x sits significantly above its 5-year average of 13.32x, suggesting investors are pricing in strong growth expectations or paying a premium.
These insights offer a glance into two companies with different profiles—Reece with its century-old foundational strength and HUB24 with its rapid digital-age ascent—each contributing distinctively to the ASX200 landscape.