Temple & Webster Group (ASX:TPW) Financial Strength: 7 (As of Dec. 2025) — 13% Below Median

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ASX:TPW Temple & Webster Group Ltd ASX:TPW
71 GF Score
Price A$6.14
GF Value A$15.55
Valuation Possible Value Trap
! 5 Warning Signs
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What is Temple & Webster Group Financial Strength?

Temple & Webster Group ASX:TPW +11.23% 71 Financial Strength is 7 as of Dec. 2025, which is 13% below its 10-year median of 8.00. GuruFocus rates ASX:TPW with a GF Score™ of 71/100 and a GF Value™ of A$15.55 (Possible Value Trap). The stock has 5 warning signs investors should review.

Temple & Webster Group has the Financial Strength Rank of 7.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Temple & Webster Group's Interest Coverage for the quarter that ended in Dec. 2025 was 9.86. Temple & Webster Group's debt to revenue ratio for the quarter that ended in Dec. 2025 was 0.05. As of today, Temple & Webster Group's Altman Z-Score is 5.34.


Temple & Webster Group  (ASX:TPW) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Temple & Webster Group has the Financial Strength Rank of 7.


Temple & Webster Group Financial Strength Related Terms


ASX:TPW vs CASY, WSM, ULTA: Financial Strength Comparison

For the Specialty Retail subindustry, Temple & Webster Group's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Temple & Webster Group Financial Strength vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Temple & Webster Group's Financial Strength distribution charts can be found below:

* The bar in red indicates where Temple & Webster Group's Financial Strength falls into.


ASX:TPW
71GF Score
Temple & Webster Group Ltd ASX:TPW
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Temple & Webster Group Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Temple & Webster Group's Interest Expense for the months ended in Dec. 2025 was A$-0.7 Mil. Its Operating Income for the months ended in Dec. 2025 was A$7.4 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was A$28.3 Mil.

Temple & Webster Group's Interest Coverage for the quarter that ended in Dec. 2025 is

Interest Coverage=-1*Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*7.368/-0.747
=9.86

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Temple & Webster Group's Debt to Revenue Ratio for the quarter that ended in Dec. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(7.276 + 28.314) / 751.718
=0.05

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Temple & Webster Group has a Z-score of 5.34, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 5.34 is strong.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 7 mean?
Temple & Webster Group (ASX:TPW) has a Financial Strength of 7 as of Dec. 2025. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Temple & Webster Group and its competitors. This is 13% below median its historical median of 8.00. Over the past decade, Temple & Webster Group's Financial Strength has ranged from 5.00 to 9.00.
Is Temple & Webster Group's Financial Strength too high?
Temple & Webster Group's current Financial Strength of 7 is 13% below median its 10-year median of 8.00. Over the past 10 years, this metric has ranged from a low of 5.00 to a high of 9.00. Overall, Temple & Webster Group has a GF Score™ of 71/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Temple & Webster Group's Financial Strength compare to CASY and WSM?
Temple & Webster Group's Financial Strength of 7 can be compared against companies in the Retail - Cyclical industry. Historically, Temple & Webster Group's own Financial Strength has ranged from 5.00 to 9.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Retail - Cyclical company?
A good Financial Strength depends on the Retail - Cyclical industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Temple & Webster Group and its competitors. Temple & Webster Group's current Financial Strength is 7, which is 13% below median its own 10-year median of 8.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Temple & Webster Group stock overvalued right now?
Based on GuruFocus' analysis, Temple & Webster Group (ASX:TPW) is currently considered Possible Value Trap. The stock's GF Value™ is A$15.55, compared to a current price of A$6.14 — trading 60.5% below its estimated fair value. The current Financial Strength is 7, which is 13% below median its 10-year median of 8.00. Temple & Webster Group's overall GF Score™ is 71/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Temple & Webster Group (ASX:TPW), the current Financial Strength is 7 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Temple & Webster Group (ASX:TPW) Overvalued in 2026?

Based on GuruFocus' analysis, Temple & Webster Group stock appears to be undervalued. The current stock price of A$6.14 is trading 60.5% below its estimated GF Value™ of A$15.55. GuruFocus considers Temple & Webster Group to be Possible Value Trap.

Key valuation signals for ASX:TPW:

  • Financial Strength: 7 (13% below median its 10-year median of 8.00)
  • GF Value™: A$15.55 vs. price of A$6.14 (60.5% below fair value)
  • GF Score™: 71/100 with 5 warning signs

No single metric tells the full story. See the ASX:TPW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Temple & Webster Group Business Description

Other Exchanges TPLWF:USA2Q9:Germany
Address 1-7 Unwins Bridge Road, Building 2, St Peters, Sydney, NSW, AUS, 2044
Temple & Webster Group Ltd is a pure play online retailer of furniture and homewares. Some of the company's products include office Furniture, Rugs, Bed & Bath, Decor, Lighting, Outdoor, Office, and others. The Group operates in one segment, being the sale of furniture, homewares, and home improvement products through its online platform.
71GF Score

Get the complete analysis for ASX:TPW

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$6.14
Price
A$15.55
GF Value