4DS Memory (4DS) AI Stock Analysis

• Market Cap: AU$22.67M
• Dividend Yield: N/A
• Average Volume (3M): 5.73M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.47
• Revenue Growth: N/A
• EPS Growth: -67.74%
• Country: AU
• Employees: N/A
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 0.00
• Shares Outstanding: 2,060,898,700
• 10 Day Avg. Volume: 6,648,866
• 30 Day Avg. Volume: 5,734,885
• PEG Ratio: -0.07
• Price to Book (P/B): 5.30
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.95
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 43 Neutral
• Price Target: AU$0.01 ▲(10.00% Upside)
• Action: Reiterated Date: 02/21/26
• Date: Action: Reiterated 02/21/26

The score is primarily weighed down by weak financial performance (minimal/zero revenue, sizable ongoing losses, and sustained cash burn). Technicals provide a modest near-term boost, but the longer-term trend remains negative, and valuation is constrained by continued losses and no dividend support.

Positive Factors

Conservative balance sheet

Very low reported leverage and a materially larger equity base provide a meaningful capital cushion that reduces short-term refinancing risk. This durability gives management time to execute commercialization or licensing strategies without immediate solvency pressure, supporting multi-month runway.

Proprietary IP and scalable model

Owning a differentiated non-volatile memory IP and targeting licensing/royalties is structurally attractive: if adopted, it scales with limited incremental manufacturing capex. A licensing model can deliver high margin, recurring revenue over time once design wins and partner integrations are achieved.

YoY free cash flow improvement

An improvement in free cash flow, albeit from a negative base, indicates progress in managing cash burn or operational efficiency. Sustained reduction in outflows over successive quarters would materially extend runway and reduce reliance on dilutive capital raises over the next several months.

Negative Factors

Minimal or no revenue

The business is not at commercial scale: revenue has been negligible and fell to zero in the latest annual reporting. Without demonstrable, recurring product or licensing revenues, the firm remains dependent on future partner adoption and offers limited near-term proof of market fit for its IP.

Structural cash burn

Persistent negative operating cash flow of material size implies ongoing external funding needs. This structural burn rate forces repeated financing or dilution, constrains R&D or commercialization investments, and elevates execution risk over the next several quarters unless revenue ramps.

Recurring large operating losses

Sustained multi-year operating losses erode equity and produce deeply negative returns on capital. This undermines long-term self-funding, makes the company reliant on external capital, and increases dilution risk which can impair ability to retain talent and execute strategic partnerships.

4DS Memory Business Overview & Revenue Model

Company Description

4DS Memory Limited engages in the research and development of non-volatile memory technology. The company develops interface switching ReRAM products for storage class memory in mobile devices and cloud data centers. It has a collaboration agreement with the imec. 4DS Memory Limited was founded in 2007 and is based in West Perth, Australia.

How the Company Makes Money

4DS’s intended monetization model centers on commercializing its proprietary non-volatile memory technology (iSRAM), primarily through licensing and related commercialization arrangements with semiconductor industry participants. Potential revenue streams may include (1) licensing fees for use of its memory intellectual property (IP) in third-party semiconductor products, (2) royalties tied to unit shipments or production volumes where its IP is incorporated, and (3) payments associated with technology development, evaluation, or collaboration arrangements (e.g., funded development, engineering services, or milestone-based agreements). Specific details on current, recurring revenue streams, material licensing agreements, royalty rates, or significant partnerships are null.

4DS Memory Financial Statement Overview

Summary

Income statement and cash flow are very weak: revenue is minimal/zero and losses are persistent, with ongoing negative operating and free cash flow implying continued external funding needs. The main offset is a relatively conservative balance sheet with low leverage and a larger equity cushion, but returns remain deeply negative.

Income Statement

Revenue is extremely small and volatile, falling to zero in 2025 (annual) after only ~$8k in 2024 and ~$206k in 2021, indicating the business is not yet operating at commercial scale. Profitability is consistently weak with large, recurring operating losses (EBIT roughly -$5.5m to -$9.7m across the period) and net losses every year. While gross profit is close to breakeven in some years, overall margins remain deeply negative due to the fixed cost base relative to minimal sales.

Balance Sheet

Leverage is low, with debt-to-equity improving to ~0.015 in 2025 (annual) and remaining modest throughout the period, which reduces refinancing risk. Equity has increased materially versus 2020 (from ~$1.6m to ~$8.8m in 2025), supporting the balance sheet and providing a larger cushion. The key weakness is ongoing value dilution risk: returns on equity are consistently deeply negative (loss-making each year), meaning the equity base is being consumed by continued operating losses even if headline leverage looks conservative.

Cash Flow

Cash generation is structurally negative: operating cash flow and free cash flow are negative every year, including ~-$7.8m operating cash flow in 2025 (annual), worse than ~-$4.7m in 2024. Free cash flow did improve year-over-year in 2025 (growth of ~25%), but it remains meaningfully negative, implying continued funding needs. A relative positive is that cash burn broadly tracks reported losses (free cash flow is roughly in line with net income), but the scale of outflows still represents a high sustainability risk without external capital.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	0.00	0.00	8.05K	0.00	23.65K	206.46K
Gross Profit	-174.84K	-181.06K	-161.76K	-189.75K	-201.17K	6.25K
EBITDA	-7.32M	-9.73M	-5.27M	-5.59M	-6.49M	-6.44M
Net Income	-7.13M	-9.68M	-5.45M	-5.79M	-6.73M	-6.66M
Balance Sheet
Total Assets	9.07M	10.54M	8.37M	5.85M	5.70M	4.98M
Cash, Cash Equivalents and Short-Term Investments	8.79M	10.20M	7.88M	5.60M	5.23M	4.30M
Total Debt	166.73K	131.31K	251.23K	53.96K	172.30K	259.10K
Total Liabilities	1.42M	1.76M	413.02K	193.91K	290.02K	1.03M
Stockholders Equity	7.65M	8.78M	7.96M	5.66M	5.41M	3.94M
Cash Flow
Free Cash Flow	-5.90M	-7.82M	-4.72M	-4.71M	-5.64M	-5.60M
Operating Cash Flow	-5.87M	-7.78M	-4.71M	-4.71M	-5.39M	-5.56M
Investing Cash Flow	-5.29M	-39.15K	-8.08K	0.00	-248.66K	-40.98K
Financing Cash Flow	9.88M	10.14M	7.00M	5.08M	6.59M	7.46M

4DS Memory Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.01
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:4DS, the sentiment is Negative. The current price of 0.01 is below the 20-day moving average (MA) of 0.01, below the 50-day MA of 0.01, and below the 200-day MA of 0.02, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 46.93 is Neutral, neither overbought nor oversold. The STOCH value of 83.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:4DS.

4DS Memory Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
WBT	59 Neutral	AU$1.08B	-8.87	-57.61%	―	333.23%	10.83%
AXE	49 Neutral	AU$82.83M	-7.24	-36.17%	―	―	-45.74%
BRN	48 Neutral	AU$290.03M	-11.70	-89.98%	―	503.29%	11.46%
BLG	45 Neutral	AU$34.44M	-1.86	-99.85%	―	18.03%	6.08%
4DS	43 Neutral	AU$22.67M	-6.20	-112.59%	―	―	-67.74%
AI1	43 Neutral	AU$40.04M	-2.15	-38.55%	―	―	―

4DS Memory Corporate Events

4DS Memory Narrows Half-Year Loss as Revenue Jumps on R&D-Driven Strategy

4DS Memory Limited reported a 117.4% increase in revenue to $316,448 for the half-year to 31 December 2025, while narrowing its net loss to $914,658, a 73.6% improvement on the prior corresponding period. Basic and diluted loss per share improved from 0.20 cents to 0.04 cents, with net tangible assets per share easing to 0.37 cents from 0.43 cents, and no dividends declared.

The result reflects the company’s continued investment in research and development as its largest cost component, alongside corporate and administrative expenses and non-cash charges such as depreciation and share-based payments. These outflows were partially offset by interest income from term deposits and a gain on asset disposal, underscoring that 4DS remains in an intensive development stage while modestly strengthening its financial performance profile.

The most recent analyst rating on (AU:4DS) stock is a Hold with a A$0.01 price target. To see the full list of analyst forecasts on 4DS Memory stock, see the AU:4DS Stock Forecast page.

4DS Memory Tightens Costs and Pursues Strategic Options Amid Ongoing AI-Focused Review

4DS Memory reported its December 2025 quarterly activities, highlighting the continuation of a formal strategic review aimed at stabilising the business, preserving capital and exploring value-accretive opportunities, particularly within the accelerating AI-enablement ecosystem. During the quarter, the company implemented significant cost-cutting measures, including reducing non-executive director fees to zero and halving key executive remuneration, maintained governance continuity with the re-election of a non-executive director at its AGM, and reported a modest cash outflow that left it with A$8.8 million in cash, underscoring a focus on capital preservation and strategic optionality for shareholders while confidential discussions with potential partners remain at an early stage.

The most recent analyst rating on (AU:4DS) stock is a Hold with a A$0.01 price target. To see the full list of analyst forecasts on 4DS Memory stock, see the AU:4DS Stock Forecast page.