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Pentanet Ltd (AU:5GG)
ASX:5GG
Australian Market
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Pentanet Ltd (5GG) AI Stock Analysis

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AU:5GG

Pentanet Ltd

(Sydney:5GG)

Rating:46Neutral
Price Target:
AU$0.00
▼(-100.00%Downside)
Pentanet Ltd's overall stock score is primarily impacted by its financial performance, which reflects revenue growth but significant profitability challenges. The technical analysis offers mixed signals, with potential short-term volatility. Valuation concerns are heightened by negative earnings and the absence of dividends, making the stock less attractive currently.

Pentanet Ltd (5GG) vs. iShares MSCI Australia ETF (EWA)

Pentanet Ltd Business Overview & Revenue Model

Company DescriptionPentanet Ltd (5GG) is an Australian-based telecommunications and technology company primarily focused on providing high-speed internet services. The company operates in the telecommunications sector, offering a range of internet-related services including fixed wireless and fiber broadband solutions, cloud gaming, and related technology services to both residential and business customers.
How the Company Makes MoneyPentanet Ltd generates revenue through multiple streams, primarily from subscription fees charged to customers for its internet services. The company offers various plans tailored to different customer needs, including fixed wireless and fiber-based broadband services. Additionally, Pentanet earns money from its cloud gaming platform, which provides gaming enthusiasts access to high-performance gaming experiences over the internet. Partnerships with technology providers and infrastructure companies also play a crucial role in enhancing service offerings and expanding market reach, thereby contributing to its revenue.

Pentanet Ltd Financial Statement Overview

Summary
Pentanet Ltd shows revenue growth and some cost management improvements, but remains unprofitable with negative net profit and cash flow challenges. The balance sheet is stable, but leverage has increased.
Income Statement
45
Neutral
While Pentanet Ltd has shown revenue growth from the previous year with a 5.8% increase, the net profit margin remains significantly negative at -30.6% due to persistent losses. The gross profit margin improved to 9.9% from previous negative margins, indicating some cost efficiency improvements. However, negative EBIT and EBITDA margins suggest ongoing operational challenges.
Balance Sheet
55
Neutral
Pentanet Ltd's balance sheet reflects a stable equity position with an equity ratio of 61.9%, although the debt-to-equity ratio has increased slightly to 28.2%, indicating moderate leverage. The return on equity is negative due to continued losses, impacting overall financial stability.
Cash Flow
40
Negative
The company reported a negative free cash flow, though the loss has decreased from the previous year, indicating some improvement. The operating cash flow to net income ratio is negative, highlighting cash flow challenges. With capital expenditures remaining high, cash management remains a critical area for improvement.
BreakdownJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue20.88M19.73M16.83M10.92M5.00M
Gross Profit2.06M-3.48M-2.65M-2.33M-1.81M
EBITDA-1.27M-3.80M-4.48M-8.29M-3.93M
Net Income-6.38M-7.57M-7.92M-13.70M-5.11M
Balance Sheet
Total Assets41.58M48.10M46.14M53.20M29.38M
Cash, Cash Equivalents and Short-Term Investments5.30M7.37M13.39M32.70M23.05M
Total Debt7.26M8.10M2.31M1.49M1.76M
Total Liabilities15.84M16.94M12.58M11.85M3.31M
Stockholders Equity25.74M31.16M33.56M41.35M26.07M
Cash Flow
Free Cash Flow-7.75M-10.89M-14.72M-10.11M-4.48M
Operating Cash Flow-634.00K-3.62M-4.82M-3.22M-2.25M
Investing Cash Flow-4.62M-9.77M-13.89M-6.89M-2.23M
Financing Cash Flow3.18M7.37M-601.00K41.54M5.17M

Pentanet Ltd Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.03
Price Trends
50DMA
0.03
Negative
100DMA
0.03
Negative
200DMA
0.03
Negative
Market Momentum
MACD
<0.01
Positive
RSI
46.37
Neutral
STOCH
13.10
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:5GG, the sentiment is Negative. The current price of 0.03 is below the 20-day moving average (MA) of 0.03, below the 50-day MA of 0.03, and below the 200-day MA of 0.03, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 46.37 is Neutral, neither overbought nor oversold. The STOCH value of 13.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:5GG.

Pentanet Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$41.94B-1.87-13.06%4.04%2.13%-66.09%
60
Neutral
AU$26.81M-13.80%-0.93%80.57%
52
Neutral
AU$17.02M-7.44%
49
Neutral
AU$26.34M
-4.31%73.91%
46
Neutral
AU$13.00M-26.35%5.54%-3.85%
44
Neutral
€11.35M
-15.67%
43
Neutral
AU$4.60M-34.98%-23.34%-470.00%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:5GG
Pentanet Ltd
0.03
-0.01
-25.00%
AU:NOR
Norwood Systems Ltd
0.02
-0.02
-52.27%
AU:SWP
Swoop Holdings Limited
0.13
-0.07
-35.90%
AU:FSG
Field Solutions Holdings Ltd
0.02
0.00
0.00%
AU:VN8
Vonex Limited
0.04
0.01
33.33%
AU:HFY
Hubify Ltd.
0.01
0.00
0.00%

Pentanet Ltd Corporate Events

Pentanet Ltd Reports Positive Cash Flow Amid Ongoing 5G Investments
Jul 28, 2025

Pentanet Ltd’s latest quarterly cash flow report reveals a positive net cash flow from operating activities, amounting to $396,000 for the current quarter. Despite a net cash outflow in investing activities due to payments for property, plant, and equipment, the company maintains a stable financial position with a net increase in cash and cash equivalents for the period, reflecting its ongoing investment in high band 5G spectrum and network infrastructure.

Pentanet Achieves First Full-Year Positive EBITDA with Strong Growth in 5G and Gaming Segments
Jul 28, 2025

Pentanet Ltd has reported its first full-year positive EBITDA of $1.4 million for FY25, marking a significant financial turnaround. The company achieved an 8% increase in consolidated revenue to $22.6 million, driven by growth in both its telecommunications and gaming segments. The 5G subscriber base saw a remarkable 126% year-on-year increase, reflecting strong demand for high-speed internet services. The gaming segment also performed well, with a 31% increase in revenue and a 242% rise in gross profit. Pentanet’s strategic focus on cost control, capital-efficient network expansion, and targeted marketing has positioned it for further growth, with plans to reinvest in its 5G and GPU infrastructure to enhance subscriber acquisition and infrastructure utilization.

Pentanet Secures $2 Million Finance Facility to Bolster Growth
Jul 18, 2025

Pentanet Limited has secured a $2 million equipment finance facility with Moneytech Finance Pty Ltd to support its ongoing capital investment program, specifically the final payment for its 5G spectrum license. This financial arrangement, alongside existing unused financing facilities and positive EBITDA, positions Pentanet to continue its growth across its business segments, enhancing its competitive edge in the telecommunications industry.

Pentanet Ltd Experiences Change in Substantial Holder Interests
Jun 18, 2025

Pentanet Ltd, a company listed on the ASX under the ticker 5GG, has experienced a change in the interests of its substantial holder, TIGA Trading Pty Ltd. The change, effective from June 16, 2025, involves a shift in the voting power of the substantial holder, with a slight decrease from 7.79% to 6.78%. This adjustment in voting power reflects various market sales and placements of ordinary shares by TIGA Trading Pty Ltd and associated entities, indicating a strategic realignment of their investment in Pentanet Ltd.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 26, 2025