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Australian Bond Exchange Holdings Ltd. (AU:ABE)
:ABE
Australian Market

Australian Bond Exchange Holdings Ltd. (ABE) AI Stock Analysis

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AU

Australian Bond Exchange Holdings Ltd.

(Sydney:ABE)

Rating:39Underperform
Price Target:
AU$0.00
▼(-100.00%Downside)
Australian Bond Exchange Holdings Ltd. receives a low score due to significant financial challenges, including persistent losses and negative cash flows. Technical analysis indicates bearish market conditions, further impacting the stock's attractiveness. The company's negative valuation metrics underscore its financial instability.

Australian Bond Exchange Holdings Ltd. (ABE) vs. iShares MSCI Australia ETF (EWA)

Australian Bond Exchange Holdings Ltd. Business Overview & Revenue Model

Company DescriptionAustralian Bond Exchange Holdings Ltd. (ABE) is a pioneering financial services company based in Australia, specializing in the provision of bond investment solutions. The company operates in the financial services sector, focusing primarily on facilitating access to the fixed income market for retail and institutional investors. Through its digital platform, ABE offers a comprehensive suite of services including bond trading, investment advisory, and portfolio management, with an emphasis on transparency and competitive pricing.
How the Company Makes MoneyAustralian Bond Exchange Holdings Ltd. generates revenue primarily through transaction fees and service charges associated with the trading of bonds. By acting as a broker, ABE earns commissions from executing buy and sell orders for bonds on behalf of its clients. Additionally, the company offers portfolio management and investment advisory services, which contribute to its revenue through management fees and consultancy charges. Significant partnerships with financial institutions and robust technology infrastructure further enhance its service offerings, enabling efficient market access and competitive pricing, which attract a broad client base and drive revenue growth.

Australian Bond Exchange Holdings Ltd. Financial Statement Overview

Summary
The company faces significant financial challenges with persistent losses, high leverage, and negative cash flows. Despite revenue growth, profitability and financial stability remain elusive, necessitating strategic restructuring.
Income Statement
33
Negative
The company has struggled with profitability, as evidenced by consistent negative net income and negative EBIT margins over the years. Despite a significant increase in total revenue from 2019 to 2024, the company failed to achieve positive net income, indicating challenges in managing operational costs. The net profit margin remains negative, and revenue growth has been inconsistent, with a decline in the most recent year.
Balance Sheet
45
Neutral
The balance sheet reflects high leverage and declining equity. The debt-to-equity ratio has worsened due to increased debt levels and declining stockholders' equity. The equity ratio has decreased over the years, indicating growing liabilities compared to assets. However, the company maintains some level of liquidity, albeit reduced compared to previous years.
Cash Flow
28
Negative
Cash flow analysis reveals negative operating cash flow and free cash flow, indicating that the company is not generating sufficient cash from its operations. The free cash flow to net income ratio is negative, highlighting cash flow challenges. The company has experienced fluctuations in cash flow, with significant financing activities in some years to cover deficits.
BreakdownTTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue3.30M3.36M3.81M1.25M4.05M2.16M
Gross Profit2.82M3.43M2.93M630.83K1.43M773.20K
EBITDA-1.75M-4.63M-4.61M-3.58M-605.46K-1.09M
Net Income-4.09M-5.62M-5.03M-3.64M-345.58K-1.02M
Balance Sheet
Total Assets5.58M7.58M11.88M13.84M21.63M3.30M
Cash, Cash Equivalents and Short-Term Investments644.32K2.48M6.16M10.68M19.12M1.97M
Total Debt0.003.19M2.07M0.000.000.00
Total Liabilities4.79M4.87M3.56M958.65K2.00M1.04M
Stockholders Equity784.13K2.70M8.32M12.88M19.04M2.26M
Cash Flow
Free Cash Flow-3.54M-4.40M-3.07M-5.22M-368.57K-988.84K
Operating Cash Flow-3.32M-4.27M-2.34M-4.63M55.03K-741.61K
Investing Cash Flow-443.78K-429.63K-724.47K-587.32K-423.60K-247.23K
Financing Cash Flow1.55M1.02M-105.97K13.90M-161.15K-72.83K

Australian Bond Exchange Holdings Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.03
Price Trends
50DMA
0.04
Negative
100DMA
0.03
Negative
200DMA
0.03
Negative
Market Momentum
MACD
>-0.01
Positive
RSI
9.91
Positive
STOCH
>-0.01
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:ABE, the sentiment is Negative. The current price of 0.03 is below the 20-day moving average (MA) of 0.04, below the 50-day MA of 0.04, and below the 200-day MA of 0.03, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 9.91 is Positive, neither overbought nor oversold. The STOCH value of >-0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:ABE.

Australian Bond Exchange Holdings Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUCOG
68
Neutral
AU$317.89M25.537.94%3.75%16.16%32.97%
AUOFX
65
Neutral
AU$170.82M7.0714.15%0.12%-16.79%
AUFNX
62
Neutral
AU$17.13M196.43-0.72%1.82%17.07%-107.76%
62
Neutral
AU$10.00B7.9510.79%5.23%32.02%38.31%
AUPPS
57
Neutral
AU$296.18M28.579.89%1.64%23.52%7.96%
AUABE
39
Underperform
AU$3.49M-138.44%-24.65%38.99%
AUAFA
39
Underperform
AU$2.38M
136.02%-22.11%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:ABE
Australian Bond Exchange Holdings Ltd.
0.03
<0.01
50.00%
AU:AFA
ASF Group Limited
0.02
>-0.01
-33.33%
AU:PPS
Praemium Ltd
0.62
0.13
26.53%
AU:OFX
OFX Group Ltd.
0.76
-1.44
-65.45%
AU:COG
COG Financial Services Limited
1.74
0.71
68.93%
AU:FNX
Finexia Financial Group Ltd
0.28
0.00
0.00%

Australian Bond Exchange Holdings Ltd. Corporate Events

Australian Bond Exchange Holdings Ltd. Sees Change in Substantial Holder Interests
Jul 1, 2025

Australian Bond Exchange Holdings Ltd. has announced a change in the interests of a substantial holder, Novus Capital Nominees Pty Ltd, which has increased its voting power in the company. The change reflects on-market purchases of ordinary shares, resulting in a slight increase in voting power from 9.59% to 9.76%. This adjustment in holdings could potentially impact the company’s shareholder dynamics and influence future decision-making processes.

Novus Capital Becomes Substantial Holder in Australian Bond Exchange
May 26, 2025

Australian Bond Exchange Holdings Ltd. has announced that Novus Capital Nominees Pty Ltd has become a substantial holder in the company, acquiring a 9.59% voting power through the purchase of 12,552,281 ordinary shares. This development indicates a significant investment in the company, potentially impacting its market position and signaling confidence from investors, which could influence stakeholder perceptions and future business strategies.

Australian Bond Exchange Expands Market Reach with New Share Placement
May 25, 2025

Australian Bond Exchange Holdings Ltd has issued 17,079,500 fully paid ordinary shares at $0.04 each as part of a placement, utilizing its capacity under ASX Listing Rule 7.1. This move, announced without disclosure to investors under Part 6D.2 of the Corporations Act, aims to enhance the company’s financial position and operational capacity. The issuance reflects ABE’s strategy to eliminate market entry barriers, providing greater access and transparency in the bond market, which could strengthen its industry positioning and offer significant benefits to stakeholders.

Australian Bond Exchange Announces Proposed Securities Issue
May 16, 2025

Australian Bond Exchange Holdings Ltd. has announced a proposed issue of 17,079,500 ordinary fully paid securities, with the issue date set for May 21, 2025. This move is part of a placement or other type of issue, which could impact the company’s market positioning by potentially increasing its capital and enhancing its ability to expand operations or invest in new opportunities.

Australian Bond Exchange Completes $683,180 Private Placement for Growth
May 16, 2025

Australian Bond Exchange Holdings Ltd has successfully completed a private placement, raising $683,180 through the issuance of 17,079,500 new shares at $0.04 each. The funds will be used to support the company’s working capital needs, aiding in its financial rebuilding and expansion efforts after a year of cost-cutting. This capital raise strengthens ABE’s financial position and supports its growth strategy, with the company welcoming new shareholders and expressing gratitude to existing ones for their continued support.

Australian Bond Exchange Appoints New Director with Significant Shareholding
May 15, 2025

Australian Bond Exchange Holdings Ltd has announced the appointment of Mr. Mark Stephen O’Leary as a director, effective from May 8, 2025. Mr. O’Leary holds 2,000,000 fully paid ordinary shares in the company, indicating a significant personal investment and potential influence on the company’s strategic direction.

Australian Bond Exchange Initiates Trading Halt for Capital Raising
May 15, 2025

Australian Bond Exchange Holdings Ltd (ASX: ABE) has requested a trading halt on its shares pending an announcement regarding a capital raising. This halt will remain in effect until the start of trading on May 16, 2025, unless the announcement is made earlier. The decision, authorized by the company’s board, aims to facilitate the upcoming capital raising, potentially impacting the company’s financial strategy and market operations.

Australian Bond Exchange Holdings Ltd. Sees Major Shareholder Exit
May 12, 2025

Australian Bond Exchange Holdings Ltd. has announced a significant change in its shareholder structure. Anex Industrial Corp, acting as trustee for the Farrar Family Trust and Anex Mgmt Super Fund, has sold all of its 7,545,347 FP Ordinary Shares, ceasing to be a substantial shareholder. This off-market sale might impact the company’s shareholder dynamics and could influence its market perception and stakeholder relations.

Australian Bond Exchange Holdings Ltd. Alters Shareholder Structure
May 9, 2025

Australian Bond Exchange Holdings Ltd. has announced a significant change in its shareholder structure. The company has ceased to be a substantial shareholder following a series of off-market sales by Anex Industrial Corp ATF Farrar Family Trust and Anex Mgmt Super Fund, amounting to a total of 7,545,347 FP Ordinary Shares. This change reflects a complete divestment of these shares, potentially impacting the company’s market dynamics and stakeholder interests.

Australian Bond Exchange Releases Shares from Escrow
May 9, 2025

Australian Bond Exchange Holdings Ltd has announced the release of 1,195,223 ordinary shares from escrow, effective 16 May 2025. This move is part of the company’s ongoing efforts to enhance market liquidity and accessibility, potentially impacting its operational dynamics and stakeholder engagement by increasing the availability of its shares in the market.

Australian Bond Exchange CTO Resigns, Joins Advisory Board
May 8, 2025

Australian Bond Exchange Holdings Ltd announced the resignation of its Chief Technology Officer, Mr. Michael Vanderdonk, due to family reasons. Despite stepping down from his role, Vanderdonk will remain involved with the company by joining its Advisory Board and continuing his work on the Central Bank Digital Currency Project ‘Acacia’ with the Reserve Bank of Australia. This transition is expected to maintain his influence on ongoing projects while allowing him to focus on personal commitments.

Australian Bond Exchange Announces Board Changes with New Appointments
May 8, 2025

Australian Bond Exchange Holdings Ltd has announced the resignation of Anthony Hartman from its board and the appointment of Robert Shaw and Mark O’Leary as new directors. Shaw, with extensive experience as a non-executive director and chairman of risk and audit committees, will serve as a non-executive, independent director. O’Leary, who has a background in global FX and securities markets, will act as an executive director. These appointments are expected to bring valuable insights and expertise to the company’s board, potentially impacting its strategic direction and operations positively.

Australian Bond Exchange Initiates Trading Halt for Director Appointment
May 8, 2025

Australian Bond Exchange Holdings Ltd (ASX: ABE) has requested a 24-hour trading halt on its shares to address administrative requirements related to the appointment of a new director following the resignation of a current director. This halt allows the company to make a formal announcement regarding these changes before the market opens on 9 May 2025, ensuring compliance and transparency for stakeholders.

Australian Bond Exchange Reports Strong Trading Volume and Strategic Partnership
Apr 30, 2025

Australian Bond Exchange Holdings Ltd announced a strong trading volume of over $3.6 billion for the quarter ending March 2025, despite a net operating cash flow shortfall of $1.3 million. The company secured temporary funding to support its operations and entered into an agreement with ViewTrade Australia, aiming to expand its distribution of OTC securities globally. This strategic partnership and financial maneuvering are expected to bolster ABE’s market position and operational capabilities in the evolving financial markets.

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: Jun 27, 2025