Advanced Braking Technology Limited (ABV) AI Stock Analysis

• Market Cap: AU$43.76M
• Dividend Yield: N/A
• Average Volume (3M): 121.52K
• Price to Earnings (P/E): 23.9
• Beta (1Y): 0.71
• Revenue Growth: 25.15%
• EPS Growth: 2.22%
• Country: AU
• Employees: 27
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): <0.01
• Shares Outstanding: 397,855,900
• 10 Day Avg. Volume: 160,285
• 30 Day Avg. Volume: 121,522
• PEG Ratio: 8.12
• Price to Book (P/B): 2.99
• Price to Sales (P/S): 1.68
• P/FCF Ratio: 224.56
• 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: AU$0.12
• Price Target Upside: 9.09% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 64 Neutral
• Price Target: AU$0.00 ▼(-100.00% Downside)

The overall stock score of 64 reflects strong financial performance, particularly in revenue growth and cost management, offset by challenges in cash flow management. Technical analysis indicates a neutral trend, while valuation suggests moderate pricing without dividend support.

Positive Factors

Revenue Growth

The company has demonstrated a robust revenue growth rate of 13.4%, indicating a strong market position and effective sales strategy, which supports long-term business sustainability.

Balance Sheet Health

A low debt-to-equity ratio indicates prudent financial management, reducing financial risk and providing flexibility for future investments or downturns.

Gross Profit Margin

Improved gross profit margins reflect effective cost management and pricing power, enhancing profitability and competitive advantage over time.

Negative Factors

Cash Flow Challenges

Declining free cash flow growth suggests potential liquidity issues, which can impact the company's ability to invest in growth opportunities or weather economic downturns.

Net Profit Margin Pressure

A decrease in net profit margin indicates pressure on profitability, which could affect long-term earnings potential if not addressed through cost control or revenue enhancement.

Cash Conversion Efficiency

Low cash conversion efficiency suggests difficulties in turning income into cash, potentially limiting the company's operational flexibility and investment capacity.

Advanced Braking Technology Limited Business Overview & Revenue Model

Company Description

Advanced Braking Technology Limited engages in the research, design, development, manufacture, distribution, and sale of braking solutions worldwide. The company offers braking solutions for light, heavy, defense, and electric vehicles, as well as autonomous vehicle emergency braking and brake controllers under the ABT Failsafe, Terra Dura, and ABT Failsafe Emergency brand names. The company also exports its products. It serves mining, defense, civil construction, and waste management industries. The company was incorporated in 2001 and is headquartered in Wangara, Australia.

How the Company Makes Money

ABV generates revenue primarily through the sale of its braking systems and related components to manufacturers in the automotive and rail industries. The company offers a range of products, including disc brakes, drum brakes, and electronic braking systems, which cater to diverse customer needs. Key revenue streams also include aftermarket sales of replacement parts and maintenance services. ABV has established significant partnerships with major automotive and rail manufacturers, enabling it to secure long-term contracts and expand its market presence. Additionally, ABV invests in research and development to innovate new products, which opens up further revenue opportunities through new market segments and clientele.

Advanced Braking Technology Limited Financial Statement Overview

Summary

Advanced Braking Technology Limited shows strong revenue growth and effective cost management, with improved gross profit margins. The balance sheet is robust with low leverage, but cash flow management poses a challenge due to declining free cash flow growth.

Income Statement

Advanced Braking Technology Limited has shown a strong revenue growth rate of 13.4% in the most recent year, indicating a positive trajectory. The gross profit margin has improved significantly over the years, reaching 45.96%, which is a strong indicator of cost management. However, the net profit margin has slightly decreased to 9.30%, suggesting some pressure on profitability. The EBIT and EBITDA margins are stable, reflecting consistent operational efficiency.

Balance Sheet

The company's balance sheet is relatively strong with a low debt-to-equity ratio of 0.13, indicating low financial leverage and risk. The return on equity has slightly decreased to 16.60%, which is still a healthy level, showing effective use of equity. The equity ratio stands at 72.43%, suggesting a solid capital structure with a high proportion of equity financing.

Cash Flow

The cash flow statement reveals some challenges, with a significant decline in free cash flow growth rate by -126.38%. The operating cash flow to net income ratio is low at 0.20, indicating potential issues in converting income to cash. However, the free cash flow to net income ratio is at 23.03%, showing some ability to generate cash relative to net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	19.13M	19.13M	15.29M	14.15M	11.09M	9.70M
Gross Profit	8.79M	8.79M	7.39M	3.22M	1.62M	4.18M
EBITDA	2.19M	2.19M	2.09M	1.80M	996.00K	947.00K
Net Income	1.78M	1.78M	1.70M	1.47M	644.00K	620.00K
Balance Sheet
Total Assets	14.80M	14.80M	12.83M	10.96M	7.66M	6.83M
Cash, Cash Equivalents and Short-Term Investments	2.94M	2.94M	2.45M	2.05M	1.74M	1.41M
Total Debt	1.40M	1.40M	1.43M	1.38M	191.00K	689.00K
Total Liabilities	4.08M	4.08M	3.96M	4.01M	2.33M	2.11M
Stockholders Equity	10.72M	10.72M	8.87M	6.95M	5.33M	4.72M
Cash Flow
Free Cash Flow	143.00K	143.00K	36.00K	276.00K	324.00K	938.00K
Operating Cash Flow	621.00K	621.00K	335.00K	941.00K	378.00K	1.21M
Investing Cash Flow	-478.00K	-478.00K	-139.00K	-665.00K	-28.00K	-274.00K
Financing Cash Flow	355.00K	325.00K	164.00K	33.00K	-22.00K	-43.00K

Advanced Braking Technology Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.11
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:ABV, the sentiment is Negative. The current price of 0.11 is below the 20-day moving average (MA) of 0.12, below the 50-day MA of 0.11, and above the 200-day MA of 0.09, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 46.03 is Neutral, neither overbought nor oversold. The STOCH value of 55.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:ABV.

Advanced Braking Technology Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SFC	76 Outperform	AU$290.16M	11.96	10.48%	4.22%	1.54%	-10.39%
ABV	64 Neutral	AU$43.76M	23.91	18.17%	―	25.15%	2.22%
RPM	63 Neutral	AU$17.08M	3.62	8.25%	―	-5.17%	-19.44%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
AMA	56 Neutral	AU$459.43M	465.00	-4.58%	―	13.54%	66.00%
SIX	46 Neutral	AU$32.96M	―	―	―	-27.79%	32.50%
NTD	43 Neutral	AU$50.31M	15.95	-44.12%	―	0.89%	-2641.38%

Advanced Braking Technology Limited Corporate Events

Advanced Braking Technology Issues New Shares to Strengthen Market Position

Advanced Braking Technology has issued 8,379,691 new ordinary shares following the exercise of unlisted options at $0.06 each. This move is part of the company’s compliance with the Corporations Act 2001, reflecting its ongoing commitment to transparency and regulatory obligations, potentially strengthening its financial position and market presence.

The most recent analyst rating on (AU:ABV) stock is a Buy with a A$0.12 price target. To see the full list of analyst forecasts on Advanced Braking Technology Limited stock, see the AU:ABV Stock Forecast page.

Advanced Braking Technology Lists New Securities on ASX

Advanced Braking Technology Limited has announced the quotation of 8,379,691 fully paid ordinary securities on the Australian Securities Exchange (ASX), effective June 27, 2025. This move is part of the company’s strategy to enhance its market presence and provide additional liquidity to its stakeholders, potentially impacting its operational capabilities and industry positioning positively.

The most recent analyst rating on (AU:ABV) stock is a Buy with a A$0.12 price target. To see the full list of analyst forecasts on Advanced Braking Technology Limited stock, see the AU:ABV Stock Forecast page.

Advanced Braking Technology Issues New Shares, Reinforces Market Position

Advanced Braking Technology Limited announced the issuance of 4,468,582 new ordinary shares following the exercise of unlisted options, without disclosure under the Corporations Act 2001. This move aligns with the company’s compliance with regular reporting obligations and reflects its ongoing commitment to transparency and regulatory adherence, potentially enhancing its market position and stakeholder confidence.

Advanced Braking Technology Limited Announces Quotation of New Securities

Advanced Braking Technology Limited has announced the quotation of 4,468,582 ordinary fully paid securities on the Australian Securities Exchange (ASX). This move is part of the company’s strategy to enhance its financial flexibility and potentially expand its market presence, which could have significant implications for its operational capabilities and stakeholder interests.

Advanced Braking Technology Announces Board Changes

Advanced Braking Technology has announced the resignation of long-time director Mr. Adam Levine, effective August 18, 2025, as he pursues new business opportunities. The company expressed gratitude for his service and leadership, indicating a potential shift in board dynamics that could impact its strategic direction.