Adore Beauty Group Ltd. (ABY) AI Stock Analysis

• Market Cap: AU$73.29M
• Dividend Yield: N/A
• Average Volume (3M): 114.83K
• Price to Earnings (P/E): 40.4
• Beta (1Y): 1.08
• Revenue Growth: 5.51%
• EPS Growth: 244.64%
• Country: AU
• Employees: N/A
• Sector: Consumer Cyclical
• Sector Strength: 71
• Industry: Specialty Retail
• EPS (TTM): <0.01
• Shares Outstanding: 93,957,930
• 10 Day Avg. Volume: 43,165
• 30 Day Avg. Volume: 114,828
• PEG Ratio: -2.26
• Price to Book (P/B): 1.82
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -466.68
• 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$0.50
• Price Target Upside: -35.90% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: AU$1.00 ▲(28.21%Upside)

Adore Beauty Group Ltd.'s stock score reflects a strong financial performance with solid financial stability and effective cash management. However, technical indicators suggest potential resistance, and the high P/E ratio indicates overvaluation. The lack of earnings call and corporate events data did not influence the score.

Adore Beauty Group Ltd. Business Overview & Revenue Model

Company Description

Adore Beauty Group Limited operates an integrated content, marketing, and e-commerce retail platform in Australia and New Zealand. The company retails beauty and personal care products, including skincare, make-up, haircare, fragrance, and wellness products under various brands. It also offers editorial content platform that offers beauty news, reviews, tips, and expert how-to articles to educate the customers on purchasing decisions. Adore Beauty Group Limited was founded in 2000 and is based in Northcote, Australia.

How the Company Makes Money

Adore Beauty Group Ltd. generates revenue primarily through the sale of beauty and personal care products via its e-commerce platform. The company's key revenue streams include direct product sales, brand partnerships, and exclusive product collaborations. Adore Beauty leverages its digital platform to offer a wide variety of products, often attracting a loyal customer base through personalized recommendations, educational content, and promotional offers. Additionally, the company benefits from strategic partnerships with well-known beauty brands, enhancing its product portfolio and market reach. Adore Beauty's revenue model is further supported by effective digital marketing strategies and a strong online presence, which help drive traffic and sales on its platform.

Adore Beauty Group Ltd. Financial Statement Overview

Summary

Adore Beauty Group Ltd. demonstrates strong financial stability with low leverage and consistent revenue growth. The company shows robust sales performance and effective cash flow management. However, thin profit margins suggest the need for improved cost management.

Income Statement

Adore Beauty Group Ltd. has demonstrated a positive revenue growth rate of 8.39% from 2023 to 2024, indicating robust sales performance. The company has improved its profitability with a net profit margin of 1.11% and a gross profit margin of 21.33%. The EBIT margin is positive at 1.17%, showing operational efficiency. However, margins remain relatively thin, posing potential risks if costs increase.

Balance Sheet

The balance sheet of Adore Beauty Group Ltd. reflects a strong equity position with an equity ratio of 58.57%, indicating financial stability. The debt-to-equity ratio is low at 0.04, showcasing minimal leverage and reduced financial risk. The return on equity is modest at 5.49%, which suggests room for improvement in generating returns for shareholders.

Cash Flow

The company has shown significant improvement in cash flow management with a robust free cash flow growth. The operating cash flow to net income ratio of 3.83 suggests effective cash conversion from operations. The free cash flow to net income ratio is 2.25, highlighting strong free cash flow generation relative to profits.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	195.72M	180.59M	199.66M	179.28M	121.14M
Gross Profit	65.47M	38.51M	44.64M	39.56M	38.55M
EBITDA	5.45M	883.00K	5.36M	1.67M	5.18M
Net Income	2.17M	-559.00K	2.38M	845.00K	-1.23M
Balance Sheet
Total Assets	67.67M	62.41M	59.23M	56.39M	39.55M
Cash, Cash Equivalents and Short-Term Investments	32.85M	27.76M	29.77M	29.00M	16.56M
Total Debt	1.72M	624.00K	1.17M	1.35M	4.47M
Total Liabilities	28.02M	26.19M	21.91M	22.13M	24.19M
Stockholders Equity	39.65M	36.22M	37.32M	34.26M	15.36M
Cash Flow
Free Cash Flow	4.90M	-1.42M	1.26M	2.12M	2.96M
Operating Cash Flow	8.32M	820.00K	3.15M	4.12M	4.56M
Investing Cash Flow	-3.42M	-2.24M	-1.89M	-1.99M	-1.59M
Financing Cash Flow	195.00K	-587.00K	-494.00K	10.31M	11.65M

Adore Beauty Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.78
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:ABY, the sentiment is Positive. The current price of 0.78 is above the 20-day moving average (MA) of 0.72, above the 50-day MA of 0.70, and below the 200-day MA of 0.84, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 70.67 is Negative, neither overbought nor oversold. The STOCH value of 92.64 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:ABY.

Adore Beauty Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABY	68 Neutral	AU$73.29M	40.41	4.65%	―	5.51%	244.64%
Sector *	64 Neutral	£1.74B	10.38	6.12%	253.66%	0.55%	-33.66%
KGGNF	―	$263.81M	377.12	1.28%	0.99%	―	―
SSG	80 Outperform	AU$180.14M	12.13	16.06%	7.52%	-0.69%	-6.67%
DSK	68 Neutral	AU$52.93M	9.19	13.17%	7.03%	5.42%	-8.87%
SHM	65 Neutral	AU$52.58M	9.11	14.07%	7.41%	5.58%	6.31%
BBN	60 Neutral	AU$236.78M	81.63	2.78%	1.03%	-2.62%	-70.47%

Adore Beauty Group Ltd. Corporate Events

Adore Beauty Group Appoints New Alternate Non-Executive Director

Adore Beauty Group Ltd. has announced the appointment of James Height as an Alternate Non-Executive Director, effective June 27, 2025. Height holds 10,400,000 fully paid ordinary shares, and along with Kate Morris, intends to act in concert concerning their shares in the company. This appointment and the concerted action may influence the company’s strategic decisions and shareholder dynamics.

The most recent analyst rating on (AU:ABY) stock is a Hold with a A$1.00 price target. To see the full list of analyst forecasts on Adore Beauty Group Ltd. stock, see the AU:ABY Stock Forecast page.

Adore Beauty Appoints Co-Founder as Alternate Non-Executive Director

Adore Beauty Group Limited has appointed Mr. James Height as an alternate non-executive director for Ms. Kate Morris, effective June 27, 2025. Mr. Height, a co-founder of Adore Beauty, has held various leadership roles within the company, including Director, joint CEO, sole CEO, and Chief Data Officer. This appointment is expected to leverage his extensive experience and contribute to the company’s strategic direction.

The most recent analyst rating on (AU:ABY) stock is a Hold with a A$1.05 price target. To see the full list of analyst forecasts on Adore Beauty Group Ltd. stock, see the AU:ABY Stock Forecast page.

Adore Beauty Announces New Director Appointment

Adore Beauty Group Limited has announced the appointment of Iain Nairn as a director, effective from May 1, 2025. This announcement indicates a strategic move for the company, although the director currently holds no securities or interests in contracts related to the company. This appointment may influence the company’s governance and strategic direction, potentially impacting its market positioning and stakeholder interests.

Adore Beauty Appoints Iain Nairn as Independent Non-Executive Director

Adore Beauty Group Limited has announced the appointment of Mr. Iain Nairn as an independent Non-Executive Director, effective May 1, 2025. This strategic move is part of the company’s ongoing board renewal and succession planning, aimed at strengthening its leadership with diverse skills and experience. Mr. Nairn brings extensive omnichannel, retail, and marketing expertise from his previous roles in prominent organizations, which is expected to enhance the board’s capabilities and support Adore Beauty’s growth and market positioning.