Adveritas Limited (AV1) AI Stock Analysis

• Market Cap: €129.08M
• Dividend Yield: N/A
• Average Volume (3M): 637.42K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.06
• Revenue Growth: 74.62%
• EPS Growth: 39.71%
• Country: AU
• Employees: N/A
• Sector: Technology
• Sector Strength: 95
• Industry: Software - Infrastructure
• EPS (TTM): >-0.01
• Shares Outstanding: 922,011,170
• 10 Day Avg. Volume: 471,702
• 30 Day Avg. Volume: 637,423
• PEG Ratio: -0.40
• Price to Book (P/B): -18.08
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -21.01
• 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: €0.19
• Price Target Upside: 39.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 49 Neutral
• Price Target: AU$0.00 ▼(-100.00%Downside)

The financial performance is the most significant factor, with persistent losses and negative equity indicating financial distress. Technical analysis shows strong momentum, but potential overbought conditions could lead to a pullback. Valuation metrics are concerning, with negative earnings and no dividend yield, making the stock less attractive from a fundamental perspective.

Adveritas Limited Business Overview & Revenue Model

Company Description

Adveritas Limited provides funnel measurement, verification, and fraud prevention solutions for digital advertising in Australia and internationally. It develops TrafficGuard, a fraud mitigation software as a service that detects, mitigates, and reports on digital ad fraud before it hits advertising budgets; and nxus, a proprietary mediation platform that offers real-time attribution tracking, analytics, and reporting data for online advertising. The company was formerly known as Tech Mpire Limited and changed its name to Adveritas Limited in December 2018. The company was incorporated in 2012 and is based in Bentley, Australia.

How the Company Makes Money

Adveritas Limited generates revenue through a subscription-based model for its TrafficGuard service, offering different tiers based on the volume of traffic and features required by clients. The company earns money by charging clients a recurring fee for access to its fraud prevention platform, which helps advertisers verify the authenticity of ad engagements in real time. Key revenue streams include direct sales to advertisers and partnerships with digital marketing agencies that integrate TrafficGuard into their service offerings. Additionally, Adveritas may engage in strategic partnerships with large advertising platforms to enhance their fraud detection capabilities, contributing to its earnings.

Adveritas Limited Financial Statement Overview

Summary

Adveritas Limited shows some revenue growth; however, persistent losses and negative equity signal financial distress. The company faces significant challenges in achieving profitability and maintaining financial stability. Cash flows are negative, indicating reliance on external financing, which may not be sustainable long-term if profitability is not achieved.

Income Statement

Revenue has shown growth over the years, reaching AUD 4.16 million in the most recent period, but it remains insufficient to cover costs, as indicated by consistently negative gross and net profit margins. The company operates at a gross loss, and its net margin remains deeply negative, indicating ongoing challenges in achieving profitability.

Balance Sheet

The balance sheet highlights a negative stockholders' equity, reflecting financial instability. The debt-to-equity ratio is not meaningful due to negative equity, while total liabilities exceed total assets, raising concerns about the company's solvency and capital structure.

Cash Flow

Cash flow statements reveal persistent negative operating cash flows, indicating operational inefficiencies. Free cash flow is also negative, though there is a trend of reduced free cash flow losses over time. Financing activities help support cash reserves, but reliance on external funding is high.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	4.16M	2.95M	2.03M	964.11K	1.23M
Gross Profit	-8.17M	-9.46M	-7.23M	-7.07M	-6.40M
EBITDA	-10.62M	-9.92M	-8.86M	-10.51M	-9.28M
Net Income	-11.59M	-10.92M	-9.08M	-9.00M	-9.49M
Balance Sheet
Total Assets	6.99M	8.98M	7.13M	4.32M	9.59M
Cash, Cash Equivalents and Short-Term Investments	4.29M	6.39M	5.09M	3.27M	8.39M
Total Debt	4.54M	4.11M	3.44M	572.06K	648.27K
Total Liabilities	8.11M	6.25M	5.47M	2.52M	2.02M
Stockholders Equity	-1.12M	2.73M	1.66M	1.80M	7.58M
Cash Flow
Free Cash Flow	-9.22M	-11.35M	-9.55M	-7.31M	-7.25M
Operating Cash Flow	-9.22M	-11.26M	-9.45M	-7.26M	-7.23M
Investing Cash Flow	889.00	27.27K	351.11K	-42.20K	14.49K
Financing Cash Flow	7.18M	12.51M	10.88M	2.26M	13.53M

Adveritas Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.14
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:AV1, the sentiment is Positive. The current price of 0.14 is above the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.11, and above the 200-day MA of 0.09, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 77.61 is Negative, neither overbought nor oversold. The STOCH value of 89.20 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:AV1.

Adveritas Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$34.85B	5.63	-12.19%	2.01%	5.91%	-17.91%
AV1	49 Neutral	€129.08M	―	-1453.91%	―	74.62%	39.71%
DGGXF	―	$94.20M	―	-11.11%	―	―	―
B4P	71 Outperform	AU$79.38M	22.90	13.68%	―	10.59%	―
WRK	58 Neutral	AU$189.51M	―	-18.28%	―	36.49%	47.06%
FCT	42 Neutral	AU$29.99M	―	-54.77%	―	-14.50%	-77.33%
SEN	41 Neutral	AU$31.46M	―	-31.58%	―	22.29%	64.62%

Adveritas Limited Corporate Events

Adveritas Limited Completes $8.5 Million Capital Raise

Adveritas Limited has successfully raised $8.5 million through the issuance of 85,000,000 new fully paid ordinary shares at $0.10 each. This capital raise, announced earlier and now completed, allows the new shares to be traded immediately, enhancing the company’s financial position and potentially impacting its market strategy.

The most recent analyst rating on (AU:AV1) stock is a Buy with a A$0.18 price target. To see the full list of analyst forecasts on Adveritas Limited stock, see the AU:AV1 Stock Forecast page.

Adveritas Limited Announces Quotation of 85 Million Securities on ASX

Adveritas Limited has announced the quotation of 85 million fully paid ordinary securities on the Australian Securities Exchange (ASX) under the code AV1, effective June 26, 2025. This move is part of previously announced transactions and is expected to enhance the company’s market presence and provide additional capital for growth, potentially impacting stakeholders by increasing the liquidity and visibility of the company’s shares.

The most recent analyst rating on (AU:AV1) stock is a Buy with a A$0.18 price target. To see the full list of analyst forecasts on Adveritas Limited stock, see the AU:AV1 Stock Forecast page.

Adveritas Limited Announces Proposed Issue of 85 Million Securities

Adveritas Limited has announced a proposed issue of 85 million ordinary fully paid securities, scheduled for issuance on June 26, 2025. This strategic move is aimed at raising capital, potentially strengthening the company’s financial position and enhancing its market operations. The issuance could have significant implications for Adveritas’s stakeholders, as it may influence the company’s growth trajectory and competitive standing in the digital advertising sector.

The most recent analyst rating on (AU:AV1) stock is a Buy with a A$0.12 price target. To see the full list of analyst forecasts on Adveritas Limited stock, see the AU:AV1 Stock Forecast page.

$8.5M Raised by Adveritas in Oversubscribed Placement

Adveritas Limited has successfully raised $8.5 million through an oversubscribed institutional placement, issuing 85 million new shares at $0.10 each. The funds will bolster the company’s strategic objectives, including expansion into the USA and new verticals, ongoing product development, and increased integration with affiliate platforms to enhance cross-selling opportunities.

The most recent analyst rating on (AU:AV1) stock is a Buy with a A$0.12 price target. To see the full list of analyst forecasts on Adveritas Limited stock, see the AU:AV1 Stock Forecast page.

Adveritas Limited Issues New Shares to Boost Liquidity

Adveritas Limited has issued 43,797,022 new fully paid ordinary shares at a price of $0.08 per share, as announced in their recent ASX release. This issuance allows the shares to be traded immediately, enhancing liquidity and potentially impacting the company’s market position by increasing its capital base.

Adveritas Limited Announces New Securities Quotation on ASX

Adveritas Limited has announced the issuance of 43,797,022 fully paid ordinary securities, which are set to be quoted on the ASX under the code AV1. This move is part of the company’s strategy to leverage convertible securities and options to strengthen its financial position and expand its market presence, potentially impacting its operational capabilities and stakeholder interests positively.

Adveritas Limited Settles Convertible Notes with Strategic Investors

Adveritas Limited has settled its convertible notes issued to strategic investors, which initially had a maturity date of April 2024 but was extended to April 2025. The company paid $288,822 in cash to settle accrued interest and issued 43,797,022 shares to settle the converting balance, reflecting its strategic financial management and commitment to its stakeholders.