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Accent Group Ltd (AU:AX1)
ASX:AX1
Australian Market
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Accent Group Ltd (AX1) AI Stock Analysis

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AU:AX1

Accent Group Ltd

(Sydney:AX1)

Rating:74Outperform
Price Target:
AU$1.50
▲(0.00%Upside)
Accent Group Ltd demonstrates a strong financial performance with robust revenue and cash flow growth, balanced by increased leverage risks. Its valuation is attractive with a low P/E ratio and high dividend yield, offering a compelling case for income-focused investors. The technical analysis suggests caution, as momentum indicators are mixed and the stock price is below key moving averages.

Accent Group Ltd (AX1) vs. iShares MSCI Australia ETF (EWA)

Accent Group Ltd Business Overview & Revenue Model

Company DescriptionAccent Group Limited engages in the retail, distribution, and franchise of lifestyle footwear, and apparel and accessories in Australia and New Zealand. The company's brands and banners include The Athlete's Foot, Platypus Shoes, Hype DC, Skechers, Merrell, CAT, Vans, Dr. Martens, Saucony, Timberland, Hoka One One, Superga, Kappa, Palladium, Supra, Subtype, The Trybe, Stylerunner, Glue Store and Autry. It also operates 760 stores and 36 websites across 26 various retail banners, as well as holds exclusive distribution rights for 18 international brands. The company was formerly known as RCG Corporation Limited and changed its name to Accent Group Limited in November 2017. Accent Group Limited was founded in 1981 and is based in Richmond, Australia.
How the Company Makes MoneyAccent Group Ltd generates revenue through multiple streams, primarily by selling footwear and apparel through its extensive network of retail stores and online channels. The company benefits from its partnerships and distribution rights with numerous international brands, allowing it to offer a wide variety of products. Accent Group also operates a growing online presence, which has become a significant contributor to its earnings. Additionally, the company earns revenue through franchising, where it provides rights and support to independent retailers to operate under its brand names. This multi-channel approach, along with its robust brand portfolio, supports Accent Group's financial performance and growth.

Accent Group Ltd Financial Statement Overview

Summary
Accent Group Ltd exhibits strong revenue growth and cash flow generation, reflecting operational resilience. While profitability margins face pressure, efficient cash generation and a balanced capital structure are maintained. Increasing leverage is a potential risk.
Income Statement
75
Positive
Accent Group Ltd has shown consistent revenue growth, increasing from $796.3M in 2019 to $1.45B in 2024. The gross profit margin for 2024 was 56.33%, indicating strong profitability. However, net profit margin declined to 4.1% in 2024 from previous years, suggesting an increase in expenses or cost pressure. EBIT and EBITDA margins remained stable, demonstrating operational efficiency.
Balance Sheet
70
Positive
The debt-to-equity ratio has increased over time, reaching 1.29 in 2024, which could indicate higher financial leverage and potential risk. However, the equity ratio remained relatively stable at 36.48%, suggesting a balanced capital structure. Return on equity was 14.22% in 2024, reflecting satisfactory shareholder returns despite increased debt levels.
Cash Flow
80
Positive
Accent Group Ltd's free cash flow has shown a positive growth trend, with a robust $214.23M in 2024. The operating cash flow to net income ratio was 4.13 for 2024, highlighting efficient cash generation from operations. The free cash flow to net income ratio was 3.6, indicating strong cash flow coverage of net income.
BreakdownJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue1.45B1.41B1.12B981.68M819.29M
Gross Profit819.23M330.50M233.40M231.05M204.20M
EBITDA281.41M299.65M207.12M240.93M201.36M
Net Income59.53M88.65M31.46M76.92M55.68M
Balance Sheet
Total Assets1.15B1.15B1.22B1.11B955.54M
Cash, Cash Equivalents and Short-Term Investments28.05M29.72M49.73M34.08M54.91M
Total Debt542.20M558.28M600.33M484.95M401.47M
Total Liabilities729.14M713.32M775.61M683.20M547.02M
Stockholders Equity418.81M441.21M440.23M428.98M408.51M
Cash Flow
Free Cash Flow214.23M222.22M94.45M127.74M155.37M
Operating Cash Flow246.05M256.59M140.35M159.41M178.69M
Investing Cash Flow-34.03M-40.46M-48.60M-44.67M-32.28M
Financing Cash Flow-213.71M-235.41M-76.04M-135.81M-127.75M

Accent Group Ltd Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price1.50
Price Trends
50DMA
1.60
Negative
100DMA
1.71
Negative
200DMA
1.98
Negative
Market Momentum
MACD
-0.01
Negative
RSI
48.21
Neutral
STOCH
61.11
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:AX1, the sentiment is Neutral. The current price of 1.5 is above the 20-day moving average (MA) of 1.48, below the 50-day MA of 1.60, and below the 200-day MA of 1.98, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 48.21 is Neutral, neither overbought nor oversold. The STOCH value of 61.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:AX1.

Accent Group Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
AU$898.47M13.0514.35%6.67%6.29%-12.42%
64
Neutral
£1.74B10.516.12%256.36%0.55%-33.64%
€204.50M9.7714.57%6.88%
79
Outperform
AU$126.03M10.4024.29%10.59%17.85%29.61%
73
Outperform
AU$617.60M24.9416.47%5.02%14.03%-7.57%
45
Neutral
AU$35.88M-38.51%-53.71%37.00%
AU$6.43M
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:AX1
Accent Group Ltd
1.50
-0.55
-26.83%
DE:1FQ
Adairs Ltd.
1.10
-0.09
-7.56%
AU:UNI
Universal Store Holdings Ltd.
8.16
2.67
48.63%
AU:STP
Step One Clothing Limited
0.70
-0.89
-55.97%
AU:CCX
City Chic Collective Limited
0.09
-0.03
-25.00%
AU:MOZ
Mosaic Brands Limited
0.04
-0.03
-42.86%

Accent Group Ltd Corporate Events

Accent Group to Announce Full-Year Financial Results on 22 August 2025
Jul 24, 2025

Accent Group Limited has announced that it will release its financial results for the full year ending 29 June 2025 on 22 August 2025. The announcement includes an investor briefing call scheduled for the same day, indicating the company’s commitment to transparency and stakeholder engagement. This release is likely to impact the company’s market positioning by providing insights into its financial health and operational strategies.

The most recent analyst rating on (AU:AX1) stock is a Buy with a A$2.00 price target. To see the full list of analyst forecasts on Accent Group Ltd stock, see the AU:AX1 Stock Forecast page.

Accent Group Announces Director’s Interest Change
Jun 20, 2025

Accent Group Limited has announced a change in the director’s interest notice involving Lawrence Myers. The company reported an increase in indirect interest holdings, with the acquisition of 1,060,000 ordinary shares through various entities associated with Mr. Myers, including Bodyelectric Pty Limited and S.R.S. (Holdings) Pty Ltd. This change reflects strategic positioning and potential confidence in the company’s future prospects.

The most recent analyst rating on (AU:AX1) stock is a Buy with a A$2.00 price target. To see the full list of analyst forecasts on Accent Group Ltd stock, see the AU:AX1 Stock Forecast page.

Accent Group Faces Challenging Market Conditions in FY25
Jun 12, 2025

Accent Group Limited has reported challenging trading conditions in the second half of the fiscal year 2025, with low growth in the lifestyle footwear market affecting both retail and wholesale sales. The company is experiencing pressure on gross margins due to a competitive promotional environment and a focus on managing inventory levels. Like-for-like sales have decreased by 1.0% over 23 weeks, and gross margins have fallen by 80 basis points compared to the previous year. Despite these challenges, the company expects its full-year EBIT to be between $108.0 million and $111.0 million.

The most recent analyst rating on (AU:AX1) stock is a Buy with a A$2.20 price target. To see the full list of analyst forecasts on Accent Group Ltd stock, see the AU:AX1 Stock Forecast page.

Accent Group Updates Director’s Interest Notice with Corrections
Jun 2, 2025

Accent Group Limited announced a change in the director’s interest notice, specifically regarding Daniel Agostinelli’s holdings. The notice corrects previous inaccuracies in the disclosure of Agostinelli’s direct and indirect interests in Accent securities. The corrections do not impact his overall relevant interest in the company. Additionally, 2Como Pty Ltd, as trustee for the 2Como Trust, disposed of a total of 800,712 fully paid ordinary shares across two tranches on 27 and 28 May 2025.

The most recent analyst rating on (AU:AX1) stock is a Buy with a A$2.20 price target. To see the full list of analyst forecasts on Accent Group Ltd stock, see the AU:AX1 Stock Forecast page.

Accent Group Announces Chairman Transition
May 26, 2025

Accent Group Limited announced the retirement of its long-serving Chairman, Mr. David Gordon, who will step down at the conclusion of the Annual General Meeting in November 2025. Mr. Gordon, who has been with the company for over 18 years, played a crucial role in its growth and the acquisition of Sports Direct rights in Australia and New Zealand. He will be succeeded by Mr. Lawrence Myers, ensuring a smooth transition in leadership.

The most recent analyst rating on (AU:AX1) stock is a Buy with a A$2.20 price target. To see the full list of analyst forecasts on Accent Group Ltd stock, see the AU:AX1 Stock Forecast page.

Accent Group Completes Strategic Partnership with Frasers Group
May 12, 2025

Accent Group Limited has completed a strategic transaction with Frasers Group to launch and operate the Sports Direct business in Australia and New Zealand. This partnership involves Accent issuing new shares to Frasers and using the proceeds to fund the rollout of Sports Direct stores, with plans for at least 50 stores over the next six years, potentially expanding to over 100 locations. This move is expected to enhance Accent’s market presence and operational capabilities in the ANZ region.

The most recent analyst rating on (AU:AX1) stock is a Buy with a A$2.20 price target. To see the full list of analyst forecasts on Accent Group Ltd stock, see the AU:AX1 Stock Forecast page.

Accent Group’s Voting Power Shift with Frasers Group
May 12, 2025

Accent Group Limited has experienced a significant change in its voting power due to an increase in shares held by Frasers Group plc. This change, resulting from a share issue and on-market purchases, has increased Frasers’ voting power in Accent from 14.57% to 19.90%, potentially impacting the company’s governance and stakeholder dynamics.

The most recent analyst rating on (AU:AX1) stock is a Buy with a A$2.20 price target. To see the full list of analyst forecasts on Accent Group Ltd stock, see the AU:AX1 Stock Forecast page.

Accent Group Expands Capital with New Share Issuance
May 12, 2025

Accent Group Limited has issued 35,186,695 fully paid ordinary shares to Frasers Group plc at $1.718 per share, following a subscription agreement announced in April 2025. This strategic move is expected to strengthen Accent Group’s capital base, potentially enhancing its market position and operational capabilities.

The most recent analyst rating on (AU:AX1) stock is a Buy with a A$2.20 price target. To see the full list of analyst forecasts on Accent Group Ltd stock, see the AU:AX1 Stock Forecast page.

Accent Group Ltd Announces Quotation of New Securities on ASX
May 12, 2025

Accent Group Ltd has announced the quotation of 35,186,695 ordinary fully paid securities on the Australian Securities Exchange (ASX) under the code AX1, effective from May 13, 2025. This move is part of previously announced transactions, potentially impacting the company’s market liquidity and investor interest, as it expands its financial activities on the ASX.

The most recent analyst rating on (AU:AX1) stock is a Buy with a A$2.20 price target. To see the full list of analyst forecasts on Accent Group Ltd stock, see the AU:AX1 Stock Forecast page.

Accent Group Director Alters Shareholding
Apr 28, 2025

Accent Group Limited announced a change in the director’s interest, with Daniel Agostinelli disposing of a total of 795,031 fully paid ordinary shares through on-market trades on April 24 and April 28, 2025. This change reflects a strategic financial decision by the director, which may influence stakeholder perceptions and the company’s stock market performance.

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 25, 2025