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Centrepoint Alliance Limited (AU:CAF)
ASX:CAF
Australian Market

Centrepoint Alliance Limited (CAF) AI Stock Analysis

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AU

Centrepoint Alliance Limited

(Sydney:CAF)

Rating:74Outperform
Price Target:
AU$0.50
▲(31.58%Upside)
Centrepoint Alliance Limited's strong financial performance, particularly in revenue and profit growth, and an attractive valuation with a low P/E ratio and high dividend yield, are key strengths. Technical analysis supports moderate market momentum, contributing to a favorable outlook.

Centrepoint Alliance Limited (CAF) vs. iShares MSCI Australia ETF (EWA)

Centrepoint Alliance Limited Business Overview & Revenue Model

Company DescriptionCentrepoint Alliance Limited (CAF) is a prominent financial services company based in Australia. It operates primarily in the wealth management sector, providing a range of services including financial advice, investment management, and insurance solutions. The company supports financial advisers and their clients by offering access to a suite of technology, compliance, and business support services, enabling them to deliver tailored financial solutions effectively.
How the Company Makes MoneyCentrepoint Alliance Limited generates revenue through a diversified model primarily focused on providing services to financial advisers and their clients. Key revenue streams include fees for financial planning and advice services, commissions from insurance and investment product distribution, and subscription fees for technology and business support services offered to advisers. The company also benefits from strategic partnerships with financial institutions and product providers, which enhance its service offerings and contribute to its earnings. Additionally, Centrepoint Alliance earns income from managing investment portfolios and providing educational resources for financial professionals.

Centrepoint Alliance Limited Financial Statement Overview

Summary
Centrepoint Alliance Limited exhibits a robust financial trajectory with consistent revenue and profit growth, supported by a stable balance sheet and positive cash flow generation. While operational efficiency and return on equity could be improved, the company's financial health remains solid.
Income Statement
75
Positive
Centrepoint Alliance Limited has demonstrated consistent revenue growth with an impressive increase from $130.96 million in 2020 to $288.41 million in 2024. The gross profit margin has improved, indicating efficient cost management, and the net profit margin has also shown enhancement due to growing net income. However, the EBIT and EBITDA margins, while positive, suggest room for improvement in operational efficiency.
Balance Sheet
68
Positive
The company's balance sheet shows a strong equity base with a healthy equity ratio, reflecting a stable financial structure. The debt-to-equity ratio remains low, suggesting prudent leverage management. Despite these strengths, the return on equity has room for improvement, indicating potential inefficiencies in generating returns from shareholder investments.
Cash Flow
72
Positive
Cash flow analysis reveals positive trends in operating and free cash flows, with notable growth in free cash flow. The operating cash flow to net income ratio indicates a strong ability to convert income into cash, though the free cash flow to net income ratio suggests some challenges in cash generation relative to earnings.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
309.00M288.41M273.85M228.53M139.18M130.96M
Gross Profit
21.36M16.85M32.66M29.33M26.48M27.91M
EBIT
12.82M8.72M6.73M2.59M1.79M-1.84M
EBITDA
12.29M8.57M8.82M4.43M3.37M-530.00K
Net Income Common Stockholders
7.47M7.77M6.34M6.49M1.85M-2.00M
Balance SheetCash, Cash Equivalents and Short-Term Investments
9.23M12.21M15.61M14.74M11.13M12.19M
Total Assets
56.75M59.01M48.11M49.32M27.04M32.65M
Total Debt
4.45M5.36M803.00K2.52M490.00K988.00K
Net Debt
-4.79M-6.84M-14.80M-12.22M-10.64M-11.20M
Total Liabilities
22.22M25.68M16.94M21.00M15.85M17.80M
Stockholders Equity
34.53M33.34M31.05M28.20M11.07M14.73M
Cash FlowFree Cash Flow
5.48M5.93M3.82M6.76M2.94M4.24M
Operating Cash Flow
5.86M7.23M4.40M7.12M3.01M4.45M
Investing Cash Flow
-616.00K-6.76M966.00K1.00M2.50M790.00K
Financing Cash Flow
-8.56M-3.87M-4.50M-4.51M-6.57M-971.00K

Centrepoint Alliance Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.38
Price Trends
50DMA
0.35
Positive
100DMA
0.34
Positive
200DMA
0.32
Positive
Market Momentum
MACD
<0.01
Negative
RSI
62.33
Neutral
STOCH
61.11
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CAF, the sentiment is Positive. The current price of 0.38 is above the 20-day moving average (MA) of 0.36, above the 50-day MA of 0.35, and above the 200-day MA of 0.32, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 62.33 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 Positive sentiment for AU:CAF.

Centrepoint Alliance Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (73)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUCAF
74
Outperform
AU$75.58M10.1122.42%6.58%10.88%-9.18%
73
Outperform
S$31.59B13.3511.69%6.25%8.28%16.42%
AUMFG
72
Outperform
€1.44B6.6323.27%6.28%-9.29%12.94%
AUASX
62
Neutral
$13.43B27.4913.33%3.22%9.70%2.64%
AUPPT
57
Neutral
€1.95B-24.47%7.13%5.36%-846.00%
AUIFL
52
Neutral
$2.34B-7.21%2.66%-8.26%-259.91%
AUAMP
51
Neutral
$3.09B17.214.84%1.64%19.36%1261.54%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:CAF
Centrepoint Alliance Limited
0.38
0.12
46.15%
AU:MFG
Magellan Financial Group Ltd
8.41
0.50
6.36%
AU:AMP
AMP
1.22
0.13
11.42%
AU:IFL
Insignia Financial Ltd
3.49
1.30
59.36%
AU:PPT
Perpetual Limited
17.11
-2.71
-13.66%
AU:ASX
ASX
69.11
12.96
23.08%

Centrepoint Alliance Limited Corporate Events

Centrepoint Alliance Completes Acquisition of Brighter Super’s Advice Book
Jun 16, 2025

Centrepoint Alliance Limited has completed the acquisition of the Annual Review service advice book from Brighter Super, a Queensland-based industry superannuation fund. The transaction, valued at $1,221,750, was executed through Centrepoint’s wholly owned subsidiary, Financial Advice Matters Pty Ltd, enhancing Centrepoint’s strategic advisory capabilities and expanding its managed funds portfolio.

Centrepoint Alliance Announces Registry Office Relocation
Jun 10, 2025

Centrepoint Alliance Limited has announced a change in the location of its registry office, Computershare Investor Services, which will now be situated at Level 4, 44 Martin Place, Sydney NSW 2000, effective from 10 June 2025. This relocation is in accordance with ASX Listing Rules and is part of the company’s ongoing operational adjustments, potentially impacting stakeholders by centralizing registry operations in a prominent Sydney location.

Centrepoint Alliance Announces Cessation of Performance Rights
Jun 5, 2025

Centrepoint Alliance Limited has announced the cessation of 218,077 performance rights due to unmet conditions, effective April 4, 2025. This development may impact the company’s capital structure and could have implications for its stakeholders, reflecting potential challenges in meeting performance targets.

Centrepoint Alliance Substantial Holder Reduces Stake
May 23, 2025

Centrepoint Alliance Limited, a company listed on the ASX, has experienced a change in the interests of its substantial holder, TIGA Trading Pty Ltd. The notice indicates a decrease in TIGA Trading’s voting power from 26.54% to 21.83%, following a significant market sale of 10 million ordinary shares. This change in shareholding could impact the company’s market perception and influence within its industry.

Sage Capital Group Increases Stake in Centrepoint Alliance
May 23, 2025

Sage Capital Group Pty Ltd, a subsidiary of Sequoia Financial Group Limited, has increased its voting power in Centrepoint Alliance Limited from 6.06% to 16.52% through on-market trades. This significant change in shareholding reflects a strategic move that could impact Centrepoint Alliance’s operations and influence its market positioning, potentially affecting stakeholders and future company decisions.

COG Financial Services Sells Stake in Centrepoint Alliance
May 21, 2025

Centrepoint Alliance Limited, a company listed on the Australian Securities Exchange (ASX: CAF), has experienced a change in its substantial shareholders. COG Financial Services Limited (ASX: COG) has ceased to be a substantial holder of Centrepoint Alliance as of May 21, 2025, following the sale of over 39 million shares valued at approximately $13.8 million. This change in shareholding may impact Centrepoint Alliance’s market dynamics and stakeholder interests.

Centrepoint Alliance Finalizes Acquisition of Brighter Super’s Advice Book
May 21, 2025

Centrepoint Alliance Limited has announced the completion timetable for its acquisition of the Annual Review service advice book from Brighter Super, a Queensland-based industry fund. The transaction, executed through Centrepoint’s Financial Advice Matters Pty Ltd, involves transitioning approximately 316 members to Centrepoint’s network, with settlement scheduled for June 13, 2025. This acquisition is expected to enhance Centrepoint’s strategic advice offerings and expand its client base, reinforcing its position in the financial services industry.

Centrepoint Alliance Expands with Strategic Acquisition of Brighter Super’s Advice Book
Apr 16, 2025

Centrepoint Alliance Limited has announced its acquisition of Brighter Super’s comprehensive financial advice book, a strategic move aimed at enhancing its service offerings and expanding its client base. This acquisition will allow Centrepoint to strengthen its position in the financial advice market by potentially transitioning up to 400 customers and generating approximately $1 million in annual revenue. The transaction includes a three-year referral arrangement and employment opportunities for Brighter Super’s financial advisers, further solidifying Centrepoint’s market presence.

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.