Cobram Estate Olives Ltd. (CBO) AI Stock Analysis

• Market Cap: AU$1.43B
• Dividend Yield: 1.55%
• Average Volume (3M): 1.09M
• Price to Earnings (P/E): 28.8
• Beta (1Y): 0.38
• Revenue Growth: 6.09%
• EPS Growth: 166.89%
• Country: AU
• Employees: N/A
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): -0.03
• Shares Outstanding: 477,411,200
• 10 Day Avg. Volume: 508,670
• 30 Day Avg. Volume: 1,093,483
• PEG Ratio: 0.11
• Price to Book (P/B): 2.44
• Price to Sales (P/S): 3.69
• P/FCF Ratio: -38.14
• 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$3.26
• Price Target Upside: 8.67% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 0.06
• Revenue Forecast (FY): AU$302.20M

• Rating: 75 Outperform
• Price Target: AU$4.00 ▲(33.33% Upside)
• Action: Upgraded Date: 10/02/25
• Date: Action: Upgraded 10/02/25

Cobram Estate Olives Ltd. scores well due to its strong financial performance, particularly in revenue and profit growth, and positive technical indicators. However, the high P/E ratio suggests the stock is expensive, which could limit future gains. The absence of earnings call and corporate events data means these factors do not influence the score.

Positive Factors

Revenue Growth

A 101.9% year-over-year revenue surge indicates durable demand expansion and effective commercial execution. Over a 2-6 month horizon this supports scale benefits, stronger retailer relationships and inventory turnover, improving predictability of near-term top-line and enabling reinvestment in brand and distribution.

Margin Strength

Elevated gross and net margins reflect structural cost management and differentiated product positioning (branded extra virgin olive oil). Sustained margins provide buffer against input cost swings common in food commodities and support funding for marketing, packaging and incremental capex over the coming months.

Balanced Balance Sheet

Moderate leverage and an improved ROE signal financial discipline and capacity to fund operations or selective investments without excessive refinancing risk. The solid equity base and controlled debt profile give the company flexibility to manage seasonal agricultural cycles and support working capital through the next several quarters.

Negative Factors

Negative Free Cash Flow

Positive operating cash generation but negative free cash flow indicates capital spending or distributions exceed operating inflows. Over 2-6 months this can constrain discretionary investments, force reliance on external financing for growth or dividends, and pressure liquidity if crop or sales timing shifts.

Inconsistent Revenue Trend

A negative revenue growth metric in fundamentals points to volatility or period-to-period variability despite the recent large annual increase. For investors this signals uneven demand or timing effects tied to harvest cycles, reducing near-term revenue predictability and complicating planning for the next few quarters.

Agricultural Supply Risk

The business is structurally exposed to agricultural risks—weather, water and alternate-bearing cycles—that materially affect yields and costs. These factors create persistent production and margin volatility over seasonal windows and can impair sales volumes and input costs across multiple quarters without mitigation.

Cobram Estate Olives Ltd. Business Overview & Revenue Model

Company Description

Cobram Estate Olives Limited operates as a food and agribusiness company with olive farming and milling operations in Australia and the United States. Its portfolio of olive oil brands includes Cobram Estate and Red Island. The company's olive farming assets include approximately 2.4 million olive trees planted on 6,584 hectares of freehold farmland in Victoria, Australia; and 207,500 trees planted on 358 hectares of long-term leased and freehold properties in California, the United States. It also owns olive tree nursery, three olive mills, two olive oil bottling and storage facilities, and Olives laboratory. The company exports its products to 16 countries. Cobram Estate Olives Limited was founded in 1998 and is headquartered in Lara, Australia.

How the Company Makes Money

Cobram Estate Olives Ltd. generates revenue primarily through the sale of its premium extra virgin olive oil products. The company has established multiple revenue streams, including direct sales to consumers through its online platform and retail partnerships with supermarkets and specialty food stores. Additionally, CBO engages in bulk sales to food service businesses and other manufacturers. Strategic partnerships with distributors and retailers expand the company's market reach, while its focus on quality and branding allows it to command premium pricing. Factors contributing to its earnings include successful marketing campaigns, growing consumer demand for healthy cooking oils, and the company's commitment to sustainable farming practices, which enhance its brand reputation.

Cobram Estate Olives Ltd. Financial Statement Overview

Summary

Cobram Estate Olives Ltd. demonstrates robust financial performance with strong revenue and profit growth. The company maintains a healthy balance sheet with a prudent debt-to-equity ratio and improved return on equity. While operational cash flow is strong, attention is needed to address negative free cash flow. Overall, the company is on a positive trajectory, but should focus on optimizing cash flow and managing leverage to sustain growth.

Income Statement

Cobram Estate Olives Ltd. has shown impressive revenue growth with a 101.9% increase in the latest year, indicating strong market demand and effective sales strategies. The gross profit margin improved significantly to 56.62%, reflecting efficient cost management. The net profit margin also increased to 20.54%, showcasing enhanced profitability. However, the EBIT and EBITDA margins, at 37.84% and 48.16% respectively, highlight strong operational performance, although there is room for further improvement in cost control.

Balance Sheet

The company's debt-to-equity ratio of 0.76 indicates a balanced approach to leveraging, with manageable debt levels relative to equity. The return on equity improved to 13.58%, reflecting effective use of shareholders' funds to generate profits. The equity ratio stands at 45.01%, suggesting a solid equity base supporting the company's assets. While the balance sheet shows stability, continuous monitoring of debt levels is advisable to maintain financial health.

Cash Flow

Operating cash flow remains positive at $58.09 million, indicating strong cash generation from core operations. However, the free cash flow is negative, which could signal challenges in covering capital expenditures and dividends. The operating cash flow to net income ratio of 0.74 suggests a healthy conversion of income to cash. Despite the negative free cash flow growth, the company should focus on improving cash flow management to support future investments.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	174.70M	241.66M	227.78M	168.95M	139.62M	139.95M
Gross Profit	74.60M	136.83M	42.31M	17.82M	39.96M	18.77M
EBITDA	57.27M	116.37M	66.68M	40.80M	24.88M	72.91M
Net Income	15.11M	49.63M	18.53M	7.72M	-696.00K	35.22M
Balance Sheet
Total Assets	868.32M	811.87M	697.41M	616.34M	550.61M	458.15M
Cash, Cash Equivalents and Short-Term Investments	2.15M	4.01M	11.35M	13.67M	5.94M	1.18M
Total Debt	210.03M	277.15M	231.01M	197.47M	146.71M	170.70M
Total Liabilities	358.24M	446.37M	375.66M	328.55M	263.58M	267.46M
Stockholders Equity	510.08M	365.50M	321.75M	287.79M	287.03M	190.69M
Cash Flow
Free Cash Flow	-86.04M	-23.38M	-18.31M	-17.02M	-9.33M	-2.77M
Operating Cash Flow	-3.48M	58.09M	47.88M	39.01M	27.39M	16.32M
Investing Cash Flow	-100.26M	-85.03M	-60.36M	-55.97M	-36.70M	-18.97M
Financing Cash Flow	85.11M	19.45M	10.18M	24.70M	14.08M	55.00K

Cobram Estate Olives Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CBO, the sentiment is Negative. The current price of 3 is below the 20-day moving average (MA) of 3.26, below the 50-day MA of 3.50, and above the 200-day MA of 2.96, indicating a neutral trend. The MACD of -0.14 indicates Positive momentum. The RSI at 33.29 is Neutral, neither overbought nor oversold. The STOCH value of 18.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:CBO.

Cobram Estate Olives Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CBO	75 Outperform	AU$1.43B	28.82	14.44%	1.55%	6.09%	166.89%
CLV	74 Outperform	AU$128.59M	18.33	10.07%	2.19%	38.25%	361.54%
SHV	74 Outperform	AU$548.54M	17.21	6.00%	―	18.08%	1680.16%
RIC	68 Neutral	AU$1.10B	14.35	10.88%	3.74%	3.15%	7.29%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
BUB	59 Neutral	AU$111.77M	29.76	13.97%	―	28.66%	―
BGA	51 Neutral	€1.92B	235.58	-0.68%	1.95%	0.49%	-127.84%

Cobram Estate Olives Ltd. Corporate Events

Cobram Estate Olives to Brief Investors on Half-Year FY2026 Results

Cobram Estate Olives has released its half-year FY2026 results presentation and is hosting an investor and analyst webinar briefing on the same day to discuss its performance. The company will make a recording of the session available on its investor website, underscoring its ongoing engagement with the market and transparency for shareholders and analysts.

The briefing has been authorised by the board and will be led by joint chief executives Sam Beaton and Leandro Ravetti, highlighting the importance of the update in the company’s communications calendar. While financial details were not disclosed in the announcement, the structured results presentation and webinar reinforce Cobram Estate Olives’ efforts to maintain visibility with investors as a leading player in the olive oil sector.

The most recent analyst rating on (AU:CBO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Cobram Estate Olives Ltd. stock, see the AU:CBO Stock Forecast page.

Cobram Estate Olives Releases FY2026 Half-Year Report

Cobram Estate Olives Ltd. has released its Half-Year FY2026 Report for the six months ended 31 December 2025, along with its Appendix 4D, after formal authorisation by the board. The publication of these financial statements provides shareholders and the market with updated insight into the company’s recent performance and operations, reinforcing its transparency and governance as a leading player in the Australian olive industry.

The most recent analyst rating on (AU:CBO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Cobram Estate Olives Ltd. stock, see the AU:CBO Stock Forecast page.

Cobram Estate Olives Sets Investor Webinar for Half-Year FY2026 Results

Cobram Estate Olives Limited has scheduled a webinar briefing on 20 February 2026 to discuss its half-year FY2026 financial results, which are expected to be released to the market earlier that morning. The online session, led by joint CEOs Sam Beaton and Leandro Ravetti, will be accessible via pre-registration, with a recording to be posted on the company’s investor website, underscoring its emphasis on transparent communication with shareholders and the broader investment community.

The most recent analyst rating on (AU:CBO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Cobram Estate Olives Ltd. stock, see the AU:CBO Stock Forecast page.

Cobram Estate Olives Flags Lapse of Options and Performance Rights

Cobram Estate Olives Limited has notified the ASX of the cessation of certain securities, including 1.2 million options expiring in April 2028 and 30,000 performance rights expiring in September 2027, after the conditions attached to these instruments were not met or became incapable of being satisfied. The lapse of these conditional rights slightly reduces the company’s pool of potential equity issuance under these incentive instruments, which may modestly affect future dilution but does not alter its current issued capital structure materially.

The most recent analyst rating on (AU:CBO) stock is a Buy with a A$3.65 price target. To see the full list of analyst forecasts on Cobram Estate Olives Ltd. stock, see the AU:CBO Stock Forecast page.

Cobram Estate Olives to Acquire California Olive Ranch in US$173.5m Deal and Updates US Operations

Cobram Estate Olives has agreed to acquire California Olive Ranch, Inc., the leading producer and marketer of Californian extra virgin olive oil, in a US$173.5 million deal funded through a mix of cash, vendor notes and an earn-out. The acquisition will substantially expand Cobram’s Californian grove footprint to about 3,292 hectares, add premium brands including the top-selling California Olive Ranch® label in the US, and is projected to deliver meaningful operational and cost synergies, with expected EBITDA contributions, rising annual synergies by 2030 and earnings per share accretion from FY2027. Separately, the company reported the successful completion of its FY2026 Californian harvest, securing 3.8 million litres of olive oil supply for the next year and increasing the share of production from its own groves, while flagging that first-half FY2026 operating cash flow and EBITDA will be lower than the prior year due to higher spot oil purchases, timing of bulk sales and increased water costs, as well as accounting effects related to fair value treatment of its Australian crop.

The most recent analyst rating on (AU:CBO) stock is a Hold with a A$2.90 price target. To see the full list of analyst forecasts on Cobram Estate Olives Ltd. stock, see the AU:CBO Stock Forecast page.