Cobram Estate Olives Ltd. (CBO) AI Stock Analysis

• Market Cap: AU$900.73M
• Dividend Yield: 1.53%
• Average Volume (3M): 266.11K
• Price to Earnings (P/E): 42.2
• Beta (1Y): 0.32
• Revenue Growth: 13.04%
• EPS Growth: 103.19%
• Country: AU
• Employees: N/A
• Sector: Real Estate
• Sector Strength: 55
• Industry: Packaged Foods
• EPS (TTM): -0.01
• Shares Outstanding: 418,943,600
• 10 Day Avg. Volume: 423,189
• 30 Day Avg. Volume: 266,107
• PEG Ratio: -0.06
• Price to Book (P/B): 1.80
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -30.42
• 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$2.14
• Price Target Upside: -0.47% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 64 Neutral
• Price Target: AU$2.50 ▲(16.28%Upside)

Cobram Estate Olives Ltd. presents a mixed investment outlook. The company's strong financial performance improvements and positive technical indicators are countered by a high valuation and financial risks from rising leverage and negative free cash flow. Investors should consider these factors when evaluating potential investments.

Cobram Estate Olives Ltd. Business Overview & Revenue Model

Company Description

Cobram Estate Olives Ltd. (CBO) is a leading Australian agribusiness specializing in the production, marketing, and distribution of high-quality extra virgin olive oil. The company operates within the agricultural sector and is known for its premium olive oil products, which are sourced from its own olive groves and processed in state-of-the-art facilities. Cobram Estate is committed to sustainable farming practices and innovation in olive oil production, catering to both domestic and international markets.

How the Company Makes Money

Cobram Estate Olives Ltd. generates revenue primarily through the sale of its olive oil products. The company's key revenue streams include wholesale distribution to retailers, direct sales through online platforms, and exports to international markets. Cobram Estate leverages its extensive olive groves and advanced processing facilities to produce high-quality olive oil, which is marketed under its own brand as well as private labels. Strategic partnerships with retailers and distributors, along with a strong focus on branding and quality assurance, play a significant role in driving sales and expanding market reach. Additionally, the company may engage in value-added activities such as the development of new olive oil products or by-products to diversify its income streams.

Cobram Estate Olives Ltd. Financial Statement Overview

Summary

Cobram Estate Olives Ltd. shows positive revenue and profit growth trends with improved margins, indicating enhanced operational performance. However, a moderate increase in leverage and consistent negative free cash flow highlight potential financial risks. The company must balance growth initiatives with cash flow management to sustain long-term financial health.

Income Statement

Cobram Estate Olives Ltd. has shown strong revenue growth with a 34.8% increase from 2023 to 2024, and a significant improvement in profitability as evidenced by a net profit margin increase from 4.6% to 8.1% over the same period. The gross profit margin also improved to 37.8% in 2024. EBIT and EBITDA margins have transitioned from previous losses to positive figures, reflecting operational efficiency. However, past volatility in EBIT and net income suggests potential risks in maintaining stable profitability.

Balance Sheet

The company's debt-to-equity ratio of 0.72 indicates moderate leverage, which is manageable but increased from the previous year. The equity ratio stands at 46.1%, showing a solid equity base. Return on equity improved to 5.8%, reflecting better utilization of equity compared to previous years. However, rising debt levels could pose a risk if not managed carefully in future growth strategies.

Cash Flow

Operating cash flow has improved to $47.9 million, supporting liquidity needs. However, the company reported negative free cash flow due to high capital expenditures, which could indicate aggressive reinvestment or expansion efforts. The operating cash flow to net income ratio of 2.58 suggests strong cash generation relative to reported earnings, but consistent negative free cash flow could be a concern if it persists.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	239.22M	227.78M	168.95M	139.62M	139.95M	140.65M
Gross Profit	51.94M	86.07M	17.82M	39.96M	18.77M	14.93M
EBITDA	72.57M	66.68M	40.80M	25.09M	72.91M	-19.67M
Net Income	21.29M	18.53M	7.72M	-696.00K	35.22M	-32.70M
Balance Sheet
Total Assets	734.17M	697.41M	616.34M	550.61M	458.15M	401.12M
Cash, Cash Equivalents and Short-Term Investments	10.71M	11.35M	13.67M	5.94M	1.18M	3.77M
Total Debt	267.25M	231.01M	197.47M	146.71M	170.70M	169.23M
Total Liabilities	417.56M	375.66M	328.55M	263.58M	267.46M	255.03M
Stockholders Equity	316.62M	321.75M	287.79M	287.03M	190.69M	146.09M
Cash Flow
Free Cash Flow	-24.15M	-18.31M	-17.02M	-9.33M	-2.77M	-17.99M
Operating Cash Flow	62.05M	47.88M	39.01M	27.39M	16.32M	6.99M
Investing Cash Flow	-81.66M	-60.36M	-55.97M	-36.70M	-18.97M	-24.24M
Financing Cash Flow	20.34M	10.18M	24.70M	14.08M	55.00K	18.36M

Cobram Estate Olives Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CBO, the sentiment is Positive. The current price of 2.15 is above the 20-day moving average (MA) of 2.09, above the 50-day MA of 1.98, and above the 200-day MA of 1.93, indicating a bullish trend. The MACD of 0.04 indicates Positive momentum. The RSI at 65.38 is Neutral, neither overbought nor oversold. The STOCH value of 62.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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
RIC	72 Outperform	AU$1.11B	23.19	12.66%	3.19%	1.90%	-4.00%
CBO	64 Neutral	AU$900.73M	42.16	7.32%	1.53%	13.04%	103.19%
CLV	64 Neutral	AU$91.85M	20.30	6.80%	2.73%	15.48%	135.65%
Sector *	64 Neutral	$7.01B	18.92	-1.36%	6.84%	4.67%	-25.39%
BGA	59 Neutral	€1.67B	48.84	3.35%	2.19%	4.28%	―
SHV	51 Neutral	$578.38M	17.54	7.05%	―	75.76%	―
BUB	48 Neutral	AU$165.23M	―	-21.85%	―	30.54%	88.42%

Cobram Estate Olives Ltd. Corporate Events

Perpetual Limited Increases Stake in Cobram Estate Olives

Perpetual Limited and its related bodies corporate have increased their voting power in Cobram Estate Olives Ltd. from 6.69% to 7.85% as of June 25, 2025. This change in substantial holding reflects a growing interest and investment in the company, potentially impacting its market positioning and signaling confidence in its future prospects.

The most recent analyst rating on (AU:CBO) stock is a Buy with a A$1.97 price target. To see the full list of analyst forecasts on Cobram Estate Olives Ltd. stock, see the AU:CBO Stock Forecast page.