CVC Limited (CVC) AI Stock Analysis

• Market Cap: AU$233.27M
• Dividend Yield: N/A
• Average Volume (3M): 4.36K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.25
• Revenue Growth: -67.43%
• EPS Growth: -131.40%
• Country: AU
• Employees: 10
• Sector: Financial
• Sector Strength: 84
• Industry: Asset Management
• EPS (TTM): -0.03
• Shares Outstanding: 116,636,310
• 10 Day Avg. Volume: 6,129
• 30 Day Avg. Volume: 4,355
• PEG Ratio: 0.61
• Price to Book (P/B): 1.43
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.99
• 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$35.83
• Price Target Upside: 1691.50% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

CVC Limited's overall stock score is impacted by financial instability, marked by declining revenue, high debt, and negative cash flows. The technical analysis indicates bearish momentum with oversold conditions, and the valuation is unattractive due to a negative P/E ratio and no dividend yield. These factors combine to produce a low overall stock score, highlighting significant risks.

CVC Limited Business Overview & Revenue Model

Company Description

CVC Limited is a venture capital and private equity firm specializing in, management buy-outs, seed/startup, early venture, mid venture, late venture, emerging growth, mezzanine, and growth capital investments. It prefers to invest in energy, transportation, healthcare, renewable energy technologies and fintech sector. The firm is providing investment capital to companies that engage in financing, property related investments, and packaging supplies in Australia. It operates through Private Equity and Venture Capital, and Property segments. Private Equity and Venture Capital segment invests in equity and debt investments in non-listed entities. The firm will typically invest amounts in the range of A$1million (0.79 million) to A$15 million ($11.90 million). It prefers majority or minority stake up to 25%. Property segment comprises joint venture interests in the Chevron Renaissance shopping center, the Bel-Air shops. It was formerly known as Continental Venture Capital Limited. CVC Limited was founded in 1985 and is based in Sydney, Australia.

How the Company Makes Money

CVC Limited makes money primarily through management fees and carried interest derived from its private equity funds. Management fees are charged to investors for managing their capital, typically calculated as a percentage of the total assets under management. Carried interest represents CVC's share of the profits from successful investments, incentivizing the firm to enhance the performance of its portfolio companies. Additionally, CVC may earn income from advisory services provided to its portfolio companies and any strategic partnerships that result in revenue-sharing arrangements. The firm's earnings are supported by its ability to identify lucrative investment opportunities and create value through operational improvements and strategic guidance.

CVC Limited Financial Statement Overview

Summary

CVC Limited is currently facing financial headwinds, marked by declining revenue and profitability challenges. While margins such as gross profit and EBIT remain strong, net losses and negative cash flows underscore potential instability. The balance sheet shows a high debt level, reflecting substantial leverage, which could pose risks if cash flow issues persist. The company needs to address these challenges to stabilize and improve its financial health.

Income Statement

CVC Limited has experienced a notable decline in revenue from the previous year, dropping by 73%. Gross profit margin stands at 67.3%, indicating efficient cost management. However, the net profit margin is negative due to a net loss, highlighting profitability challenges. EBIT and EBITDA margins are reasonably strong at 43.4% and 41.4%, respectively, despite the net loss.

Balance Sheet

The company's debt-to-equity ratio is elevated at 0.85, indicating a significant reliance on debt financing, which could pose risks in adverse conditions. Return on equity is negative due to net losses, impacting shareholder value. The equity ratio of 51.5% suggests a balanced asset financing structure with moderate reliance on equity.

Cash Flow

CVC Limited has faced difficulties in generating positive operating cash flow, with a substantial negative figure in the latest period. Free cash flow is also negative, indicating challenges in maintaining liquidity and funding operations internally. Cash flow ratios reflect these operational cash constraints, emphasizing the need for cash flow management improvements.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
25.02M	21.83M	82.05M	70.53M	61.68M	21.80M
	Gross Profit
9.29M	14.69M	19.48M	28.22M	36.38M	17.47M
	EBIT
4.81M	9.49M	15.40M	14.79M	28.94M	8.97M
	EBITDA
-4.73M	3.49M	16.17M	15.38M	29.59M	9.74M
	Net Income Common Stockholders
-4.04M	-2.52M	13.42M	6.11M	19.49M	-2.07M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
60.12M	14.05M	51.39M	40.46M	55.75M	50.05M
	Total Assets
352.13M	336.83M	283.06M	279.23M	362.15M	332.25M
	Total Debt
171.30M	148.49M	89.23M	85.76M	94.09M	97.57M
	Net Debt
155.30M	134.44M	38.06M	59.35M	38.34M	74.95M
	Total Liabilities
175.12M	156.42M	103.55M	103.10M	142.48M	138.48M
	Stockholders Equity
171.90M	173.53M	181.34M	178.48M	182.32M	167.68M
Cash Flow		Free Cash Flow
-35.02M	-85.38M	27.01M	-19.30M	35.87M	-37.37M
	Operating Cash Flow
-34.99M	-85.37M	27.01M	-19.28M	36.00M	-37.28M
	Investing Cash Flow
3.33M	-1.07M	-1.58M	4.21M	5.63M	7.38M
	Financing Cash Flow
33.42M	49.31M	-668.63K	-14.27M	-8.50M	-4.62M

CVC Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.00
• 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:CVC, the sentiment is Negative. The current price of 2 is below the 20-day moving average (MA) of 2.09, below the 50-day MA of 2.08, and above the 200-day MA of 1.98, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 31.20 is Neutral, neither overbought nor oversold. The STOCH value of 10.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:CVC.

CVC Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WAM	73 Outperform		6.35	14.95%	9.97%	46.53%	35.15%
Sector *	64 Neutral	$12.82B	9.87	7.67%	17000.34%	12.39%	-5.85%
CAM	55 Neutral		26.17	-0.04%	7.35%	0.32%	-100.93%
CVC	42 Neutral	AU$233.27M	―	-2.32%	―	-67.43%	-131.40%

CVC Limited Corporate Events

CVC Limited Director Increases Shareholding

CVC Limited announced a change in the director’s interest, specifically involving John Scott Leaver. The director acquired 30,015 ordinary shares through an on-market trade, increasing his total holdings to 32,425,097 shares. This transaction reflects a strategic move by the director to enhance his stake in the company, potentially signaling confidence in CVC Limited’s future performance.

The most recent analyst rating on (AU:CVC) stock is a Hold with a A$20.40 price target. To see the full list of analyst forecasts on CVC Limited stock, see the AU:CVC Stock Forecast page.

CVC Limited Director Increases Stake in Strategic Move

CVC Limited has announced a change in the director’s interest, specifically involving John Scott Leaver, who has increased his holdings in the company through an on-market trade. The acquisition involved 32,212 ordinary shares and 592 CVC Note 2, valued at $126,838.75, reflecting a strategic move to consolidate his position within the company. This change in director’s interest may indicate confidence in the company’s future prospects and could potentially impact stakeholder perceptions positively.

CVC Limited Announces Director’s Interest Change

CVC Limited announced a change in the director’s interest, specifically involving John Scott Leaver. The update reflects an on-market trade of CVC Note 2 and a movement of ordinary shares between indirect interests. This change indicates a strategic adjustment in the director’s holdings, potentially impacting the company’s financial positioning and stakeholder interests.

CVC Limited Announces Director’s Share Acquisition

CVC Limited announced a change in the director’s interest notice, specifically regarding John Scott Leaver. The change involved an acquisition of 4,404 ordinary shares through an on-market trade, increasing the total number of shares held by Wenola Pty Limited, a company fully owned by Leaver. This update reflects a minor adjustment in the director’s holdings, which may indicate strategic positioning or personal portfolio adjustments by the director.

CVC Limited Director Increases Stake in Company

CVC Limited has announced a change in the director’s interest notice, specifically concerning John Scott Leaver. The update reveals that Leaver has acquired an additional 1,012 CVC Note 2 securities through an on-market trade, bringing his total holdings in this class to 22,268. This acquisition indicates a strategic move by Leaver to increase his stake in the company, potentially signaling confidence in the company’s future performance and impacting stakeholder perceptions.

CVC Limited Announces Interest Payment and Rate Change

CVC Limited has announced a new interest payment and interest rate change for its security, CVCHA – BOND 3-BBSW+4.75% 31-03-2026 CUM RED. The interest payment amount is AUD 2.215, with key dates including an ex-date of June 19, 2025, a record date of June 20, 2025, and a payment date of June 30, 2025. This announcement is significant for stakeholders as it outlines the financial obligations and timelines associated with the bond, potentially impacting investment decisions and financial planning.

CVC Limited Director Increases Shareholding

CVC Limited has announced a change in the director’s interest, specifically regarding John Scott Leaver. The change involved the acquisition of 2,941 ordinary shares through an on-market trade, increasing the holdings of Wenola Pty Limited, a company fully owned by Leaver. This adjustment reflects a minor increase in Leaver’s overall stake in the company, indicating a continued commitment to maintaining significant ownership and potentially influencing company decisions.

CVC Limited Director Increases Stake with Share Acquisition

CVC Limited announced a change in the director’s interest notice involving John Scott Leaver. The change involved the acquisition of 35,000 ordinary shares through an on-market trade, increasing the total holdings of Wenola Pty Limited, a company fully owned by Leaver. This transaction reflects a strategic move by the director to increase his stake in the company, potentially signaling confidence in the company’s future performance.

CVC Limited Director Increases Stake in Company

CVC Limited announced a change in the director’s interest, specifically involving John Scott Leaver. The change involved the acquisition of 14,364 ordinary shares by Wenola Pty Limited, a company wholly owned by John Leaver, through an on-market trade. This adjustment in shareholding reflects a strategic move by the director to increase his stake in the company, which may signal confidence in the company’s future prospects and could potentially impact shareholder perceptions.

CVC Limited Announces Strategic Share Disposal

CVC Limited has announced the on-market disposal of a significant number of ordinary shares, amounting to 7,298,471 shares, for a total value of $68,951.59. This transaction reflects a strategic move by CVC Limited to adjust its holdings, which may impact its market position and influence stakeholder perceptions.

CVC Limited Advances Industrial Development with Officer South Rezoning

CVC Limited has announced the successful rezoning of land within the Officer South Employment Precinct Structure Plan (PSP) in Victoria, which it holds in a joint venture with a private developer. The rezoning allows for core industrial development on approximately 23.3 hectares of land, positioning Officer South as a key industrial location in Melbourne’s south-east corridor. The joint venture plans to advance planning approvals and authority engagements to ensure immediate development commencement upon settlement in February 2028. This strategic move is expected to enhance CVC’s industrial asset portfolio and strengthen its market position.

CVC Limited’s Strategic Growth and Property Valuation Gains

CVC Limited has announced a promising trajectory with strategic opportunities emerging from its unique property assets. The company has made significant progress in planning processes, enhancing certainty around the end use and value of its projects. With a focus on larger transactions, CVC aims to deliver meaningful outcomes for shareholders, leveraging macroeconomic factors such as population growth and technological advancements to strengthen its position in the residential and industrial sectors.

CVC Limited Reports Significant Loss Amid New Development Opportunities

CVC Limited reported a significant net loss of $1.6 million for the first half of FY2025, compared to a minor loss of $0.1 million in the previous year. The company’s net tangible assets per share decreased slightly from $1.50 to $1.47. The loss was primarily due to asset impairments in smaller investment positions affected by poor market conditions, particularly in private property developments. Despite these financial challenges, CVC’s major assets continue to perform well, and the company remains optimistic about its strong market position and asset value, which is not fully reflected in the current financial statements. Additionally, CVC has entered a significant development project in Norwell Valley, Queensland, which is expected to be one of Australia’s largest development opportunities, potentially delivering over 30,000 homes and extensive industrial and commercial land.