Develop Global Limited (DVP) AI Stock Analysis

• Market Cap: AU$1.87B
• Dividend Yield: N/A
• Average Volume (3M): 1.44M
• Price to Earnings (P/E): 21.3
• Beta (1Y): 2.29
• Revenue Growth: 57.22%
• EPS Growth: N/A
• Country: AU
• Employees: 433
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): 0.27
• Shares Outstanding: 329,985,470
• 10 Day Avg. Volume: 921,382
• 30 Day Avg. Volume: 1,437,006
• PEG Ratio: -0.03
• Price to Book (P/B): 2.10
• Price to Sales (P/S): 5.71
• P/FCF Ratio: -27.69
• 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$6.05
• Price Target Upside: 5.58% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 0.17
• Revenue Forecast (FY): AU$423.28M

• Rating: 68 Neutral
• Price Target: AU$6.00 ▲(4.71% Upside)
• Action: Reiterated Date: 01/07/26
• Date: Action: Reiterated 01/07/26

The score is driven primarily by solid financial stability and growth (low leverage and strong revenue growth) but tempered by weak profitability and negative free cash flow. Technicals add support due to a clear uptrend, while valuation is only moderate given a mid-range P/E and no dividend yield.

Positive Factors

High Revenue Growth

Sustained top-line expansion provides a durable buffer to absorb cost volatility and supports scale economies in a services business. Strong revenue growth enables reinvestment in crews, equipment and project development, improving long-term contract competitiveness and optionality.

Low Leverage / Strong Balance Sheet

Low leverage affords financial flexibility to fund working capital, capital expenditure, or owned-project development without immediate refinancing pressure. This structural strength reduces insolvency risk in cyclical mining markets and supports multi-quarter investment programs.

Contract-based Mining Services Revenue Model

A contract-centric business provides recurring, schedule-or-unit-based revenue less directly tied to commodity price swings than asset owners. That model yields predictable cash flows from operations and scalability via additional contract wins while owned projects offer upside optionality.

Negative Factors

Weak Profitability

Persistent negative operating and net margins indicate core-service economics are not yet converting revenue into sustainable profit. Over time this pressures retained earnings, limits reinvestment from operations and requires either structural margin improvement or ongoing external funding.

Negative Free Cash Flow

Ongoing negative free cash flow constrains the company's ability to self-fund capex, working capital and project development. Reliance on external financing or equity raises can dilute shareholders and increase financing risk across the 2–6 month horizon if cash generation doesn't turn positive.

Negative Return on Equity

A negative ROE despite a healthy equity base signals the company is not generating adequate returns on invested capital. This structural inefficiency can limit management's ability to justify new equity funding and may pressure long-term capital allocation decisions.

Develop Global Limited Business Overview & Revenue Model

Company Description

Develop Global Limited, together with its subsidiaries, engages in the exploration and development of mineral resource properties in Australia. It primarily explores for copper, zinc, lead, silver, and gold deposits. The company's flagship project is the Sulphur Springs project that includes Sulphur Springs and Kangaroo Caves deposits and tenements located to the south east of Port Hedland. The company was formerly known as Venturex Resources Limited and changed its name to Develop Global Limited in October 2021. Develop Global Limited was incorporated in 2006 and is based in West Leederville, Australia.

How the Company Makes Money

Develop Global Limited generates revenue through multiple streams, primarily by charging clients for its software development and consulting services. The company adopts a project-based pricing model, where it receives payments for specific projects completed for clients, and also offers ongoing support and maintenance services for a recurring fee. DVP has established significant partnerships with major technology providers, enabling it to leverage cutting-edge tools and platforms, which enhances its service offerings. Additionally, the company may earn revenue through licensing agreements for its proprietary software solutions and through performance-based incentives linked to the successful implementation of its projects. These diverse revenue streams contribute to its financial stability and growth.

Develop Global Limited Financial Statement Overview

Summary

Strong revenue growth and low leverage support the score, but negative EBIT/net margins and negative free cash flow indicate ongoing profitability and cash generation challenges.

Income Statement

Develop Global Limited has shown a strong revenue growth rate of 18.77% in the latest year, indicating robust top-line expansion. However, the company struggles with profitability, as evidenced by negative EBIT and net profit margins. The gross profit margin is positive, but the net income is significantly bolstered by non-operating items, suggesting underlying operational challenges.

Balance Sheet

The balance sheet reflects a strong equity position with a debt-to-equity ratio of 0.25, indicating low leverage and financial stability. The equity ratio is healthy, suggesting a solid asset base funded by equity. However, the return on equity is negative, highlighting inefficiencies in generating returns from shareholders' investments.

Cash Flow

The cash flow statement shows a significant improvement in free cash flow growth, but the free cash flow remains negative, indicating cash outflows from operations. The operating cash flow to net income ratio is positive, suggesting some level of cash generation from operations, but the free cash flow to net income ratio is negative, pointing to cash management challenges.

Breakdown	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	231.47M	147.23M	67.78M	4.51M	0.00
Gross Profit	22.13M	100.07M	-11.13M	873.35K	-415.39K
EBITDA	26.96M	14.13M	-1.33M	-8.63M	-89.37M
Net Income	72.39M	-12.13M	-17.89M	-9.22M	-89.88M
Balance Sheet
Total Assets	898.08M	471.23M	245.80M	204.88M	57.32M
Cash, Cash Equivalents and Short-Term Investments	58.63M	41.50M	21.77M	43.21M	16.83M
Total Debt	158.29M	40.81M	28.74M	4.23M	103.78K
Total Liabilities	267.67M	121.79M	96.14M	60.33M	21.72M
Stockholders Equity	629.96M	349.27M	149.66M	144.55M	35.60M
Cash Flow
Free Cash Flow	-47.71M	-22.75M	-27.76M	-15.61M	-5.01M
Operating Cash Flow	12.62M	11.00M	12.24M	-6.62M	-2.43M
Investing Cash Flow	-84.40M	-32.15M	-38.62M	-25.47M	-2.43M
Financing Cash Flow	88.90M	40.88M	4.92M	58.49M	19.43M

Develop Global Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.73
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:DVP, the sentiment is Positive. The current price of 5.73 is above the 20-day moving average (MA) of 5.23, above the 50-day MA of 5.07, and above the 200-day MA of 4.34, indicating a bullish trend. The MACD of 0.13 indicates Negative momentum. The RSI at 62.49 is Neutral, neither overbought nor oversold. The STOCH value of 92.95 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:DVP.

Develop Global Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PRN	75 Outperform	$2.27B	17.93	6.57%	2.46%	4.41%	14.44%
DVP	68 Neutral	AU$1.87B	21.34	14.22%	―	57.22%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
IPX	52 Neutral	AU$2.32B	-36.99	-50.19%	―	―	-20.85%
BCI	46 Neutral	AU$1.18B	-15.63	―	―	―	―
VUL	43 Neutral	AU$1.62B	-9.93	-17.30%	―	16.06%	-50.94%
A4N	43 Neutral	AU$813.89M	-18.26	-13.97%	―	620.73%	-21.19%

Develop Global Limited Corporate Events

Develop Global Posts Strong Operating Cash Inflows Amid Heavy Mine Investment

Develop Global Limited reported positive operating cash flow of A$18.8 million for the December 2025 quarter and A$26.8 million for the half year, driven by A$94.6 million in customer receipts for the quarter and A$178.6 million year to date, alongside modest dividend and interest income. However, the company recorded negative overall cash movement from investing activities of A$29.5 million in the quarter and A$52.5 million for the half year, largely due to significant spending on mine properties and capital equipment, while financing cash flows were also negative in the quarter following earlier equity raising, loan repayments and additional bank guarantees, underscoring a capital-intensive growth phase that, despite solid operating inflows, is consuming cash as Develop advances its mining projects and strengthens its asset base.

The most recent analyst rating on (AU:DVP) stock is a Buy with a A$6.00 price target. To see the full list of analyst forecasts on Develop Global Limited stock, see the AU:DVP Stock Forecast page.

Develop Global sets date for December quarterly report and investor conference call

Develop Global Limited has scheduled the release of its quarterly report for the period ended 31 December 2025 on 28 January 2026, providing investors and stakeholders with an update on its recent performance and activities. Managing Director Bill Beament will host a live conference call that morning to discuss the results, with a replay available shortly after, underscoring the company’s focus on transparent communication and ongoing engagement with the market ahead of its latest quarterly disclosure.

The most recent analyst rating on (AU:DVP) stock is a Buy with a A$6.00 price target. To see the full list of analyst forecasts on Develop Global Limited stock, see the AU:DVP Stock Forecast page.

Develop Global Notifies Market of Cessation of 63,992 Options

Develop Global Limited has notified the market that 63,992 options (DVPAAG), expiring on various dates and at various prices, have ceased as of 12 January 2026. The cessation, disclosed via an Appendix 3H filing, reflects a routine adjustment to the company’s issued capital structure, with potential implications for dilution and the composition of existing shareholders’ equity, but no additional operational or strategic context was provided in the notice.

The most recent analyst rating on (AU:DVP) stock is a Hold with a A$5.05 price target. To see the full list of analyst forecasts on Develop Global Limited stock, see the AU:DVP Stock Forecast page.

Develop Global Issues New Shares on Conversion of Unquoted Securities

Develop Global Limited has notified the market of the issue of 28,508 new fully paid ordinary shares following the exercise or conversion of previously unquoted equity securities. The additional shares, issued on 12 January 2026, marginally expand the company’s share base and reflect the realisation of value from unquoted options or other convertible instruments, slightly increasing equity on issue and incrementally diluting existing holders while signalling ongoing use of equity-based incentives or financing within the company’s capital management strategy.

The most recent analyst rating on (AU:DVP) stock is a Hold with a A$5.05 price target. To see the full list of analyst forecasts on Develop Global Limited stock, see the AU:DVP Stock Forecast page.

Develop Global Tightens Governance After Late Director Share Notice

Develop Global has disclosed that director Duncan Bradford acquired a total of 135,000 shares in the company on market, including 81,000 shares bought on 5 December 2025 at $4.35 per share, 50,000 shares acquired on 28 November 2025 at $3.60 per share, and 4,000 shares previously held indirectly that were omitted from his initial director interest notice due to an accounting oversight. The company admitted that the corresponding Appendix 3Y director interest notice was lodged late as a result of an administrative oversight, and in response it has reviewed and updated its internal procedures, enhanced monitoring of directors’ securities holdings via its share registry, reaffirmed directors’ obligations under its trading policy and ASX Listing Rules, and characterised the delay as a one-off event while committing to full and timely future compliance.

The most recent analyst rating on (AU:DVP) stock is a Hold with a A$4.00 price target. To see the full list of analyst forecasts on Develop Global Limited stock, see the AU:DVP Stock Forecast page.

Develop Global Director Trims Indirect Shareholding in On‑Market Trade

Develop Global Limited has reported a change in the indirect shareholding of non-executive director Michael Gerrard Blakiston, in accordance with ASX disclosure requirements. Blakiston executed an on-market sale of 160,000 ordinary shares at $4.646 per share, reducing his total indirect interest from 1,473,072 to 1,291,348 shares held via custodial and private entities in which he is a beneficiary, shareholder, and director. The transaction represents a modest adjustment rather than a complete exit, and while it slightly reduces his economic exposure to the company, it does not alter his formal role or signal any disclosed change to the company’s strategy or operations; instead, it underscores ongoing compliance with corporate governance and transparency obligations for directors’ dealings in company securities.

The most recent analyst rating on (AU:DVP) stock is a Hold with a A$4.00 price target. To see the full list of analyst forecasts on Develop Global Limited stock, see the AU:DVP Stock Forecast page.

Develop Global Wins A$200m Underground Mine Contract at OceanaGold’s Waihi North Project

Develop Global has secured a A$200 million underground mine development contract from OceanaGold to establish access tunnels at the 1.2-million-ounce Waihi North gold project on New Zealand’s North Island. The five-year agreement, commencing in the first half of 2026, will see Develop mobilise and build a local workforce supported by its specialist underground mining team, reinforcing the company’s Mining Services division and deepening its relationship with a major multinational producer, thereby strengthening its position in the global contract mining market.

The most recent analyst rating on (AU:DVP) stock is a Hold with a A$4.00 price target. To see the full list of analyst forecasts on Develop Global Limited stock, see the AU:DVP Stock Forecast page.