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Energy Action Limited (AU:EAX)
ASX:EAX
Australian Market
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Energy Action Limited (EAX) AI Stock Analysis

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AU:EAX

Energy Action Limited

(Sydney:EAX)

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Neutral 63 (OpenAI - 4o)
Rating:63Neutral
Price Target:
AU$0.50
▲(4.17% Upside)
Energy Action Limited's overall score is driven by strong financial performance and reasonable valuation. However, technical analysis indicates the stock may be overbought, posing a risk of a pullback. The absence of earnings call data and corporate events limits additional insights.
Positive Factors
Revenue Growth
The strong revenue growth rate of 23.04% indicates a positive trajectory, showcasing the company's ability to expand its market presence and enhance its service offerings.
Profitability Margins
Improved profitability margins demonstrate effective cost management and operational efficiency, which are crucial for sustaining long-term financial health.
Leverage Reduction
Reduced leverage enhances financial stability and flexibility, allowing the company to better manage economic fluctuations and invest in growth opportunities.
Negative Factors
Cash Flow Volatility
Volatility in cash flow growth can affect the company's ability to fund operations and investments consistently, posing a risk to long-term financial stability.
Low Equity Ratio
A low equity ratio may limit the company's ability to absorb financial shocks, increasing vulnerability to market volatility and asset devaluation.
Free Cash Flow Decline
A decline in free cash flow growth can constrain the company's ability to reinvest in its business and pursue strategic initiatives, potentially impacting future growth.

Energy Action Limited (EAX) vs. iShares MSCI Australia ETF (EWA)

Energy Action Limited Business Overview & Revenue Model

Company DescriptionEnergy Action Limited, an independent power producer, provides electricity and gas services in Australia. The company offers energy procurement for electricity and gas procurement service through reverse auction platform for business customers. It also provides energy reporting services that offers bill validation, usage and spend monitoring, environmental reporting, network tariff and annual review services. In addition, the company offers net zero services that provides cost-effective energy solutions. The company serves commercial and industrial companies. Energy Action Limited was founded in 2000 and is headquartered in Parramatta, Australia.
How the Company Makes MoneyEnergy Action Limited generates revenue through a combination of consulting fees, commission-based earnings from energy procurement services, and subscription fees for its energy management platform. The company charges clients for in-depth energy audits and efficiency consulting services, which help businesses identify opportunities for cost savings. Additionally, EAX earns commissions from negotiating energy contracts on behalf of clients, allowing them to benefit from competitive pricing. The company also has strategic partnerships with energy suppliers and technology providers, which enhance its service offerings and create additional revenue opportunities.

Energy Action Limited Financial Statement Overview

Summary
Energy Action Limited shows strong revenue growth and improved profitability margins. However, historical volatility in financial metrics and cash flow fluctuations pose potential risks. The balance sheet indicates reduced leverage but a low equity ratio, suggesting potential risks if asset values fluctuate.
Income Statement
75
Positive
Energy Action Limited has shown a strong improvement in its income statement metrics. The company achieved a significant revenue growth rate of 23.04% in the most recent year, indicating a positive trajectory. Gross profit margin improved to 48.54%, and net profit margin increased to 15.84%, reflecting enhanced profitability. The EBIT and EBITDA margins also saw improvements, suggesting better operational efficiency. However, historical volatility in revenue and profitability remains a concern.
Balance Sheet
65
Positive
The balance sheet shows a mixed picture. The debt-to-equity ratio improved significantly to 0.64, indicating reduced leverage and a stronger equity position. Return on equity is robust at 45.23%, showcasing effective use of equity to generate profits. However, the equity ratio remains relatively low, suggesting potential risks if asset values fluctuate.
Cash Flow
60
Neutral
Cash flow metrics present a cautious outlook. The free cash flow growth rate declined by 20.61%, and the operating cash flow to net income ratio is moderate at 0.51, indicating a need for improved cash generation relative to earnings. The free cash flow to net income ratio is strong at 0.98, suggesting efficient conversion of earnings to cash. Historical fluctuations in cash flow growth highlight potential risks.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue12.79M12.79M10.78M11.14M10.38M14.34M
Gross Profit6.21M6.21M3.75M10.72M907.42K13.73M
EBITDA2.55M2.44M1.77M556.85K-1.49M-505.44K
Net Income2.03M2.03M584.41K-298.48K-2.84M-1.00M
Balance Sheet
Total Assets9.76M9.76M10.45M9.42M8.60M13.21M
Cash, Cash Equivalents and Short-Term Investments341.70K341.70K1.45M1.40M1.86M2.42M
Total Debt2.85M2.85M4.88M7.37M7.67M7.54M
Total Liabilities5.28M5.28M8.11M9.44M8.96M10.73M
Stockholders Equity4.48M4.48M2.33M-24.11K-365.74K2.48M
Cash Flow
Free Cash Flow1.64M1.64M1.06M54.93K-544.89K-1.40M
Operating Cash Flow1.67M1.67M1.88M768.09K439.81K-569.34K
Investing Cash Flow-744.38K-744.38K-825.54K-663.16K-984.70K-826.43K
Financing Cash Flow-2.03M-2.03M-1.01M-567.41K-18.47K622.88K

Energy Action Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.48
Price Trends
50DMA
0.49
Negative
100DMA
0.44
Positive
200DMA
0.40
Positive
Market Momentum
MACD
<0.01
Negative
RSI
40.68
Neutral
STOCH
11.11
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:EAX, the sentiment is Negative. The current price of 0.48 is below the 20-day moving average (MA) of 0.49, below the 50-day MA of 0.49, and above the 200-day MA of 0.40, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 40.68 is Neutral, neither overbought nor oversold. The STOCH value of 11.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:EAX.

Energy Action Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
63
Neutral
AU$19.33M9.2359.48%12.87%173.68%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
57
Neutral
AU$15.19M20.636.19%-6.52%-20.79%
46
Neutral
AU$9.68M-1.780.00%-42.55%64.40%
42
Neutral
AU$30.88M-3.34-23.42%-13.52%7.82%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:EAX
Energy Action Limited
0.48
0.16
50.00%
AU:SSH
SSH Group Ltd.
0.17
0.08
88.89%
AU:CI1
Credit Intelligence Ltd
0.11
0.00
0.00%
AU:STG
Straker Translations Ltd.
0.34
-0.26
-43.33%

Energy Action Limited Corporate Events

Energy Action Limited Announces 2025 Annual General Meeting
Oct 23, 2025

Energy Action Limited has announced its 2025 Annual General Meeting (AGM) scheduled for November 25, 2025, in Sydney. The AGM will provide shareholders with the opportunity to engage with the company’s directors and senior management about its operations and future strategies. Shareholders are encouraged to attend in person, though space is limited, and to submit any questions in advance. The meeting will also include a review of the company’s financial and auditor’s reports for the fiscal year ending June 30, 2025. This event is significant for stakeholders as it offers insights into the company’s performance and strategic direction.

The most recent analyst rating on (AU:EAX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Energy Action Limited stock, see the AU:EAX Stock Forecast page.

Energy Action Limited Announces Cessation of Securities
Oct 3, 2025

Energy Action Limited announced the cessation of 20,000 securities due to the lapse of conditional rights, as the conditions for these securities were not met by the deadline of September 30, 2025. This development may affect the company’s issued capital and could have implications for stakeholders monitoring the company’s financial and operational strategies.

The most recent analyst rating on (AU:EAX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Energy Action Limited stock, see the AU:EAX Stock Forecast page.

Energy Action Limited Releases 2025 Corporate Governance Statement
Sep 26, 2025

Energy Action Limited has released its corporate governance statement for the financial year ending June 30, 2025, which is available on their website. The statement, approved by the board, outlines the company’s adherence to the ASX Corporate Governance Council’s principles and recommendations, highlighting their commitment to transparency and accountability. This announcement reinforces Energy Action Limited’s dedication to maintaining robust governance practices, which is crucial for sustaining stakeholder trust and enhancing its position in the competitive energy management industry.

The most recent analyst rating on (AU:EAX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Energy Action Limited stock, see the AU:EAX Stock Forecast page.

Energy Action Limited Releases 2025 Annual Report
Sep 26, 2025

Energy Action Limited has released its Annual Report for the year ended 30 June 2025. The report includes a CEO’s letter to shareholders, financial highlights, and various statutory and financial statements. The release provides insights into the company’s financial performance and governance, which are crucial for stakeholders to assess the company’s current position and future prospects.

The most recent analyst rating on (AU:EAX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Energy Action Limited stock, see the AU:EAX Stock Forecast page.

Energy Action Limited Reports Strong Financial Performance for FY 2025
Aug 29, 2025

Energy Action Limited reported a significant increase in its financial performance for the year ended June 30, 2025. The company’s revenue rose by 12% to $12.79 million, and its statutory profit after tax surged by 247% to $2.03 million. The EBITDA also saw a notable increase of 69%. These results were driven by increased revenue from energy procurement and management services, as well as effective cost management strategies. The company also managed to reduce its expenditure slightly and strategically utilized cash to decrease borrowings, reflecting positively on its financial risk management objectives.

The most recent analyst rating on (AU:EAX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Energy Action Limited stock, see the AU:EAX Stock Forecast page.

Energy Action Limited Reports Strong Financial Growth in FY25
Aug 15, 2025

Energy Action Limited has announced its preliminary unaudited results for the fiscal year ending June 30, 2025, showing significant financial improvements. The company reported a 12% increase in revenue to $12.79 million, a 69% rise in EBITDA to $3.04 million, and a 247% increase in net profit after tax to $2.03 million. These results were driven by strategies focusing on sales growth, operational expense control, debt reduction, and technology investment. The company also successfully reduced its debt by $1.84 million and held 1,243 successful auctions, a 58% increase from the previous year. These achievements highlight the company’s operational momentum and effective cost management.

Energy Action Limited Reports Strong Q4 FY25 Performance and Strategic Advancements
Jul 30, 2025

Energy Action Limited reported a 27.37% increase in revenue for Q4 FY25, alongside a positive operating cash flow of $0.31 million. The company has optimized its loan facilities with the Commonwealth Bank of Australia, reducing interest expenses, and continued its strategic investment in the AI-enabled Utilibox platform. The transition to new premises in Sydney CBD marks a significant milestone, and the company remains focused on expanding its client base and enhancing customer engagement. The procurement of its first battery for a client highlights its strategic move towards zero-carbon solutions, supporting future revenue growth and cash flow predictability.

Energy Action Limited Reports Strong Operational Cash Flow Amid Financing Outflows
Jul 30, 2025

Energy Action Limited’s latest quarterly cash flow report indicates a net cash inflow from operating activities of $305,000, reflecting a strong operational performance. However, the company experienced a net cash outflow in financing activities, primarily due to the repayment of borrowings, resulting in an overall cash decrease for the period. This financial update highlights the company’s ongoing efforts to manage its cash flow effectively, which is crucial for maintaining its market position and ensuring continued service delivery to its stakeholders.

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.Date of analysis: Oct 03, 2025