EarlyPay Limited (EPY) AI Stock Analysis

• Market Cap: AU$54.44M
• Dividend Yield: 1.45%
• Average Volume (3M): 62.15K
• Price to Earnings (P/E): 33.3
• Beta (1Y): 0.85
• Revenue Growth: -5.36%
• EPS Growth: N/A
• Country: AU
• Employees: N/A
• Sector: Financial
• Sector Strength: 72
• Industry: Financial - Credit Services
• EPS (TTM): 0.01
• Shares Outstanding: 272,209,100
• 10 Day Avg. Volume: 36,684
• 30 Day Avg. Volume: 62,151
• PEG Ratio: -1.12
• Price to Book (P/B): 0.75
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.25
• 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$0.30
• Price Target Upside: 50.00% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 60 Neutral
• Price Target: AU$0.00 ▼(-100.00%Downside)

The overall stock score of EarlyPay Limited is primarily influenced by its financial performance, which shows strong operational efficiency but is hampered by high leverage and declining revenue growth. Technical analysis indicates moderate bullish momentum, while the high P/E ratio suggests potential overvaluation. The absence of earnings call and corporate events data means these aspects do not impact the score.

EarlyPay Limited Business Overview & Revenue Model

Company Description

Earlypay Limited offers financial solutions to businesses in Australia. It operates through Invoice Finance, Equipment Finance, and Other Services segments. The company offers invoice factoring and discounting, and clean energy finance services, as well as business line of credit. It also provides equipment finance services for old and new equipment, such as sale back of owned or partially owned equipment, private sales, and mid-term financing. In addition, the company offers employment solutions comprising labor sourcing and project management; and trade finance services. Further, it operates Skippr, an online platform that provides finance solutions to SME's. The company was formerly known as CML Group Limited and changed its name to Earlypay Limited in November 2020. Earlypay Limited was incorporated in 2001 and is based in North Sydney, Australia.

How the Company Makes Money

EarlyPay Limited makes money primarily through fee-based revenue generated from its invoice financing services. The company charges its clients a service fee, which is typically a percentage of the invoice value, for advancing funds against unpaid invoices. Key revenue streams include fees from invoice factoring, where EarlyPay purchases the invoices at a discount, and invoice discounting, where businesses retain control over their sales ledger but receive financing based on outstanding invoices. EarlyPay may also earn interest on the funds advanced to clients and could have significant partnerships with financial institutions to manage funding requirements. The company's earnings are influenced by the volume of invoices financed and the structure of their fee agreements.

EarlyPay Limited Financial Statement Overview

Summary

EarlyPay Limited shows a mixed financial performance. The company demonstrates strong gross profit margins and operational efficiency but faces challenges in revenue growth and high leverage. While cash flow remains stable, the high debt load poses potential risks. The company should focus on improving revenue growth and reducing leverage to enhance financial stability.

Income Statement

The income statement shows a mixed performance. The gross profit margin remains strong, indicating efficient cost management. However, revenue has decreased from the previous year, resulting in a negative revenue growth rate. There is an improvement in net income, turning from a loss in the previous year to a positive net profit, which is a positive sign. The EBIT and EBITDA margins are healthy, reflecting solid operational efficiency.

Balance Sheet

The balance sheet reveals a moderate financial position with potential risks. The debt-to-equity ratio is high, suggesting significant leverage, which could pose risks if earnings do not improve. Return on equity has improved due to better net income, but the equity ratio is relatively low, indicating limited asset financing through equity. Overall, the company relies heavily on debt financing, which could impact financial stability.

Cash Flow

Cash flow statements indicate a stable cash flow situation with some growth in free cash flow. The operating cash flow to net income ratio is robust, showing effective cash earnings conversion. Free cash flow growth is slightly negative but remains positive overall, ensuring liquidity. Despite fluctuations in investing and financing cash flows, the company maintains a solid cash flow position.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	54.56M	60.54M	25.95M	42.51M	46.86M
Gross Profit	40.62M	41.48M	6.28M	24.96M	25.84M
EBITDA	25.66M	9.87M	27.32M	22.06M	16.68M
Net Income	2.45M	-7.74M	13.22M	7.24M	3.67M
Balance Sheet
Total Assets	314.04M	360.30M	492.83M	376.43M	335.98M
Cash, Cash Equivalents and Short-Term Investments	40.13M	52.99M	52.71M	44.77M	38.20M
Total Debt	236.72M	280.36M	293.97M	207.41M	185.59M
Total Liabilities	241.43M	286.81M	407.74M	317.92M	282.59M
Stockholders Equity	72.61M	73.48M	85.09M	58.51M	53.39M
Cash Flow
Free Cash Flow	8.24M	8.30M	11.95M	4.39M	1.73M
Operating Cash Flow	9.33M	9.21M	12.68M	4.81M	1.83M
Investing Cash Flow	24.39M	11.72M	-84.23M	-37.73M	68.17M
Financing Cash Flow	-46.58M	-20.65M	79.49M	39.49M	-52.89M

EarlyPay Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.20
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:EPY, the sentiment is Positive. The current price of 0.2 is below the 20-day moving average (MA) of 0.20, below the 50-day MA of 0.21, and below the 200-day MA of 0.20, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 59.64 is Neutral, neither overbought nor oversold. The STOCH value of 77.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:EPY.

EarlyPay Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	C$15.12B	7.06	23.28%	5.39%	33.61%	-23.38%
EPY	60 Neutral	AU$54.44M	33.33	2.31%	1.45%	-5.36%	―
6DR	―	€34.73M	―	-26.78%	―	―	―
MME	53 Neutral	AU$108.01M	7.17	-13.74%	―	-14.61%	-325.81%
PNC	50 Neutral	AU$82.68M	―	-16.83%	―	-2.45%	-639.57%
BTN	47 Neutral	AU$38.41M	―	-85.47%	―	4.91%	-29.86%
WZR	46 Neutral	AU$39.06M	―	-20.13%	―	-5.95%	-9.84%

EarlyPay Limited Corporate Events

EarlyPay Limited Announces Director’s Interest Change

EarlyPay Limited has announced a change in the director’s interest, specifically involving James Beeson. The change involves the lapse of 709,614 performance rights due to unmet vesting conditions. This adjustment does not affect the number of shares held by Beeson indirectly through family and superannuation trusts. The update reflects the company’s adherence to regulatory requirements and transparency in its corporate governance practices.

The most recent analyst rating on (AU:EPY) stock is a Buy with a A$0.29 price target. To see the full list of analyst forecasts on EarlyPay Limited stock, see the AU:EPY Stock Forecast page.

EarlyPay Limited Announces Cessation of Securities

EarlyPay Limited announced the cessation of 2,460,384 securities due to the lapse of conditional rights, as the conditions were not met or became incapable of being satisfied. This development may impact the company’s capital structure and could have implications for its market positioning and stakeholder interests.

The most recent analyst rating on (AU:EPY) stock is a Buy with a A$0.29 price target. To see the full list of analyst forecasts on EarlyPay Limited stock, see the AU:EPY Stock Forecast page.

Earlypay Limited Announces Change of Registry Address

Earlypay Limited has announced a change in the location of its share registry office in Sydney, moving to 44 Martin Place. This change, effective from June 10, 2025, is part of the company’s ongoing operational adjustments. The relocation of the registry office is not expected to impact the company’s services or stakeholder relations, as contact numbers and postal addresses remain the same.

The most recent analyst rating on (AU:EPY) stock is a Buy with a A$0.29 price target. To see the full list of analyst forecasts on EarlyPay Limited stock, see the AU:EPY Stock Forecast page.

TIGA Trading Increases Stake in EarlyPay Limited

EarlyPay Limited has announced a change in the interests of a substantial holder, TIGA Trading Pty Ltd, which has increased its voting power from 12.88% to 14.43% by acquiring additional shares. This change, involving a market purchase of over a million shares, signifies a strengthened position for TIGA Trading in EarlyPay, potentially impacting the company’s strategic decisions and stakeholder interests.

The most recent analyst rating on (AU:EPY) stock is a Buy with a A$0.29 price target. To see the full list of analyst forecasts on EarlyPay Limited stock, see the AU:EPY Stock Forecast page.

Thorney Opportunities Increases Stake in EarlyPay Limited

EarlyPay Limited, a company listed on the ASX, has experienced a change in the interests of a substantial holder, Thorney Opportunities Ltd, which now holds a 14.43% voting power in the company, up from 12.88%. This increase in shares, through market purchases by Thorney Investment Group entities, suggests a strategic move by Thorney to strengthen its position in EarlyPay, potentially impacting the company’s market dynamics and stakeholder interests.

The most recent analyst rating on (AU:EPY) stock is a Buy with a A$0.29 price target. To see the full list of analyst forecasts on EarlyPay Limited stock, see the AU:EPY Stock Forecast page.

Solvar Limited Acquires Substantial Stake in EarlyPay Limited

EarlyPay Limited has announced that Solvar Limited has become a substantial holder in the company, acquiring a significant voting power of 19.9% through the purchase of 54,169,609 ordinary fully paid shares. This acquisition, valued at $11,917,314, grants Solvar Limited the power to control, vote, and dispose of these securities, potentially impacting EarlyPay’s corporate governance and strategic direction.

The most recent analyst rating on (AU:EPY) stock is a Buy with a A$0.29 price target. To see the full list of analyst forecasts on EarlyPay Limited stock, see the AU:EPY Stock Forecast page.

Solvar Limited Acquires 19.9% Stake in Earlypay Limited

Solvar Limited has acquired a 19.9% stake in Earlypay Limited, a provider of working capital finance to Australian SMEs. This strategic acquisition aligns with Solvar’s strategy to expand into underserviced markets, providing the company exposure to large commercial markets adjacent to its core operations.

The most recent analyst rating on (AU:EPY) stock is a Buy with a A$0.29 price target. To see the full list of analyst forecasts on EarlyPay Limited stock, see the AU:EPY Stock Forecast page.

COG Financial Services Ceases Substantial Holding in EarlyPay Limited

EarlyPay Limited, a company listed on the Australian Securities Exchange (ASX: EPY), has announced that COG Financial Services Limited (ASX: COG) has ceased to be a substantial holder in the company as of May 22, 2025. This change occurred through on-market sales totaling $12,759,796.78, affecting a total of 58,382,023 ordinary shares. The announcement indicates a significant shift in the shareholding structure of EarlyPay Limited, which could have implications for its market positioning and stakeholder dynamics.

The most recent analyst rating on (AU:EPY) stock is a Buy with a A$0.29 price target. To see the full list of analyst forecasts on EarlyPay Limited stock, see the AU:EPY Stock Forecast page.

Earlypay Reports Lower FIU, Revises FY25 Outlook Amid Potential Corporate Changes

Earlypay Limited has reported a lower-than-expected performance in its Invoice Finance Funds in Use (FIU) for the second half of the fiscal year, attributed to reduced usage by existing clients and increased attrition. Despite this, new client settlements are anticipated to bolster income in the upcoming fiscal year, while Equipment Finance FIU is experiencing steady growth. The company has successfully repaid its corporate debt, leaving it debt-free at the corporate level. However, the revised outlook for FY25 shows a decrease in the expected Underlying Earnings Per Share due to the lower FIU. Earlypay is exploring options to maximize shareholder value with surplus capital and is engaged in discussions regarding a potential change in control transaction, though no guarantees have been made.

The most recent analyst rating on (AU:EPY) stock is a Buy with a A$0.29 price target. To see the full list of analyst forecasts on EarlyPay Limited stock, see the AU:EPY Stock Forecast page.

Earlypay Limited Announces Director Departure

Earlypay Limited has announced the cessation of Susan Healy as a director, effective April 24, 2025. Susan Healy held 101,255 fully paid ordinary shares directly and an additional 667,480 shares through Serk Investments Pty Ltd as a beneficiary of the Healy SMSF. This change in directorship may impact the company’s governance structure and could have implications for its strategic direction.

Earlypay Limited Announces Board Resignation and Leadership Transition

Earlypay Limited announced the resignation of Ms. Susan Healy from its Board, where she served since 2012 and contributed significantly as Chair of the Remuneration and Nomination Committee and a member of the Audit and Risk Committee. Her departure marks a transition in leadership roles, with Stephen White stepping in as the new Chair of the Remuneration and Nomination Committee, potentially impacting the company’s governance and strategic direction.