Freelancer (FLN) AI Stock Analysis

• Market Cap: $121.75M
• Dividend Yield: N/A
• Average Volume (3M): 45.05K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.30
• Revenue Growth: -4.37%
• EPS Growth: -550.00%
• Country: AU
• Employees: 318
• Sector: Industrials
• Sector Strength: 94
• Industry: Specialty Business Services
• EPS (TTM): <0.01
• Shares Outstanding: 450,914,900
• 10 Day Avg. Volume: 37,239
• 30 Day Avg. Volume: 45,045
• PEG Ratio: 1.96
• Price to Book (P/B): 5.57
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 20.38
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 56 Neutral
• Price Target: AU$0.50 ▲(85.19%Upside)

Freelancer Ltd.'s stock score is driven by a mix of financial challenges and positive operational trends. The company's strong gross margins and improved cash flow position are significant positives, while the negative valuation metrics and declining revenues weigh heavily on the score. Technical analysis indicates some bullish momentum, but the valuation challenges and slower core growth remain significant factors.

Freelancer Business Overview & Revenue Model

Company Description

Freelancer (FLN) is a leading global online freelancing and crowdsourcing platform that connects employers and freelancers across various industries. The platform enables businesses to hire skilled freelancers for a wide range of projects, including software development, writing, design, marketing, and more. Freelancer provides a marketplace that facilitates the posting of jobs and offers tools for project management, communication, and payment processing.

How the Company Makes Money

Freelancer makes money primarily through commission fees charged on the transactions that occur on its platform. When an employer hires a freelancer, Freelancer charges a percentage of the total project cost as a fee. This fee structure applies to both the employer and the freelancer. Additionally, the company generates revenue through premium memberships that offer enhanced features and visibility, as well as through fees for additional services such as project promotion and skills certification. Freelancer also benefits from partnerships with other platforms and businesses that integrate or collaborate with its marketplace, expanding its reach and user base.

Freelancer Financial Statement Overview

Summary

Freelancer Ltd. faces challenges with declining revenue and net losses impacting profitability. Despite this, the company maintains strong gross margins and has improved its cash flow position, suggesting potential operational efficiencies. The moderate debt levels provide some financial stability, but the negative return on equity and revenue decline indicate ongoing growth challenges.

Income Statement

Freelancer Ltd. shows declining revenue with a negative net income trend over recent years, impacting the net profit margin negatively at -1.6% in the latest year. The gross profit margin is strong at 81.9%, indicating efficient cost management. However, the consistent decrease in revenue highlights growth challenges.

Balance Sheet

The debt-to-equity ratio is moderate at 0.54, indicating manageable leverage levels. However, the return on equity is negative due to the net losses, reflecting challenges in generating returns for shareholders. Equity ratio remains stable at approximately 27.3%.

Cash Flow

Freelancer Ltd. has shown significant improvement in free cash flow, with recent growth of 216.5%. The operating cash flow to net income ratio is unfavorable due to net losses, but the positive free cash flow indicates operational efficiency improvements.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	51.00M	53.33M	55.66M	57.42M	58.77M
Gross Profit	41.79M	44.24M	14.98M	17.04M	22.48M
EBITDA	54.00K	4.79M	-905.00K	1.78M	5.60M
Net Income	-814.00K	189.00K	-5.41M	-2.26M	-646.00K
Balance Sheet
Total Assets	83.96M	88.68M	97.05M	105.33M	103.69M
Cash, Cash Equivalents and Short-Term Investments	23.16M	21.15M	23.36M	30.32M	34.34M
Total Debt	12.40M	17.15M	21.20M	21.91M	25.01M
Total Liabilities	57.25M	61.86M	70.58M	74.00M	74.53M
Stockholders Equity	22.92M	23.15M	22.79M	27.66M	29.14M
Cash Flow
Free Cash Flow	5.75M	1.82M	-4.33M	-5.45M	7.66M
Operating Cash Flow	5.85M	1.87M	-4.18M	2.64M	7.91M
Investing Cash Flow	-92.00K	-53.00K	-149.00K	-8.09M	-249.00K
Financing Cash Flow	-4.96M	-4.20M	-3.85M	508.00K	-2.54M

Freelancer Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.27
• 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:FLN, the sentiment is Positive. The current price of 0.27 is above the 20-day moving average (MA) of 0.26, above the 50-day MA of 0.22, and above the 200-day MA of 0.19, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 61.29 is Neutral, neither overbought nor oversold. The STOCH value of 81.48 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:FLN.

Freelancer Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$11.14B	15.76	5.26%	2.01%	3.16%	-25.01%
KPG	62 Neutral	AU$489.88M	46.08	47.43%	0.08%	26.03%	220.33%
CUP	59 Neutral	AU$158.36M	35.58	4.83%	4.21%	46.62%	-49.62%
FLN	56 Neutral	$121.75M	―	-3.57%	―	-4.37%	-550.00%
STG	45 Neutral	AU$26.38M	―	-34.93%	―	-11.90%	-374.59%

Freelancer Corporate Events

Freelancer Limited Launches ADR Program to Boost U.S. Investment

Freelancer Limited has launched a sponsored Level 1 American Depositary Receipt (ADR) program with Deutsche Bank, trading under the ticker symbol FRLCY on the U.S. over-the-counter market. This initiative allows U.S. investors to invest in Freelancer Limited more easily by trading in U.S. dollars, enhancing the company’s global accessibility and supporting its mission to empower entrepreneurs and businesses worldwide. The ADR program is expected to simplify cross-border investment and align with Freelancer’s commitment to transparency and investor engagement.

Freelancer Limited Strengthens Leadership Team with Strategic Appointments

Freelancer Limited has announced key appointments to its global leadership team, enhancing its capabilities in enterprise sales, compliance, and corporate communications. These strategic hires include Ed Wong as Director of Enterprise Sales, Owen Smith as Head of Compliance, and Brent O’Halloran as Director of Communications. The appointments aim to bolster Freelancer’s market expansion, regulatory integrity, and global communications strategy, reflecting the company’s commitment to attracting top talent and empowering businesses and freelancers worldwide.

Freelancer Limited Announces Change in Director’s Shareholding

Freelancer Limited has announced a change in the director’s interest, with Robert Matthew Barrie acquiring an additional 80,846 fully paid ordinary shares through an on-market trade. This change reflects a slight increase in Barrie’s indirect holdings, potentially indicating confidence in the company’s future prospects.

Freelancer Limited Announces Change in Director’s Shareholding

Freelancer Limited has announced a change in the director’s interest, with Robert Matthew Barrie acquiring an additional 461,363 fully paid ordinary shares through an on-market trade. This change reflects a strategic move by the director, potentially indicating confidence in the company’s future prospects and stability, which may influence stakeholder perceptions and market positioning.

Freelancer Limited Corrects Director’s Interest Notice and Enhances Compliance Processes

Freelancer Limited has issued a correction to a previously lodged Appendix 3Y regarding a change in the director’s interest notice for Matt Barrie. The correction involves an adjustment in the number of securities acquired, which was initially misstated. Additionally, the company disclosed previously omitted trades involving shares held indirectly by Matt Barrie, attributing the oversight to a clerical error. Freelancer Limited has reviewed and enhanced its internal processes to prevent future occurrences and considers this an isolated incident, maintaining confidence in its compliance with ASX Listing Rules.

Freelancer Limited Announces Director’s Increased Shareholding

Freelancer Limited announced a change in the director’s interest, with Robert Matthew Barrie acquiring an additional 737,226 fully paid ordinary shares through an on-market trade. This change reflects a slight increase in Barrie’s direct holdings, potentially signaling confidence in the company’s future performance and stability, which could impact stakeholder perceptions positively.

Freelancer Joins NASA’s NOIS3 Panel to Tackle Space Challenges

Freelancer Limited has been selected as one of 25 suppliers on NASA’s Open Innovation Services 3 (NOIS3) multi-vendor panel, allowing the company to provide crowdsourcing and open-innovation services to NASA and other U.S. government agencies. This inclusion signifies an expansion of Freelancer’s role in solving complex space-exploration challenges and enhances its industry positioning by leveraging its global marketplace and enterprise services. The contract, managed by NASA’s Johnson Space Center, has a total panel ceiling of $475 million and includes options for extension up to 2035.

Freelancer Limited Announces Director’s Shareholding Update

Freelancer Limited has announced a change in the director’s interest, specifically regarding Robert Matthew Barrie’s holdings. The change involves an acquisition of 25,641 fully paid ordinary shares through an on-market trade, impacting his holdings in Taipan Investment Management Pty Ltd. This adjustment in shareholding reflects ongoing strategic financial management within the company, potentially influencing investor perceptions and market dynamics.

Freelancer Limited: Leading the Future of Employment and Commerce

Freelancer Limited has been recognized as the Internet’s gold standard for employment by winning its 13th Webby Award, highlighting its strong industry positioning. The company continues to lead globally in escrow services and labor platforms, facilitating billions in payments and job connections, and is expanding its heavy haulage services to a global scale, reinforcing its commitment to powering labor, payments, and freight.