Hitech Group Australia Limited (HIT) AI Stock Analysis

• Market Cap: AU$67.68M
• Dividend Yield: 6.25%
• Average Volume (3M): 8.53K
• Price to Earnings (P/E): 10.6
• Beta (1Y): -0.07
• Revenue Growth: 6.72%
• EPS Growth: 5.68%
• Country: AU
• Employees: 16
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 0.07
• Shares Outstanding: 42,300,000
• 10 Day Avg. Volume: 2,690
• 30 Day Avg. Volume: 8,525
• PEG Ratio: 1.48
• Price to Book (P/B): 5.82
• Price to Sales (P/S): 0.99
• P/FCF Ratio: 27.88
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: AU$2.00 ▲(25.00% Upside)

Hitech Group Australia Limited's strong financial performance and attractive valuation are the primary drivers of its stock score. However, weak technical indicators suggest caution in the short term. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for HIT's services, supporting long-term business expansion and market presence.

Balance Sheet Health

A low debt-to-equity ratio reflects financial prudence, providing HIT with flexibility to invest in growth opportunities without excessive risk.

Profitability

High return on equity highlights effective management and strong profitability, enhancing shareholder value over the long term.

Negative Factors

Free Cash Flow Decline

The decline in free cash flow growth may limit HIT's ability to fund new projects or return capital to shareholders, impacting future growth.

Gross Profit Margin Pressure

Decreasing gross profit margins suggest rising costs, which could erode profitability if not managed effectively, impacting long-term margins.

Cash Flow Conversion

Weak cash flow conversion may hinder HIT's ability to reinvest in the business or manage financial obligations, affecting liquidity.

Hitech Group Australia Limited Business Overview & Revenue Model

Company Description

Hitech Group Australia Limited (HIT) is a diversified company based in Australia that focuses on providing innovative technology solutions across various sectors, including telecommunications, information technology, and digital services. The company specializes in delivering high-quality products and services designed to enhance operational efficiency and connectivity for businesses and consumers alike. HIT's core offerings encompass software development, IT consulting, and telecommunications infrastructure, positioning it as a key player in the Australian technology landscape.

How the Company Makes Money

Hitech Group Australia Limited generates revenue through multiple channels, primarily by offering software solutions and IT consulting services to businesses across various industries. The company operates on a project-based revenue model, where earnings are derived from contracts for custom software development, system integration, and ongoing IT support services. Additionally, HIT earns revenue through the sale of telecommunications infrastructure and related services, including installation and maintenance. Strategic partnerships with other technology firms and service providers further enhance HIT's capabilities, allowing the company to offer comprehensive solutions that drive additional revenue streams. The demand for digital transformation and enhanced connectivity in the market also significantly contributes to the company's earnings potential.

Hitech Group Australia Limited Financial Statement Overview

Summary

Hitech Group Australia Limited demonstrates strong financial health with consistent revenue growth and profitability. The balance sheet is robust with low leverage and high return on equity. However, the decline in free cash flow growth highlights potential challenges in cash flow management.

Income Statement

Hitech Group Australia Limited has demonstrated consistent revenue growth over the years, with a notable 5.98% increase in the latest period. The company maintains healthy profit margins, with a net profit margin of 9.42% and an EBIT margin of 12.71%. However, the slight decline in gross profit margin from the previous year indicates potential cost pressures.

Balance Sheet

The company exhibits strong financial stability with a low debt-to-equity ratio of 0.038, indicating minimal leverage. The return on equity is impressive at 55.15%, showcasing efficient use of equity to generate profits. The equity ratio stands at a solid 63.68%, reflecting a strong equity base relative to total assets.

Cash Flow

Despite a significant decline in free cash flow growth by 45.60%, the company maintains a robust free cash flow to net income ratio of 0.90, indicating effective cash generation relative to net income. The operating cash flow to net income ratio of 0.43 suggests room for improvement in converting income into cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	67.71M	67.71M	63.45M	74.36M	62.98M	42.05M
Gross Profit	12.66M	12.66M	12.81M	10.99M	9.30M	7.06M
EBITDA	8.70M	8.70M	8.59M	7.63M	6.76M	5.21M
Net Income	6.38M	6.38M	6.03M	5.44M	4.40M	3.64M
Balance Sheet
Total Assets	18.17M	18.17M	17.27M	15.36M	12.97M	11.10M
Cash, Cash Equivalents and Short-Term Investments	9.65M	9.65M	12.11M	10.58M	10.01M	6.61M
Total Debt	445.89K	445.89K	1.35M	2.42M	148.57K	250.47K
Total Liabilities	6.60M	6.60M	7.85M	7.75M	5.54M	4.79M
Stockholders Equity	11.57M	11.57M	9.42M	7.61M	7.43M	6.32M
Cash Flow
Free Cash Flow	2.41M	2.41M	6.42M	6.18M	7.47M	2.68M
Operating Cash Flow	2.68M	2.68M	6.46M	6.19M	7.49M	2.88M
Investing Cash Flow	-264.83K	-264.83K	-35.77K	-76.45K	-59.22K	-225.64K
Financing Cash Flow	-4.87M	-4.87M	-4.90M	-5.54M	-4.03M	-3.65M

Hitech Group Australia Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:HIT, the sentiment is Negative. The current price of 1.6 is below the 20-day moving average (MA) of 1.61, below the 50-day MA of 1.66, and below the 200-day MA of 1.69, indicating a bearish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 35.91 is Neutral, neither overbought nor oversold. The STOCH value of 14.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:HIT.

Hitech Group Australia Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HIT	73 Outperform	AU$67.68M	10.60	60.81%	6.25%	6.72%	5.68%
ASH	70 Outperform	AU$29.52M	13.25	7.05%	5.20%	-7.29%	60.64%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
PPE	52 Neutral	AU$93.97M	-7.20	-8.39%	―	-6.45%	-364.91%
AD1	46 Neutral	AU$13.32M	-0.80	―	―	14.07%	-157.40%
HMI	38 Underperform	AU$6.56M	-4.81	-215.06%	―	-0.80%	-6.58%

Hitech Group Australia Limited Corporate Events

HiTech Group Australia Limited Secures Shareholder Approval at 2025 AGM

At the 2025 Annual General Meeting of HiTech Group Australia Limited, all proposed resolutions were approved by the shareholders. The re-election of Director George Shad and the Remuneration Report both received the necessary majority votes, indicating strong shareholder support for the company’s current leadership and compensation strategies.

HiTech Group Australia Reports Record FY2025 Results Amidst Challenging Market Conditions

HiTech Group Australia Limited reported record financial results for FY2025, with a significant increase in underlying NPAT and a strong balance sheet featuring zero debt. The company’s adaptable business model and strategic focus on ICT projects for government have positioned it well in the industry. Despite facing challenging trading conditions in the first half of FY2026 due to macroeconomic factors, HiTech has taken steps to mitigate margin erosion by securing new agreements and reducing costs. The company remains optimistic about future growth, supported by a substantial cash balance and partnerships with organizations prioritizing quality outcomes.

HiTech Group Australia Announces 2025 AGM Details

HiTech Group Australia Limited has announced its 2025 Annual General Meeting (AGM) scheduled for November 21, 2025, in Sydney. The AGM will address the re-election of director George Shad and the adoption of the remuneration report. Shareholders are encouraged to participate in the voting process, either in person or by proxy, with specific instructions provided for proxy appointments. The outcomes of the AGM are expected to influence the company’s governance and remuneration practices.

HiTech Group Australia Releases Updated Corporate Governance Statement

HiTech Group Australia Limited has released its corporate governance statement for the financial year ending June 30, 2025. The statement, which is available on their website and in their annual report, outlines the company’s adherence to the ASX Corporate Governance Council’s principles and recommendations. This announcement confirms that the governance statement is up to date as of September 17, 2025, and has been approved by the board, ensuring transparency and compliance with ASX listing rules.

HiTech Group Australia Limited Releases 2025 Annual Report

HiTech Group Australia Limited has released its Annual Report for 2025, highlighting its financial performance and corporate governance practices. The report provides insights into the company’s strategic direction and operational achievements, which are crucial for stakeholders to understand the company’s market positioning and future prospects.

HiTech Group Australia Limited Releases FY25 Results with Important Disclaimers

HiTech Group Australia Limited has released its FY25 results, emphasizing its commitment to providing comprehensive information to stakeholders. The company has issued a disclaimer regarding the accuracy and completeness of the information provided, advising recipients to conduct their own investigations. The release highlights the company’s adherence to legal requirements and cautions about the risks associated with securities transactions, emphasizing that the presentation is for informational purposes only and not an investment offer.