tiprankstipranks
Trending News
More News >
Humm Group Limited (AU:HUM)
ASX:HUM

Humm Group Limited (HUM) AI Stock Analysis

Compare
14 Followers

Top Page

AU

Humm Group Limited

(Sydney:HUM)

56Neutral
Humm Group Limited's overall stock score reflects a mixed financial performance, with challenges in revenue growth and high leverage. Although technical indicators show short-term bullish momentum, underlying weaknesses are suggested by negative MACD. The stock's value proposition is supported by an attractive P/E ratio and high dividend yield, which could appeal to value-oriented investors.

Humm Group Limited (HUM) vs. S&P 500 (SPY)

Humm Group Limited Business Overview & Revenue Model

Company DescriptionHumm Group Limited (HUM) is a financial services company based in Australia, specializing in providing consumer finance solutions. The company operates in sectors such as retail finance, commercial leasing, and personal loans. Humm Group offers a range of products, including buy now, pay later (BNPL) services, interest-free installment plans, credit cards, and personal loans, catering to both consumers and small to medium-sized enterprises (SMEs).
How the Company Makes MoneyHumm Group Limited generates revenue primarily through its consumer finance solutions. Key revenue streams include fees and charges associated with its buy now, pay later (BNPL) services, where customers can purchase goods and services and pay for them over time. Interest income from personal loans and credit cards also contributes to the company's earnings. Additionally, the company earns leasing and interest income from its commercial finance operations. Partnerships with retailers and businesses expand its customer base and facilitate the use of its financial products, further enhancing its revenue potential.

Humm Group Limited Financial Statement Overview

Summary
Humm Group Limited's financial position reflects mixed performance. Income stability is shadowed by declining revenue and high leverage. Cash flow challenges and reliance on financing raise concerns about operational sustainability. Risk management and revenue growth are crucial for future stability.
Income Statement
55
Neutral
Humm Group Limited has shown a decline in total revenue from 2023 to 2024, though there was a slight recovery in net income. The gross profit and EBIT margins remain consistent, indicating stable operational efficiency, but the negative revenue growth trajectory and fluctuating net profit margins suggest challenges in sustaining growth.
Balance Sheet
45
Neutral
The company maintains a high debt-to-equity ratio, indicating significant leverage, which could pose financial risk. The return on equity is improving, reflecting better use of shareholder funds. However, the equity ratio is low, highlighting potential vulnerability in asset financing.
Cash Flow
40
Negative
Humm Group faces challenges with negative operating and free cash flow, indicating cash management issues. The large financing cash inflow suggests reliance on external funding. Despite the negative free cash flow, there is a slight improvement in operating cash flow to net income ratio.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
272.60M243.70M248.00M292.90M311.00M244.40M
Gross Profit
272.60M243.70M248.00M292.90M311.00M244.40M
EBIT
169.30M140.70M147.10M180.10M199.90M134.70M
EBITDA
202.00M315.90M197.70M169.60M181.90M136.90M
Net Income Common Stockholders
40.40M7.10M2.90M-170.30M60.10M23.10M
Balance SheetCash, Cash Equivalents and Short-Term Investments
113.60M281.20M336.10M281.00M218.20M157.50M
Total Assets
5.27B5.42B4.77B3.77B3.30B3.05B
Total Debt
4.61B4.72B4.08B3.04B2.43B2.31B
Net Debt
4.49B4.44B3.75B2.76B2.21B2.15B
Total Liabilities
4.72B4.84B4.20B3.14B2.54B2.46B
Stockholders Equity
545.80M525.30M572.50M627.70M759.10M586.50M
Cash FlowFree Cash Flow
-108.40M-697.50M-900.70M-544.20M-139.70M106.80M
Operating Cash Flow
-89.60M-682.50M-882.70M-520.90M-110.60M138.50M
Investing Cash Flow
-17.30M-13.50M-18.00M-14.80M-31.30M-88.60M
Financing Cash Flow
15.20M640.90M952.90M600.90M203.40M-91.50M

Humm Group Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.53
Price Trends
50DMA
0.52
Positive
100DMA
0.57
Negative
200DMA
0.63
Negative
Market Momentum
MACD
<0.01
Negative
RSI
54.79
Neutral
STOCH
80.95
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:HUM, the sentiment is Positive. The current price of 0.53 is above the 20-day moving average (MA) of 0.50, above the 50-day MA of 0.52, and below the 200-day MA of 0.63, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.79 is Neutral, neither overbought nor oversold. The STOCH value of 80.95 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:HUM.

Humm Group Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUQBE
77
Outperform
$33.99B12.8117.21%3.82%6.01%31.57%
AUMFG
76
Outperform
€1.48B6.7723.27%7.95%-9.29%12.94%
AUSDF
75
Outperform
€6.54B27.9610.23%3.37%16.37%7.50%
AUMYS
66
Neutral
AU$666.21M12.927.25%5.58%14.46%-6.87%
AUCCP
63
Neutral
€947.49M8.8613.05%4.25%6.70%126.16%
61
Neutral
$6.98B11.362.87%3.90%2.65%-21.76%
AUHUM
56
Neutral
€260.99M7.767.81%5.18%16.13%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:HUM
Humm Group Limited
0.53
0.12
28.33%
AU:MFG
Magellan Financial Group Ltd
8.58
0.56
7.00%
AU:CCP
Credit Corp Group Limited
13.92
-0.38
-2.66%
AU:SDF
Steadfast Group Limited
5.93
0.42
7.60%
AU:QBE
QBE Insurance Group Limited
22.51
5.61
33.16%
AU:MYS
Mystate Limited
3.94
0.55
16.22%

Humm Group Limited Corporate Events

Humm Group Limited Reports Strong Q3 2025 Growth Amid Challenging Conditions
May 12, 2025

Humm Group Limited reported significant growth in its third-quarter update for 2025, with assets under management rising by 10% to $5.3 billion. Despite challenging economic conditions, the company maintained a stable net interest margin and improved its cost-to-income ratio. The consumer finance segment showed robust performance, driven by a 3% increase in volumes and a 10% rise in receivables. Strategic investments in IT modernization and a new hybrid loan platform are set to enhance product reliability and market competitiveness. The company is also optimizing operations in Canada and expanding its presence in the UK, with a focus on reducing losses and increasing market share.

Humm Group Limited Announces CEO Transition Amidst Strategic Growth
May 9, 2025

Humm Group Limited has announced the resignation of its CEO, Stuart Grimshaw, due to personal reasons, with Angelo Demasi stepping in as the new CEO. This leadership change comes as the company continues to navigate increased competition and expand its operations across five countries, with Demasi’s experience in strategy and transformation positioning him well to lead the company’s next phase of growth.

humm Group CEO Adjusts Role Amid Leadership Restructuring
Apr 14, 2025

humm Group Limited announced that CEO Stuart Grimshaw will reduce his working time for personal reasons, a decision made after careful consideration to align the needs of the company with those of the individual. Despite this change, the company expects no shift in focus or outcomes due to the strong leadership team in place. Rob Wright, previously Group Executive Consumer, will assume the role of Chief of Staff, reporting directly to Grimshaw, ensuring continued operational efficiency and leadership.

Humm Group Announces Share Registry Address Change
Apr 10, 2025

Humm Group Limited has announced a change in the address of its share registry office, effective from April 14, 2025, moving to MUFG Corporate Markets in Sydney. This relocation is part of the company’s operational adjustments and does not affect telephone numbers or postal addresses, ensuring continuity for stakeholders.

Humm Group Limited Announces Quotation of New Securities
Apr 8, 2025

Humm Group Limited has announced the application for quotation of 734,487 ordinary fully paid securities on the Australian Securities Exchange (ASX). This move is part of a dividend or distribution plan, potentially enhancing liquidity and investor engagement, which could strengthen the company’s market position and offer value to stakeholders.

Humm Group Announces Change in Company Secretary
Mar 28, 2025

Humm Group Limited announced the resignation of Mr. Paris George as Company Secretary, effective March 28, 2025, with Ms. Kimberly Sue continuing in the role. This change in company secretary may impact the company’s communication dynamics with the ASX, but it maintains continuity with Ms. Sue’s ongoing involvement.

Humm Group Updates Dividend Reinvestment Plan Price
Mar 18, 2025

Humm Group Limited has updated its previous dividend announcement, specifically adjusting the Dividend Reinvestment Plan (DRP) price. This update pertains to the dividend distribution for the six-month period ending December 31, 2024, with key dates including a record date of February 25, 2025, and an ex-date of February 24, 2025. This announcement is part of the company’s ongoing financial management and may impact shareholder decisions regarding dividend reinvestment.

Humm Group Appoints New Company Secretary
Mar 17, 2025

Humm Group Limited has announced the appointment of Ms. Kimberly Sue as a Company Secretary effective from March 17, 2025, while Mr. Paris George continues his role as a company secretary responsible for ASX communications. This appointment may enhance the company’s operational efficiency and strengthen its governance structure, potentially impacting its market positioning positively.

Humm Group Limited Declares Dividend for Six-Month Period
Feb 18, 2025

Humm Group Limited has announced a dividend distribution of AUD 0.0125 per share for its ordinary fully paid security, covering a six-month period ending on December 31, 2024. The ex-dividend date is set for February 24, 2025, with the record date on February 25, 2025, and payments scheduled for April 2, 2025. This announcement may impact shareholder satisfaction and market perception of Humm Group’s financial health, potentially influencing its stock market performance.

Humm Group Reports Stellar Half-Year Results with Significant Profit Surge
Feb 18, 2025

Humm Group Limited announced a remarkable financial performance for the first half of 2025, reporting a 119% increase in cash profit to $29.8 million and a 555% rise in statutory net profit. The company achieved a 14% growth in assets under management, leading to a 12.5% increase in gross income. The interim dividend increased by 67% compared to the previous year, reflecting strong shareholder returns. The introduction of a hybrid loan product in Australia, along with strategic investments in the UK, Ireland, and Canada, is expected to bolster long-term profitability and market expansion.

Humm Group Releases 1H25 Interim Results with Investment Risk Advisory
Feb 18, 2025

Humm Group Limited has released its 1H25 interim results presentation, emphasizing that it is not intended as financial advice or an investment offer. The presentation contains general information and urges investors to conduct their own assessments. The company disclaims any liability for reliance on the information provided and highlights investment risks associated with its securities. The release specifies legal restrictions on the distribution of the presentation in certain jurisdictions and clarifies that it does not constitute an offer or recommendation to buy or sell securities.

Humm Group Limited Releases 2025 Interim Financial Report
Feb 18, 2025

Humm Group Limited has released its interim financial report for the half-year ending December 31, 2024, reviewed by Ernst & Young. This report, compliant with Australian Accounting Standards and the Corporations Act, provides a general overview of the company’s activities and financial performance. The announcement reflects Humm Group’s transparency and commitment to regulatory compliance, potentially impacting its market positioning positively and informing stakeholders about its operational status.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.