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Kip McGrath Education Centres Limited (AU:KME)
ASX:KME
Australian Market
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Kip McGrath Education Centres Limited (KME) AI Stock Analysis

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AU:KME

Kip McGrath Education Centres Limited

(Sydney:KME)

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Neutral 48 (OpenAI - 5.2)
Rating:48Neutral
Price Target:
AU$0.47
▼(-22.50% Downside)
Action:Reiterated
Date:11/18/25
The overall stock score of 48 reflects significant profitability challenges and bearish technical indicators. While the company has strong cash flow management and a conservative balance sheet, these strengths are overshadowed by negative net profit margins and a negative P/E ratio. The technical analysis suggests a bearish trend, further impacting the score.
Positive Factors
Conservative leverage
A low debt-to-equity ratio provides durable financial flexibility, lowering refinancing and solvency risk. For a franchise-based education operator this supports investment in franchisee training, marketing support and short-term subsidy during enrollment cycles, sustaining network stability.
Negative Factors
Negative net profitability
Persistently negative net margins erode retained earnings and limit the firm's ability to fund growth or returns from internal cash. Over the medium term this constrains franchise recruitment, slows reinvestment in digital tools, and increases vulnerability to demand shocks unless profitability is restored.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative leverage
A low debt-to-equity ratio provides durable financial flexibility, lowering refinancing and solvency risk. For a franchise-based education operator this supports investment in franchisee training, marketing support and short-term subsidy during enrollment cycles, sustaining network stability.
Read all positive factors

Kip McGrath Education Centres Limited (KME) vs. iShares MSCI Australia ETF (EWA)

Kip McGrath Education Centres Limited Business Overview & Revenue Model

Company Description
Kip McGrath Education Centres Limited is a global provider of English and Mathematics educational support, with operations spanning Australia, New Zealand, the United Kingdom, and numerous other international markets. The company specializes in of...
How the Company Makes Money
KME primarily makes money by operating a franchise system for Kip McGrath tutoring centres. Its key revenue streams typically include (1) ongoing franchise-related fees and/or royalties paid by franchisees for the right to operate under the Kip Mc...

Kip McGrath Education Centres Limited Financial Statement Overview

Summary
Kip McGrath Education Centres Limited exhibits strong cash flow management and a conservative balance sheet with low leverage. However, the company faces profitability challenges, as evidenced by negative net profit margins and return on equity. While operational efficiency is present, translating it into net profitability remains a key challenge.
Income Statement
45
Neutral
Balance Sheet
60
Neutral
Cash Flow
70
Positive
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue31.29M31.41M28.85M26.65M24.63M19.24M
Gross Profit14.11M17.37M10.63M10.18M9.67M8.09M
EBITDA8.86M3.82M6.99M6.71M6.21M5.12M
Net Income-4.17M-5.32M1.32M1.92M1.88M1.73M
Balance Sheet
Total Assets29.00M30.47M34.88M37.11M36.38M30.73M
Cash, Cash Equivalents and Short-Term Investments8.19M6.93M5.40M9.15M7.63M10.57M
Total Debt3.78M3.11M3.69M3.63M3.15M2.21M
Total Liabilities9.95M11.84M11.18M14.03M14.45M12.27M
Stockholders Equity19.05M18.64M23.70M23.08M21.92M18.46M
Cash Flow
Free Cash Flow6.63M5.93M-1.57M2.81M277.00K1.37M
Operating Cash Flow6.82M6.26M2.86M6.37M5.05M6.16M
Investing Cash Flow-1.57M-1.96M-4.44M-3.57M-6.96M-4.79M
Financing Cash Flow-2.63M-2.77M-2.18M-1.28M-1.04M-2.63M

Kip McGrath Education Centres Limited Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price0.60
Price Trends
50DMA
0.54
Negative
100DMA
0.54
Negative
200DMA
0.55
Negative
Market Momentum
MACD
-0.02
Negative
RSI
52.35
Neutral
STOCH
63.89
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:KME, the sentiment is Neutral. The current price of 0.6 is above the 20-day moving average (MA) of 0.51, above the 50-day MA of 0.54, and above the 200-day MA of 0.55, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 52.35 is Neutral, neither overbought nor oversold. The STOCH value of 63.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:KME.

Kip McGrath Education Centres Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
AU$131.90M10.5571.63%1.17%95.33%525.79%
62
Neutral
$20.33B14.63-3.31%3.23%1.93%-12.26%
58
Neutral
AU$81.87M66.670.87%-0.72%
48
Neutral
AU$27.44M-7.55-22.15%1.67%-3.90%-307.37%
43
Neutral
AU$9.95M-9.26-6.74%-2.94%66.11%
42
Neutral
AU$18.34M-2.62-34.51%-4.61%82.44%
38
Underperform
AU$3.70M-0.56-111.42%-3.52%55.08%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:KME
Kip McGrath Education Centres Limited
0.52
-0.03
-4.59%
AU:EDU
EDU Holdings Limited
1.05
0.73
224.07%
AU:NXD
iCollege Ltd.
0.08
-0.06
-41.43%
AU:AKG
Academies Australasia Group Limited
0.08
-0.03
-25.00%
AU:CLU
Cluey Ltd
0.01
-0.06
-85.71%
AU:3PL
3P Learning Ltd.
0.30
-0.34
-53.13%

Kip McGrath Education Centres Limited Corporate Events

Kip McGrath Continues Daily On-Market Share Buy-Back
Jun 30, 2026
Kip McGrath Education Centres Limited, an ASX-listed provider of tutoring and educational support services, runs a network of centres delivering structured academic programs to school-aged learners. Its ordinary fully paid shares trade under the c...
Director Anne Bell Builds Stake in Kip McGrath Education Centres
Jun 30, 2026
Kip McGrath Education Centres Limited has disclosed a change in director Anne Bell’s interests in the company’s securities. Over three trading days in late June 2026, Bell acquired 80,000 shares via on-market trades, paying a total con...
Kip McGrath Director Increases Indirect Shareholding
Jun 29, 2026
Kip McGrath Education Centres Limited has reported a change in director Damian Banks’ relevant interest in the company’s securities, reflecting an increase in his indirect shareholding via a superannuation structure. Following on-marke...
Kip McGrath Continues On-Market Share Buy-Back Program
Jun 25, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program for its ordinary fully paid shares, with a daily update noting that 42,865 shares were repurchased on the previous day. This takes the cumulative total bought...
Kip McGrath Director Lynne Lewis Increases Shareholding via On-Market Buy
Jun 25, 2026
Kip McGrath Education Centres Limited has reported a change in the shareholding of director Lynne Lewis, reflecting increased alignment between management and shareholders in the education services group. The disclosed transaction highlights ongoi...
Kip McGrath Reports Progress on Ongoing On-Market Share Buy-Back
Jun 24, 2026
Kip McGrath Education Centres Limited has updated the market on its ongoing on-market share buy-back of ordinary fully paid shares, confirming that a total of 4,142,092 securities had been repurchased prior to the latest trading day and a further ...
Kip McGrath Cancels 2.4 Million Shares in On-Market Buy-Back
May 28, 2026
Kip McGrath Education Centres Limited has cancelled 2,400,349 ordinary fully paid shares as part of an on-market share buy-back completed on May 25, 2026. The reduction in issued capital may improve key per-share metrics and signals management&#82...
Kip McGrath Updates Market on Progress of On‑Market Share Buy‑Back
May 26, 2026
Kip McGrath Education Centres Limited has provided an updated notification to the Australian Securities Exchange regarding its ongoing on-market share buy-back program for its ordinary fully paid shares. The latest daily report shows that a total ...
Kip McGrath Continues On-Market Share Buy-Back Program
May 24, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program, repurchasing 42,233 ordinary fully paid shares on the previous trading day, bringing the cumulative total bought back to 4,070,718 shares. The ongoing buy-ba...
Kip McGrath Reports Ongoing Progress in On-Market Share Buy-Back
May 22, 2026
Kip McGrath Education Centres Limited has updated the market on progress under its on-market share buy-back program for its ordinary fully paid shares. The company reported that it repurchased 72,000 shares in the previous trading day, bringing th...
Kip McGrath Updates Market on Progress of On‑Market Share Buy‑Back
May 21, 2026
Kip McGrath Education Centres Limited has updated the market on its ongoing on‑market share buy‑back program for its ordinary fully paid shares listed under the ASX code KME. The company reported that a total of 3,930,718 shares had be...
Kip McGrath updates market on ongoing on‑market share buy-back
May 12, 2026
Kip McGrath Education Centres Limited, an education services provider specializing in tutoring and learning support, continues to operate through its network of centres and related offerings for students. The company targets families seeking enhan...
Kip McGrath Continues On-Market Share Buy-Back Program
May 11, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program for its ordinary fully paid shares, as disclosed in an updated notification to the ASX. The latest update reports that a total of 3,455,718 shares had been re...
Kip McGrath Updates Market on Progress of On-Market Share Buy-Back
May 11, 2026
Kip McGrath Education Centres Limited has updated the market on its ongoing on-market share buy-back, confirming that it repurchased 65,000 ordinary fully paid shares on the previous day, bringing the total number of shares bought back to 3,390,71...
Kip McGrath Continues On-Market Share Buy-Back Program
May 8, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program, targeting its ordinary fully paid shares listed under the ASX code KME. The latest update, dated 8 May 2026, reports that the company has repurchased a total...
Kip McGrath Continues On-Market Share Buy-Back Program
May 6, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program for its ordinary fully paid shares listed on the ASX under the code KME. The latest daily notification reports that a total of 3,195,718 shares had been repur...
Kip McGrath Continues On‑Market Share Buy‑Back Program
May 5, 2026
Kip McGrath Education Centres Limited has continued its on‑market share buy-back program for its ordinary fully paid shares, with a total of 3,131,286 securities repurchased prior to the latest reporting day and a further 64,432 shares bough...
Kip McGrath Updates Market on Ongoing On-Market Share Buy-Back
Apr 30, 2026
Kip McGrath Education Centres Limited has updated the market on its ongoing on-market share buy-back program for its ordinary fully paid shares. The company reported that it repurchased 68,593 shares on the previous trading day, bringing the total...
Kip McGrath Continues On-Market Share Buy-Back Program
Apr 30, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program for its ordinary fully paid shares, with a daily update confirming that 8,248 shares were repurchased on the previous trading day. This brings the total numbe...
Kip McGrath Reports Daily Progress on Ongoing Share Buy-Back
Apr 23, 2026
Kip McGrath Education Centres Limited has updated the market on its ongoing on‑market share buy-back program for its ordinary fully paid shares listed under ASX code KME. The company reported that it repurchased 40,000 shares on the previous...
Kip McGrath Continues On‑Market Share Buy‑Back Program
Apr 22, 2026
Kip McGrath Education Centres Limited has provided an update on its ongoing on‑market share buy‑back program for its ordinary fully paid shares listed under the ASX code KME. As of 23 April 2026, the company reported that it had bought...
Kip McGrath Continues On-Market Share Buy-Back Program
Apr 21, 2026
Kip McGrath Education Centres Limited has provided an updated notification to the ASX regarding its ongoing on-market share buy-back of ordinary fully paid shares. The latest daily disclosure shows that, as of 22 April 2026, the company has bought...
Kip McGrath Updates Market on Ongoing On-Market Share Buy-Back
Apr 21, 2026
Kip McGrath Education Centres Limited is an education services provider specialising in tutoring and supplemental learning for school students, delivered via its branded centres network. The group targets families seeking additional academic suppo...
Kip McGrath Updates Market on Ongoing On-Market Share Buy-Back
Apr 16, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program, targeting its ordinary fully paid shares listed on the ASX. The company reported that a cumulative 2,771,582 shares had been repurchased before the previous ...
Kip McGrath Continues On-Market Share Buy-Back Program
Apr 15, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program for its ordinary fully paid shares, reporting that it repurchased 22,864 shares on the previous trading day. This brings the total number of shares bought bac...
Kip McGrath Continues On‑Market Share Buy‑Back Program
Apr 13, 2026
Kip McGrath Education Centres Limited, an education services provider specialising in tutoring and learning support for school-aged students, is listed on the ASX under the code KME. Its primary business revolves around structured programs designe...
Kip McGrath Updates Market on Ongoing On‑Market Share Buy‑Back
Apr 12, 2026
Kip McGrath Education Centres Limited has provided an update on its on‑market share buy‑back program for its ordinary fully paid shares listed on the ASX under code KME. The company disclosed that, as of the latest notification dated 1...
Kip McGrath Continues On-Market Share Buy-Back Program
Apr 8, 2026
Kip McGrath Education Centres Limited, an ASX-listed education services provider offering tutoring and learning support, trades under the ticker KME with ordinary fully paid shares. The company is currently conducting an on-market share buy-back p...
Kip McGrath Updates Market on Progress of On‑Market Share Buy‑Back
Apr 6, 2026
Kip McGrath Education Centres Limited has provided an updated notification to the ASX regarding its ongoing on‑market share buy‑back of ordinary fully paid shares under code KME. The company reported that, as of the latest daily update...
Kip McGrath Continues On-Market Share Buy-Back Program
Apr 1, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program, repurchasing ordinary fully paid shares under its existing mandate. The latest daily notification shows that the company bought back 70,000 shares on the pre...
Kip McGrath Continues On-Market Share Buy-Back Program
Apr 1, 2026
Kip McGrath Education Centres Limited, an education services provider specialising in tutoring and supplementary learning programs, serves students through a network of centres focused on improving academic outcomes. Its market focus is on persona...
Kip McGrath Updates Market on Progress of On-Market Share Buy-Back
Mar 31, 2026
Kip McGrath Education Centres Limited has continued its on-market share buy-back program, reporting that a total of 2,138,304 ordinary fully paid shares had been repurchased before the previous trading day. The company disclosed that a further 40,...
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: Nov 18, 2025