Korvest Ltd. (KOV) AI Stock Analysis

• Market Cap: AU$164.59M
• Dividend Yield: 4.48%
• Average Volume (3M): 5.64K
• Price to Earnings (P/E): 12.4
• Beta (1Y): 0.35
• Revenue Growth: 16.21%
• EPS Growth: 18.21%
• Country: AU
• Employees: 246
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 0.77
• Shares Outstanding: 11,832,588
• 10 Day Avg. Volume: 3,226
• 30 Day Avg. Volume: 5,637
• PEG Ratio: 0.55
• Price to Book (P/B): 2.13
• Price to Sales (P/S): 1.08
• P/FCF Ratio: 8.63
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 1.03
• Revenue Forecast (FY): AU$111.70M

• Rating: 79 Outperform
• Price Target: AU$16.00 ▲(14.20% Upside)

Korvest Ltd. achieves a strong overall stock score driven by robust financial performance and solid valuation metrics. The technical analysis supports a positive outlook with upward price trends. The absence of earnings call data and corporate events does not detract from the company's strong fundamentals.

Positive Factors

Revenue Growth

Record revenue indicates strong market demand and effective sales strategies, enhancing long-term growth prospects and competitive positioning.

Cash Generation

Strong cash generation supports investment in growth opportunities and provides a buffer against economic downturns, ensuring financial stability.

Market Position

A strong market position in key sectors enhances Korvest's ability to leverage its brand and scale operations, supporting sustained competitive advantage.

Negative Factors

Operational Challenges

Operational disruptions can lead to revenue loss and increased costs, potentially affecting profitability and customer satisfaction if not managed effectively.

Debt Increase

Rising debt levels can strain financial resources and limit flexibility, posing risks to long-term financial health if not managed prudently.

Cost Management

Declining EBIT suggests challenges in controlling costs, which could impact profitability if not addressed through improved operational efficiencies.

Korvest Ltd. Business Overview & Revenue Model

Company Description

Korvest Ltd. (KOV) is an Australian company specializing in the manufacturing and distribution of a diverse range of industrial products and solutions. Operating primarily in the sectors of corrosion protection, metal fabrication, and electrical equipment, Korvest provides services that cater to various industries, including construction, mining, and infrastructure. The company's core products include hot-dip galvanized steel products, steel fabrication services, and electrical enclosures, which are designed to meet the specific needs of its clients.

How the Company Makes Money

Korvest Ltd. generates revenue through several key streams, primarily from the sale of its industrial products and services. The company's main revenue comes from its hot-dip galvanizing operations, where it charges clients for treating steel products to prevent corrosion, making them more durable and longer-lasting. Additionally, Korvest earns income from custom steel fabrication services, which involve creating tailored solutions for clients in various sectors. The company also generates revenue through the sale of electrical enclosures and related products. Strategic partnerships with industry players and strong relationships with key customers play a significant role in driving sales and expanding market reach. Furthermore, Korvest benefits from ongoing maintenance contracts and repeat business from satisfied clients, contributing to its overall financial stability.

Korvest Ltd. Financial Statement Overview

Summary

Korvest Ltd. exhibits strong financial health with consistent revenue growth, solid profitability, and effective cash flow management. The company maintains a low leverage position, enhancing its financial stability. Minor areas for improvement include operational efficiency and cash flow consistency.

Income Statement

Korvest Ltd. demonstrates strong revenue growth with a 17.16% increase in the latest year, supported by solid gross and net profit margins of 38.32% and 11.00% respectively. The EBIT and EBITDA margins are healthy at 12.55% and 15.27%, indicating efficient operational management. However, slight fluctuations in EBIT over the years suggest potential areas for operational improvement.

Balance Sheet

The company's balance sheet is robust with a low debt-to-equity ratio of 0.16, indicating prudent financial leverage. The equity ratio stands at 67.27%, reflecting a strong equity base. While the return on equity has decreased from previous years, it remains competitive, suggesting effective use of shareholder funds.

Cash Flow

Korvest Ltd. shows impressive free cash flow growth of 134.29%, highlighting strong cash generation capabilities. The operating cash flow to net income ratio is stable at 1.03, and the free cash flow to net income ratio is 0.80, indicating efficient cash conversion. However, historical fluctuations in free cash flow growth suggest potential volatility in cash flow management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	119.61M	119.57M	102.89M	107.48M	99.22M	69.79M
Gross Profit	45.86M	45.82M	40.27M	39.65M	36.01M	27.69M
EBITDA	21.80M	18.26M	15.46M	17.96M	15.17M	9.47M
Net Income	13.16M	13.16M	11.04M	11.18M	11.34M	6.05M
Balance Sheet
Total Assets	90.38M	90.38M	79.55M	70.66M	65.91M	56.52M
Cash, Cash Equivalents and Short-Term Investments	13.30M	13.30M	7.06M	9.21M	3.83M	6.96M
Total Debt	9.88M	9.88M	9.48M	5.19M	5.47M	6.23M
Total Liabilities	29.56M	29.56M	26.10M	21.62M	22.09M	20.60M
Stockholders Equity	60.82M	60.82M	53.45M	49.04M	43.83M	35.92M
Cash Flow
Free Cash Flow	15.00M	15.00M	5.84M	13.08M	1.88M	4.17M
Operating Cash Flow	18.69M	18.69M	10.35M	14.94M	3.99M	6.51M
Investing Cash Flow	-3.63M	-3.63M	-4.44M	-1.81M	-1.18M	-2.31M
Financing Cash Flow	-8.82M	-8.82M	-8.06M	-7.75M	-5.94M	-3.98M

Korvest Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.01
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:KOV, the sentiment is Positive. The current price of 14.01 is above the 20-day moving average (MA) of 13.85, above the 50-day MA of 13.46, and above the 200-day MA of 11.63, indicating a bullish trend. The MACD of 0.16 indicates Positive momentum. The RSI at 56.47 is Neutral, neither overbought nor oversold. The STOCH value of 18.61 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:KOV.

Korvest Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KOV	79 Outperform	AU$164.59M	12.42	23.03%	4.48%	16.21%	18.21%
CLX	71 Outperform	AU$184.04M	12.51	11.37%	4.63%	1.33%	-11.07%
MXI	66 Neutral	AU$131.09M	16.92	8.32%	2.61%	9.53%	173.53%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
SLH	60 Neutral	―	―	―	―	11.01%	-106.43%
VEE	57 Neutral	AU$119.60M	36.71	5.66%	1.28%	-14.88%	-56.89%
AL3	41 Neutral	AU$93.93M	-10.26	-35.18%	―	0.88%	4.88%

Korvest Ltd. Corporate Events

Korvest Ltd Announces Director’s Interest Change

Korvest Ltd has announced a change in the director’s interest, with Steven McGregor acquiring 12,313 additional performance rights, bringing his total to 45,722. This change, approved at the Annual General Meeting, reflects the company’s ongoing commitment to aligning director interests with corporate performance, potentially impacting stakeholder confidence and company operations.

Korvest Ltd Announces Director’s Interest Change

Korvest Ltd has announced a change in the director’s interest, with Christian Hartwig acquiring 13,870 performance rights, increasing his total to 48,721. This change, approved at the Annual General Meeting, reflects the company’s ongoing efforts to align management interests with shareholder value, potentially impacting stakeholder confidence positively.

Korvest Ltd Issues Unquoted Performance Rights to Employees

Korvest Ltd announced the issuance of 53,303 performance rights under an employee incentive scheme, which are not intended to be quoted on the ASX. This move is part of the company’s strategy to incentivize its workforce, potentially enhancing employee engagement and aligning their interests with the company’s growth objectives.

Korvest Ltd Director Sells Shares to Cover Tax Liability

Korvest Ltd has announced a change in the director’s interest, with Christian Hartwig selling 13,193 ordinary shares at $13.10 per share. This sale represents 47% of the shares issued under the Executive Share Plan in July 2022, and it was conducted to fund a tax liability incurred in the FY25 tax year. The transaction reflects a strategic financial decision by the director, which could influence the company’s stock market perception and stakeholder confidence.

Korvest Ltd. AGM: All Resolutions Passed with Strong Support

Korvest Ltd. held its Annual General Meeting on October 31, 2025, where all resolutions were passed. The meeting included the adoption of the remuneration report, re-election of a director, and approval of performance rights for key executives. The results indicate strong shareholder support for the company’s leadership and strategic direction, which may positively impact its operational stability and stakeholder confidence.

Korvest Ltd. Achieves Record Revenue in 2025 Amid Operational Challenges

Korvest Ltd. reported record revenue of $119.6 million and an after-tax profit of $13.2 million for the financial year 2025, driven by strong performances from both EzyStrut and Korvest Galvanisers. Despite challenges such as a significant operational issue in the galvanizing plant, which led to 17 days of lost production, the company managed to recover most costs through insurance, minimizing the impact on profits. EzyStrut experienced a flat first half due to the completion of major projects but rebounded in the second half with new projects, including one with a compressed delivery schedule, showcasing the company’s adaptability and project management capabilities.

Korvest Ltd Director Adjusts Shareholding to Address Tax Liability

Korvest Ltd announced a change in the director’s interest, with Christian Hartwig disposing of 12,189 ordinary shares at $13.02 per share. This sale, accounting for 47% of shares issued under the Executive Share Plan in July 2023, was conducted to address a tax liability arising in the current tax year. The transaction reflects a strategic financial decision by the director and may have implications for the company’s governance and shareholder perceptions.

Korvest Ltd’s 2025 Annual Report Highlights Strong Market Position and Growth Potential

Korvest Ltd has released its 2025 Annual Report, highlighting its continued commitment to Australian manufacturing and job support. The report underscores the company’s strong market presence in the cable and pipe support and galvanising sectors, with a strategic focus on delivering integrated solutions that meet both Australian and international standards. The company’s ability to scale operations and its national distribution network position it well for future growth, benefiting stakeholders and reinforcing its industry standing.

Korvest Ltd Announces 2025 Annual General Meeting

Korvest Ltd has announced its Annual General Meeting (AGM) scheduled for October 31, 2025, in Adelaide, where shareholders will review the company’s financial statements and consider the adoption of the remuneration report for the year ended June 30, 2025. The meeting will address key resolutions, including the advisory vote on the remuneration report, which, while not binding, reflects shareholder sentiment on executive compensation, potentially influencing future company policies.