Magontec Limited (MGL) AI Stock Analysis

• Market Cap: AU$11.96M
• Dividend Yield: 2.79%
• Average Volume (3M): 19.41K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.11
• Revenue Growth: -29.47%
• EPS Growth: -2033.87%
• Country: AU
• Employees: 339
• Sector: Basic Materials
• Sector Strength: 68
• Industry: Industrial Materials
• EPS (TTM): -0.12
• Shares Outstanding: 56,961,826
• 10 Day Avg. Volume: 33,306
• 30 Day Avg. Volume: 19,415
• PEG Ratio: -0.05
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 7.36
• 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

• Rating: 53 Neutral
• Price Target: AU$0.00 ▼(-100.00%Downside)

The stock score is primarily influenced by financial performance challenges, including declining revenues and negative cash flow, which weigh heavily on the score. Technical indicators provide some stability but are not enough to offset valuation concerns due to a negative P/E ratio.

Magontec Limited Business Overview & Revenue Model

Company Description

Magontec Limited, together with its subsidiaries, engages in the research, development, manufacture, and sale of generic and specialist alloys in Asia, the Americas, Europe, and internationally. The company manufactures and distributes magnesium and titanium cathodic corrosion protection (CCP) products, such as HyTonic anodes, Correx impressed current systems, CorroScout measuring systems, and S-Patron intelligent measuring and control systems for use in water storage vessels. It also recycles magnesium alloys. The company was formerly known as Advanced Magnesium Limited and changed its name to Magontec Limited in November 2011. Magontec Limited was founded in 1953 and is headquartered in Potts Point, Australia.

How the Company Makes Money

Magontec Limited makes money primarily through the production and sale of magnesium alloys and anodes. The company's revenue streams are diversified across its different product lines, including advanced magnesium alloys used in automotive and aerospace applications, as well as magnesium anodes used in water heater systems and other industrial applications. Magontec benefits from strategic partnerships with major global manufacturers, enabling it to secure long-term supply contracts and enhance its market reach. Additionally, the company's focus on sustainable and efficient production processes allows it to capitalize on the growing demand for eco-friendly materials, thus contributing positively to its earnings.

Magontec Limited Financial Statement Overview

Summary

Magontec Limited faces substantial challenges with declining revenues and profitability, as reflected in the negative net income and deteriorating cash flow. The balance sheet remains relatively solid, but the company's ability to return to growth and improve cash flow generation is critical for future stability.

Income Statement

The company's revenue has shown significant volatility, with a sharp decline in the most recent period. Gross profit margin and net profit margin have deteriorated, with net income turning negative. The decline in EBIT and EBITDA margins indicates operational challenges in the latest year.

Balance Sheet

The balance sheet exhibits a relatively healthy equity ratio, indicating strong equity financing. However, the decline in stockholders' equity and return on equity due to recent losses poses concerns about long-term sustainability.

Cash Flow

Cash flow from operations has significantly declined, leading to negative free cash flow in the latest year. The inability to generate positive operating cash flow raises concerns about financial stability and liquidity management.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
57.09M	102.36M	158.60M	115.15M	95.07M
	Gross Profit
9.51M	19.22M	28.90M	10.66M	4.31M
	EBIT
-5.30M	1.86M	23.75M	5.55M	207.00K
	EBITDA
-3.21M	3.21M	27.26M	10.08M	3.47M
	Net Income Common Stockholders
-9.52M	466.00K	16.52M	5.01M	-717.00K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.75M	13.14M	11.26M	4.64M	4.96M
	Total Assets
70.59M	85.17M	96.32M	82.51M	75.03M
	Total Debt
2.26M	4.42M	9.55M	12.02M	17.16M
	Net Debt
-5.49M	-8.72M	-1.71M	7.38M	12.20M
	Total Liabilities
20.59M	28.52M	40.20M	46.24M	46.13M
	Stockholders Equity
50.00M	56.65M	56.13M	36.27M	28.89M
Cash Flow		Free Cash Flow
-2.92M	7.43M	8.84M	4.94M	3.86M
	Operating Cash Flow
-996.00K	11.40M	10.75M	5.82M	4.54M
	Investing Cash Flow
-1.94M	-4.00M	-1.78M	-844.00K	-1.09M
	Financing Cash Flow
-2.85M	-5.54M	-2.35M	-5.66M	-2.79M

Magontec Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.21
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:MGL, the sentiment is Positive. The current price of 0.21 is above the 20-day moving average (MA) of 0.19, above the 50-day MA of 0.20, and above the 200-day MA of 0.21, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 52.66 is Neutral, neither overbought nor oversold. The STOCH value of 51.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:MGL.

Magontec Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AMC	68 Neutral	AU$32.81B	16.56	20.24%	5.64%	-1.42%	25.16%
IGO	64 Neutral	$3.23B	1,418.92	-36.53%	11.24%	-28.50%	-532.61%
ASB	54 Neutral	$2.60B	79.97	2.82%	―	3.23%	402.60%
MGL	53 Neutral	AU$11.96M	―	-17.85%	2.79%	-29.47%	-2033.87%
Sector *	51 Neutral	$2.04B	-1.15	-21.24%	3.95%	2.91%	-30.44%
NMT	40 Underperform	$66.17M	―	-46.99%	―	―	-23.51%

Magontec Limited Corporate Events

Magontec Limited Announces Director’s Interest Change

Magontec Limited announced a change in the director’s interest, specifically regarding Nicholas William Andrews. The change involves an increase in unlisted performance rights, which are part of Mr. Andrews’ variable remuneration package approved at the recent AGM. This adjustment in securities holdings reflects the company’s ongoing commitment to aligning executive compensation with performance metrics, potentially impacting stakeholder perceptions positively.

Magontec Limited’s AGM Highlights Strategic Focus and Shareholder Alignment

Magontec Limited held its 42nd Annual General Meeting, where key topics included the approval of a share buyback from Qinghai Salt Lake Magnesium Co Ltd and the company’s strategic focus for 2025. The meeting also covered formal business such as the adoption of the remuneration report and the re-election of a director, with no objections or questions raised by shareholders, indicating smooth proceedings and shareholder alignment with the company’s direction.

Magontec Limited Announces Successful AGM Resolutions

Magontec Limited held its Annual General Meeting on May 7, 2025, where all resolutions were passed by a poll. The successful resolutions included the re-election of directors and the approval of performance rights for the Executive Director and CEO, indicating strong shareholder support and potentially positive implications for the company’s governance and strategic direction.

Magontec Restructures Shareholding, Eyes Future Growth

Magontec Limited’s recent AGM highlighted a significant shift in its shareholder structure following the buyback and cancellation of shares held by Qinghai Salt Lake Magnesium Co Ltd, reducing shares by 28.5% and increasing ownership for remaining shareholders by 40%. This strategic move allows the company to focus on future business activities, despite a slight decline in gross profit for the first quarter of 2025 compared to the previous year.

Magontec Limited Issues Proxy Form for 2025 AGM

Magontec Limited has issued a proxy form for its 2025 Annual General Meeting, emphasizing the importance of shareholder participation in the voting process. The document outlines the procedures for appointing a proxy, either online or by completing the form, and provides instructions for directing proxies on how to vote on various resolutions, including the adoption of the remuneration report and the re-election of directors.

Magontec Limited Announces 2025 AGM Details

Magontec Limited has announced its 2025 Annual General Meeting (AGM), which will take place in person on May 7, 2025, at Cliftons Event Solutions in Sydney. The meeting will cover the financial report for the year ended December 31, 2024, and include votes on several resolutions, such as the re-election of directors and the approval of performance rights for the Executive Chairman. Shareholders are encouraged to attend in person or appoint a proxy to vote on their behalf.

Magontec Limited Announces 2025 AGM Details

Magontec Limited has announced its 2025 Annual General Meeting (AGM), scheduled for May 7, 2025, at 11:00 am AEST. Shareholders will receive AGM materials, including the Notice of Annual General Meeting and a proxy voting form, either by physical post or electronic mail. The meeting will be held at Cliftons Events Solutions in Sydney, and shareholders can participate in person or cast their votes prior to the meeting through mail, online, or via smartphone.