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Motorcycle Holdings Ltd. (AU:MTO)
ASX:MTO
Australian Market
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Motorcycle Holdings Ltd. (MTO) AI Stock Analysis

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AU:MTO

Motorcycle Holdings Ltd.

(Sydney:MTO)

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Neutral 69 (OpenAI - 4o)
Rating:69Neutral
Price Target:
AU$3.50
▲(5.42% Upside)
Motorcycle Holdings Ltd. demonstrates a solid financial foundation with consistent revenue growth and strong cash flow generation, contributing significantly to the overall score. The valuation is reasonable, supported by a decent P/E ratio and attractive dividend yield. Technical indicators show mixed signals, with no strong momentum, slightly impacting the score.

Motorcycle Holdings Ltd. (MTO) vs. iShares MSCI Australia ETF (EWA)

Motorcycle Holdings Ltd. Business Overview & Revenue Model

Company DescriptionMotorcycle Holdings Ltd. (MTO) is an Australian company specializing in the retail and distribution of motorcycles, parts, accessories, and related services. The company operates across multiple sectors within the motorcycle industry, focusing primarily on the sale of new and used motorcycles, as well as aftermarket products. MTO aims to provide a comprehensive range of services that cater to motorcycle enthusiasts and everyday riders alike, ensuring they have access to quality products and expert support.
How the Company Makes MoneyMotorcycle Holdings Ltd. generates revenue through several key streams, primarily from the sale of new and used motorcycles, which constitutes a significant portion of its earnings. The company also profits from the sale of motorcycle parts and accessories, which includes aftermarket products that enhance the riding experience. Additionally, MTO offers servicing and maintenance for motorcycles, contributing to its revenue through service fees. The company may also engage in financing options for customers purchasing motorcycles, generating income from interest and fees associated with these financial products. Strategic partnerships with motorcycle manufacturers allow MTO to access exclusive models and promotional incentives, further enhancing its profitability. Overall, the combination of retail sales, service offerings, and financial solutions forms the backbone of Motorcycle Holdings Ltd.'s revenue model.

Motorcycle Holdings Ltd. Financial Statement Overview

Summary
Motorcycle Holdings Ltd. exhibits a solid financial position with consistent revenue growth and strong cash flow generation. While profitability margins are moderate, the company maintains a healthy balance sheet with improved leverage ratios. Continued focus on enhancing net profit margins and operational efficiencies could further strengthen its financial standing.
Income Statement
72
Positive
Motorcycle Holdings Ltd. has demonstrated consistent revenue growth, with a 5.4% increase in the latest year. The gross profit margin has remained stable around 25%, indicating effective cost management. However, the net profit margin is relatively low at 2.8%, suggesting room for improvement in profitability. The EBIT and EBITDA margins are moderate, reflecting operational efficiency but also highlighting potential areas for cost optimization.
Balance Sheet
68
Positive
The company's debt-to-equity ratio has improved to 0.64, indicating a balanced approach to leveraging. Return on equity is modest at 8.7%, suggesting moderate profitability relative to shareholder equity. The equity ratio stands at approximately 50.7%, reflecting a solid equity base relative to total assets, which enhances financial stability.
Cash Flow
75
Positive
Free cash flow has grown significantly by 17.9%, showcasing strong cash generation capabilities. The operating cash flow to net income ratio is 0.45, indicating efficient conversion of earnings into cash. The free cash flow to net income ratio is high at 0.94, reflecting robust cash flow management and the ability to support future growth and debt obligations.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue650.36M650.36M582.32M577.40M457.32M429.82M
Gross Profit163.28M163.28M149.35M65.45M50.98M51.28M
EBITDA41.58M41.58M45.59M56.08M49.34M55.82M
Net Income18.02M18.02M14.13M23.01M23.11M28.30M
Balance Sheet
Total Assets407.73M407.73M394.98M431.19M298.19M269.89M
Cash, Cash Equivalents and Short-Term Investments30.99M30.99M12.14M24.73M3.91M4.67M
Total Debt131.84M131.84M144.51M149.66M93.27M72.82M
Total Liabilities201.16M201.16M194.81M233.62M143.19M125.64M
Stockholders Equity206.57M206.57M200.17M197.57M155.01M144.25M
Cash Flow
Free Cash Flow50.64M50.64M24.15M12.53M11.03M32.15M
Operating Cash Flow53.86M53.86M25.45M15.66M12.99M34.25M
Investing Cash Flow-1.36M-1.36M-14.46M-26.38M-7.85M-2.04M
Financing Cash Flow-39.80M-33.93M-23.44M31.54M-5.90M-67.04M

Motorcycle Holdings Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.32
Price Trends
50DMA
3.40
Negative
100DMA
3.15
Positive
200DMA
2.57
Positive
Market Momentum
MACD
-0.05
Negative
RSI
52.16
Neutral
STOCH
71.51
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:MTO, the sentiment is Positive. The current price of 3.32 is above the 20-day moving average (MA) of 3.24, below the 50-day MA of 3.40, and above the 200-day MA of 2.57, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 52.16 is Neutral, neither overbought nor oversold. The STOCH value of 71.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:MTO.

Motorcycle Holdings Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
AU$245.04M13.608.86%3.91%11.62%
69
Neutral
AU$8.83B40.1016.06%2.29%16.46%-20.08%
64
Neutral
AU$723.58M21.966.57%3.22%8.22%-46.33%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
57
Neutral
AU$308.75M25.532.34%3.12%0.32%-66.48%
56
Neutral
AU$459.43M465.00-4.58%13.54%66.00%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:MTO
Motorcycle Holdings Ltd.
3.32
1.81
119.87%
AU:PWR
Peter Warren Automotive Holdings Ltd
1.80
0.11
6.51%
AU:APE
Eagers Automotive Limited
31.58
20.33
180.71%
AU:ASG
Autosports Group Ltd
3.57
1.28
55.90%
AU:AMA
Ama Group Limited
0.10
0.04
66.67%

Motorcycle Holdings Ltd. Corporate Events

MotorCycle Holdings Expands with Acquisition of Peter Stevens and Harley Heaven
Jul 31, 2025

MotorCycle Holdings Limited has successfully completed the acquisition of select business assets and operations of Peter Stevens Motorcycles Pty Ltd and Harley Heaven Pty Ltd, which were in administration. This acquisition includes several dealership locations and online businesses, enhancing MTO’s operational capabilities and market presence across multiple Australian states. The move signifies a strategic expansion for MTO, potentially strengthening its position in the motorcycle retail industry.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$2.85 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

Motorcycle Holdings Ltd. Updates Registered Office Address
Jul 11, 2025

Motorcycle Holdings Ltd. has announced a change in its registered office address to Level 35, One Eagle, 1 Eagle Street, Brisbane, Qld 4000, while maintaining its principal place of business at 68 Moss Street, Slacks Creek, Qld 4127. This administrative update is part of the company’s ongoing efforts to streamline operations, potentially impacting its business efficiency and stakeholder engagement.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$2.85 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

Spheria Asset Management Acquires Substantial Stake in Motorcycle Holdings Ltd
Jul 4, 2025

Spheria Asset Management Pty Ltd has become a substantial holder in Motorcycle Holdings Ltd, acquiring a 5.19% voting power with 3,828,356 ordinary fully paid shares. This acquisition signifies a notable investment interest in Motorcycle Holdings, potentially impacting its market position and stakeholder dynamics.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$2.37 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

Motorcycle Holdings Ltd. Expands Market Share with Strategic Acquisition
Jul 1, 2025

Motorcycle Holdings Ltd. has announced the acquisition of select dealership assets from Peter Stevens Motorcycles Pty Ltd and Harley Heaven Pty Ltd, both of which are in administration. This strategic move, valued between $7 million and $9 million, is expected to increase the company’s national market share from 16.4% to 20% and strengthen its competitive position. The acquisition will be funded from existing cash reserves and bailment facilities, with an expected earnings accretion from the first half of 2026. The integration plan includes retaining staff and eCommerce capabilities, ensuring continuity of operations, and engaging with stakeholders to minimize disruption.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$2.37 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

Motorcycle Holdings Ltd. Announces Acquisition and Investor Q&A
Jun 30, 2025

Motorcycle Holdings Ltd. announced an upcoming Analyst & Investor Q&A session following its acquisition of Peter Stevens and Harley-Heaven. This acquisition is expected to enhance the company’s market position and expand its dealership network, potentially impacting stakeholders by increasing its market share and operational capabilities.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$2.37 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MotorCycle Holdings Expands with Strategic Acquisition of Peter Stevens and Harley Heaven
Jun 27, 2025

MotorCycle Holdings Limited has announced the acquisition of select assets from Peter Stevens Motorcycles and Harley Heaven, two established motorcycle retail groups in administration. This strategic move allows MTO to expand its presence into key markets like Perth and Adelaide, enhancing its market leadership and digital capabilities. The acquisition, valued between $7 million to $9 million, is expected to be earnings accretive and will be funded through cash reserves and bailment facilities. By integrating these assets, MTO aims to consolidate market leadership, capitalize on synergies, and preserve the legacy of the acquired brands, ultimately representing approximately 20% of national sales.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$2.37 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

Director’s Increased Stake Signals Confidence in Motorcycle Holdings Ltd.
May 22, 2025

Motorcycle Holdings Ltd. announced a change in the director’s interest, with Peter Henley acquiring an additional 7,850 shares through an on-market trade, increasing his total holdings to 101,264 shares. This change reflects a strategic move by the director, potentially indicating confidence in the company’s future performance and stability, which could have implications for stakeholders and the company’s market positioning.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$2.37 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MotorCycle Holdings Announces Change in Substantial Holder Interests
May 5, 2025

MotorCycle Holdings Limited has announced a change in the interests of its substantial holder, MRP Mojo Co Pty Ltd and its associates, which includes a reduction in their voting power from 9.04% to 7.82%. This change was due to the on-market sale of ordinary shares by MRP Investments Pty Ltd and MRP Mojo Motorcycles Pty Ltd, affecting a total of 891,211 votes. The announcement reflects a strategic shift in the shareholding structure, which may impact the company’s governance and investor relations.

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: Oct 18, 2025