N1 Holdings Ltd. (N1H) AI Stock Analysis

• Market Cap: AU$9.25M
• Dividend Yield: 2.61%
• Average Volume (3M): 37.57K
• Price to Earnings (P/E): 2.4
• Beta (1Y): -2.02
• Revenue Growth: 8.15%
• EPS Growth: -21.14%
• Country: AU
• Employees: N/A
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Mortgages
• EPS (TTM): 0.01
• Shares Outstanding: 88,055,570
• 10 Day Avg. Volume: 11,064
• 30 Day Avg. Volume: 37,566
• PEG Ratio: -0.56
• Price to Book (P/B): 4.53
• Price to Sales (P/S): 0.51
• P/FCF Ratio: -7.25
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: AU$0.10 ▼(-17.50% Downside)
• Action: Reiterated Date: 01/24/26
• Date: Action: Reiterated 01/24/26

The score is held down primarily by weak financial quality (high leverage and poor cash flow metrics, alongside declining profitability) and a bearish technical setup (below key moving averages with negative MACD). A moderate P/E and ~3% dividend provide some valuation support but are not enough to offset the fundamental and trend risks.

Positive Factors

High gross margins

Consistently >90% gross margins indicate a structurally efficient business model and pricing power in core operations. This margin buffer helps absorb higher operating or financing costs, supporting long-term profitability potential even if top-line growth is uneven.

Efficient cost management

Explicit references to efficient cost management suggest the company can maintain high gross margins through disciplined expense control. Sustained cost efficiency improves operating leverage and resilience, aiding margin recovery and cash generation over a multi-quarter horizon.

Reasonable trading liquidity

A three‑month average volume around 42k shares indicates adequate market liquidity for institutional and long-term investors. Sufficient liquidity reduces execution friction for capital raises or block trades and supports stable ownership structure over months.

Negative Factors

High leverage

A debt-to-equity ratio above 55 signals significant leverage that increases solvency and refinancing risk. Elevated debt limits strategic flexibility, raises interest burden sensitivity, and can pressure margins and investment capacity during adverse credit or rate cycles.

Weak cash generation

Severely negative FCF growth and operating cash flow below net income indicate difficulty converting profits to cash. Persistent cash generation weakness undermines the company's ability to service debt, fund growth, maintain dividends, or build liquidity buffers long term.

Declining profitability and revenue pressure

Falling net margins and reported negative revenue growth point to deteriorating core profitability and demand or pricing pressure. If sustained, this reduces retained earnings, constrains reinvestment, and magnifies the impact of leverage on financial stability across quarters.

N1 Holdings Ltd. Business Overview & Revenue Model

Company Description

N1 Holdings Limited provides mortgage broking services to customers in Australia. It offers home loans, including purchase and refinance; short term business loans for SME's; commercial lending products and services; car loan and equipment finance services; business lending services; and commercial and residential property loans, as well as off-market lending services. The company also provides trustee services, such as information memorandum production, offer documents production, custody services, and fund administration and accounting services. In addition, it offers migration and education consultation services under the N1 Migration name; and fund management services under the N1 Venture name; and financial advisory services; and rental property management and property sales agent services. The company was founded in 2011 and is based in Sydney, Australia.

How the Company Makes Money

N1 Holdings Ltd. generates revenue through multiple channels. In the real estate sector, the company earns income from rental properties and property sales, capitalizing on market demand and strategic developments. In technology, N1H offers software solutions and consulting services, creating a recurring revenue stream through subscriptions and service agreements. Additionally, the healthcare segment contributes to the company's earnings by providing specialized technology and services that enhance patient care and operational efficiency in medical facilities. Significant partnerships with industry leaders and government contracts further bolster N1H's revenue, enabling the company to expand its market reach and drive sustainable growth.

N1 Holdings Ltd. Financial Statement Overview

Summary

Despite very strong gross margins (>90%), overall fundamentals are pressured by declining net margin (5.85% to 4.26%), negative revenue growth, very high leverage (debt-to-equity 55.14), and weak/unstable cash generation (free cash flow growth -139.71% and negative operating cash flow to net income).

Income Statement

N1 Holdings Ltd. shows strong gross profit margins consistently above 90%, indicating efficient cost management. However, the net profit margin has declined from 5.85% in 2024 to 4.26% in 2025, reflecting reduced profitability. Revenue growth has also been negative in the latest period, which is a concern for future earnings potential.

Balance Sheet

The company has a high debt-to-equity ratio of 55.14, suggesting significant leverage and potential financial risk. The equity ratio is low, indicating limited shareholder equity relative to total assets. These factors point to a weak balance sheet with potential solvency concerns.

Cash Flow

N1 Holdings Ltd. has experienced a significant decline in free cash flow growth, with a negative growth rate of -139.71% in 2025. The operating cash flow to net income ratio is negative, indicating challenges in converting earnings into cash. These factors highlight cash flow instability and potential liquidity issues.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	20.46M	20.07M	18.55M	14.09M	10.63M	5.42M
Gross Profit	19.27M	19.15M	17.43M	12.38M	9.17M	3.93M
EBITDA	14.94M	14.03M	13.26M	0.00	5.81M	1.48M
Net Income	1.26M	855.83K	1.09M	340.94K	1.10M	139.57K
Balance Sheet
Total Assets	169.64M	130.41M	114.62M	90.22M	79.44M	15.54M
Cash, Cash Equivalents and Short-Term Investments	35.48M	11.32M	13.53M	7.08M	14.14M	3.58M
Total Debt	162.38M	123.64M	108.09M	85.02M	75.30M	15.43M
Total Liabilities	166.62M	128.17M	112.93M	89.63M	79.28M	17.01M
Stockholders Equity	3.02M	2.24M	1.69M	591.66K	624.74K	-1.48M
Cash Flow
Free Cash Flow	20.45M	-1.40M	7.37M	-6.15M	11.84M	1.09M
Operating Cash Flow	20.46M	-1.34M	7.38M	-6.06M	11.85M	1.20M
Investing Cash Flow	328.79K	-312.23K	70.99K	526.06K	213.32K	-66.26K
Financing Cash Flow	-497.45K	-560.77K	-940.30K	-1.59M	-1.14M	-702.82K

N1 Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.12
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:N1H, the sentiment is Negative. The current price of 0.12 is above the 20-day moving average (MA) of 0.10, above the 50-day MA of 0.11, and above the 200-day MA of 0.11, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 20.95 is Positive, neither overbought nor oversold. The STOCH value of -16.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:N1H.

N1 Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FID	73 Outperform	AU$310.94M	9.55	32.32%	4.00%	10.61%	23.34%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
WTL	61 Neutral	AU$46.20M	5.00	11.37%	5.00%	16.64%	19.30%
SEQ	57 Neutral	AU$29.42M	-35.94	-1.33%	14.29%	-0.40%	―
AFG	52 Neutral	AU$494.60M	6.60	18.57%	4.21%	14.37%	20.75%
N1H	48 Neutral	AU$9.25M	2.43	48.08%	2.61%	8.15%	-21.14%
KBC	43 Neutral	AU$9.72M	-1.31	91.73%	―	―	―

N1 Holdings Ltd. Corporate Events

N1 Holdings posts strong quarter as SME lending and AI-driven efficiencies boost results

N1 Holdings Limited reported a strong December 2025 quarter and first-half FY26 performance, underpinned by its property-backed private credit lending to Australian SMEs and supported by diversified funding sources and an established broker and referral network. For the half year to 31 December 2025, the company delivered unaudited revenue of $11.14 million, EBITDA of $1.398 million and net profit before tax of about $1.246 million, with quarterly cash receipts from customers surging 191% year-on-year to $8.53 million and net operating cash inflow reaching $16.016 million. The SME lending business remained the primary driver, contributing 98% of customer cash receipts, while gross quarterly revenue grew 15% on the prior corresponding period and the group’s accessible lending capacity expanded to roughly $351 million through balance sheet capital, debt facilities and the One Lending Fund. Management highlighted stable operating costs despite higher origination volumes, crediting AI-driven efficiency gains and deeper relationships with mortgage brokers and aggregators, and reiterated its conservative lending stance of securing loans against established Australian properties with no construction exposure amid increasing regulatory scrutiny of private credit.

The most recent analyst rating on (AU:N1H) stock is a Hold with a A$0.12 price target. To see the full list of analyst forecasts on N1 Holdings Ltd. stock, see the AU:N1H Stock Forecast page.

N1 Holdings Secures Shareholder Approval for 2025 AGM Resolutions

N1 Holdings Limited announced that all resolutions proposed at its 2025 Annual General Meeting were successfully passed. This outcome reflects strong shareholder support for the company’s strategic direction and governance, potentially enhancing its position in the evolving debt market landscape. The approval of these resolutions, including the adoption of the remuneration report and the re-election of a director, underscores the confidence stakeholders have in N1 Holdings’ leadership and future growth prospects.

N1 Holdings Expands Funding Capacity and Launches New Mortgage Fund

N1 Holdings Limited has expanded its funding capacity to over $380 million through a major refinance and the launch of a new mortgage fund, the One Alternative Credit Fund, with $50 million in committed capital. These initiatives have reduced the company’s cost of funds and enhanced its flexibility, allowing it to support a broader range of property-backed and income-generating opportunities. The expanded capital base and flexible lending policy enable N1H to capture greater market share in the growing private credit sector, demonstrating strong investor confidence and positioning the company for strategic growth.

N1 Holdings Reports Stable Q1 FY26 Performance Amid Strategic Growth Initiatives

N1 Holdings Limited reported a stable performance in the September 2025 quarter, with a net profit of approximately $375,000 and revenue of $4.98 million. The company focused on enhancing competitiveness by securing improved funding terms and cost efficiencies, while its AI-driven platforms boosted processing efficiency and scalability. The SME lending business remained the primary revenue generator, accounting for 91% of total cash receipts. N1 Holdings continues to strengthen its market position by deepening relationships with mortgage brokers and referral partners, and maintaining strict lending principles, focusing on established Australian properties.