N1 Holdings Ltd. (N1H) AI Stock Analysis

• Market Cap: AU$10.13M
• Dividend Yield: 4.43%
• Average Volume (3M): 4.17K
• Price to Earnings (P/E): 8.7
• Beta (1Y): -2.02
• Revenue Growth: 35.43%
• EPS Growth: 59.04%
• Country: AU
• Employees: N/A
• Sector: Financial
• Sector Strength: 82
• Industry: Financial - Mortgages
• EPS (TTM): 0.01
• Shares Outstanding: 88,055,570
• 10 Day Avg. Volume: 7,000
• 30 Day Avg. Volume: 4,166
• PEG Ratio: -0.07
• Price to Book (P/B): 29.69
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.51
• 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: 63 Neutral
• Price Target: ―

N1 Holdings Ltd. demonstrates strong revenue growth and cash flow efficiency, which are significant strengths. The key risks include high leverage and a low equity ratio, which could impact financial stability. The stock's technical indicators show potential for a rebound due to being oversold. Valuation metrics suggest the stock is undervalued, providing a potential upside for investors.

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 streams within the financial services sector. The primary source of income is from its mortgage broking services, where the company earns commissions and fees from facilitating home loans and refinancing options for clients. Additionally, the real estate advisory segment contributes to revenue by charging consultancy fees for property investment advice and strategic planning. The commercial finance division further enhances earnings by providing tailored lending solutions to businesses, often earning interest income and arrangement fees. Strategic partnerships with financial institutions and real estate developers also play a significant role in driving earnings, enhancing the company's ability to offer competitive products and expand its client base.

N1 Holdings Ltd. Financial Statement Overview

Summary

N1 Holdings Ltd. exhibits strong revenue growth and cash flow generation, indicating operational efficiency. However, high leverage and a low equity ratio present financial risks. While profitability is improving, optimizing the net profit margin remains a priority.

Income Statement

N1 Holdings Ltd. has shown a strong revenue growth rate from the previous period, increasing from AUD 4.05M to AUD 18.55M, indicating significant growth. The gross profit margin is high at 94%, suggesting efficient cost management. However, the net profit margin is relatively low at 5.85%, implying that expenses other than cost of goods sold are impacting profitability. The EBIT margin is robust at 71.47%, although the lack of EBITDA data limits a complete margin analysis.

Balance Sheet

The company has a high debt-to-equity ratio of 64.08, which indicates significant leverage and potential financial risk. The equity ratio is low at 1.47%, showing limited equity financing. Return on equity is high at 64.32%, but this is primarily due to the low equity base, which can magnify returns but also risks.

Cash Flow

N1 Holdings Ltd. has demonstrated a remarkable turnaround in free cash flow, shifting from negative to positive, with a significant growth rate. The operating cash flow to net income ratio is strong at 6.81, suggesting efficient cash generation from operations. The free cash flow to net income ratio is 6.79, reinforcing the company's ability to convert profits into cash, which is a positive indicator for financial health.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	21.02M	18.55M	4.05M	4.32M	2.98M	4.21M
Gross Profit	19.82M	17.43M	4.05M	4.32M	3.93M	3.29M
EBITDA	14.89M	13.26M	0.00	5.81M	1.48M	-172.32K
Net Income	1.16M	1.09M	340.94K	1.10M	139.57K	-1.82M
Balance Sheet
Total Assets	102.04M	114.62M	90.22M	79.91M	15.54M	13.48M
Cash, Cash Equivalents and Short-Term Investments	15.19M	13.53M	7.08M	14.14M	3.58M	3.20M
Total Debt	96.21M	108.09M	85.02M	75.30M	15.43M	14.15M
Total Liabilities	100.02M	112.93M	89.63M	79.28M	17.01M	15.10M
Stockholders Equity	2.02M	1.69M	591.66K	624.74K	-1.48M	-1.62M
Cash Flow
Free Cash Flow	3.52M	7.37M	-6.15M	11.84M	1.09M	3.29M
Operating Cash Flow	3.58M	7.38M	-6.06M	11.85M	1.20M	3.37M
Investing Cash Flow	-273.92K	70.99K	526.06K	213.32K	-66.26K	-191.06K
Financing Cash Flow	-628.88K	-940.30K	-1.59M	-1.14M	-702.82K	-1.31M

N1 Holdings Ltd. Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:N1H, the sentiment is Positive. The current price of 0.12 is below the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.12, and below the 200-day MA of 0.12, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 80.30 is Negative, neither overbought nor oversold. The STOCH value of >-0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:N1H.

N1 Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WTL	75 Outperform	AU$44.48M	11.71	13.04%	1.54%	33.80%	-8.26%
AFG	74 Outperform	AU$563.20M	18.89	15.01%	3.65%	9.49%	-0.36%
FID	74 Outperform	AU$303.36M	17.97	30.97%	4.56%	12.05%	23.63%
Sector *	67 Neutral	$17.07B	11.91	9.69%	3.75%	11.66%	-9.47%
N1H	63 Neutral	AU$10.13M	8.71	73.12%	4.43%	35.43%	59.04%
SEQ	59 Neutral	AU$44.49M	―	-1.84%	11.11%	22.21%	41.18%
KBC	43 Neutral	AU$9.72M	1.40	91.73%	―	―	―

N1 Holdings Ltd. Corporate Events

N1 Holdings Ltd Enhances Private Credit Operations with AI

N1 Holdings Ltd has announced a strategic focus on scaling its private credit operations by integrating artificial intelligence to improve efficiency and distribution. This move is expected to strengthen its market position and potentially offer enhanced value to stakeholders by optimizing operational processes.

N1 Holdings Reports Strong FYTD Performance Amid Market Challenges

N1 Holdings Limited reported a net profit of approximately $501,000 and revenue of $14.66 million for the fiscal year-to-date ending March 2025, reflecting a 12.05% increase from the previous year. Despite challenges such as higher funding costs and market volatility, the company has successfully streamlined expenses, reduced funding costs, and expanded its funding capacity. It continues to focus on maintaining portfolio quality and liquidity by lending only against Australian properties. The SME lending business remains the primary revenue driver, accounting for 91% of total cash receipts. The company is also enhancing its operational processes to support scalable growth and improve transaction quality.

N1 Holdings Announces Sydney Registry Office Relocation

N1 Holdings Limited has announced a change in the address of its Sydney registry office to Liberty Place, effective from April 14, 2025. This relocation requires all documentation lodgements by member organizations, securityholders, and other parties to be made at the new address. The move is part of the company’s ongoing operations and does not affect telephone numbers or postal addresses.

N1 Holdings Sees Revenue and Profit Surge in Half-Year Report

N1 Holdings Limited reported a notable financial performance for the half-year ending December 31, 2024, with revenues increasing by 25.4% to approximately $10.63 million and profit after tax growing by 13.2% to $632,535. The company declared a dividend of 0.003 cents per security and improved its net tangible assets per ordinary security from 0.79 cents to 1.48 cents over the year. Additionally, N1 Holdings gained control over N1 WH4 Pty Ltd in August 2024, marking a significant expansion in its operational capacity.