Objective Corporation Limited (OCL) AI Stock Analysis

• Market Cap: AU$1.69B
• Dividend Yield: 1.24%
• Average Volume (3M): 112.14K
• Price to Earnings (P/E): 47.4
• Beta (1Y): 0.77
• Revenue Growth: 5.11%
• EPS Growth: 12.91%
• Country: AU
• Employees: 400
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.20
• Shares Outstanding: 95,879,616
• 10 Day Avg. Volume: 45,051
• 30 Day Avg. Volume: 112,135
• PEG Ratio: 4.32
• Price to Book (P/B): 17.47
• Price to Sales (P/S): 15.02
• P/FCF Ratio: 40.62
• 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: AU$23.10
• Price Target Upside: 31.03% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: AU$20.50 ▲(16.28% Upside)

Objective Corporation Limited's strong financial performance is offset by weak technical indicators and high valuation. The company's profitability and low leverage are positive, but the stock's bearish momentum and overvaluation present risks. Investors should monitor future growth strategies and market conditions closely.

Positive Factors

Strong Profit Margins

High profit margins indicate efficient cost management and strong pricing power, contributing to sustained profitability and competitive advantage.

Solid Balance Sheet

A low debt-to-equity ratio suggests financial stability and flexibility, reducing risk and providing a buffer against economic downturns.

Recurring Revenue Model

A subscription-based revenue model ensures predictable cash flow, enhancing financial stability and supporting long-term growth strategies.

Negative Factors

Slowing Revenue Growth

Slowing revenue growth may indicate market saturation or increased competition, potentially impacting future expansion and profitability.

Decline in Free Cash Flow Growth

A decline in free cash flow growth can affect liquidity and limit the company's ability to invest in growth opportunities or weather financial challenges.

Revenue Concentration Risk

Heavy reliance on government contracts may expose the company to regulatory changes and budget cuts, impacting revenue stability.

Objective Corporation Limited Business Overview & Revenue Model

Company Description

Objective Corporation Limited (OCL) is an Australian software company that specializes in providing information management solutions primarily for the public sector and regulated industries. The company focuses on helping organizations manage their documents, records, and processes through its core products, which include Objective Connect for secure file sharing, Objective ECM for enterprise content management, and Objective Trapeze for process management. OCL aims to enhance operational efficiency and compliance for its clients by delivering innovative technology that simplifies complex information management tasks.

How the Company Makes Money

Objective Corporation Limited generates revenue through a combination of software licensing, subscription services, and professional services. The primary revenue streams include sales of its software products, which are often offered on a subscription basis, providing a steady stream of recurring income. Additionally, the company earns revenue from consulting and implementation services that help clients integrate and customize their software solutions. Significant partnerships with government agencies and organizations in regulated sectors contribute to its earnings, as these clients require robust and compliant information management systems. The company's ongoing investment in product development and customer support also aids in client retention and expansion, further enhancing its revenue potential.

Objective Corporation Limited Financial Statement Overview

Summary

Objective Corporation Limited shows strong profitability with high profit margins and a robust balance sheet characterized by low leverage. However, the slowdown in revenue growth and decline in free cash flow growth are concerns that could impact future financial performance.

Income Statement

Objective Corporation Limited has demonstrated consistent revenue growth over the years, with a notable increase in gross profit margin, reaching 94.17% in 2025. The net profit margin has also improved to 28.70%, indicating strong profitability. EBIT and EBITDA margins are healthy, reflecting efficient cost management. However, the revenue growth rate has slowed down to 2.04% in 2025, which could be a concern for future growth prospects.

Balance Sheet

The company's balance sheet shows a strong equity position with a low debt-to-equity ratio of 0.11 in 2025, indicating low financial leverage and reduced risk. Return on equity is robust at 33.37%, showcasing effective use of equity to generate profits. However, the equity ratio is not explicitly mentioned, which limits a comprehensive assessment of asset financing.

Cash Flow

Objective Corporation Limited's cash flow statement reveals a decline in free cash flow growth by 10.64% in 2025, which may impact future liquidity. The operating cash flow to net income ratio stands at 0.62, suggesting moderate cash generation efficiency. The free cash flow to net income ratio is strong at 0.99, indicating good cash flow relative to net income, despite the recent decline in growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	92.41M	123.50M	114.80M	108.92M	106.37M	94.92M
Gross Profit	87.04M	116.31M	107.21M	101.72M	100.75M	89.59M
EBITDA	32.85M	42.24M	44.37M	27.41M	29.38M	25.15M
Net Income	26.23M	35.44M	31.33M	21.09M	19.56M	16.09M
Balance Sheet
Total Assets	193.96M	193.96M	172.90M	159.99M	140.44M	116.73M
Cash, Cash Equivalents and Short-Term Investments	99.16M	99.16M	95.98M	72.52M	63.79M	48.36M
Total Debt	11.44M	11.44M	14.11M	15.92M	9.22M	11.50M
Total Liabilities	87.77M	87.77M	80.60M	86.44M	78.49M	69.78M
Stockholders Equity	106.19M	106.19M	92.30M	73.55M	61.96M	46.95M
Cash Flow
Free Cash Flow	29.02M	45.67M	40.69M	22.86M	29.33M	23.58M
Operating Cash Flow	46.26M	46.26M	55.78M	23.43M	30.54M	24.70M
Investing Cash Flow	-16.35M	-16.35M	-15.18M	-757.00K	-4.69M	-19.35M
Financing Cash Flow	-26.18M	-26.18M	-17.16M	-14.10M	-10.42M	-8.00M

Objective Corporation Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.63
• 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:OCL, the sentiment is Positive. The current price of 17.63 is above the 20-day moving average (MA) of 17.43, below the 50-day MA of 18.05, and below the 200-day MA of 18.09, indicating a neutral trend. The MACD of -0.21 indicates Negative momentum. The RSI at 51.87 is Neutral, neither overbought nor oversold. The STOCH value of 52.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:OCL.

Objective Corporation Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BVS	71 Outperform	AU$1.21B	16.30	65.33%	9.89%	25.67%	744.90%
XRO	69 Neutral	AU$19.64B	74.12	8.14%	―	19.01%	19.06%
OCL	65 Neutral	AU$1.69B	47.43	35.71%	1.24%	5.11%	12.91%
IRE	65 Neutral	AU$1.58B	17.88	26.73%	2.46%	-4.10%	341.80%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TNE	61 Neutral	AU$9.28B	67.29	32.67%	0.84%	18.16%	16.25%
NXL	43 Neutral	AU$615.77M	-68.04	-3.19%	―	0.40%	-280.65%

Objective Corporation Limited Corporate Events

Objective Corporation Limited Applies for Quotation of New Securities

Objective Corporation Limited announced the application for quotation of 3,620 ordinary fully paid securities on the Australian Securities Exchange (ASX). This move is part of the company’s ongoing efforts to manage its securities and enhance its market presence, potentially impacting its financial operations and stakeholder interests.

Objective Corporation’s AGM Resolutions Passed with Strong Support

Objective Corporation Limited announced the successful passing of all items of business at its 2025 Annual General Meeting. The key resolutions, including the adoption of the Remuneration Report and the re-election of Director Mr. Stephen Bool, were approved by a significant majority of shareholders, indicating strong shareholder support and stability in the company’s governance structure.

Objective Corporation’s Annual General Meeting Highlights Stakeholder Engagement

Objective Corporation Limited held its Annual General Meeting on November 25, 2025. The meeting provided shareholders with the opportunity to engage directly with the company’s leadership through a Q&A session, either in written form or via live audio. This interactive approach underscores the company’s commitment to transparency and stakeholder engagement.

Objective Corporation Releases 2025 Corporate Governance Statement

Objective Corporation Limited has released its Corporate Governance Statement for the financial year ending June 30, 2025, which is accessible on their website. The statement confirms the company’s adherence to the ASX Corporate Governance Council’s principles and recommendations, highlighting its commitment to transparency and accountability. This announcement underscores Objective Corporation’s dedication to maintaining robust governance practices, potentially strengthening its market position and assuring stakeholders of its compliance with industry standards.

Objective Corporation Celebrates 25 Years of GovTech Innovation

Objective Corporation Limited, a leader in the GovTech industry, focuses on developing digital government solutions aimed at enhancing community and national strength. The company’s annual report for 2025 highlights its commitment to driving innovation in digital government, celebrating 25 years since its listing on the ASX. This milestone underscores its sustained impact on the industry and its role in fostering stronger communities through technology.

Objective Corporation Schedules Virtual AGM for 2025

Objective Corporation Limited has announced its Annual General Meeting (AGM) for shareholders, scheduled for November 25, 2025, to be held virtually. The company has provided multiple options for shareholder participation, including online voting and teleconferencing, emphasizing the importance of pre-registration and proxy voting to ensure effective engagement.

Objective Corporation Director Adjusts Shareholding

Objective Corporation Limited announced a change in the director’s interest, with Stephen Bool disposing of 7,975 ordinary shares at a price of $21.02 per share. This on-market disposal reduces his holding to 122,025 ordinary shares and maintains 5,000 rights. The announcement reflects a typical adjustment in personal investment strategy and is not expected to have significant implications for the company’s operations or market positioning.

Objective Corporation Announces Quotation of New Securities on ASX

Objective Corporation Limited has announced the quotation of 13,750 ordinary fully paid securities on the Australian Securities Exchange (ASX) as of September 11, 2025. This move is part of the company’s strategy to optimize its capital structure and potentially enhance its market presence, reflecting a proactive approach to leveraging financial instruments for growth.

Objective Corporation Limited Announces Quotation of New Securities

Objective Corporation Limited has announced the quotation of 2,500 ordinary fully paid securities on the Australian Securities Exchange (ASX) under the code OCL. This move is part of the company’s ongoing efforts to manage its securities and enhance its market presence, potentially impacting its operations and positioning within the industry.

Objective Corporation Announces Quotation of New Securities on ASX

Objective Corporation Limited has announced the quotation of 13,750 new ordinary fully paid securities on the Australian Securities Exchange (ASX). This move is part of the company’s ongoing efforts to enhance its financial flexibility and support its strategic growth initiatives, potentially impacting its market positioning and providing value to its stakeholders.