OFX Group Ltd. (OFX) AI Stock Analysis

• Market Cap: AU$108.90M
• Dividend Yield: N/A
• Average Volume (3M): 815.94K
• Price to Earnings (P/E): 6.6
• Beta (1Y): 0.74
• Revenue Growth: -5.73%
• EPS Growth: -36.36%
• Country: AU
• Employees: 690
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 0.01
• Shares Outstanding: 231,709,690
• 10 Day Avg. Volume: 331,586
• 30 Day Avg. Volume: 815,939
• PEG Ratio: -0.47
• Price to Book (P/B): 1.48
• Price to Sales (P/S): 32.16
• P/FCF Ratio: 5.12
• 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: 60 Neutral
• Price Target: AU$0.49 ▼(-1.20% Downside)

OFX Group Ltd.'s overall stock score is driven by its strong financial performance and attractive valuation, suggesting potential for future growth. However, bearish technical indicators and challenges highlighted in the earnings call, such as declining financial performance and increased expenses, temper the outlook. Investors should be cautious and consider the company's strategic direction and market conditions.

Positive Factors

Strong balance sheet / net cash

A net cash position and low leverage provide durable financial flexibility: supports investment in OFX 2.0, funds platform migration, and cushions the business through macro cycles without forcing asset sales or heavy external financing, preserving operational resilience.

Enterprise segment expansion

Rapid enterprise revenue growth indicates successful penetration of higher-value, stickier B2B customers. This diversifies revenue away from volatile retail flows, increases average contract value potential, and supports more predictable revenue streams over the medium term.

Progress on diversification and platform migration

Growing non-FX revenue and major client migration to OFX 2.0 are structural positives: they reduce dependence on FX spread, enable new product cross-sell, and improve unit economics once migration is complete, supporting medium-term margin expansion if execution continues.

Negative Factors

Disappointing NOI and EBITDA

Lower NOI and weak underlying EBITDA signal persistent profitability pressure. If margins cannot recover, the company may struggle to fund strategic initiatives internally, weakening return profiles and raising reliance on efficiency gains or slower growth to restore earnings quality.

Rising operating expenses from transition

Elevated opex from platform and growth investments is a structural risk: sustained higher cost base can compress margins until scale benefits materialize. Execution risk on OFX 2.0 timing and cost control will materially affect medium-term profitability and cash conversion.

Declines in key revenue segments

Negative revenue growth and steep declines in high-value consumer flows reduce high-margin volume and weaken overall revenue mix. Persistent soft demand or lower average transaction values would impair scalability of fixed-cost investments and slow recovery of margins over several quarters.

OFX Group Ltd. Business Overview & Revenue Model

Company Description

OFX Group Limited provides international payments and foreign exchange services. It offers international payment services, such as bank to bank currency transfer services to businesses and consumers. The company also provides international payment solutions, including OFX IT platform; client service; compliance; banking relationships; and payments services. It operates in the Asia Pacific, Europe, the Middle East, Africa, North America, and internationally. The company was formerly known as OzForex Group Limited and changed its name to OFX Group Limited in September 2016. OFX Group Limited was founded in 1998 and is headquartered in Sydney, Australia.

How the Company Makes Money

OFX generates revenue primarily through transaction fees and foreign exchange spreads. The company charges customers a fee for transferring money internationally, which varies based on the transaction amount and destination. Additionally, OFX earns money from the difference between the wholesale exchange rate it receives from liquidity providers and the rate it offers to customers, known as the spread. This dual revenue model allows OFX to benefit from both volume and margin on transactions. Significant partnerships with banks and financial institutions enhance its capabilities and market reach, contributing to its overall earnings. Furthermore, the company may also explore additional revenue streams through value-added services, such as risk management tools for businesses engaged in international trade.

OFX Group Ltd. Financial Statement Overview

Summary

OFX Group Ltd. presents a strong financial position with excellent profitability and low leverage. The income statement shows positive revenue growth and profitability margins, despite some recent declines in net profit margin. The balance sheet is robust, with a low debt-to-equity ratio and strong equity position. Cash flows are healthy, showing improvement in free cash generation, albeit with some fluctuations in operational efficiency.

Income Statement

OFX Group Ltd. has demonstrated a strong gross profit margin with consistent improvement in revenues and profits over the years. The net profit margin shows a slight decline in the most recent year, which may indicate rising costs or operational challenges. However, the company's EBIT and EBITDA margins indicate healthy profitability levels. The revenue growth rate over the analyzed period shows a positive trajectory, boosting the overall income statement score.

Balance Sheet

The company's balance sheet is solid, characterized by a low debt-to-equity ratio, indicating strong financial stability and low leverage risk. The return on equity (ROE) is robust, demonstrating efficient use of equity to generate profits. The equity ratio also reflects a healthy balance between assets and equity, signifying a well-capitalized company. This strong balance sheet position enhances the company's ability to withstand market fluctuations.

Cash Flow

OFX Group Ltd. has shown a significant improvement in its free cash flow, reflecting strong cash generation capabilities. However, the operating cash flow to net income ratio suggests some variability, potentially indicating fluctuations in operational efficiency. Despite this, the free cash flow to net income ratio is favorable, underscoring the company's ability to convert its earnings into cash effectively.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	225.56M	8.34M	242.74M	228.86M	158.42M	134.69M
Gross Profit	103.74M	3.64M	227.51M	200.92M	137.06M	106.82M
EBITDA	18.99M	55.48M	64.56M	62.43M	44.50M	29.07M
Net Income	16.52M	24.86M	31.30M	31.41M	24.46M	12.78M
Balance Sheet
Total Assets	527.92M	566.91M	569.50M	680.85M	408.70M	378.04M
Cash, Cash Equivalents and Short-Term Investments	96.89M	360.59M	88.01M	93.80M	327.01M	60.57M
Total Debt	30.16M	32.93M	56.38M	79.14M	8.35M	17.30M
Total Liabilities	346.76M	385.08M	399.86M	536.74M	304.80M	297.75M
Stockholders Equity	181.16M	181.82M	169.64M	144.11M	103.89M	80.29M
Cash Flow
Free Cash Flow	34.43M	52.41M	-43.23M	152.05M	37.08M	52.23M
Operating Cash Flow	35.72M	72.53M	-18.64M	172.92M	48.55M	61.35M
Investing Cash Flow	-30.95M	-45.10M	-16.76M	-94.96M	-15.66M	-3.96M
Financing Cash Flow	-31.94M	-43.66M	-43.26M	58.03M	-6.17M	-12.77M

OFX Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.50
• 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:OFX, the sentiment is Neutral. The current price of 0.5 is above the 20-day moving average (MA) of 0.50, below the 50-day MA of 0.53, and below the 200-day MA of 0.76, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 48.59 is Neutral, neither overbought nor oversold. The STOCH value of 24.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:OFX.

OFX Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
OFX	60 Neutral	AU$108.90M	6.57	9.31%	―	-5.73%	-36.36%
COG	55 Neutral	AU$363.34M	18.23	12.36%	2.86%	-26.30%	40.12%
PPS	50 Neutral	AU$380.23M	27.56	12.27%	2.81%	24.56%	59.32%
RZI	48 Neutral	AU$66.92M	-106.45	-0.15%	―	5.03%	52.31%

OFX Group Ltd. Corporate Events

OFX Group Cancels 48,751 Performance Rights After Conditions Not Met

OFX Group Limited has disclosed the lapse of 48,751 performance rights, which ceased on 19 December 2025 after the conditions attached to those rights were not met or became incapable of being satisfied. The cancellation of these conditional securities slightly reduces the company’s potential future share issuance under its incentive arrangements, tightening the capital structure and potentially signaling that certain performance hurdles or strategic milestones were not achieved within the specified period.

The most recent analyst rating on (AU:OFX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on OFX Group Ltd. stock, see the AU:OFX Stock Forecast page.

OFX to Issue 7.5 Million Unquoted Performance Rights Under Employee Incentive Plan

OFX Group Limited has notified the market of the planned issue of 7,471,447 unquoted performance rights under its employee incentive scheme, with an issue date of 15 December 2025. The new performance rights, which will not be quoted on the ASX, reflect the company’s ongoing use of equity-based remuneration to incentivise and retain staff, aligning employee interests with shareholder value and potentially leading to future dilution if the rights vest and are converted into ordinary shares.

The most recent analyst rating on (AU:OFX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on OFX Group Ltd. stock, see the AU:OFX Stock Forecast page.

OFX Group Director Increases Shareholding, Signaling Confidence

OFX Group Ltd. has announced a change in the interest of its director, Patricia Cross, who has increased her indirect holdings in the company by acquiring 12,923 ordinary fully paid shares through an on-market trade. This change reflects a growing confidence in the company’s performance and prospects, potentially signaling positive implications for stakeholders and enhancing OFX’s market position.

The most recent analyst rating on (AU:OFX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on OFX Group Ltd. stock, see the AU:OFX Stock Forecast page.

OFX Group Director Increases Shareholding

OFX Group Limited has announced a change in the director’s interest, specifically regarding Robert Bazzani, who has increased his indirect interest in the company through an on-market trade. The transaction involved the acquisition of 52,500 ordinary fully paid securities, raising his total holdings to 84,285 shares. This change reflects a strategic decision by the director, potentially indicating confidence in the company’s future performance and impacting stakeholder perceptions.

The most recent analyst rating on (AU:OFX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on OFX Group Ltd. stock, see the AU:OFX Stock Forecast page.

OFX Group Ltd Advances OFX 2.0 Strategy Amidst Financial Challenges

OFX Group Ltd reported a decline in its financial performance for the first half of 2026, with Fee and Trading Income down 4.7% due to global economic uncertainties. Despite challenges, the company is making progress with its OFX 2.0 strategy, including a global rollout of a new client platform and a refreshed go-to-market strategy, which has led to increased client acquisition and product adoption. The company continues to generate strong cash flows and is ahead of schedule in migrating clients to its new platform, which is expected to enhance revenue and client engagement.

The most recent analyst rating on (AU:OFX) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on OFX Group Ltd. stock, see the AU:OFX Stock Forecast page.