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PLS Group (AU:PLS)
ASX:PLS
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PLS Group (PLS) AI Stock Analysis

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AU:PLS

PLS Group

(Sydney:PLS)

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Neutral 44 (OpenAI - 5.2)
Rating:44Neutral
Price Target:
AU$4.00
â–¼(-5.88% Downside)
Action:Reiterated
Date:07/21/26
AU:PLS scores lower primarily due to deteriorating profitability and cash flow (negative margins and sharply weaker free cash flow), reinforced by bearish technicals with the price below all key moving averages and negative MACD. A low debt-to-equity ratio provides some balance-sheet stability, but the negative P/E and lack of dividend data limit valuation support.
Positive Factors
Low leverage
A debt-to-equity of 0.19 indicates conservative leverage and gives the company durable financial flexibility. Over a 2-6 month horizon this supports capacity to fund operations or capital needs, absorb cyclical shocks, and pursue opportunistic investments without immediate refinancing pressure.
Negative Factors
Negative profitability
Material negative margins show the business is not currently generating operating or net profits, undermining reinvestment and long-term viability. Persistently negative EBIT and net margins can erode equity, limit strategic options, and require structural cost or pricing fixes to restore returns.
Read all positive and negative factors
Positive Factors
Negative Factors
Low leverage
A debt-to-equity of 0.19 indicates conservative leverage and gives the company durable financial flexibility. Over a 2-6 month horizon this supports capacity to fund operations or capital needs, absorb cyclical shocks, and pursue opportunistic investments without immediate refinancing pressure.
Read all positive factors

PLS Group (PLS) vs. iShares MSCI Australia ETF (EWA)

PLS Group Business Overview & Revenue Model

Company Description
Based in West Perth, Australia, Pilbara Minerals Limited is an Australian enterprise focused on the exploration, development, and operation of mineral resources. Its key asset is the Pilgangoora lithium-tantalum project, located in Western Austral...
How the Company Makes Money
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PLS Group Earnings Call Summary

Earnings Call Date:Feb 18, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Aug 24, 2026
Earnings Call Sentiment Positive
The call emphasized a strong quarter driven by a marked recovery in pricing, substantial improvement in cash margins and reinforced balance sheet strength, enabling optionality on growth and capital returns. Operational performance largely tracked plan with robust ore sorting and recovery, while management acknowledged near-term operational issues (crusher wear), safety setbacks, and the idling of the POSCO JV due to external policy impacts. Timing and sequencing of larger greenfield/expansion projects remain under review and contingent on sustained market conditions.
Positive Updates
Material Pricing Recovery
Realized pricing increased substantially quarter-on-quarter (management cited a ~57% increase; Slide 4 referenced ~50%), and spodumene spot pricing (SC6) rose ~80% through the quarter, reflecting a meaningful market rebound from prior troughs.
Negative Updates
Safety Deterioration
Two injuries recorded in the quarter and TRIFR increased from 3.08% to 3.79%. Management described the outcome as unacceptable and initiated targeted safety campaigns and stronger frontline leadership engagement.
Read all updates
Q2-2026 Updates
Negative
Material Pricing Recovery
Realized pricing increased substantially quarter-on-quarter (management cited a ~57% increase; Slide 4 referenced ~50%), and spodumene spot pricing (SC6) rose ~80% through the quarter, reflecting a meaningful market rebound from prior troughs.
Read all positive updates
Company Guidance
Management reaffirmed FY‑26 guidance across all metrics and emphasized sequencing growth with capital discipline: the Board will consider a possible Ngungaju restart (~200,000 tpa) in the March quarter, P2000 and Colina study timing is under review with updates expected in the March quarter, the midstream demonstration plant was completed in December with commissioning plans to be announced in coming months, and no further FY‑26 equity contributions to the P‑PLS JV are expected after the $38m made this quarter. Financially, closing cash rose $102m to $954m (total liquidity ~$1.6bn), cash capex was $45m, and ~$85m of provisional pricing adjustments are expected in the March quarter. The December quarter that underpins this guidance delivered sales of 232,000t, production of 208,000t, realized pricing up ~50–57% QoQ, revenue $373m (+49% QoQ), cash margin from operations $166m (from $8m prior quarter) and FOB unit operating costs of $585/t (H1 FOB $563/t, down 8% YoY); dividend decisions remain gated by the capital management framework and could be considered next month if pricing persists.

PLS Group Financial Statement Overview

Summary
Financial performance is weak. The income statement shows sharp deterioration with negative margins (net profit margin -21.99%, EBIT margin -16.40%) and a revenue growth decline (-3.51%). Cash flow is also pressured, with free cash flow growth at -44.56% and weak cash conversion (operating cash flow to net income 0.51). The balance sheet is a relative positive with low leverage (debt-to-equity 0.19) and a strong equity ratio, but ROE has turned negative due to losses.
Income Statement
45
Neutral
Balance Sheet
65
Positive
Cash Flow
40
Negative
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue967.38M890.21M1.25B4.06B1.19B175.82M
Gross Profit452.38M331.56M477.81M3.27B794.07M12.58M
EBITDA297.36M75.31M593.86M3.51B783.52M21.28M
Net Income-93.58M-195.77M256.88M2.39B561.83M-51.45M
Balance Sheet
Total Assets4.70B4.67B4.31B5.20B1.98B949.72M
Cash, Cash Equivalents and Short-Term Investments954.39M974.54M1.63B3.34B591.74M99.71M
Total Debt931.23M682.21M555.74M471.95M291.96M166.97M
Total Liabilities1.13B1.14B1.07B1.81B686.36M375.48M
Stockholders Equity3.57B3.53B3.24B3.39B1.29B574.25M
Cash Flow
Free Cash Flow-90.36M-508.13M-1.25B3.04B506.40M-20.36M
Operating Cash Flow243.79M146.22M-440.22M3.43B634.72M130.00K
Investing Cash Flow-416.85M-698.11M-827.51M-407.96M-204.53M-230.79M
Financing Cash Flow-47.06M-98.06M-392.74M-284.19M58.42M251.33M

PLS Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
55
Neutral
AU$11.43B28.4211.50%―3.58%―
49
Neutral
AU$5.19B-24.97-9.95%―-36.60%80.62%
45
Neutral
AU$3.54B-43.05-2.79%―-3.26%66.55%
44
Neutral
AU$13.38B-138.33-2.64%―4.86%-177.78%
43
Neutral
AU$3.07B-6.75-53.88%―303.04%-586.21%
42
Neutral
AU$776.83M-22.86-10.17%―-100.00%59.85%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:PLS
PLS Group
4.58
2.65
137.31%
AU:CXO
Core Lithium Ltd
0.29
0.18
185.00%
AU:IGO
IGO
7.45
2.45
49.00%
AU:LTR
Liontown Resources Limited
1.18
0.33
39.64%
AU:MIN
Mineral Resources Limited
64.17
30.19
88.85%
AU:NIC
Nickel Mines Ltd.
0.83
0.08
11.49%

PLS Group Corporate Events

PLS Group Reports Lapse of 2026 Performance Rights on ASX
Jul 14, 2026
PLS Group Limited has notified the Australian Securities Exchange of the cessation of a series of performance rights expiring on 31 July 2026, after the conditions attached to these rights were not met or became incapable of being satisfied. The l...
PLS Group Issues New Unquoted Performance Rights Under Employee Scheme
Jul 6, 2026
PLS Group Limited has notified the Australian Securities Exchange of the issue of 1,393 unquoted performance rights under its employee incentive scheme, with these securities expiring on July 31, 2026. The rights, issued on June 30, 2026, form par...
PLS Group Seeks ASX Quotation for New Employee Incentive Shares
Jul 6, 2026
PLS Group Limited has applied for the quotation of 2,003,759 new ordinary fully paid shares on the ASX, with an issue date of June 30, 2026. These securities have been issued under the company’s employee incentive scheme, indicating continue...
PLS Group Sets July Investor Briefing on June Quarter Results
Jun 30, 2026
PLS Group has scheduled the release of its June 2026 Quarterly Activities Report for 30 July 2026 and will brief the market through an investor webcast and teleconference on the same day. Retail investors will be able to access a live webcast with...
PLS Group seeks ASX quotation for new employee incentive shares
Jun 26, 2026
PLS Group Limited has applied to the ASX for quotation of 618,302 ordinary fully paid shares issued on June 17, 2026, under its employee incentive scheme. The move modestly expands the company’s free float and aligns employee interests with ...
PLS Group flags reliability as new constraint in lithium market
Jun 23, 2026
PLS Group’s CEO Dale Henderson used a keynote at the Fastmarkets Global Lithium, Battery and Critical Minerals conference to highlight what he called the “lithium paradox,” noting that long-term demand from EVs, energy storage an...
PLS Group Issues 164,031 Unquoted Shares Under Employee Incentive Scheme
Jun 18, 2026
PLS Group Limited has notified the market of the issue of 164,031 unquoted, fully paid ordinary shares under its employee incentive scheme. These securities, designated as PLSAAJ, were issued on 11 June 2026 and are subject to transfer restriction...
JPMorgan Entities Exit Substantial Holder Position in PLS Group
Jun 4, 2026
JPMorgan Chase Co. and its affiliates have notified PLS Group Ltd that they have ceased to be a substantial holder in the company as of 2 June 2026, following a series of transactions and securities lending activities. The change reflects adjustm...
Morgan Stanley Drops Below Substantial Holding Threshold in PLS Group
Jun 4, 2026
Morgan Stanley and certain subsidiaries have notified PLS Group Limited that they have ceased to be a substantial holder in the company as of early June 2026. The change follows a series of transactions, including returns of borrowed stock and col...
Mitsubishi UFJ Exits Substantial Holder Position in PLS Group
Jun 4, 2026
Mitsubishi UFJ Financial Group has lodged a notice that it has ceased to be a substantial shareholder in PLS Group Limited, following a series of transactions dated 6 May 2026. The change reflects sales, stock borrowing, collateral movements and s...
Institutional Investor Group Ceases to Be Substantial Holder in PLS Group
Jun 3, 2026
PLS Group Ltd has disclosed that a consortium of institutional investors associated with First Sentier Group Limited and Mitsubishi UFJ Financial Group has ceased to be a substantial holder in the company as of 1 June 2026. The change, formalised ...
BlackRock Ceases to Be Substantial Holder in PLS Group
Jun 1, 2026
BlackRock Group, comprising BlackRock Inc. and certain subsidiaries, has lodged a notice that it has ceased to be a substantial holder in PLS Group Ltd as of 28 May 2026. The change reflects a reduction in BlackRock’s relevant voting interes...
PLS Group Director Trims Shareholding in Tax-Driven On-Market Sale
May 29, 2026
PLS Group Limited has disclosed a change in the holdings of director Dale Henderson, who conducted an on-market sale of 627,500 ordinary shares for about $4.03 million to meet tax obligations and rebalance his portfolio. Following the transaction,...
PLS Group Issues New Unquoted Performance Rights Under Incentive Scheme
May 27, 2026
PLS Group Limited has notified the market of the issuance of new unquoted performance rights under its employee incentive scheme, including 357,903 rights expiring on 31 December 2029 and a further 490,691 rights expiring on 31 December 2027. The ...
PLS Group Issues New Tranche of Long-Dated Performance Rights
May 8, 2026
PLS Group Limited has notified the market of the issue of 117,447 unquoted performance rights under its employee incentive scheme. The performance rights, which are not intended to be quoted on the ASX and expire on 31 December 2029, were issued o...
PLS Group outlines risks and limitations in new investor information
May 4, 2026
PLS Group has released an information document dated 5 May 2026 outlining general details about its operations and associated risks, stressing that the material is summary in nature and not a prospectus or financial product advice. The company und...
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: Jul 21, 2026