PPK Group Limited (PPK) AI Stock Analysis

• Market Cap: AU$35.69M
• Dividend Yield: N/A
• Average Volume (3M): 48.87K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.87
• Revenue Growth: -13.93%
• EPS Growth: -209.39%
• Country: AU
• Employees: 421
• Sector: Industrials
• Sector Strength: 72
• Industry: Agricultural - Machinery
• EPS (TTM): -0.20
• Shares Outstanding: 90,812,500
• 10 Day Avg. Volume: 59,860
• 30 Day Avg. Volume: 48,873
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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$0.50
• Price Target Upside: 25.09% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 54 Neutral
• Price Target: AU$0.50 ▲(25.00% Upside)

PPK Group's stock score is primarily influenced by its technical analysis, which shows bullish trends despite financial challenges. Although the financial performance is weak with persistent losses and negative cash flow, the technical indicators suggest potential for short-term gains. The lack of a positive P/E ratio and dividend yield limits the valuation appeal.

PPK Group Limited Business Overview & Revenue Model

Company Description

PPK Group Limited (PPK) is an Australian-based company engaged in the development and commercialization of advanced technology and manufacturing solutions. The company operates in various sectors, including mining services, high-performance battery technology, and ballistic protection products. PPK is known for its innovative approach to leveraging technology for industrial applications, particularly in the fields of automation and safety.

How the Company Makes Money

PPK Group Limited generates revenue through a diversified model that includes the sale of mining equipment and services, licensing of proprietary technologies, and manufacturing of advanced materials such as boron nitride nanotubes (BNNT). Key revenue streams for the company include contracts with mining companies for equipment and services, partnerships with technology firms for the development and commercialization of BNNT applications, and government contracts for defense-related products. PPK's strategic collaborations and joint ventures play a significant role in expanding its market reach and enhancing its technological offerings, thereby contributing to its financial performance.

PPK Group Limited Financial Statement Overview

Summary

PPK Group Limited is experiencing financial challenges. The income statement shows fluctuating revenues but persistent losses, with negative EBIT and net income indicating operational inefficiencies. The balance sheet is stable with low leverage but declining equity, and cash flow remains negative, posing liquidity risks.

Income Statement

PPK Group Limited has shown fluctuating revenue trends with a significant increase in revenue from 2023 to 2024. However, the company continues to operate at a loss, with negative EBIT and Net Income indicating challenges in operational efficiency and profitability. The negative margins point towards an ongoing struggle to turn revenue into profit.

Balance Sheet

The balance sheet shows a relatively healthy debt-to-equity ratio, suggesting manageable leverage. However, the declining stockholders' equity over recent years indicates potential financial stress. Despite this, the company maintains a strong equity ratio, indicating that a significant portion of its assets is financed by equity rather than debt.

Cash Flow

Cash flow analysis reveals consistent negative free cash flow, indicating cash outflows exceed inflows in operations and capital expenditure. The operating cash flow is also negative, reflecting challenges in generating cash from core business activities. This could strain liquidity if the trend continues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	28.19M	6.35M	1.65M	0.00	39.85M
Gross Profit	8.02M	1.23M	-8.94M	-66.00K	10.21M
EBITDA	-12.26M	-10.58M	-14.89M	-5.41M	11.23M
Net Income	-10.74M	-7.82M	-2.56M	-5.48M	8.27M
Balance Sheet
Total Assets	122.85M	135.58M	120.98M	96.60M	64.24M
Cash, Cash Equivalents and Short-Term Investments	28.35M	40.00M	53.01M	30.36M	5.34M
Total Debt	10.41M	9.67M	4.06M	399.00K	3.83M
Total Liabilities	28.93M	29.87M	8.39M	8.34M	10.05M
Stockholders Equity	67.74M	75.58M	81.51M	76.65M	52.09M
Cash Flow
Free Cash Flow	-18.49M	-16.68M	-15.53M	-5.47M	1.13M
Operating Cash Flow	-9.91M	-9.55M	-7.83M	-2.39M	3.31M
Investing Cash Flow	-2.53M	-3.73M	-3.81M	-6.41M	-5.63M
Financing Cash Flow	793.00K	272.00K	34.28M	34.37M	6.67M

PPK Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:PPK, the sentiment is Negative. The current price of 0.4 is below the 20-day moving average (MA) of 0.46, below the 50-day MA of 0.48, and above the 200-day MA of 0.37, indicating a neutral trend. The MACD of -0.03 indicates Positive momentum. The RSI at 34.98 is Neutral, neither overbought nor oversold. The STOCH value of 27.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:PPK.

PPK Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IPG	75 Outperform	423.07M	16.30	15.97%	3.09%	22.13%	9.16%
RDG	74 Outperform	23.61M	1.90	0.00%	―	66.22%	20.83%
WWG	57 Neutral	37.59M	8.21	0.00%	1.82%	66.80%	625.00%
PPK	54 Neutral	AU$35.69M	―	-51.10%	―	-13.93%	-209.39%
DEM	49 Neutral	32.28M	-15.71	-21.44%	―	11.53%	46.15%
AVA	46 Neutral	23.84M	-3.69	0.00%	―	4.84%	-12.12%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

PPK Group Limited Corporate Events

PPK Group Addresses ASX Price Query Amid Unsuccessful Acquisition Talks

PPK Group Limited has addressed a price query from ASX Limited, stating that it is unaware of any undisclosed information that could explain recent trading activity in its securities. The company revealed that it had been in discussions regarding an unsolicited offer to acquire its interest in Craig International Ballistics Pty Ltd, but these discussions were terminated as the parties could not reach an agreement.

PPK Group’s PowerPlus Energy Launches New Products Aligned with Government Battery Rebate Program

PPK Group Limited announced the launch of two new products by its investee company, PowerPlus Energy, which align with the Australian Government’s Cheaper Home Batteries Program. The Eco4847P and Whispr-7 products have received Clean Energy Council approval, making them eligible for government rebates, and are expected to significantly increase market share in the growing home battery market. Additionally, PowerPlus Energy is developing new products for the utilities and telecommunications sectors in partnership with RFI Technology Solutions, addressing the need to replace aging lead-acid batteries, with successful initial sales and installations.

PPK Group CEO Resigns, Transition Plan Underway

PPK Group Limited, a company listed on the Australian Securities Exchange under the code PPK, has announced the resignation of its Chief Executive Officer, Marc Fenton. He has provided the required six months’ notice, and the company is preparing a management transition plan. The Board expressed gratitude for Mr. Fenton’s contributions and will provide further updates in due course.