Praemium Ltd (PPS) AI Stock Analysis

• Market Cap: AU$348.54M
• Dividend Yield: 2.81%
• Average Volume (3M): 1.00M
• Price to Earnings (P/E): 19.4
• Beta (1Y): 1.50
• Revenue Growth: 24.56%
• EPS Growth: 59.32%
• Country: AU
• Employees: 360
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 0.02
• Shares Outstanding: 487,472,440
• 10 Day Avg. Volume: 1,312,082
• 30 Day Avg. Volume: 1,004,049
• PEG Ratio: 0.38
• Price to Book (P/B): 2.74
• Price to Sales (P/S): 180.50
• P/FCF Ratio: 30.06
• 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$1.16
• Price Target Upside: 61.11% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 0.04
• Revenue Forecast (FY): AU$114.03M

• Rating: 52 Neutral
• Price Target: AU$0.75 ▲(3.75% Upside)
• Action: Reiterated Date: 02/06/26
• Date: Action: Reiterated 02/06/26

Overall score reflects mixed financial performance dominated by a sharp revenue decline, partially offset by a strong low-leverage balance sheet and adequate operating cash flow. Technicals are a key drag with the stock trading below key moving averages and negative MACD, while valuation is neutral with a moderate dividend yield but a not-cheap P/E.

Positive Factors

Low leverage / strong balance sheet

A low debt-to-equity position and healthy equity ratio give Praemium durable financial flexibility. Over 2-6 months this supports investment in platform development, cushions revenue shocks, preserves access to capital, and reduces bankruptcy risk versus peers with higher leverage.

Recurring platform fee model

A fees-on-assets platform creates predictable, recurring revenue linked to funds under administration and adviser relationships. This business model supports steady cash inflows, scalable marginal costs, and long-term client lock-in that underpin sustainable margins and growth if FUA stabilises.

Robust operating cash generation

Consistent operating cash generation indicates the platform converts accounting profits into real cash, enabling reinvestment, servicing of obligations, and potential shareholder distributions. Over months this reduces reliance on external financing and supports operational continuity.

Negative Factors

Severe revenue decline

A near-total revenue collapse materially erodes the fee base that underpins Praemium's platform model. Such a large drop impairs long-term earnings power, adviser/distributor confidence and ability to cover fixed costs, making recovery and sustained margin delivery challenging.

Declining free cash flow growth

Slowing free cash flow growth reduces capacity to fund product development, maintain service levels, or absorb further revenue weakness. Over the medium term this raises liquidity risk, constrains strategic investment, and can force reliance on balance sheet reserves or external funding.

Income statement volatility

Pronounced earnings volatility undermines forecasting, adviser retention and pricing leverage. Structural instability complicates long-term contracts and strategic planning, increasing execution risk and making it harder to rebuild recurring revenue streams and investor confidence.

Praemium Ltd Business Overview & Revenue Model

Company Description

Praemium Limited, together with its subsidiaries, provides managed accounts platform, investment management, portfolio administration, and reporting and financial planning software in Australia and internationally. It offers managed accounts platform that enables advisers and wealth managers to construct the managed account solutions for their clients; and virtual managed accounts (VMA) and VMA administration services. The company also provides advice solutions comprising practice management, report building and plan generation, remuneration, lead generation, and client engagement services, as well as Wealthcraft services. It serves financial advisers, brokers, and accountants. Praemium Limited was incorporated in 2001 and is based in Melbourne, Australia.

How the Company Makes Money

Praemium generates revenue primarily through a subscription-based model, where clients pay fees for access to its investment platform and related services. Key revenue streams include platform fees, which are charged as a percentage of assets under administration (AUA), and transaction fees for trading activity executed on the platform. Additionally, the company earns income from managed accounts, where it charges investment management fees. Significant partnerships with financial institutions and advisers enhance its market reach and contribute to its client base, further driving revenue growth. The company may also benefit from performance fees tied to investment outcomes, depending on the specific agreements with clients.

Praemium Ltd Financial Statement Overview

Summary

Mixed fundamentals: income statement is weak due to a severe revenue decline (-98.22%), partly offset by a strong balance sheet with low leverage and positive ROE. Cash generation is adequate but free cash flow growth is declining, adding liquidity risk.

Income Statement

Praemium Ltd's income statement reveals significant volatility, with a dramatic decline in revenue growth rate of -98.22% in the latest year, indicating potential instability. Despite this, the company maintains a strong gross profit margin and a positive net profit margin, suggesting some level of operational efficiency. However, the sharp revenue drop is a major concern.

Balance Sheet

The balance sheet shows a strong equity position with a low debt-to-equity ratio, indicating financial stability and low leverage risk. The return on equity is positive, reflecting effective use of equity to generate profits. The equity ratio is healthy, suggesting a solid capital structure.

Cash Flow

Cash flow analysis indicates a decline in free cash flow growth, which could impact future liquidity. However, the operating cash flow remains robust compared to net income, suggesting good cash generation from operations. The free cash flow to net income ratio is positive, but the declining trend is concerning.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	107.63M	1.70M	82.73M	74.29M	63.34M	52.88M
Gross Profit	30.86M	1.60M	34.14M	24.70M	18.14M	16.35M
EBITDA	27.32M	23.93M	17.41M	20.69M	14.32M	16.20M
Net Income	17.61M	13.56M	8.75M	15.15M	43.57M	1.54M
Balance Sheet
Total Assets	135.84M	135.63M	134.58M	129.50M	156.91M	112.47M
Cash, Cash Equivalents and Short-Term Investments	30.57M	40.97M	44.34M	46.25M	80.55M	26.74M
Total Debt	6.38M	1.46M	1.96M	2.18M	11.40M	16.37M
Total Liabilities	19.53M	23.63M	25.44M	21.38M	54.57M	32.56M
Stockholders Equity	116.31M	112.00M	109.15M	108.12M	102.34M	79.91M
Cash Flow
Free Cash Flow	19.06M	10.20M	8.69M	15.22M	2.97M	-1.78M
Operating Cash Flow	21.71M	20.54M	17.04M	23.36M	9.63M	5.46M
Investing Cash Flow	-17.07M	-10.91M	-8.47M	-8.40M	49.74M	-6.48M
Financing Cash Flow	-11.33M	-12.92M	-10.48M	-48.89M	-5.77M	11.78M

Praemium Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.72
• 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:PPS, the sentiment is Negative. The current price of 0.72 is below the 20-day moving average (MA) of 0.73, below the 50-day MA of 0.76, and below the 200-day MA of 0.75, indicating a bearish trend. The MACD of -0.01 indicates Negative momentum. The RSI at 45.70 is Neutral, neither overbought nor oversold. The STOCH value of 41.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:PPS.

Praemium 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	66 Neutral	AU$135.55M	8.36	9.31%	―	-5.73%	-36.36%
NWL	64 Neutral	AU$5.94B	104.40	67.81%	1.45%	28.29%	39.39%
COG	54 Neutral	AU$336.85M	16.90	12.36%	2.86%	-26.30%	40.12%
PPS	52 Neutral	AU$348.54M	19.43	12.27%	2.81%	24.56%	59.32%
RZI	48 Neutral	AU$62.18M	-97.58	-0.15%	―	5.03%	52.31%
FNX	46 Neutral	AU$11.21M	-2.15	-34.88%	―	43.00%	-6078.57%

Praemium Ltd Corporate Events

Praemium Confirms Lapse of 1.6 Million Performance Rights

Praemium Limited has notified the market that a total of 1,617,385 performance rights (ASX code PPSAO) have lapsed. The conditional rights to securities expired because their vesting conditions were not met or became incapable of being satisfied as at 5 February 2026, resulting in a reduction in potential future share issuance and a corresponding tightening of Praemium’s prospective capital base.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Sets Date for HY2026 Results and Investor Briefing

Praemium Limited has announced that it will release its half-year results for the 2026 financial year on Monday, 23 February 2026, and will host a same-day briefing for investors and analysts at 9:00am AEDT. The scheduled results release and briefing underscore the company’s ongoing engagement with the investment community, providing stakeholders with a forthcoming update on its financial performance and operational progress.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Issues 9 Million New Shares Under Corporations Act Exemption

Praemium Limited has issued 9,047,045 new ordinary shares (ASX: PPS) on 22 January 2026, advising the market that the issuance was conducted without a prospectus under the Corporations Act’s exemption provisions. The company confirmed it remains compliant with its financial reporting and continuous disclosure obligations and stated there is no excluded information requiring disclosure, signalling to investors that the capital raising has been carried out within regulatory requirements and without undisclosed material information that could affect the value of the newly issued shares.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Seeks ASX Quotation for Over 9 Million New Shares

Praemium Limited has applied to the ASX for quotation of 9,047,045 new fully paid ordinary shares under the ticker PPS. The additional securities, issued as part of a previously announced transaction, will expand the company’s quoted share capital and may enhance its market liquidity and capacity to fund strategic or operational initiatives.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Finalises Acquisition of AI Specialist Technotia Laboratories

Praemium Limited has completed the $7.5 million acquisition of Technotia Group Pty Ltd and its subsidiaries, known as Technotia Laboratories, a multi-disciplinary technology firm specialising in computing machinery and intelligence. By integrating Technotia’s advanced scientific and technology capabilities with its own wealth management expertise, Praemium aims to accelerate innovation in areas such as automation, data-driven insights and hyper-personalised strategies at scale, with the goal of improving adviser efficiency, enhancing client experiences and delivering better investment outcomes, potentially strengthening its competitive position in the wealth management technology market.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Performance Rights Lapse, Reducing Potential Equity Dilution

Praemium Limited has notified the market that 415,896 performance rights (PPSAO), which were due to expire on various dates, have lapsed after the conditions attached to those rights were not met or became incapable of being satisfied as of 6 January 2026. The cessation of these conditional securities effectively reduces the company’s potential future equity dilution from this tranche of performance rights and may reflect the non-achievement of specified performance hurdles tied to management or staff incentives, with implications for both capital structure and incentive alignment.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Sets Date for December Quarter FY2026 Update and Investor Briefing

Praemium Limited has announced that it will release its December quarter update for the 2026 financial year on 21 January 2026, providing the market with fresh insight into its recent trading performance. The company will host an online briefing for investors and analysts at 9:00am AEDT on the same day, underscoring its efforts to maintain transparency and engagement with the investment community ahead of the detailed quarterly disclosure.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Director Anthony Wamsteker Increases Indirect Shareholding

Praemium Limited has disclosed a change in the interests of director Anthony Wamsteker, who holds both direct and indirect stakes in the company. Through Lornette Pty Ltd as trustee for the Lornette Super Fund, of which he is a beneficiary, Wamsteker acquired 177,737 ordinary shares via an on‑market trade at an average price of $0.7698 per share, increasing his indirect holding to 2.1 million ordinary shares while his direct holding of 2,237,097 performance rights remains unchanged. The transaction, carried out outside a closed period and without any associated contracts or derivative interests, modestly increases director alignment with shareholders and provides updated transparency on Praemium’s board-level ownership structure for investors and regulators.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Director Barry Lewin Increases Indirect Shareholding

Praemium Limited has disclosed a change in director Barry Lewin’s indirect holding in the company, with entities associated with him acquiring 50,000 ordinary shares via an on-market trade on 16 December 2025 at an average price of $0.7697 per share. Following the transaction, Lewin’s indirect interest increased from 775,700 to 825,700 ordinary shares, signalling a modest vote of confidence from the director in the company’s prospects, though there were no changes to any related contracts or indications of trading during a closed period.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Limited Announces Proposed Securities Issue

Praemium Limited has announced a proposed issue of securities, with a maximum of 9,047,045 ordinary fully paid shares to be issued. The proposed issue date is January 30, 2026, and the company has submitted the necessary information to the Australian Securities Exchange (ASX) for approval and quotation.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Acquires Technotia Laboratories to Boost AI Innovation

Praemium Limited has announced the acquisition of Technotia Laboratories, a specialist in computing machinery and intelligence, to enhance its AI-driven financial services platform. This strategic move is expected to accelerate innovation, improve competitive differentiation, and create long-term shareholder value by integrating Technotia’s scientific expertise into Praemium’s operations.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Ltd Announces Director’s Interest Change

Praemium Ltd has announced a change in the director’s interest, with Anthony Wamsteker acquiring 237,097 performance rights under the company’s Director & Employee Benefits Plan. This change reflects the company’s ongoing commitment to aligning the interests of its directors and employees with its operational goals, potentially impacting stakeholder confidence positively.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Ltd Issues Unquoted Performance Rights to Employees

Praemium Ltd announced the issuance of 237,097 unquoted performance rights under an employee incentive scheme. This move is part of the company’s strategy to align employee interests with corporate goals and enhance operational efficiency, potentially strengthening its market position and stakeholder value.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium’s OneVue Acquisition: No Additional Earn Out Payments Due

Praemium Limited announced that no additional payments are due to Iress Limited for the second earn out period following the acquisition of the OneVue Platform Business. The retained funds under administration did not meet the $3 billion threshold due to client outflows and contract terminations. Despite this, Praemium’s CEO remains optimistic about achieving $3 million in annual EBITDA from synergies related to the acquisition, with no expected material impact on earnings.

The most recent analyst rating on (AU:PPS) stock is a Hold with a A$1.00 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Limited’s 2025 AGM Resolutions Passed with Strong Shareholder Support

Praemium Limited announced the results of its 2025 Annual General Meeting, where all resolutions, including the adoption of the remuneration report, re-election of director Barry Lewin, and the issuance of performance rights to CEO Anthony Wamsteker, were carried. The outcomes reflect strong shareholder support, indicating confidence in the company’s leadership and strategic direction.

The most recent analyst rating on (AU:PPS) stock is a Hold with a A$1.00 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.

Praemium Ltd Issues New Performance Rights to Employees

Praemium Ltd announced the issuance of 887,399 unquoted performance rights under an employee incentive scheme, which are not intended to be listed on the ASX. This move is part of the company’s strategy to incentivize employees, potentially enhancing productivity and aligning employee interests with company goals.

The most recent analyst rating on (AU:PPS) stock is a Buy with a A$1.30 price target. To see the full list of analyst forecasts on Praemium Ltd stock, see the AU:PPS Stock Forecast page.