PEXA Group Limited (PXA) AI Stock Analysis

• Market Cap: AU$2.77B
• Dividend Yield: N/A
• Average Volume (3M): 369.60K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.56
• Revenue Growth: 15.75%
• EPS Growth: -323.25%
• Country: AU
• Employees: 900
• Sector: Technology
• Sector Strength: 88
• Industry: Real Estate - Services
• EPS (TTM): 0.12
• Shares Outstanding: 177,601,870
• 10 Day Avg. Volume: 283,624
• 30 Day Avg. Volume: 369,598
• PEG Ratio: -0.10
• Price to Book (P/B): 2.11
• Price to Sales (P/S): 6.46
• P/FCF Ratio: 40.84
• 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$17.67
• Price Target Upside: 17.95% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 0.27
• Revenue Forecast (FY): AU$408.20M

• Rating: 43 Neutral
• Price Target: AU$13.00 ▼(-13.22% Downside)
• Action: Reiterated Date: 10/31/25
• Date: Action: Reiterated 10/31/25

PEXA Group Limited's overall stock score is primarily impacted by its weak financial performance and poor valuation metrics. The technical analysis indicates a bearish trend, further contributing to the low score. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Platform business model & network effects

PEXA’s platform connects banks, conveyancers and land registries, creating durable network effects tied to transaction volume. The transaction-fee model scales as adoption rises, raising switching costs and client lock-in that support steady revenue generation over months to years.

High gross margins

An 82.12% gross margin indicates software-like economics and strong unit economics for settlement workflows. High recurring incremental margins allow the business to absorb SG&A, fund innovation and sustain profitability if volumes recover, underpinning long-term margin resilience.

Operating cash conversion

Operating cash flow exceeding net income shows the company converts accounting earnings into real cash. Persistent cash generation supports reinvestment in product and working capital while reducing near-term reliance on external financing, improving medium-term financial flexibility.

Negative Factors

Negative profitability

A -20.40% net margin and negative EBIT reflect that core operations are loss-making. Sustained operating losses erode equity, limit retained capital for growth initiatives and may force cost cuts or external capital raises to restore profitable operations over the medium term.

Declining revenue in latest year

A year-over-year revenue decline weakens the transaction-driven revenue engine. Lower settlement volumes reduce network effects and fee income, making it harder to leverage fixed costs and delaying the company’s pathway to sustained profitability and margin recovery.

Sharp free cash flow contraction

A -48.28% drop in free cash flow materially reduces funds available after capex. Prolonged FCF weakness constrains product investment and expansion, raises financing needs and increases vulnerability to shocks, threatening strategic initiatives over the medium term.

PEXA Group Limited Business Overview & Revenue Model

Company Description

PEXA Group Limited operates a digital property settlements platform in Australia. It operates through three segments: PEXA Exchange, PEXA International, and PEXA Insights. The company operates electronic lodgement network, a cloud-based platform that enables the digital lodgement and settlement for property transactions. Its PEXA lodgement and settlement services transactions include financial institutions lending funds for property purchases and refinances, practitioners representing individual buyers and sellers, and property developers. The company was formerly known as Torrens Group Holdings Limited. PEXA Group Limited was founded in 2010 and is headquartered in Melbourne, Australia.

How the Company Makes Money

PEXA generates revenue primarily through transaction fees charged for each property settlement conducted on its platform. The company earns fees from financial institutions, conveyancers, and solicitors for the electronic services provided, which include document lodgment and settlement processing. Additionally, PEXA may have partnerships with banks and real estate agencies that further enhance its service offerings and customer base. Factors contributing to its earnings include the increasing adoption of digital solutions in property transactions, regulatory support for electronic settlements, and a growing real estate market in Australia.

PEXA Group Limited Financial Statement Overview

Summary

PEXA Group Limited faces challenges with declining revenue growth and profitability, as reflected in its income statement. The balance sheet remains stable with moderate leverage, but the negative return on equity is a concern. Cash flow generation is adequate, but the significant drop in free cash flow growth could pose risks to future financial flexibility.

Income Statement

PEXA Group Limited has experienced a decline in revenue growth, with a negative growth rate of -2.00% in the most recent year. The gross profit margin remains strong at 82.12%, indicating efficient cost management. However, the company faces challenges with profitability, as evidenced by a negative net profit margin of -20.40% and a negative EBIT margin. The EBITDA margin is positive at 22.30%, suggesting some operational efficiency, but overall profitability is a concern.

Balance Sheet

The company's balance sheet shows a moderate debt-to-equity ratio of 0.28, indicating a balanced approach to leveraging. However, the return on equity is negative at -6.66%, reflecting challenges in generating returns for shareholders. The equity ratio is not explicitly provided, but the company's total assets exceed its liabilities, suggesting a stable financial position.

Cash Flow

PEXA Group Limited's cash flow analysis reveals a significant decline in free cash flow growth at -48.28%, which could impact future investments and operations. The operating cash flow to net income ratio is above 1, indicating that the company generates sufficient cash from operations relative to its net income. However, the free cash flow to net income ratio is moderate at 0.51, suggesting limited cash available after capital expenditures.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	406.45M	373.05M	340.06M	281.69M	279.84M	221.05M
Gross Profit	234.31M	306.34M	289.78M	170.13M	177.00M	126.03M
EBITDA	112.12M	83.18M	103.94M	89.91M	106.56M	94.74M
Net Income	-57.63M	-76.08M	-18.01M	-21.84M	21.85M	-11.79M
Balance Sheet
Total Assets	1.65B	1.68B	1.78B	1.82B	1.81B	1.61B
Cash, Cash Equivalents and Short-Term Investments	79.27M	70.67M	90.46M	36.54M	75.39M	51.52M
Total Debt	303.34M	324.16M	375.08M	306.37M	307.50M	502.08M
Total Liabilities	522.83M	540.95M	553.37M	578.29M	542.19M	581.32M
Stockholders Equity	1.13B	1.14B	1.23B	1.24B	1.26B	1.03B
Cash Flow
Free Cash Flow	127.92M	58.98M	41.10M	8.62M	39.76M	86.19M
Operating Cash Flow	128.74M	116.77M	109.94M	83.23M	89.78M	109.28M
Investing Cash Flow	-60.21M	-63.12M	-117.46M	-119.46M	-80.70M	-23.35M
Financing Cash Flow	-44.81M	-73.50M	61.80M	-2.95M	15.02M	-104.83M

PEXA Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.98
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:PXA, the sentiment is Positive. The current price of 14.98 is above the 20-day moving average (MA) of 14.22, above the 50-day MA of 13.93, and above the 200-day MA of 14.44, indicating a bullish trend. The MACD of 0.27 indicates Negative momentum. The RSI at 69.02 is Neutral, neither overbought nor oversold. The STOCH value of 70.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:PXA.

PEXA Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HDN	76 Outperform	AU$2.73B	7.22	8.25%	6.09%	2.70%	205.08%
INA	70 Outperform	AU$1.83B	13.44	8.27%	1.81%	6.96%	815.99%
CIP	70 Outperform	AU$2.00B	14.50	5.38%	4.85%	4.39%	176.52%
BWP	69 Neutral	AU$2.80B	8.41	9.58%	4.87%	16.53%	36.39%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CLW	54 Neutral	AU$2.68B	12.11	3.57%	6.14%	-9.63%	―
PXA	43 Neutral	AU$2.77B	-47.73	-6.42%	―	15.75%	-323.25%

PEXA Group Limited Corporate Events

PEXA issues 19,872 unquoted performance rights under employee incentive plan

PEXA Group Limited has notified the market of the issue of 19,872 unquoted performance rights under its employee incentive scheme, effective 12 January 2026. The securities, which will not be quoted on the ASX, reflect the company’s continued use of equity-based incentives to retain and motivate staff, potentially aligning employee performance more closely with long-term shareholder value.

The issuance of these performance rights marginally increases PEXA’s pool of unquoted equity and underscores the firm’s reliance on non-cash remuneration to support its talent strategy. While the transaction is administrative in nature, it signals ongoing commitment to incentive structures that may influence future dilution and governance considerations for investors.

The most recent analyst rating on (AU:PXA) stock is a Hold with a A$14.00 price target. To see the full list of analyst forecasts on PEXA Group Limited stock, see the AU:PXA Stock Forecast page.

State Street Group Ceases to Be Substantial Holder in PEXA Group

State Street Corporation, through a group of its asset management and custody subsidiaries including SSGA Funds Management, Inc. and State Street Global Advisors entities in the US, Europe and Australia, has lodged a notice that it has ceased to be a substantial shareholder in PEXA Group Limited as of 4 February 2026. The change reflects a reduction in its relevant voting interests below the substantial holding threshold, signalling a shift in the register away from a major global institutional investor and potentially altering the ownership profile and liquidity dynamics of PEXA’s shares, although no specific transaction terms or consideration details were disclosed in the filing.

The most recent analyst rating on (AU:PXA) stock is a Hold with a A$13.00 price target. To see the full list of analyst forecasts on PEXA Group Limited stock, see the AU:PXA Stock Forecast page.

PEXA Notes Revised Timetable for IPART Review of ELNO Service Fees

PEXA Group Limited has acknowledged the Independent Pricing and Regulatory Tribunal’s revised timetable for its review of Electronic Lodgement Network Operator service fees, signalling that the regulatory process governing pricing for key digital conveyancing infrastructure is taking longer than initially expected. While the announcement contains no new financial guidance, any changes emerging from the extended review could influence PEXA’s fee structures and revenue profile in its core Australian market, with potential implications for customers and the broader property settlement ecosystem that relies heavily on its platform.

The most recent analyst rating on (AU:PXA) stock is a Hold with a A$14.00 price target. To see the full list of analyst forecasts on PEXA Group Limited stock, see the AU:PXA Stock Forecast page.

PEXA sets date for 1H26 results and investor briefing

PEXA Group Limited will release its half-year financial results for the period ended 31 December 2025 on 27 February 2026 and will host a briefing session for investors and analysts at 10:30am AEDT the same day, accessible via conference call or webcast upon registration. The scheduled update and briefing underscore PEXA’s ongoing efforts to engage capital markets closely as it consolidates its dominant position in Australia’s digital property settlement market and advances its growth strategy in the UK.

The most recent analyst rating on (AU:PXA) stock is a Buy with a A$16.09 price target. To see the full list of analyst forecasts on PEXA Group Limited stock, see the AU:PXA Stock Forecast page.

PEXA Responds to Release of Submission in NSW Review of ELNO Service Fees

PEXA Group Limited has acknowledged the release by the New South Wales Independent Pricing and Regulatory Tribunal of a redacted version of its submission to the ongoing review of service fees charged by Electronic Lodgement Network Operators. The company has welcomed the opportunity to contribute to this regulatory process and signalled its intention to remain actively engaged in the review over the coming months, underscoring the importance of pricing oversight for its core digital property exchange operations and the broader electronic conveyancing market.

The most recent analyst rating on (AU:PXA) stock is a Buy with a A$16.09 price target. To see the full list of analyst forecasts on PEXA Group Limited stock, see the AU:PXA Stock Forecast page.

PEXA Group Limited Issues New Securities

PEXA Group Limited has announced the issuance of 60,856 ordinary fully paid securities, effective from November 19, 2025. This move involves the conversion of unquoted options or convertible securities, potentially impacting the company’s equity structure and offering insights into its strategic financial maneuvers.

The most recent analyst rating on (AU:PXA) stock is a Buy with a A$19.10 price target. To see the full list of analyst forecasts on PEXA Group Limited stock, see the AU:PXA Stock Forecast page.

PEXA Group Limited Updates Director’s Interest in Securities

PEXA Group Limited has announced a change in the director’s interest, with Russell Cohen acquiring 81,592 performance rights under the company’s Equity Incentive Plan. This move reflects the company’s ongoing commitment to aligning executive interests with long-term company performance, potentially impacting the company’s operational focus and stakeholder confidence positively.

The most recent analyst rating on (AU:PXA) stock is a Buy with a A$19.10 price target. To see the full list of analyst forecasts on PEXA Group Limited stock, see the AU:PXA Stock Forecast page.