Quantum Graphite Ltd (QGL) AI Stock Analysis

• Market Cap: AU$149.00M
• Dividend Yield: N/A
• Average Volume (3M): 74.79K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.74
• Revenue Growth: N/A
• EPS Growth: -10.08%
• Country: AU
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 350,584,380
• 10 Day Avg. Volume: 82,840
• 30 Day Avg. Volume: 74,787
• PEG Ratio: -3.57
• Price to Book (P/B): 11.06
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -131.43
• 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: 47 Neutral
• Price Target: AU$0.46 ▲(34.71% Upside)
• Action: Reiterated Date: 02/04/26
• Date: Action: Reiterated 02/04/26

The score is primarily held down by weak financial performance: the company remains pre-revenue with persistent losses and negative cash flows despite some improvement in cash burn and a currently acceptable equity-supported balance sheet. Technicals are mixed-to-slightly positive in the near term, but valuation remains challenged due to loss-making earnings and no stated dividend yield.

Positive Factors

Equity cushion

A tangible equity base of roughly A$14.8m provides a multi-month solvency buffer for a pre-revenue company, allowing management to pursue project development without immediate insolvency risk. This durable capital cushion extends runway and supports near-term strategic execution.

Improving cash burn

Lower free cash outflows in 2025 versus 2024 indicate tighter spending and greater operating discipline. Sustained reduction in burn rate is a structural positive because it lengthens runway, reduces immediate funding needs, and increases the likelihood management can reach commercialization or next financing milestones.

Moderate leverage

A debt-to-equity ratio near 0.35 signals moderate leverage that leaves room for additional, structured financing if required. For a capital-intensive pre-revenue industrial materials business, moderate current leverage supports access to credit markets without being overlevered, preserving strategic flexibility.

Negative Factors

Pre-revenue profile

Zero reported revenue across multiple years is a fundamental constraint: without commercial sales there is no established revenue model or margin track record. This elevates execution risk and makes long-term sustainability dependent on successful project commercialization or consistent external capital.

Persistent and widening losses

Recurring, growing net losses erode equity and produce negative returns on capital (ROE ~-33% in 2025). Over several quarters this dynamic can shorten runway, increase refinancing needs, and force dilutive financing or cost-cutting that could delay project timelines and impair long-term value creation.

Negative cash generation

Consistent operating cash outflows mean the business relies on external funding to sustain operations. That dependency raises dilution and execution risk if capital markets tighten or financing terms worsen, reducing managerial flexibility to invest in growth or respond to project delays over the medium term.

Quantum Graphite Ltd Business Overview & Revenue Model

Company Description

Quantum Graphite Limited engages in the exploration, mining, processing, manufacture, and sale of flake graphite and related products in Australia and internationally. Its flagship project is the Uley graphite project that includes five contiguous mining tenements located on the Eyre Peninsula, South Australia. The company also offers Li-ion electrical based batteries and long duration deep energy storage batteries utilizing the thermal energy storage technologies. The company was formerly known as Valence Industries Limited and changed its name to Quantum Graphite Limited in November 2016. The company was incorporated in 1986 and is headquartered in Melbourne, Australia.

How the Company Makes Money

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Quantum Graphite Ltd Financial Statement Overview

Summary

Pre-revenue profile with zero revenue (2020–2025), consistently negative gross profit, and widening net losses in 2025 (~-4.9m vs ~-4.4m in 2024). Cash flow remains negative (2025 operating/FCF about -1.24m) though burn improved versus 2024. Balance sheet has an equity cushion (~14.8m) and moderate leverage (debt-to-equity ~0.35), but leverage has risen and losses continue to pressure capital.

Income Statement

Operating fundamentals remain weak: the company has reported zero revenue across all provided annual periods (2020–2025), while gross profit is negative each year. Losses have widened again in 2025 (net loss of ~-4.9m vs ~-4.4m in 2024), and operating losses are consistently large, indicating the cost base is not yet supported by commercial sales. A modest positive is that the 2024 loss was smaller than 2023, but the overall trajectory still reflects a pre-revenue, loss-making profile.

Balance Sheet

The balance sheet shows a meaningful equity base (stockholders’ equity ~14.8m in 2025) relative to total debt (~5.2m), with moderate leverage (debt-to-equity ~0.35 in 2025). However, leverage has increased materially from 2022–2023 levels, and negative returns on equity persist (about -33% in 2025), reflecting ongoing losses that can erode capital over time. Overall, solvency looks acceptable today, but the rising debt trend and continued losses elevate risk.

Cash Flow

Cash generation is negative: operating cash flow is outflowing every year (about -1.24m in 2025), and free cash flow is also negative throughout. The burn rate improved in 2025 versus 2024 (free cash flow roughly -1.24m vs about -2.21m), which is a constructive sign of tighter cash use. Still, cash flow remains dependent on external funding given persistent operating outflows and ongoing net losses.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-24.16K	-26.16K	-29.64K	-32.80K	-56.11K	-47.27K
EBITDA	-2.65M	-4.83M	-4.01M	-5.36M	-2.29M	-2.23M
Net Income	-2.72M	-4.91M	-4.37M	-5.16M	-2.25M	-2.07M
Balance Sheet
Total Assets	23.57M	22.87M	22.60M	20.92M	19.89M	19.15M
Cash, Cash Equivalents and Short-Term Investments	1.70M	1.58M	1.44M	974.45K	1.00M	1.24M
Total Debt	7.53M	5.19M	4.21M	1.30M	1.29M	0.00
Total Liabilities	10.23M	8.09M	8.99M	3.27M	3.04M	1.62M
Stockholders Equity	13.34M	14.78M	13.62M	17.65M	16.85M	17.53M
Cash Flow
Free Cash Flow	-1.61M	-1.24M	-2.21M	-4.55M	-2.35M	-1.20M
Operating Cash Flow	-1.61M	-1.24M	-1.39M	-3.67M	-1.38M	-1.15M
Investing Cash Flow	-750.55K	-659.47K	-847.32K	-678.05K	-971.57K	-53.10K
Financing Cash Flow	2.00M	2.05M	2.70M	4.32M	2.12M	2.42M

Quantum Graphite Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.34
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:QGL, the sentiment is Negative. The current price of 0.34 is below the 20-day moving average (MA) of 0.45, below the 50-day MA of 0.42, and below the 200-day MA of 0.45, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 44.57 is Neutral, neither overbought nor oversold. The STOCH value of 0.93 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:QGL.

Quantum Graphite Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RNU	63 Neutral	AU$162.82M	146.12	0.67%	―	―	―
MLG	62 Neutral	AU$122.40M	4.76	10.13%	―	15.32%	10.05%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
AIS	61 Neutral	AU$460.91M	3.21	15.33%	―	6.70%	―
QGL	47 Neutral	AU$149.00M	-14.15	-19.34%	―	―	-10.08%
ZEO	44 Neutral	AU$115.21M	-11.76	-39.71%	―	―	25.00%
EGR	41 Neutral	AU$182.31M	-169.42	-8.00%	―	―	12.70%

Quantum Graphite Ltd Corporate Events

Quantum Graphite Narrows Half‑Year Loss as Revenue Rises, NTA Eases

Quantum Graphite reported a 32% rise in revenue from ordinary activities to A$235,923 for the half year to 31 December 2025, while its net loss attributable to members narrowed by about 50% to A$2.17 million compared with the prior corresponding period. The company did not declare or pay dividends, saw its net tangible asset backing per share fall to 3.78 cents from 4.39 cents, and said its reviewed half‑year financial report carried an unmodified audit conclusion, underscoring gradual financial improvement but continued development‑stage risk for investors.

The results highlight that Quantum Graphite remains in a loss‑making phase as it advances its Uley 2 graphite project, but the reduced deficit suggests tightening cost control or early operational efficiencies. The lower net tangible assets per share may temper near‑term valuation support, yet the confirmation of a clean review opinion provides some assurance on the integrity of its reported financial position as it seeks to progress one of the world’s major natural flake graphite deposits.

The most recent analyst rating on (AU:QGL) stock is a Hold with a A$0.45 price target. To see the full list of analyst forecasts on Quantum Graphite Ltd stock, see the AU:QGL Stock Forecast page.

Quantum Graphite Secures Exclusive Supply Role in Oman Vision 2040 Graphite Refinery

Quantum Graphite’s refining technology partner, Sunlands Pure Group, has signed a Memorandum of Understanding with the Governorate of Al Buraimi in Oman to develop a large‑scale graphite refinery on more than 240 hectares of land. Located about 60 kilometres from Oman’s main commercial hub at Sohar Port, the facility is designed to purify natural flake graphite to 99.9% graphitic carbon and package it for export to global battery and industrial markets.

The project has been formally recognised as part of Oman Vision 2040, underscoring its strategic role in the country’s long‑term industrial and economic plans. Under the MOU, Quantum Graphite is recognised as the exclusive supplier of flake graphite to Sunlands Pure Group’s integrated refining and downstream processing operations, positioning the Uley 2 project as a critical feedstock source and potentially strengthening Quantum’s role in the global energy‑transition supply chain.

The most recent analyst rating on (AU:QGL) stock is a Hold with a A$0.45 price target. To see the full list of analyst forecasts on Quantum Graphite Ltd stock, see the AU:QGL Stock Forecast page.

S&P Dow Jones Updates March 2026 All Ordinaries Rebalance

S&P Dow Jones Indices has updated the March 2026 quarterly rebalance of the All Ordinaries Index, reversing earlier plans by deciding not to add African Gold Limited and not to remove American Rare Earths Limited. The revised rebalance will still see a broad slate of additions across resources, technology, medical, and media names, with companies such as 4DMedical, Galan Lithium, Lake Resources, and Southern Cross Media Group joining the index, a move that could bolster their market visibility and appeal to index-tracking investors when the changes take effect on March 23, 2026.

The most recent analyst rating on (AU:QGL) stock is a Hold with a A$0.45 price target. To see the full list of analyst forecasts on Quantum Graphite Ltd stock, see the AU:QGL Stock Forecast page.

Quantum Graphite Secures 21-Year Uley Lease Renewal and Showcases TES Graphite Storage in Singapore

Quantum Graphite has secured a 21-year renewal of its Uley 2 mining leases in South Australia, underpinning long-term development across the Uley 2 to Uley 6 deposits, which collectively represent one of the largest flake graphite mineralisation packages on the Southern Eyre Peninsula. The renewed tenure supports a staged mine plan expected to supply at least 12 years of feedstock to Sunlands’ planned Pure Concentrator from Uley 2 and 3, followed by progressive development of Uley 3 South, 4, 5 and 6 that could extend operations toward 2070 and position the company as a major supplier relative to ex-China global flake production. The company also highlighted its growing role in the energy storage value chain, with Director Michael Wyer presenting Sunlands’ TES Graphite Cell technology at Singapore’s 2025 Scientific Conference, emphasizing the potential to repurpose existing coal-fired plants and provide long-duration thermal storage and grid support, thereby reinforcing Quantum’s strategic alignment with decarbonisation and sustainable power markets.

The most recent analyst rating on (AU:QGL) stock is a Sell with a A$0.37 price target. To see the full list of analyst forecasts on Quantum Graphite Ltd stock, see the AU:QGL Stock Forecast page.