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Redox Limited (AU:RDX)
ASX:RDX
Australian Market
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Redox Limited (RDX) AI Stock Analysis

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AU

Redox Limited

(Sydney:RDX)

Rating:76Outperform
Price Target:
AU$2.50
▲(10.62%Upside)
Redox Limited's strong financial performance is the primary driver of the stock score, supported by solid profitability margins and financial stability. Valuation is also favorable, with a reasonable P/E ratio and attractive dividend yield. Technical analysis indicates a need for caution due to bearish price trends despite neutral RSI levels.

Redox Limited (RDX) vs. iShares MSCI Australia ETF (EWA)

Redox Limited Business Overview & Revenue Model

Company DescriptionRedox Limited supplies and distributes chemicals, ingredients, and raw materials in Australia, New Zealand, the United States, and internationally. It offers antioxidants, proteins and fibres, leaving agents, acidity regulator, sweeteners, thickeners, stabilisers and gums, vitamins, amino acids, mineral salts, preservatives, phosphates, humectants, essential and vegetable oils, herb and spice extracts, natural colours, emulsifier, dairy products, wine and brewing, cleaning and sanitation, specialities, additives, emollients, emulsifiers, hair care, solvents, sunscreens, surfactants, thickeners, vegetable oils, processing aids and fining, cleaning and sanitation, waxes and fatty acids, and functional products. The company also offers feed trace elements and minerals, fats and oils, fertilisers, fertiliser trace elements, herbicides, fungicides, pool chlorination and bromination, water softeners, water hardeners, PH adjusters, UV stabilisers, flocculants and coagulants, filter vessels, manganese remover, dechlorination, bore anti-fouling agents, anti-foams, odour control, boiler treatments, oxygen scavengers, corrosion inhibitors, organophosphonate sequestering agents, tannins, biocides, slimacides, algaecides and bactericides, polymeric dispersants homopolmers, polymeric dispersants copolymers, activated carbon, ion exchange resins, esters, polyalphaolefins, and polybutene. In addition, it offers chemical products for roading, glass and glass insulation, wood preservatives, gypsum, plasterboard and drywall, concrete and admixtures, insulation, and ceramic and brick. The company serves food and beverages, human health, crop production and protection, detergents, animal health and nutrition, personal care, surface coatings, metals, building construction, textile and leather, lubricants, mining, oil and gas, and water treatment, as well as rubber, and plastics and foam industry sectors. Redox Limited was founded in 1965 and is headquartered in Minto, Australia.
How the Company Makes MoneyRedox Limited generates revenue primarily through the sale and distribution of chemicals and ingredients to businesses across different sectors. The company's key revenue streams include direct sales to manufacturers, wholesalers, and retailers in the food, pharmaceutical, and industrial sectors. Additionally, Redox Limited benefits from strategic partnerships with global chemical producers, allowing it to offer a diverse product portfolio and maintain competitive pricing. The company's earnings are also supported by value-added services, such as custom formulation and technical support, which enhance customer satisfaction and loyalty.

Redox Limited Financial Statement Overview

Summary
Redox Limited shows strong financial health with solid revenue growth, robust profitability margins, and a strong balance sheet characterized by low leverage and high equity. The cash flow position remains healthy, supporting the company's operations and potential investments.
Income Statement
78
Positive
Redox Limited has demonstrated solid growth in revenue over the years, with a positive revenue growth rate of 5.1% from 2022 to 2023, despite a slight decline in 2024. The gross profit margin remains robust at approximately 23.4% in 2024, indicating efficient cost management. The net profit margin has improved to 7.9% in 2024, showing enhanced profitability. EBIT and EBITDA margins are stable, reflecting strong operating performance.
Balance Sheet
81
Very Positive
The company's balance sheet is strong, with a decreasing debt-to-equity ratio from 2023 to 2024, now at 0.09, indicating low leverage. ROE is impressive at 17% in 2024, showing effective use of equity. The equity ratio of 75.6% suggests financial stability and a strong equity base. The company has managed to significantly reduce its net debt position.
Cash Flow
75
Positive
Redox Limited has shown a strong cash flow position with a high free cash flow to net income ratio, indicating effective cash generation relative to earnings. However, operating cash flow has decreased slightly from 2023 to 2024, which requires monitoring. The company's free cash flow growth rate is positive, reflecting good cash management practices.
BreakdownTTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue1.19B1.14B1.26B1.08B796.34M718.47M
Gross Profit268.16M265.93M262.03M243.79M164.92M149.92M
EBITDA132.20M139.68M137.07M138.31M81.97M60.72M
Net Income90.88M90.24M80.73M88.02M47.58M33.16M
Balance Sheet
Total Assets736.47M702.38M579.86M639.56M428.72M394.39M
Cash, Cash Equivalents and Short-Term Investments139.75M179.29M35.03M40.60M23.24M19.17M
Total Debt56.69M47.04M217.86M261.82M154.28M169.18M
Total Liabilities198.12M171.11M344.90M405.74M246.60M251.54M
Stockholders Equity538.35M531.27M234.96M233.82M182.13M142.85M
Cash Flow
Free Cash Flow42.99M112.06M131.63M-50.56M29.88M6.11M
Operating Cash Flow47.59M115.89M134.74M-48.98M32.24M8.25M
Investing Cash Flow-19.22M-125.25M-2.81M-1.22M-2.09M-2.14M
Financing Cash Flow-65.48M30.88M-137.05M67.75M-25.48M-10.11M

Redox Limited Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price2.26
Price Trends
50DMA
2.39
Negative
100DMA
2.62
Negative
200DMA
3.25
Negative
Market Momentum
MACD
-0.03
Negative
RSI
52.80
Neutral
STOCH
78.61
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:RDX, the sentiment is Neutral. The current price of 2.26 is above the 20-day moving average (MA) of 2.16, below the 50-day MA of 2.39, and below the 200-day MA of 3.25, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 52.80 is Neutral, neither overbought nor oversold. The STOCH value of 78.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:RDX.

Redox Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (44)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AURDX
76
Outperform
AU$1.14B13.0617.31%5.50%-1.40%9.14%
AUANO
54
Neutral
AU$52.00M-1.66%-25.16%-157.23%
AUHZR
54
Neutral
AU$91.62M-182.18%45.43%
AUA4N
45
Neutral
AU$1.01B-20.07%173.87%-27.93%
44
Neutral
AU$1.45B-6.10-40.74%3.85%-3.45%-41.76%
AUVUL
AU$776.29M-13.59%
AUATC
41
Neutral
AU$70.10M-52.53%76.88%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:RDX
Redox Limited
2.26
-0.68
-23.13%
AU:HZR
Hazer Group Ltd.
0.36
0.00
0.00%
AU:VUL
Vulcan Energy Resources Ltd.
3.63
-0.54
-12.95%
AU:ATC
Altech Chemicals Limited
0.04
-0.01
-20.00%
AU:ANO
Advance ZincTek Limited
0.83
0.11
15.28%
AU:A4N
Alpha HPA Limited
0.92
0.11
13.58%

Redox Limited Corporate Events

Redox Limited Addresses ASX Price Query Amid Market Fluctuations
Jun 6, 2025

Redox Limited, a company listed on the ASX, has responded to a price query from ASX Compliance regarding recent trading activity in its securities. The company stated it is not aware of any undisclosed information that could explain the trading fluctuations. Redox attributes the trading activity to external macro-economic factors, a revision of earnings forecasts by Morgan Stanley, and low liquidity in its securities. The company confirmed its compliance with ASX Listing Rules and that its responses have been authorized by its Board.

The most recent analyst rating on (AU:RDX) stock is a Buy with a A$3.08 price target. To see the full list of analyst forecasts on Redox Limited stock, see the AU:RDX Stock Forecast page.

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 10, 2025