Sietel Limited (SSL) AI Stock Analysis

• Market Cap: AU$69.26M
• Dividend Yield: N/A
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 54.8
• Beta (1Y): -0.34
• Revenue Growth: -23.53%
• EPS Growth: -47.23%
• Country: AU
• Employees: 152
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 0.08
• Shares Outstanding: 8,007,479
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -1.17
• Price to Book (P/B): 0.78
• Price to Sales (P/S): 5.46
• P/FCF Ratio: 74.62
• 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: 54 Neutral
• Price Target: AU$9.00 ▲(4.65% Upside)

The score is primarily supported by a very strong, low-risk balance sheet, but is held back by weaker and less stable operating/cash-flow performance and an expensive valuation (high P/E). Technicals add modest support but show overbought conditions and limited longer-term trend strength.

Positive Factors

Debt-free, strong capital base

A near-zero debt position and high equity-to-assets ratio provide durable financial flexibility. This lowers refinancing and solvency risk in a cyclical real-estate services sector, enabling opportunistic investment, M&A, or sustained support for operations during downturns.

Sustainably high gross margins

Consistently strong gross margins imply durable pricing power or favorable contract economics. This margin cushion can absorb SG&A or cyclical headwinds, supporting long-term profitability if the company preserves contract mix and cost discipline.

Positive operating cash flow and recovered FCF

Return to positive operating cash flow and positive free cash flow demonstrates the business can generate cash from operations. Over months, sustained cash generation supports reinvestment, working capital, and the debt-free balance sheet, strengthening resilience.

Negative Factors

Top-line decline and volatility

A material revenue drop and historical volatility signal weakened demand or contract losses. Persistent top-line erosion undermines scale economies and long-term growth visibility, limiting the firm's ability to rebuild margins and justify reinvestment.

Operating profitability weakened

A negative operating margin implies core operations are not covering operating costs, increasing reliance on non-operating items or asset cushions. If persistent, this erodes earnings quality and risks structural margin deterioration absent cost or revenue fixes.

Volatile free cash flow and weak cash conversion

Large swings in FCF and weak coverage of net income indicate inconsistent cash conversion from earnings. This unpredictability hampers capital allocation, dividend reliability and investment planning, raising medium-term operational and financial risk despite low leverage.

Sietel Limited Business Overview & Revenue Model

Company Description

Sietel Limited invests in industrial, commercial, and retail real estate properties in Australia. It also finances and leases facilities, as well as offers plant and management services. In addition, the company trades as a commercial vehicle body builder; and a designer, developer, importer, and distributor of domestic appliances, as well as a property maintenance company. Sietel Limited was incorporated in 1937 and is based in Moorabbin, Australia.

How the Company Makes Money

Sietel Limited generates revenue primarily through rental income from its portfolio of commercial and industrial real estate properties. The company leases these properties to various tenants, creating a steady stream of income. Additionally, Sietel Limited earns money through its subsidiary operations, which contribute to its earnings by engaging in manufacturing and other business activities. The company may also receive dividends and returns from its investments in other businesses, further contributing to its overall revenue.

Sietel Limited Financial Statement Overview

Summary

Balance sheet strength (no debt, high equity vs. assets) supports a higher score, but it is offset by weakened operating performance (FY2025 operating margin turned slightly negative) and inconsistent cash conversion with volatile free cash flow.

Income Statement

Revenue has been volatile, with a meaningful decline in FY2025 (-17.87%) after growth in prior years. Profitability remains positive at the bottom line (FY2025 net margin ~10.0%), but operating performance weakened as operating profit turned slightly negative (FY2025 operating margin ~-2.8%) and margins compressed versus FY2024. Gross margins stayed solid (~62% in FY2025), suggesting pricing/contract economics are still healthy, but the swing in operating results points to elevated cost pressure and less stable earnings quality.

Balance Sheet

The balance sheet is a clear strength: leverage is minimal to none (FY2025 total debt at 0; debt-to-equity at 0.0), providing flexibility in a cyclical industry. Equity is substantial relative to assets (FY2025 equity ~$88.8M vs. assets ~$98.0M), implying a strong capital base. The main drawback is modest shareholder returns (FY2025 return on equity ~1.4%), reflecting that the company is not currently generating high profit on its equity base.

Cash Flow

Cash generation is mixed. Operating cash flow remained positive (FY2025 ~$1.78M), but free cash flow has been volatile, including a very large negative in FY2024 (free cash flow about -$11.0M) followed by a return to positive in FY2025 (~$0.93M). Recent free cash flow covered only about half of net income in FY2025 (~0.52x), signaling weaker cash conversion and potential working-capital or investment swings that can pressure consistency.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	12.71M	12.71M	14.55M	13.11M	14.32M	7.02M
Gross Profit	7.88M	7.88M	8.00M	7.62M	6.30M	4.35M
EBITDA	425.29K	1.56M	1.90M	2.21M	4.98M	-1.16M
Net Income	1.27M	1.27M	2.40M	655.70K	3.34M	1.36M
Balance Sheet
Total Assets	97.98M	97.98M	97.06M	87.15M	83.02M	81.70M
Cash, Cash Equivalents and Short-Term Investments	1.46M	1.46M	1.57M	1.49M	2.67M	1.38M
Total Debt	0.00	0.00	3.50M	2.90M	4.30M	0.00
Total Liabilities	9.16M	9.16M	10.64M	8.01M	7.70M	5.08M
Stockholders Equity	88.82M	88.82M	86.42M	79.14M	75.33M	76.62M
Cash Flow
Free Cash Flow	930.11K	930.12K	-11.02M	1.96M	3.11M	1.47M
Operating Cash Flow	1.78M	1.78M	4.69M	3.20M	3.34M	2.22M
Investing Cash Flow	-485.25K	-485.25K	-5.21M	-2.97M	-6.30M	-3.92M
Financing Cash Flow	-1.41M	-1.41M	592.50K	-1.41M	4.29M	-7.50K

Sietel Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SSL, the sentiment is Positive. The current price of 8.6 is below the 20-day moving average (MA) of 8.64, below the 50-day MA of 8.61, and below the 200-day MA of 8.65, indicating a bullish trend. The MACD of 0.01 indicates Positive momentum. The RSI at 98.03 is Negative, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:SSL.

Sietel Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AAP	70 Neutral	AU$19.54M	10.00	14.00%	―	18.35%	55.88%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
WOT	56 Neutral	AU$84.11M	-17.99	-2.01%	3.95%	-5.21%	-14350.00%
SSL	54 Neutral	AU$69.26M	54.78	1.45%	―	-23.53%	-47.23%
AOF	49 Neutral	AU$62.47M	-1.76	-23.55%	15.14%	-68.24%	42.03%
DBF	45 Neutral	AU$89.99M	-2.76	-11.46%	29.49%	-16.73%	-343.82%
MPX	38 Underperform	AU$19.82M	-7.58	-13.36%	―	-81.98%	-131.34%

Sietel Limited Corporate Events

Sietel Limited Emphasizes Governance and Diversity Goals

Sietel Limited has outlined its corporate governance framework, emphasizing the proactive role of its board in decision-making and performance management. The board is responsible for overseeing the company, approving corporate strategies, and ensuring compliance with legal and ethical standards. The company has set a measurable objective to achieve a minimum of 40% gender diversity by 2030, reflecting its commitment to diversity and inclusion.

The most recent analyst rating on (AU:SSL) stock is a Hold with a A$8.50 price target. To see the full list of analyst forecasts on Sietel Limited stock, see the AU:SSL Stock Forecast page.

Sietel Limited Announces AGM and Reports Steady Investment Growth Amid Challenges

Sietel Limited has announced its upcoming Annual General Meeting, set for January 22, 2026, where key agenda items include the adoption of financial and remuneration reports and the re-election of Mr. T. D. Rees as director. The company reported a steady rise in its investment portfolio, particularly in the US market, despite challenges such as increased maintenance costs due to crime and vandalism affecting its properties. The manufacturing segment maintained momentum with firm orders, although profitability was impacted by increased production costs and labor shortages. The company continues to focus on long-term investment strategies while addressing challenges in its unlisted investments and domestic appliance distribution due to regulatory impacts.

The most recent analyst rating on (AU:SSL) stock is a Hold with a A$8.50 price target. To see the full list of analyst forecasts on Sietel Limited stock, see the AU:SSL Stock Forecast page.

Sietel Limited Announces New Dividend Distribution

Sietel Limited has announced a new dividend distribution for its 5.0% cumulative preference shares, with a distribution amount of AUD 0.05000000. The ex-date is set for January 7, 2026, and the record date is January 8, 2026, with payment to be made on January 10, 2026. This announcement reflects the company’s ongoing commitment to providing returns to its shareholders and may impact its financial positioning and stakeholder relations.

The most recent analyst rating on (AU:SSL) stock is a Hold with a A$8.50 price target. To see the full list of analyst forecasts on Sietel Limited stock, see the AU:SSL Stock Forecast page.

Sietel Limited Reports Significant Financial Decline for FY2025

Sietel Limited has announced its preliminary final report for the year ended 30 September 2025, revealing a significant decline in financial performance. The company’s total revenues dropped by 24% to $14,858,052, while the net profit attributable to members fell by 47% to $1,272,266. No dividends were declared for ordinary shares, but preference shares maintained a dividend of 5 cents per share. This financial downturn may impact Sietel Limited’s market positioning and stakeholder confidence.

The most recent analyst rating on (AU:SSL) stock is a Hold with a A$8.50 price target. To see the full list of analyst forecasts on Sietel Limited stock, see the AU:SSL Stock Forecast page.