Swoop Holdings Limited (SWP) AI Stock Analysis

• Market Cap: AU$42.77M
• Dividend Yield: N/A
• Average Volume (3M): 137.19K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.72
• Revenue Growth: 35.24%
• EPS Growth: -181.60%
• Country: AU
• Employees: 31
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): >-0.01
• Shares Outstanding: 311,061,220
• 10 Day Avg. Volume: 217,345
• 30 Day Avg. Volume: 137,189
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.22
• Price to Sales (P/S): 0.11
• P/FCF Ratio: 3.58
• 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: 50 Neutral
• Price Target: AU$0.14 ▲(37.00% Upside)
• Action: Upgraded Date: 01/29/26
• Date: Action: Upgraded 01/29/26

The score is primarily constrained by weak financial performance—ongoing losses and negative free cash flow—despite strong revenue growth. Technicals are supportive with an uptrend and positive MACD, but an overbought RSI tempers the outlook. Valuation is also limited by loss-making earnings and no dividend data.

Positive Factors

Strong revenue growth

Sustained double‑digit revenue growth signals expanding market traction and a growing subscriber base. Over a 2–6 month horizon this supports improving unit economics and scale benefits, increasing the likelihood of margin recovery if churn and acquisition costs stabilize.

Recurring subscription model

A subscription-based revenue model delivers predictable, recurring cash inflows and higher lifetime value per customer. Structurally this reduces revenue volatility, supports longer-term planning, and improves the ability to monetize upgrades and add‑on services as the base grows.

Focus on regional/underserved markets

Targeting regional and underserved areas addresses a structurally underpenetrated segment with less direct competition and potential government support. This niche positioning can enable higher penetration rates, localized customer stickiness and more durable pricing power over time.

Negative Factors

Negative profitability

Persistent negative net income and EBIT margins limit the company's ability to self-fund growth or absorb shocks. Over months this necessitates external capital, cost cutting, or margin expansion to avoid dilution and preserve strategic flexibility, constraining long-term investment options.

Negative free cash flow

Operating cash flow improvements are positive, but continued negative free cash flow indicates capex or working capital drains. Structurally this restricts liquidity, forces reliance on financing for network investment, and raises execution risk if capital markets tighten.

Limited scale and capital efficiency

A small workforce and negative ROE point to limited operational scale and poor capital efficiency. Without scale economies or improved returns, the company may struggle to lower unit costs or fund network upgrades, prolonging the path to sustainable profitability.

Swoop Holdings Limited Business Overview & Revenue Model

Company Description

Swoop Holdings Limited offers fixed wireless and fibre services to wholesale, business, and residential customers in Australia. It provides internet and telecommunication, and fixed wireless broadband services; and services over the NBN fixed line and fixed wireless networks. The company was incorporated in 1987 and is based in Sydney, Australia.

How the Company Makes Money

Swoop makes money primarily by charging recurring subscription fees for internet and connectivity services (e.g., broadband/data plans) delivered over the networks and access technologies it operates or resells. Revenue is generated from monthly service charges paid by customers, with additional earnings potentially coming from setup/installation fees, equipment charges (such as customer premises hardware), and higher-tier plans or add-ons (e.g., increased speeds, data allowances, or business connectivity features) where offered. null

Swoop Holdings Limited Financial Statement Overview

Summary

Strong revenue growth (24.88%) is a clear positive, but overall fundamentals are held back by negative profitability (net income and EBIT margins) and weak cash generation, with free cash flow still negative despite improved operating cash flow.

Income Statement

Swoop Holdings Limited has shown a significant revenue growth rate of 24.88% in the latest period, indicating strong top-line expansion. However, the company is struggling with profitability, as evidenced by negative net income and EBIT margins. The gross profit margin has improved but remains modest. Overall, while revenue growth is a positive sign, the lack of profitability is a concern.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, suggesting a balanced approach to leverage. However, the return on equity is negative, reflecting ongoing losses. The equity ratio is healthy, indicating a solid capital structure. While the company maintains a stable balance sheet, the lack of profitability impacts overall financial health.

Cash Flow

Operating cash flow has improved, but free cash flow remains negative, indicating challenges in generating cash after capital expenditures. The free cash flow growth rate is significantly negative, highlighting potential liquidity issues. The operating cash flow to net income ratio is positive, suggesting some ability to convert earnings into cash, but overall cash flow performance is weak.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	124.66M	106.39M	81.14M	69.97M	51.67M	22.42M
Gross Profit	14.58M	23.60M	22.19M	-556.07K	28.30M	8.92M
EBITDA	11.23M	8.68M	9.26M	-12.43M	7.08M	-7.99M
Net Income	-7.81M	-6.95M	-3.79M	-37.51M	-4.88M	-13.79M
Balance Sheet
Total Assets	119.31M	117.07M	125.87M	124.25M	132.64M	79.59M
Cash, Cash Equivalents and Short-Term Investments	6.25M	8.03M	10.90M	19.04M	32.06M	17.50M
Total Debt	27.06M	24.06M	32.07M	27.50M	10.04M	9.74M
Total Liabilities	56.86M	62.75M	66.39M	61.94M	36.06M	30.06M
Stockholders Equity	62.45M	54.32M	59.47M	62.30M	96.58M	49.54M
Cash Flow
Free Cash Flow	-1.90M	3.33M	-7.27M	-4.14M	-9.50M	-8.11M
Operating Cash Flow	8.95M	15.88M	9.13M	13.75M	8.86M	-1.14M
Investing Cash Flow	-10.51M	-13.03M	-20.83M	-41.26M	-37.64M	-7.58M
Financing Cash Flow	5.93M	-6.67M	4.50M	14.52M	43.23M	21.93M

Swoop Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SWP, the sentiment is Positive. The current price of 0.1 is below the 20-day moving average (MA) of 0.14, below the 50-day MA of 0.14, and below the 200-day MA of 0.13, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 48.06 is Neutral, neither overbought nor oversold. The STOCH value of 48.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:SWP.

Swoop Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SWP	50 Neutral	AU$42.77M	-6.94	-13.37%	―	35.24%	-181.60%
5GG	45 Neutral	AU$9.96M	-1.37	-14.37%	―	8.20%	37.20%
HFY	42 Neutral	AU$8.27M	-4.21	-9.80%	―	-9.44%	83.16%
5GN	40 Underperform	AU$17.56M	-1.53	-37.30%	―	26.95%	90.52%

Swoop Holdings Limited Corporate Events

Swoop Corrects Competitor Data in Half-Year Investor Briefing

Swoop Holdings has issued a correction to its half-year FY26 investor briefing after discovering errors in competitor net additions figures for Vocus and Aussie Broadband. The revised numbers flip some previously reported Q4 FY25 net additions and significantly adjust Q1 FY26 figures, prompting the company to replace the original presentation with a corrected version.

The company stressed that no other changes were made to the investor briefing beyond the corrected data points in the competitor comparison table. The incident underscores the sensitivity of competitive metrics in the telecom sector and Swoop’s need to maintain accuracy in market disclosures that inform investors and industry stakeholders.

The most recent analyst rating on (AU:SWP) stock is a Hold with a A$0.14 price target. To see the full list of analyst forecasts on Swoop Holdings Limited stock, see the AU:SWP Stock Forecast page.

Swoop’s Revenue Surges but Underlying Earnings Slide Into Loss

Swoop Holdings reported a 75% rise in revenue from ordinary activities to $97.4 million for the half-year ended 31 December 2023, driven by growth across its operating activities, with gross margin increasing 18% to $49.7 million. However, the group swung from a prior-period profit to a total loss attributable to owners of $13.3 million, as underlying EBITDA fell 43% to $9.8 million and underlying net loss before tax widened to $16.9 million, highlighting rising operating expenses and a more challenging profitability profile despite strong top-line expansion.

Earnings per share from continuing operations declined into negative territory, with basic EPS at minus 3.69 cents compared with minus 4.29 cents a year earlier, and total basic EPS attributable to shareholders at minus 3.69 cents versus 1.36 cents previously. Management’s presentation of non-statutory measures such as gross margin and underlying EBITDA, which incorporate both continuing and discontinued operations and exclude non-cash and one-off items, underscores the pressure on underlying earnings and signals that investors must weigh rapid revenue growth against deteriorating bottom-line performance.

The most recent analyst rating on (AU:SWP) stock is a Hold with a A$0.14 price target. To see the full list of analyst forecasts on Swoop Holdings Limited stock, see the AU:SWP Stock Forecast page.

Swoop Sets Date for FY26 Half-Year Results and Investor Briefing

Swoop Holdings has scheduled the release of its financial results for the half year to 31 December 2025 on 26 February 2026, followed by an investor teleconference led by CEO Alex West and CFO Patricia Jones. The planned briefing underscores the company’s efforts to maintain transparent engagement with shareholders and the investment community at a time when its performance and growth trajectory as a challenger telecommunications provider are under close watch.

The most recent analyst rating on (AU:SWP) stock is a Hold with a A$0.16 price target. To see the full list of analyst forecasts on Swoop Holdings Limited stock, see the AU:SWP Stock Forecast page.

Swoop Balances Strong Consumer Growth With Cash Outflows as It Refocuses on Core Telecom Business

Swoop Holdings reported strong first-half FY26 growth in its core consumer business, with customer receipts rising 53% year-on-year to $72.9 million, driven by accelerating NBN and mobile demand and contributions from the Melbourne Fibre Project. However, operating cash flow fell to negative $4.1 million and free cash flow to negative $14.9 million, largely due to reductions in payables and a one-off $3 million technology platform investment, while core gross margin slipped to 25.2%, with management targeting an 8–10 percentage point improvement over the next 18 months via supplier renegotiations, including a new NBN deal, and operating leverage. The company ended the half with $16 million in available funding, supported by a $9.3 million entitlement offer and the $6.2 million divestment of its Vonex shareholding, earmarked for working capital and Melbourne Fibre capex, and has launched a “Focus. Divest. Grow” strategy and refreshed its board to streamline operations and enhance returns, underscoring a pivot toward its higher-growth NBN and mobile segments.

The most recent analyst rating on (AU:SWP) stock is a Hold with a A$0.16 price target. To see the full list of analyst forecasts on Swoop Holdings Limited stock, see the AU:SWP Stock Forecast page.

Swoop Updates ASX Application on Retail Offer Share Numbers

Swoop Holdings Limited has lodged an updated application with the ASX for quotation of new securities, relating specifically to shares being issued under its retail offer. The company has revised the number of shares to be issued compared with a previous notice dated 23 December 2025, signalling an adjustment to the structure or take-up of its retail capital raising, which may influence the final size and dilution profile of the offer for existing shareholders.

The most recent analyst rating on (AU:SWP) stock is a Hold with a A$0.15 price target. To see the full list of analyst forecasts on Swoop Holdings Limited stock, see the AU:SWP Stock Forecast page.

Swoop Seeks ASX Quotation for 70 Million New Ordinary Shares

Swoop Holdings Limited has applied for quotation on the ASX of 70,251,506 new fully paid ordinary shares under ticker SWP, with an issue date of 24 December 2025. The application, lodged as a new announcement on 23 December 2025, formalises the move to have these securities traded on-market, potentially expanding Swoop’s free float and liquidity and marking a material increase in its quoted capital base for current and prospective shareholders.

The most recent analyst rating on (AU:SWP) stock is a Hold with a A$0.15 price target. To see the full list of analyst forecasts on Swoop Holdings Limited stock, see the AU:SWP Stock Forecast page.

Swoop Raises $9.3m as Retail Entitlement Offer Closes With Strong Take-Up

Swoop Holdings Limited has completed the retail component of its 1-for-2.14 accelerated non-renounceable pro-rata entitlement offer, raising approximately $6.5 million from eligible retail shareholders at an offer price of $0.10 per share, with a strong participation rate of about 90.1%. Together with the previously completed institutional component, the total raised under the entitlement offer now stands at roughly $9.3 million, while the board retains the option to place the remaining shortfall of about 7.1 million shares (approximately $0.7 million) to investors within three months, potentially broadening its shareholder base and strengthening its capital position ahead of the newly issued shares beginning to trade later in December 2025.

The most recent analyst rating on (AU:SWP) stock is a Hold with a A$0.15 price target. To see the full list of analyst forecasts on Swoop Holdings Limited stock, see the AU:SWP Stock Forecast page.