TZ Limited (TZL) AI Stock Analysis

• Market Cap: AU$15.15M
• Dividend Yield: N/A
• Average Volume (3M): 81.99K
• Price to Earnings (P/E): 182.5
• Beta (1Y): -1.11
• Revenue Growth: -14.87%
• EPS Growth: 39.44%
• Country: AU
• Employees: 8
• Sector: Industrials
• Sector Strength: 93
• Industry: Security & Protection Services
• EPS (TTM): >-0.01
• Shares Outstanding: 280,614,100
• 10 Day Avg. Volume: 40,551
• 30 Day Avg. Volume: 81,987
• PEG Ratio: 0.01
• Price to Book (P/B): -3.50
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -23.68
• 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: Hold
• Number of Analyst Covering: 0

• Rating: 44 Neutral
• Price Target: AU$0.00 ▼(-100.00%Downside)

The overall stock score reflects significant financial risks due to high leverage and negative equity despite some improvements in profitability and cash flow. The technical analysis presents a neutral to bearish outlook, while the lack of profitability and dividends negatively impacts the valuation score.

TZ Limited Business Overview & Revenue Model

Company Description

TZ Limited (TZL) is a technology company specializing in smart locking and intelligent access control solutions. Operating across various sectors, including commercial, industrial, and residential, TZL provides innovative products and services designed to enhance security and operational efficiency. The company is renowned for its expertise in Internet of Things (IoT) technology, offering a suite of products that integrate hardware and software to deliver automated and remote access control capabilities.

How the Company Makes Money

TZ Limited generates revenue through the sale of its smart locking systems and access control solutions. The company's primary revenue streams include product sales, software licensing, and maintenance services. TZL also engages in strategic partnerships with enterprise clients, providing customized solutions that cater to specific security and access management needs. Additional revenue is derived from long-term service agreements and subscription models for its software platforms, ensuring recurring income. The company's focus on innovation and collaboration with key industry players further enhances its market presence and financial performance.

TZ Limited Financial Statement Overview

Summary

TZ Limited is showing signs of financial recovery with improvements in profitability and cash flow. However, high debt levels and negative equity pose significant financial risk and instability, which negatively impact the overall financial performance score.

Income Statement

TZ Limited shows a slight improvement in revenue but struggles with profitability. The gross profit margin has improved significantly from negative to positive, reaching 50.3% in 2024, indicating better cost management. However, the net profit margin remains low at 0.7%, reflecting ongoing challenges in converting sales into net income. The EBIT and EBITDA margins are low, though they have improved from negative values, highlighting some recovery but still a need for stronger operational efficiency.

Balance Sheet

The company's balance sheet reveals high leverage with a debt-to-equity ratio that is negative due to negative equity, posing a significant risk. The equity ratio is also negative, indicating insolvency concerns. While total debt has decreased from 2020, the negative stockholders' equity suggests the company is still heavily reliant on debt financing. Return on equity is not calculable due to negative equity, emphasizing financial instability.

Cash Flow

Cash flow analysis shows a positive shift with an improvement in both operating cash flow and free cash flow in 2024. The operating cash flow to net income ratio is healthy at 10.6, suggesting strong cash generation relative to net income. Additionally, free cash flow has turned positive, indicating better cash management and potential for reinvestment or debt reduction. However, previous years show a volatile pattern that poses potential risks to sustained cash flow stability.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	11.18M	13.94M	13.81M	20.40M	16.38M	12.85M
Gross Profit	2.96M	7.00M	-2.83M	-145.47K	26.09K	-2.22M
EBITDA	-88.20K	1.11M	-4.87M	-760.39K	142.39K	-3.74M
Net Income	-1.12M	99.35K	-5.99M	-2.00M	-1.66M	-5.12M
Balance Sheet
Total Assets	5.65M	6.95M	7.18M	12.83M	9.24M	8.03M
Cash, Cash Equivalents and Short-Term Investments	560.97K	1.05M	862.95K	2.05M	373.93K	1.04M
Total Debt	3.88M	4.47M	3.87M	2.91M	5.32M	11.89M
Total Liabilities	9.65M	10.49M	10.90M	10.94M	10.75M	17.38M
Stockholders Equity	-3.99M	-3.54M	-3.72M	1.89M	-1.51M	-9.35M
Cash Flow
Free Cash Flow	-639.98K	547.43K	-3.11M	-1.83M	-3.01M	-4.89M
Operating Cash Flow	-352.10K	1.06M	-2.92M	-1.63M	-2.60M	-3.81M
Investing Cash Flow	-507.71K	-507.70K	-190.66K	-207.40K	-419.57K	-1.08M
Financing Cash Flow	-277.68K	-490.62K	1.93M	3.50M	2.37M	5.41M

TZ Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:TZL, the sentiment is Negative. The current price of 0.05 is below the 20-day moving average (MA) of 0.05, below the 50-day MA of 0.06, and below the 200-day MA of 0.06, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 27.27 is Positive, neither overbought nor oversold. The STOCH value of -23.21 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:TZL.

TZ Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	59 Neutral	AU$1.63B	9.72	11.24%	3.51%	6.75%	3.18%
AVA	49 Neutral	AU$30.50M	―	-10.45%	―	13.25%	13.71%
TZL	44 Neutral	AU$15.15M	182.50		―	-14.87%	39.44%
MSG	39 Underperform	AU$990.50K	1.08	36.82%	―	-100.00%	―
SP3	39 Underperform	AU$4.44M	―	-244.13%	―	7.28%	31.75%
DTI	36 Underperform	AU$4.47M	―	-51.77%	―	-28.33%	-95.45%
SCT	36 Underperform	AU$1.63M	―		―	18.59%	22.71%

TZ Limited Corporate Events

TZ Limited Announces New CFO Amidst Leadership Transition

TZ Limited has announced a change in its executive team with the retirement of Chief Financial Officer Vijay Gupta, effective July 1, 2025. Mr. Gupta will continue to support the company part-time, while Ms. Leilei Shen, who joined TZ in 2023, will take over as the new CFO. Ms. Shen’s appointment is seen as pivotal for TZ’s development and market expansion, given her experience in senior accounting roles across various industries.

TZ Limited Announces Successful Resolutions at Extraordinary General Meeting

TZ Limited announced the results of its Extraordinary General Meeting held on June 5, 2025, where all resolutions were successfully carried. The approval of financial assistance and the ratification of prior issues of shares and options indicate strong shareholder support, which may positively impact the company’s strategic initiatives and market confidence.

TZ Limited Secures Second Order for Microsoft Data Centres

TZ Limited has received a second purchase order from Wesco Anixter, acting on behalf of Microsoft, for 125 data centre cabinet security kits valued at approximately US$156,000. This order, intended for deployment in Microsoft’s EMEA data centres, brings the total value of orders to US$362,500. The ongoing demand for TZ’s solutions highlights the company’s strategic positioning in the market as global data centres upgrade to meet AI, cloud computing, and regulatory compliance needs.

TZ Limited Secures Major Order for Data Centre Cabinet Locking Solutions

TZ Limited has secured its first order for its Data Centre Cabinet Locking solution from Wesco/Anixter, acting as a procurement agent for Microsoft. This marks a significant step following a successful evaluation and pilot phase, with the initial order covering key regions including the US, Europe, and Asia. The company is experiencing double-digit growth in its DC Security sales, driven by the expanding data center market fueled by AI, cloud computing, and digital transformation. TZ is refocusing its sales efforts with a dedicated team targeting high-growth regions like Asia-Pacific to capitalize on this demand. The company’s solutions offer advantages such as modular kits for retrofits and integration with third-party systems, positioning TZ well to support major operators like NextDC and Macquarie Data Centres in their expansion plans.

TZ Limited Requests Trading Halt Pending Major Contract Announcement

TZ Limited, listed on the Australian Securities Exchange under the ticker TZL, has requested a trading halt on its securities. This halt is pending an announcement concerning a significant customer contract, which is expected to be released before the resumption of normal trading on May 12, 2025. The trading halt is intended to help the company manage its continuous disclosure obligations effectively.

TZ Limited Announces Virtual Extraordinary General Meeting

TZ Limited has announced an Extraordinary General Meeting (EGM) for its shareholders to be held virtually on June 5, 2025. The company has made the meeting materials available online and encourages shareholders to lodge their proxy forms in advance. This move highlights TZ Limited’s commitment to ensuring shareholder engagement and transparency in its operations.

TZ Limited Strengthens SaaS Revenue with Strategic Acquisition Amid US Market Challenges

TZ Limited has announced the acquisition of Keyvision Holdings Pty Ltd, aimed at enhancing its SaaS offerings and recurring revenue streams. Despite challenges in the US market due to tariff-related supply chain issues, the company is optimistic about recovering in the next quarter, supported by a strong sales pipeline and continued growth in recurring revenue. The acquisition was funded by a $4 million debt facility, which also facilitated partial repayment of existing debt. The company expects a stronger performance in the final quarter of FY25 and into FY26, driven by increased demand for its security products and successful project wins through Keyvision.