TZ Limited (TZL) AI Stock Analysis

• Market Cap: AU$13.10M
• Dividend Yield: N/A
• Average Volume (3M): 66.91K
• Price to Earnings (P/E): ―
• Beta (1Y): -1.00
• Revenue Growth: -25.22%
• EPS Growth: -3400.00%
• Country: AU
• Employees: 8
• Sector: Industrials
• Sector Strength: 72
• Industry: Security & Protection Services
• EPS (TTM): >-0.01
• Shares Outstanding: 297,664,100
• 10 Day Avg. Volume: 55,207
• 30 Day Avg. Volume: 66,912
• PEG Ratio: <0.01
• Price to Book (P/B): -2.71
• Price to Sales (P/S): 1.38
• P/FCF Ratio: -6.36
• 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: 43 Neutral
• Price Target: AU$0.04 ▲(10.00% Upside)

The score is primarily held back by poor financial performance, including declining revenue, large losses, and a high-risk balance sheet with negative equity. Technical indicators provide only modest support via short-term improvement, while valuation is constrained by a negative P/E and no dividend data.

Positive Factors

Improving free cash flow

A 253.6% increase in free cash flow represents a durable improvement in cash conversion capacity. Over 2-6 months this can extend the company runway, reduce near-term financing needs and provide funds for restructuring or targeted investments despite headline losses.

Cash generation vs. accounting losses

A free cash flow to net income ratio slightly above one indicates the business is generating cash despite reported losses. This structural cash-generation ability improves liquidity resilience, supports operational continuity and increases credibility with lenders over the medium term.

Lean operating structure

An extremely small headcount implies a low fixed-cost base and operational agility. With limited payroll obligations, management can adjust spending quickly and has a shorter path to breakeven if revenue stabilises, making the cost structure easier to manage over the coming months.

Negative Factors

Negative equity / weak balance sheet

Negative shareholders' equity and a negative debt-to-equity ratio reflect a precarious capital structure. This materially reduces financial flexibility, raises refinancing and covenant risks, and likely forces dilutive or costly funding options, constraining strategic choices over months.

Declining revenue and deep losses

A sustained revenue decline and very negative profit margins indicate structural issues in demand, pricing, or cost control. These trends make achieving operational leverage difficult and prolong recovery to profitability, limiting sustainable margin improvement in the near term.

Negative operating cash flow

Operating cash flow remaining negative shows the core business is not yet self-funding. Reliance on non-operating cash improvements or one-offs increases liquidity risk, constrains reinvestment capacity and raises the probability of needing external financing within months.

TZ Limited Business Overview & Revenue Model

Company Description

TZ Limited, together with its subsidiaries, develops intelligent devices and smart device systems that enable the commercialization of hardware and software solutions for the management, control, and monitoring of business assets. The company offers corporate personnel storage, corporate asset management, custody chain, and distribution and postal logistics solutions. It provides workplace, parcel, and data center products. The company also offers associated value-added services. It operates in Australia, the United States, Europe, the Middle East, Africa, and Singapore. TZ Limited was incorporated in 1996 and is based in The Rocks, Australia.

How the Company Makes Money

TZ Limited generates revenue through multiple streams, primarily from the sale of its electronic locking systems and associated software solutions. The company earns money by providing direct sales of its products to businesses and government entities, complemented by service contracts for installation, maintenance, and support. Additionally, TZL may engage in partnerships with other technology firms and security providers, enhancing its product offerings and expanding its market reach. Licensing agreements for its proprietary technology can also contribute to revenue, as well as potential recurring income generated from ongoing software subscriptions and service agreements.

TZ Limited Financial Statement Overview

Summary

Financials are weak: revenue declined (-6.8%), profitability is deeply negative (net margin -33.8% with negative EBIT/EBITDA margins), and the balance sheet shows negative equity, indicating elevated financial risk. Cash flow has improved via strong free cash flow growth, but operating cash flow remains negative.

Income Statement

TZ Limited's income statement shows significant challenges. The company has experienced declining revenue with a negative growth rate of -6.8% in the most recent year. Profitability metrics are concerning, with a negative net profit margin of -33.8% and negative EBIT and EBITDA margins. These figures indicate operational inefficiencies and a struggle to convert revenue into profit.

Balance Sheet

The balance sheet reveals a precarious financial position. The company has negative stockholders' equity, resulting in a negative debt-to-equity ratio, which is a significant risk factor. The return on equity is positive due to negative equity, but this is misleading as it reflects financial distress rather than profitability. The equity ratio is also negative, highlighting a lack of financial stability.

Cash Flow

Cash flow analysis shows some improvement, with a positive free cash flow growth rate of 253.6%. However, operating cash flow remains negative, indicating ongoing liquidity challenges. The free cash flow to net income ratio is slightly above 1, suggesting that the company is generating cash relative to its net losses, but overall cash flow health is weak.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	10.42M	10.42M	13.94M	13.81M	20.40M	16.38M
Gross Profit	5.03M	5.03M	7.00M	-2.83M	-145.47K	26.09K
EBITDA	-2.67M	-2.67M	1.11M	-4.89M	-760.39K	142.39K
Net Income	-3.52M	-3.52M	99.35K	-5.99M	-2.00M	-1.66M
Balance Sheet
Total Assets	11.82M	11.82M	6.95M	7.18M	12.83M	9.24M
Cash, Cash Equivalents and Short-Term Investments	513.34K	513.34K	1.05M	862.95K	2.05M	373.93K
Total Debt	6.47M	6.47M	4.47M	3.87M	2.91M	5.32M
Total Liabilities	17.13M	17.13M	10.49M	10.90M	10.94M	10.75M
Stockholders Equity	-5.31M	-5.31M	-3.54M	-3.72M	1.89M	-1.51M
Cash Flow
Free Cash Flow	-2.26M	-2.26M	547.43K	-3.11M	-1.83M	-3.01M
Operating Cash Flow	-2.24M	-2.24M	1.06M	-2.92M	-1.63M	-2.60M
Investing Cash Flow	-1.44M	-1.44M	-507.70K	-190.66K	-207.40K	-419.57K
Financing Cash Flow	3.70M	3.23M	-490.62K	1.93M	3.50M	2.37M

TZ Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• 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 0.04 is below the 20-day moving average (MA) of 0.04, below the 50-day MA of 0.04, and below the 200-day MA of 0.05, indicating a bearish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 47.54 is Neutral, neither overbought nor oversold. The STOCH value of 6.80 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 *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
AVA	50 Neutral	AU$18.34M	-2.84	-25.77%	―	4.84%	-12.12%
SP3	45 Neutral	AU$10.74M	-10.00	-850.83%	―	6.37%	76.58%
DTI	45 Neutral	AU$11.62M	-3.61	-39.15%	―	11.15%	26.53%
MSG	45 Neutral	AU$1.39M	-5.50	-61.10%	―	―	51.22%
TZL	43 Neutral	AU$13.10M	-3.33	―	―	-25.22%	-3400.00%
SCT	36 Underperform	AU$1.63M	-0.72	―	―	-12.49%	51.70%

TZ Limited Corporate Events

TZ Limited Flags Softer First-Half Revenue but Targets Stronger Second Half and Strategic Growth Options

TZ Limited reported quarterly operating cash outflows of A$790,000 on receipts of A$2.6 million, with the result negatively affected by the late receipt of a large customer payment that arrived just after the 31 December quarter end. First-half FY26 revenue of A$5.5 million came in about 30% below internal expectations, prompting the company to guide full-year revenue towards the lower end of its prior range at around A$17 million, while management moves to accelerate installations and commissioning in the education sector and capitalise on renewed purchasing from major corporate clients. In data centre security, TZ is pursuing sizeable tenders, expanding distribution channels and business development capacity, and finalising a factoring facility to support future Microsoft-related orders and bolster working capital flexibility. The company rolled a A$2.75 million debt repayment to mid-February while it evaluates strategic options, continues to field interest in its US subsidiary Telezygology Inc., and explores additional corporate transactions, all against a backdrop of operational initiatives including a software and hosting review and broader AI adoption aimed at improving efficiency and sharpening its international market strategy.

The most recent analyst rating on (AU:TZL) stock is a Sell with a A$0.04 price target. To see the full list of analyst forecasts on TZ Limited stock, see the AU:TZL Stock Forecast page.

TZ Limited Issues 15 Million Shares to Boost Market Position

TZ Limited has announced the issuance of 15,000,000 fully paid ordinary shares at $0.05 each to professional and sophisticated investors as part of a share placement. This move, confirmed under section 708A(5)(e) of the Corporations Act 2001, is aimed at strengthening the company’s financial position and enhancing its market presence, with all regulatory compliances met and no undisclosed information required.

The most recent analyst rating on (AU:TZL) stock is a Hold with a A$0.04 price target. To see the full list of analyst forecasts on TZ Limited stock, see the AU:TZL Stock Forecast page.

TZ Limited Announces Quotation of New Securities on ASX

TZ Limited has announced the quotation of 15,000,000 ordinary fully paid securities on the Australian Securities Exchange (ASX) under the code TZL, effective December 8, 2025. This move is part of a previously announced transaction, potentially impacting the company’s market presence and offering stakeholders an opportunity to engage with the company’s growth strategy.

The most recent analyst rating on (AU:TZL) stock is a Hold with a A$0.04 price target. To see the full list of analyst forecasts on TZ Limited stock, see the AU:TZL Stock Forecast page.

TZ Limited Secures Funding to Boost Microsoft Data Centre Contracts

TZ Limited has successfully raised A$750,000 through a placement to existing major shareholders, exceeding its initial target due to strong support. The funds will support accelerated delivery schedules for Microsoft data centre contracts, which have significantly increased the company’s data centre security revenue. Additionally, TZ is addressing a debt repayment of A$2.75 million and is exploring refinancing options to strengthen its balance sheet. The company is also engaged in strategic discussions regarding its US subsidiary, Telezygology Inc., with potential to increase its annual recurring revenue through new sector engagements.

The most recent analyst rating on (AU:TZL) stock is a Hold with a A$0.04 price target. To see the full list of analyst forecasts on TZ Limited stock, see the AU:TZL Stock Forecast page.

TZ Limited Initiates Trading Halt Ahead of Major Capital Raising Announcement

TZ Limited has requested a trading halt on its securities pending an announcement related to a significant capital raising initiative. This move is aimed at managing the company’s continuous disclosure obligations and is expected to impact its market operations until the announcement is made or until normal trading resumes on 5 December 2025.

The most recent analyst rating on (AU:TZL) stock is a Hold with a A$0.04 price target. To see the full list of analyst forecasts on TZ Limited stock, see the AU:TZL Stock Forecast page.

TZ Limited Reappoints BDO as Auditor

TZ Limited has announced the reappointment of BDO Audit Pty Ltd as its auditor, effective immediately following the company’s Annual General Meeting. This decision is part of the company’s compliance with the Corporations Act 2001, ensuring continuity in its auditing processes, which may reassure stakeholders of the company’s commitment to transparency and regulatory adherence.

TZ Limited Reports Strong Shareholder Support at 2025 AGM

TZ Limited announced the results of its 2025 Annual General Meeting, where all resolutions were carried with significant majority votes. The resolutions included the adoption of the remuneration report, the election of Mr. Anton Schiavello as a director, and the approval of a 10% placement facility, indicating strong shareholder support and strategic positioning for future growth.

TZ Limited Enhances Security Technology with Advanced Features

TZ Limited has announced advancements in its proprietary technology, incorporating sensors and data management into its locking devices. These innovations enhance the functionality and efficiency of their products, positioning TZ Limited as a leader in the security technology market. The company’s focus on low power consumption and lightweight design further strengthens its competitive edge, appealing to stakeholders seeking cutting-edge security solutions.

TZ Limited Poised for Global Expansion and Earnings Growth

TZ Limited is experiencing significant growth across its three divisions, with a strong emphasis on performance and global expansion. The Smart Locker division aims to double its recurring revenue, while the Data Centre Security division has seen substantial sales growth, bolstered by partnerships with major clients like Microsoft. The Keyvision platform has completed integration, paving the way for accelerated sales and global opportunities, particularly in Asia and the US. The company is poised for significant earnings growth, which could lead to a considerable re-rating of its share price.