Veem Ltd (VEE) AI Stock Analysis

• Market Cap: AU$100.52M
• Dividend Yield: 1.28%
• Average Volume (3M): 394.18K
• Price to Earnings (P/E): 30.9
• Beta (1Y): 1.59
• Revenue Growth: -14.88%
• EPS Growth: -56.89%
• Country: US
• Employees: 180
• Sector: Industrials
• Sector Strength: 72
• Industry: Aerospace & Defense
• EPS (TTM): 0.01
• Shares Outstanding: 146,749,370
• 10 Day Avg. Volume: 405,436
• 30 Day Avg. Volume: 394,175
• PEG Ratio: -0.65
• Price to Book (P/B): 2.07
• Price to Sales (P/S): 1.63
• P/FCF Ratio: 33.64
• 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: AU$1.15
• Price Target Upside: 69.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: AU$0.71 ▲(4.26% Upside)

Veem Ltd's overall stock score is primarily influenced by its mixed financial performance and technical analysis. The company's strong gross profit margin is overshadowed by declining revenue and profit margins, as well as cash flow challenges. Technical indicators suggest a neutral to slightly bearish trend. The high P/E ratio indicates potential overvaluation, while the low dividend yield offers limited income potential.

Positive Factors

High gross profit margin

A sustained gross margin near 60% indicates durable pricing power or cost structure advantages in its operations. This margin buffer helps absorb revenue volatility, supports reinvestment in R&D or contract fulfilment, and preserves long-term operating flexibility in aerospace/defense cycles.

Manageable leverage

Moderate leverage (D/E ~0.41) provides financial flexibility and reduces refinancing risk for a capital-intensive sector. It supports the company’s ability to fund backlog, pursue strategic investments or weather cyclical downturns without excessive interest burden, a durable balance-sheet strength.

Positive cash-to-earnings conversion

A FCF-to-net-income ratio around 0.78 shows the business converts a meaningful portion of accounting profit into cash, supporting debt service and reinvestment. Even with near-term FCF decline, this conversion rate is a structural advantage for sustaining operations and funding growth.

Negative Factors

Declining revenue

Persistent revenue decline undermines scale economies and weakens pricing leverage over time. Falling top-line restricts reinvestment capacity, makes fixed-cost absorption harder, and can erode contract competitiveness in aerospace/defense where sustained order flow is critical for long-term viability.

Weak cash generation trend

A sharp negative FCF growth rate signals deteriorating cash available for reinvestment, dividends or debt reduction. Coupled with an operating-cash-to-net-income ratio of 0.21, it suggests operations are not reliably producing cash to support strategic investments or buffer against revenue stress.

Low return on equity

ROE near 5.6% and compressed net margins indicate limited ability to generate attractive returns on shareholder capital. Over the medium term this constrains capital allocation, reduces investor optionality for growth funding, and may reflect competitive or structural profitability pressures.

Veem Ltd Business Overview & Revenue Model

Company Description

VEEM Ltd manufactures and sells propulsion and stabilization systems. The company offers gyrostabilizers, CNC machined monobloc propellers shaft lines, and marine ride control fins; forever pipe, a bimetal centrifugally cast hollow bars; and engineering services. It also manufactures bespoke components for defense, mining, and processing industries. The company was founded in 1968 and is headquartered in Canning Vale, Australia. VEEM Ltd is a subsidiary of Veem Corporation Pty Ltd.

How the Company Makes Money

Veem generates revenue through transaction fees charged on cross-border payments made using its platform. The company typically earns a percentage of the transaction amount, which varies depending on the currency and payment method used. Additionally, Veem may monetize its services through value-added features such as premium account services and advanced reporting tools for businesses that require more comprehensive payment solutions. Key revenue streams also come from partnerships with financial institutions and payment networks that enhance its service offerings and expand its customer base. The company’s focus on SMEs, along with its innovative use of technology, positions it favorably in the competitive fintech landscape.

Veem Ltd Financial Statement Overview

Summary

Veem Ltd's financial performance is mixed. The company has a strong gross profit margin of 59.45%, but declining revenue growth of -10.43% and a net profit margin of 4.40% indicate challenges in profitability. The balance sheet shows moderate leverage with a debt-to-equity ratio of 0.41, but low return on equity at 5.56%. Cash flow concerns are evident with a negative free cash flow growth rate of -35.06%.

Income Statement

Veem Ltd's income statement shows a mixed performance. The company has maintained a decent gross profit margin of 59.45% in the latest year, indicating effective cost management. However, the net profit margin has decreased to 4.40%, reflecting challenges in converting revenue into profit. The revenue growth rate has turned negative at -10.43%, suggesting a decline in sales. EBIT and EBITDA margins have also decreased, indicating pressure on operating efficiency.

Balance Sheet

The balance sheet of Veem Ltd reflects moderate financial stability. The debt-to-equity ratio stands at 0.41, showing a manageable level of leverage. Return on equity is relatively low at 5.56%, indicating limited profitability from shareholders' investments. The equity ratio is not explicitly provided, but the company's equity position appears stable given the total assets and stockholders' equity figures.

Cash Flow

Veem Ltd's cash flow statement highlights some concerns. The free cash flow growth rate is negative at -35.06%, indicating a significant decline in cash available for reinvestment or debt repayment. The operating cash flow to net income ratio is 0.21, suggesting that cash generation from operations is not fully supporting net income. However, the free cash flow to net income ratio of 0.78 indicates some level of cash profitability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	68.63M	68.62M	80.53M	59.54M	54.20M	59.45M
Gross Profit	25.46M	40.80M	44.75M	10.26M	6.55M	9.92M
EBITDA	8.06M	6.64M	14.78M	9.95M	6.14M	10.32M
Net Income	3.00M	3.02M	6.99M	4.11M	1.27M	4.91M
Balance Sheet
Total Assets	97.22M	97.22M	93.97M	91.50M	80.80M	70.28M
Cash, Cash Equivalents and Short-Term Investments	813.36K	813.36K	170.56K	2.42M	2.63M	2.23M
Total Debt	22.32M	22.32M	21.98M	26.17M	21.67M	20.04M
Total Liabilities	42.93M	42.93M	41.68M	44.68M	37.20M	33.66M
Stockholders Equity	54.29M	54.29M	52.28M	46.82M	43.60M	36.62M
Cash Flow
Free Cash Flow	3.98M	3.33M	5.13M	933.08K	-2.43M	2.74M
Operating Cash Flow	4.29M	4.27M	8.36M	6.12M	2.52M	6.29M
Investing Cash Flow	-1.74M	-1.74M	-3.23M	-5.19M	-4.82M	-3.55M
Financing Cash Flow	-4.42M	-4.42M	-7.38M	-1.17M	2.59M	-4.05M

Veem Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.68
• 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:VEE, the sentiment is Negative. The current price of 0.68 is below the 20-day moving average (MA) of 0.73, below the 50-day MA of 0.83, and below the 200-day MA of 1.02, indicating a bearish trend. The MACD of -0.05 indicates Negative momentum. The RSI at 33.65 is Neutral, neither overbought nor oversold. The STOCH value of 16.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:VEE.

Veem Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WWG	74 Outperform	AU$58.54M	12.98	20.77%	4.55%	66.80%	625.00%
ASB	64 Neutral	AU$3.21B	32.30	7.54%	―	24.13%	474.03%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
VEE	57 Neutral	AU$100.52M	30.86	5.66%	1.28%	-14.88%	-56.89%
EOS	54 Neutral	AU$2.00B	58.77	-28.75%	―	-72.88%	―
AVA	53 Neutral	AU$20.96M	-3.24	-25.77%	―	4.84%	-12.12%
OEC	40 Underperform	AU$24.17M	-5.21	-42.31%	―	-34.48%	-26000.00%

Veem Ltd Corporate Events

Veem Ltd Announces Director’s Share Acquisition

Veem Ltd has announced a change in the director’s interest, specifically involving John Bradley Miocevich. The notice details an acquisition of 769,231 ordinary fully paid shares at $1.30 per share, increasing the total number of shares held to 68,904,824. This change is a result of participation in a placement, reflecting a strategic move in the company’s governance structure.

The most recent analyst rating on (AU:VEE) stock is a Buy with a A$1.10 price target. To see the full list of analyst forecasts on Veem Ltd stock, see the AU:VEE Stock Forecast page.

Veem Ltd Director Increases Stake Through Share Placement

Veem Ltd has announced a change in the director’s interest, with Mark David Miocevich acquiring an additional 769,231 ordinary fully paid shares through participation in a placement. This acquisition increases his total holding to 68,904,824 shares, reflecting a strategic move that could strengthen his influence within the company. The transaction, valued at $1.30 per share, underscores confidence in the company’s future prospects and may have implications for its market positioning and stakeholder relations.

The most recent analyst rating on (AU:VEE) stock is a Buy with a A$1.10 price target. To see the full list of analyst forecasts on Veem Ltd stock, see the AU:VEE Stock Forecast page.

Veem Ltd Announces Quotation of New Securities on ASX

Veem Ltd has announced the application for quotation of 769,231 ordinary fully paid securities on the Australian Securities Exchange (ASX), under the code VEE. This issuance is part of previously announced transactions, and the listing is expected to enhance the company’s liquidity and market presence, potentially benefiting stakeholders by increasing the visibility and accessibility of its shares.

The most recent analyst rating on (AU:VEE) stock is a Buy with a A$1.10 price target. To see the full list of analyst forecasts on Veem Ltd stock, see the AU:VEE Stock Forecast page.

VEEM Limited Successfully Passes All AGM Resolutions

VEEM Limited announced the successful passing of all resolutions at its Annual General Meeting, indicating strong shareholder support. The resolutions included the adoption of the remuneration report, re-election and election of directors, and the ratification and approval of share issues, reflecting the company’s stable governance and strategic direction.

The most recent analyst rating on (AU:VEE) stock is a Hold with a A$1.00 price target. To see the full list of analyst forecasts on Veem Ltd stock, see the AU:VEE Stock Forecast page.

Veem Ltd AGM Presentation Disclaimer

Veem Ltd has released a document related to its Annual General Meeting, emphasizing that it does not constitute an offer or advertisement for securities. The document includes disclaimers about the reliability of the information provided, highlighting that past performance is not indicative of future results and that forward-looking statements are subject to risks and uncertainties. Stakeholders are advised to conduct their own analysis and not rely solely on the document for investment decisions.

The most recent analyst rating on (AU:VEE) stock is a Hold with a A$1.00 price target. To see the full list of analyst forecasts on Veem Ltd stock, see the AU:VEE Stock Forecast page.

VEEM Limited Unveils High-Efficiency VEEM Extreme Propulsion System

VEEM Limited has launched its most efficient propulsion system, the VEEM Extreme propulsion package, which promises up to 18.1% fuel efficiency gains. The package includes a propeller, twisted rudder, and shaft line made from a proprietary high-tensile alloy, offering significant improvements in fuel consumption, speed, and carbon footprint. The system has been tested by Lloyd’s Register, and early adoption by Manly Fast Ferries indicates strong market interest, with plans to convert additional vessels to the new system.

The most recent analyst rating on (AU:VEE) stock is a Hold with a A$1.50 price target. To see the full list of analyst forecasts on Veem Ltd stock, see the AU:VEE Stock Forecast page.