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VHM Limited (AU:VHM)
ASX:VHM
Australian Market
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VHM Limited (VHM) AI Stock Analysis

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AU:VHM

VHM Limited

(Sydney:VHM)

Rating:43Neutral
Price Target:
AU$0.00
▼(-100.00% Downside)
The overall stock score of 43 reflects significant financial challenges, including negative profitability and cash flow issues, which are the most impactful factors. Technical analysis provides mixed signals, while valuation is poor due to a negative P/E ratio and no dividend yield.

VHM Limited (VHM) vs. iShares MSCI Australia ETF (EWA)

VHM Limited Business Overview & Revenue Model

Company DescriptionVHM Limited engages in the exploration and development of mineral properties in Australia. The company's flagship project is the Goschen rare earth mineral and mineral sands project covering 2,860 km2 located in Victoria, Australia. It also operates the Australian Rare Earth Mineral Refinery, which is involved in the downstream processing of mixed rare earth carbonate to produce minerals, such as neodymium, praseodymium, dysprosium, and terbium. The company was formerly known as VHM Exploration Limited and changed its name to VHM Limited in November 2018. VHM Limited was incorporated in 2014 and is based in Subiaco, Australia.
How the Company Makes MoneyVHM generates revenue through multiple streams, primarily by manufacturing and selling its metal products to a diverse range of industries. The company benefits from long-term contracts with key clients in sectors like aerospace and automotive, ensuring a steady flow of income. Additionally, VHM has established strategic partnerships with major industry players, allowing it to expand its market reach and enhance its product offerings. The company also invests in research and development to innovate new materials and processes, which can lead to higher-margin products and increased sales. Furthermore, VHM leverages economies of scale in its production facilities, optimizing costs and improving profitability across its operations.

VHM Limited Financial Statement Overview

Summary
VHM Limited is in a growth phase with improving revenue, but profitability remains a concern with consistent net losses. The company's balance sheet is relatively stable with manageable debt levels, yet the negative return on equity is a significant drawback. Cash flow challenges persist, requiring strategic initiatives to enhance cash generation and achieve financial sustainability.
Income Statement
20
Very Negative
VHM Limited has shown a significant increase in revenue from 2023 to 2024, although it remains low. Gross profit margin improved from being negative to positive, but net income continues to be negative, reflecting ongoing challenges in achieving profitability. The EBIT and EBITDA margins are also negative, indicating operational inefficiencies and a need for cost management.
Balance Sheet
30
Negative
The company maintains a relatively low debt-to-equity ratio, suggesting prudent financial leverage. However, the return on equity is negative due to continued net losses, and while the equity ratio is strong, the company needs to improve its asset utilization to drive better returns.
Cash Flow
25
Negative
VHM Limited's free cash flow remains negative, although there is a reduction in free cash flow deficit from 2023 to 2024. Operating cash flow is still negative, indicating challenges in generating cash from core operations. The free cash flow to net income ratio is unfavorable, highlighting the need for better cash management.
BreakdownJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue23.00K110.00K0.000.000.00
Gross Profit23.00K-169.00K-125.75K-153.59K-168.36K
EBITDA-5.72M-13.18M-6.59M-5.17M-6.17M
Net Income-7.15M-17.92M-9.15M-6.59M-7.25M
Balance Sheet
Total Assets70.09M78.77M63.26M38.99M23.86M
Cash, Cash Equivalents and Short-Term Investments6.25M20.65M24.37M10.87M332.54K
Total Debt767.00K1.02M34.42M4.13M1.97M
Total Liabilities11.71M14.01M45.91M14.71M10.87M
Stockholders Equity58.38M64.76M17.34M24.28M12.99M
Cash Flow
Free Cash Flow-14.62M-34.53M-16.53M-9.04M-10.27M
Operating Cash Flow-5.65M-12.01M-3.99M-4.34M-3.70M
Investing Cash Flow-7.74M-20.19M-10.40M-2.13M-3.08M
Financing Cash Flow-1.01M28.48M27.88M17.02M4.75M

VHM Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.20
Price Trends
50DMA
0.20
Negative
100DMA
0.23
Negative
200DMA
0.30
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
51.28
Neutral
STOCH
75.56
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:VHM, the sentiment is Positive. The current price of 0.2 is above the 20-day moving average (MA) of 0.20, below the 50-day MA of 0.20, and below the 200-day MA of 0.30, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 51.28 is Neutral, neither overbought nor oversold. The STOCH value of 75.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:VHM.

VHM Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (44)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
44
Neutral
AU$1.55B-7.47-18.84%4.32%-3.13%-36.08%
43
Neutral
AU$51.98M-10.26%49.83%
$92.61M-237.31%
€23.88M-17.89%
46
Neutral
AU$60.95M-34.82%-142.11%
46
Neutral
AU$61.10M-21.23%-64.00%
35
Underperform
AU$21.59M-140.25%-177.64%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:VHM
VHM Limited
0.20
-0.26
-56.52%
EULIF
European Lithium
0.07
0.04
133.33%
DE:5N91
Aguia Resources Limited
0.01
-0.01
-50.00%
AU:DRE
Dreadnought Resources Limited
0.01
-0.01
-50.00%
AU:TGN
Tungsten Mining NL
0.07
0.02
40.00%
AU:MHK
Metal Hawk Ltd.
0.18
0.08
80.00%

VHM Limited Corporate Events

VHM Limited Announces Change in Director’s Securities Interests
Aug 1, 2025

VHM Limited has announced a change in the interests of its director, Donald Runge, in the company’s securities. As of July 31, 2025, 500,000 unlisted options held by Runge have expired, leaving him with 731,429 ordinary shares and 500,000 unlisted options exercisable at $1.35, expiring December 1, 2026. This change reflects a reduction in Runge’s potential future stake in the company, which may influence the company’s governance and shareholder dynamics.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited Announces Cessation of Expired Securities
Aug 1, 2025

VHM Limited has announced the cessation of certain securities, specifically options that expired without being exercised or converted. This includes 1,000,000 restricted options and over 3 million options with specific exercise prices that expired on July 31 and August 1, 2025. The cessation of these securities may impact VHM Limited’s capital structure and could have implications for investors and stakeholders regarding the company’s financial strategies and market positioning.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.05 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited Secures Mining License and Strengthens Strategic Partnerships
Jul 29, 2025

VHM Limited has achieved a significant milestone by securing a mining license for its Goschen Rare Earth and Mineral Sands Project in Victoria, Australia, marking a transition towards construction and production readiness. The company has also signed a Memorandum of Understanding with Currumbin Minerals to strengthen its domestic supply chain and a Letter of Interest with Mitsui & Co. for potential offtake of heavy mineral concentrate, reflecting growing international confidence. Additionally, VHM completed a successful capital raise of $8.6 million to support early engineering and de-risking activities, and continues to explore strategic partnerships to unlock long-term value.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited Secures Strategic LOI with Mitsui for Goschen Project
Jul 1, 2025

VHM Limited has signed a non-binding Letter of Interest (LOI) with Mitsui & Co. for the supply of 40% of its heavy mineral concentrate (HMC) from the Goschen Project. This agreement not only secures a significant offtake partner for VHM but also potentially offers a strategic trade finance facility, enhancing VHM’s development strategy and strengthening its market position. The partnership with Mitsui, a global trading giant, is expected to provide long-term benefits and contribute to the project’s success.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.05 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited Director Increases Stake Through Share Purchase Plan
Jun 13, 2025

VHM Limited has announced a change in the interest of its director, Maree Arnason, in the company’s securities. The change involves the acquisition of 120,000 fully paid ordinary shares through participation in a Share Purchase Plan, increasing her indirect holdings to 175,000 shares. This move reflects the director’s increased investment in the company, potentially signaling confidence in VHM Limited’s future prospects.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited Completes Share Purchase Plan, Raising $355,000
Jun 13, 2025

VHM Limited announced the successful completion of its non-underwritten share purchase plan (SPP), which raised $355,000 through the issuance of 1,420,000 new shares at $0.25 each. The funds, combined with proceeds from a prior placement, will support ongoing work programs and provide working capital as the company progresses towards a final investment decision, reflecting its strategic focus on project advancement and risk mitigation.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited Announces Trading Date for New Shares on ASX
May 19, 2025

VHM Limited has announced an update regarding the commencement of trading for new shares under its Share Purchase Plan on the Australian Securities Exchange (ASX), set to begin on June 16, 2025. This update follows a previous announcement made on May 12, 2025, and involves the issuance of securities under a securities purchase plan, which may impact the company’s market presence and stakeholder interests by potentially increasing liquidity and shareholder base.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited Launches Share Purchase Plan for Shareholders
May 18, 2025

VHM Limited, a company listed on the ASX, has announced the opening of a Share Purchase Plan (SPP) for its eligible shareholders in Australia and New Zealand. This plan allows shareholders to purchase new shares at $0.25 each, the same price as a recent placement that raised $8.25 million, with the aim to raise approximately $2 million through this initiative. The SPP is non-underwritten and will close on June 10, 2025, providing shareholders the option to apply for up to $30,000 worth of new shares, subject to reductions based on previous participations.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited Issues 33 Million Shares to Institutional Investors
May 15, 2025

VHM Limited, a company listed on the Australian Securities Exchange (ASX: VHM), has issued 33 million fully paid ordinary shares at $0.25 each to institutional investors. This move, announced on May 12, 2025, is part of the company’s strategy to raise capital without the need for disclosure under Part 6D.2 of the Corporations Act 2001. The company has confirmed compliance with relevant provisions of the Corporations Act and stated there is no excluded information required to be disclosed. This share issuance could potentially strengthen VHM Limited’s financial position and enhance its market operations.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited to Quote 33 Million New Securities on ASX
May 14, 2025

VHM Limited has announced the issuance of 33,000,000 fully paid ordinary securities, which will be quoted on the Australian Securities Exchange (ASX) on May 15, 2025. This move is part of a previously announced transaction, and the quotation of these securities is expected to enhance VHM Limited’s market presence and liquidity, potentially benefiting stakeholders by increasing the company’s financial flexibility and market capitalization.

The most recent analyst rating on (AU:VHM) stock is a Buy with a A$1.15 price target. To see the full list of analyst forecasts on VHM Limited stock, see the AU:VHM Stock Forecast page.

VHM Limited Announces Significant Securities Issuance Plan
May 11, 2025

VHM Limited has announced a proposed issuance of securities, including 8,000,000 ordinary fully paid securities under a securities purchase plan and 33,000,000 ordinary fully paid securities through a placement. This move is aimed at raising capital, potentially impacting the company’s financial standing and market presence. The issuance is scheduled to take place between May and June 2025, with the offer closing on June 10, 2025, and the issue date set for June 13, 2025.

VHM Limited Completes $8.25 Million Placement to Advance Goschen Project
May 11, 2025

VHM Limited has successfully completed a partially underwritten placement of new shares, raising $8.25 million to fund ongoing work programs and provide working capital for the Goschen Project. The placement, which saw strong participation from institutional investors, supports the company’s strategic efforts towards a Final Investment Decision by Q3 2025. Additionally, VHM plans to offer a share purchase plan to eligible shareholders in Australia and New Zealand, aiming to raise approximately $2 million.

VHM Limited Announces Equity Raising Initiative
May 9, 2025

VHM Limited has announced an equity raising initiative involving a partially underwritten placement of new shares to institutional investors and a non-underwritten share purchase plan for eligible shareholders. This move is aimed at strengthening the company’s financial position and supporting its ongoing operations. The equity raising is expected to have implications for the company’s market positioning and stakeholder interests, as it seeks to leverage new capital for growth and development.

VHM Limited Initiates Trading Halt for Capital Raising
May 9, 2025

VHM Limited has requested a trading halt on its securities as it plans to pursue an equity capital raising. The trading halt will remain in effect until the company releases an announcement regarding the capital raising or until the commencement of trading on May 13, 2025. This move is intended to facilitate the capital raising process and ensure orderly trading once the announcement is made.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 28, 2025