Want to see AU:AEF full AI Analyst Report?
Top Page
Australian Ethical Investment Ltd
(Sydney:AEF)
Select Model
Select Model
Rating:81Outperform
Price Target:
AU$6.00
▲(46.34% Upside)
Action:Upgraded
Date:08/26/26
The score is driven primarily by strong financial performance (growth, low leverage, and solid cash conversion). Technicals are supportive with price above major moving averages, but elevated RSI indicates stretched momentum. Valuation is reasonable with a moderate P/E and a supportive dividend yield, but not compelling enough to raise the score further.
Positive Factors
Strong Revenue Growth
AEF has more than doubled revenue over the reported period while maintaining high gross margins. Continued scale in ethically screened superannuation and managed funds can support recurring fee income and strengthen operating leverage.
Negative Factors
Earnings Volatility
Uneven profitability reduces confidence that recent earnings growth will persist at the same pace. Variability may reflect market-linked asset values, flows, or operating factors, making future margins and earnings less predictable despite strong 2026 results.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Revenue Growth
AEF has more than doubled revenue over the reported period while maintaining high gross margins. Continued scale in ethically screened superannuation and managed funds can support recurring fee income and strengthen operating leverage.
Read all positive factors
Australian Ethical Investment Ltd (AEF) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$583.95M
Dividend Yield3.38%
Average Volume (3M)152.18K
Price to Earnings (P/E)21.3
Beta (1Y)1.14
Revenue Growth8.51%
EPS Growth27.42%
CountryAU
Employees139
SectorFinancial
Sector Strength70
IndustryAsset Management
Share Statistics
EPS (TTM)0.23
Shares Outstanding113,830,080
10 Day Avg. Volume113,253
30 Day Avg. Volume152,183
Financial Highlights & Ratios
PEG Ratio0.66
Price to Book (P/B)9.28
Price to Sales (P/S)3.63
P/FCF Ratio14.49
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.24
Revenue Forecast (FY)AU$136.60M
Australian Ethical Investment Ltd Business Overview & Revenue Model
Company Description
Australian Ethical Investment Ltd. operates as a publicly listed asset management firm. It develops and manages various mutual funds for its clientele, spanning equity, fixed income, and balanced investment strategies. The company deploys capital ...
How the Company Makes Money
AEF primarily makes money by charging fees for managing and administering client assets across its investment products and services. Its core revenue stream is funds management and superannuation-related fees that are typically calculated as a per...
Australian Ethical Investment Ltd Financial Statement Overview
Summary
Income Statement
84
Very Positive
Balance Sheet
90
Very Positive
Cash Flow
88
Very Positive
| Breakdown | Jun 2026 | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 129.55M | 119.38M | 100.49M | 81.10M | 70.78M |
| Gross Profit | 104.17M | 80.12M | 81.75M | 65.79M | 59.38M |
| EBITDA | 38.58M | 38.05M | 25.27M | 15.67M | 15.22M |
| Net Income | 25.81M | 20.20M | 11.53M | 6.58M | 9.51M |
Balance Sheet | |||||
| Total Assets | 79.81M | 69.73M | 51.23M | 47.30M | 41.94M |
| Cash, Cash Equivalents and Short-Term Investments | 50.78M | 38.84M | 36.39M | 32.73M | 27.39M |
| Total Debt | 1.52M | 2.18M | 2.77M | 2.20M | 834.00K |
| Total Liabilities | 29.18M | 29.28M | 21.09M | 20.55M | 17.27M |
| Stockholders Equity | 50.63M | 40.45M | 30.14M | 26.75M | 24.66M |
Cash Flow | |||||
| Free Cash Flow | 32.42M | 26.61M | 21.27M | 16.00M | 15.40M |
| Operating Cash Flow | 32.64M | 26.89M | 22.29M | 16.20M | 16.16M |
| Investing Cash Flow | -19.27M | -21.85M | -11.17M | -4.07M | -4.12M |
| Financing Cash Flow | -19.44M | -12.59M | -11.86M | -6.79M | -12.46M |
Australian Ethical Investment Ltd Technical Analysis
Positive
4.10
Price Trends
4.45
Positive
4.36
Positive
4.66
Positive
Market Momentum
0.09
Negative
63.77
Neutral
69.34
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:AEF, the sentiment is Positive. The current price of 4.1 is below the 20-day moving average (MA) of 4.53, below the 50-day MA of 4.45, and below the 200-day MA of 4.66, indicating a bullish trend. The MACD of 0.09 indicates Negative momentum. The RSI at 63.77 is Neutral, neither overbought nor oversold. The STOCH value of 69.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:AEF.
Australian Ethical Investment Ltd Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | AU$583.95M | 21.26 | 55.44% | 2.70% | 8.51% | 27.42% | |
79 Outperform | AU$558.08M | 10.47 | 9.43% | 4.41% | 13.02% | 9.62% | |
69 Neutral | AU$37.91M | 5.50 | 17.14% | 1.33% | -53.08% | 52.98% | |
69 Neutral | AU$94.54M | 11.27 | 7.48% | 7.94% | -55.60% | ― | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
67 Neutral | AU$3.15B | 12.55 | 14.31% | 5.99% | -12.42% | -36.36% | |
41 Neutral | AU$2.26B | -130.20 | -1.00% | 6.01% | 2.23% | 96.71% |
* Financial Sector Average
AU:AEF
Australian Ethical Investment Ltd
4.94
-2.81
-36.28%
AU:MFG
Magellan Financial Group Ltd
11.05
1.16
11.70%
AU:PPT
Perpetual Limited
19.58
-1.23
-5.92%
AU:CAM
Clime Capital Limited
0.68
<0.01
1.35%
AU:MEC
Morphic Ethical Equities Fund Ltd.
1.26
0.16
14.13%
AU:FGX
Future Generation Australia Limited Stapled Security
1.36
0.10
8.31%
Australian Ethical Investment Ltd Corporate Events
Australian Ethical flags FY26 full-year results with ethical focus
Aug 24, 2026
Australian Ethical Investment Ltd has released materials relating to its full-year financial results for FY26, led by Managing Director and CEO John McMurdo and CFO Mark Simons. While the document provided contains minimal financial detail, the an...
Australian Ethical posts record FY26 profit on super growth and platform upgrades
Aug 24, 2026
Australian Ethical Investment has reported record full-year FY26 results, with underlying profit after tax rising 15% to $27.3 million and net profit after tax up 29% to $25.7 million. Revenue increased 9% to $129.5 million, supported by funds und...
Australian Ethical declares six-month dividend for June 2026 period
Aug 24, 2026
Australian Ethical Investment Ltd has declared a six-month distribution of AUD 0.10 per ordinary fully paid share for the period ended 30 June 2026. The dividend will trade ex on 2 September, with a record date of 3 September and payment scheduled...
Australian Ethical exits substantial holder position in Rubicon Water
Aug 11, 2026
Australian Ethical Investment Ltd has lodged a notice with the ASX confirming it has ceased to be a substantial holder in Rubicon Water Limited. The change reflects a reduction in its voting power below the substantial holding threshold, signallin...
Australian Ethical Sets Date for FY26 Results Webcast
Aug 10, 2026
Australian Ethical Investment Ltd will release its financial results for the year ended 30 June 2026 on 25 August 2026, accompanied by a webcast briefing led by CEO John McMurdo and CFO Mark Simons. The session will include a review of the FY26 pe...
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.