CV Check Ltd (KYP) AI Stock Analysis

• Market Cap: AU$88.58M
• Dividend Yield: N/A
• Average Volume (3M): 683.61K
• Price to Earnings (P/E): 97.5
• Beta (1Y): 0.08
• Revenue Growth: 5.37%
• EPS Growth: -45.95%
• Country: AU
• Employees: 83
• Sector: Technology
• Sector Strength: 82
• Industry: Information Technology Services
• EPS (TTM): <0.01
• Shares Outstanding: 432,091,980
• 10 Day Avg. Volume: 765,553
• 30 Day Avg. Volume: 683,614
• PEG Ratio: N/A
• Price to Book (P/B): 2.94
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 15.34
• 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$0.29
• Price Target Upside: 45.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

CV Check Ltd's overall stock score reflects strong financial performance with robust revenue growth and cash flow metrics, balanced by a high P/E ratio that suggests potential overvaluation. The positive technical indicators are countered by an overbought RSI, indicating potential price correction. The absence of earnings call data and corporate events does not impact the score, focusing the analysis on financials, technicals, and valuation.

CV Check Ltd Business Overview & Revenue Model

Company Description

CV Check Ltd (KYP) is a leading provider of background screening and verification services, primarily operating within the employment and education sectors. The company offers a comprehensive suite of services including police checks, employment history verifications, qualification verifications, and more, catering to businesses, individuals, and educational institutions to ensure the accuracy and reliability of personal and professional information.

How the Company Makes Money

CV Check Ltd generates revenue through the provision of its background screening and verification services. The company charges fees for individual checks and bundled services, which may vary depending on the scope and complexity of the verification process. Key revenue streams include one-time charges for individual consumers seeking personal verifications and subscription or bulk pricing models for corporate clients requiring frequent checks for multiple candidates. Additionally, strategic partnerships with educational institutions and businesses enhance the company's reach and revenue potential, as these entities integrate CV Check's services into their recruitment and compliance processes.

CV Check Ltd Financial Statement Overview

Summary

CV Check Ltd is performing well financially, with strong revenue growth, improved profitability, and excellent cash flow metrics. The company's low leverage and high equity position enhance its financial stability, making it well-positioned for future growth. While return on equity is moderate, the overall financial health is robust, indicating a solid foundation for continued success in the information technology services industry.

Income Statement

CV Check Ltd demonstrated strong revenue growth with a consistent increase in total revenue over the years, highlighted by a robust TTM (Trailing-Twelve-Months) gross profit margin of 65.5% and a net profit margin of 2.77%. The company improved its EBIT and EBITDA margins significantly compared to past deficits, showcasing enhanced operational efficiency and profitability.

Balance Sheet

The balance sheet indicates a stable financial position with a low debt-to-equity ratio of 0.03, reflecting minimal leverage and a strong equity base. The company's return on equity stands at 3.19%, which, while modest, shows positive returns from equity investments. The equity ratio is high at 78.76%, underscoring a solid capital structure with significant shareholder equity relative to total assets.

Cash Flow

CV Check Ltd's cash flow performance is outstanding, with a substantial free cash flow growth rate and a high operating cash flow to net income ratio of 6.25, indicating strong cash generation capabilities. The free cash flow to net income ratio is also impressive at 6.20, demonstrating effective conversion of operating income into cash.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
30.35M	28.72M	27.70M	26.37M	17.48M	12.37M
	Gross Profit
19.88M	19.22M	18.20M	16.77M	10.27M	6.75M
	EBIT
3.04M	521.14K	202.29K	-1.28M	-1.02M	-1.43M
	EBITDA
3.54M	4.03M	2.83M	1.12M	291.40K	-343.27K
	Net Income Common Stockholders
839.82K	780.72K	236.56K	-1.50M	-1.01M	-1.25M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
9.88M	9.75M	9.63M	12.20M	12.91M	4.63M
	Total Assets
33.42M	32.81M	32.44M	33.66M	32.51M	9.25M
	Total Debt
911.14K	1.12M	1.50M	1.75M	217.81K	219.89K
	Net Debt
-8.97M	-8.64M	-8.13M	-10.45M	-12.69M	-4.41M
	Total Liabilities
7.10M	7.08M	7.58M	8.29M	6.30M	2.85M
	Stockholders Equity
26.33M	25.73M	24.86M	25.37M	26.21M	6.40M
Cash Flow		Free Cash Flow
5.21M	1.01M	-307.95K	259.27K	120.98K	-1.48M
	Operating Cash Flow
5.25M	4.20M	3.65M	3.06M	1.05M	-483.88K
	Investing Cash Flow
-3.58M	-3.19M	-3.95M	-3.18M	-2.46M	-578.44K
	Financing Cash Flow
-885.99K	-887.46K	-1.96M	-551.91K	9.61M	2.59M

CV Check Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:KYP, the sentiment is Positive. The current price of 0.2 is above the 20-day moving average (MA) of 0.18, above the 50-day MA of 0.17, and above the 200-day MA of 0.14, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 71.44 is Negative, neither overbought nor oversold. The STOCH value of 72.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:KYP.

CV Check Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KYP	76 Outperform	AU$88.58M	97.50	3.26%	―	5.37%	-45.95%
XRO	71 Outperform	$26.70B	134.18	12.98%	―	23.95%	―
TNE	70 Outperform	€10.60B	89.40	34.02%	0.74%	17.97%	14.29%
RKN	68 Neutral	AU$54.94M	12.44	21.21%	6.62%	1.32%	-21.53%
BVS	67 Neutral	AU$968.44M	13.51	57.04%	0.74%	18.63%	―
Sector *	60 Neutral	$11.64B	10.63	-6.94%	2.93%	7.63%	-11.15%

CV Check Ltd Corporate Events

Kinatico Showcases Growth Potential at TechRise Conference

Kinatico’s participation in the Shaw and Partners TechRise Conference highlights its strong market positioning and growth potential in the SaaS sector. The company’s solutions address critical compliance challenges, enhancing operational efficiency for its clients, which is expected to bolster its market demand and revenue growth.

Kinatico Limited Achieves Significant SaaS Revenue Growth in Q3 FY25

Kinatico Limited reported strong financial results for the third quarter of the 2025 fiscal year, with SaaS revenue reaching $4.0 million, marking a 60% increase from the previous corresponding period. This growth in SaaS revenue now accounts for 50% of the company’s total revenue, which amounted to $8.1 million, a 15% increase overall. The company attributes this success to its effective SaaS growth strategy and anticipates further enhancement with the launch of its new solution, Kinatico Compliance.

Australian Ethical Reduces Stake in Kinatico Limited

Australian Ethical Investment Limited has announced a change in its substantial holding in Kinatico Limited, a company listed on the Australian Securities Exchange under the code KYP. The notice indicates a decrease in Australian Ethical’s voting power from 10.06% to 7.75%, reflecting a reduction in the number of ordinary shares held from 43,471,258 to 33,471,258. This change in shareholding could impact Australian Ethical’s influence over Kinatico Limited’s corporate decisions and may have implications for the company’s strategic direction and stakeholder interests.

Kinatico’s H1 FY25 Webinar Highlights Compliance Management Focus

Kinatico, trading under the ASX code KYP, is focused on simplifying daily people management compliance for organizations. The company recently held a webinar for the first half of fiscal year 2025, emphasizing its commitment to providing comprehensive solutions for compliance management. While the presentation included forward-looking statements, it primarily served as a general overview without detailed financial advice, underscoring the importance of independent assessment by stakeholders.

Kinatico Ltd to Launch New Platform in Upcoming Webinar

Kinatico Ltd announced a business update webinar scheduled for March 6, 2025, where it will discuss its half-year performance and launch a new platform. The event, featuring presentations from the CEO, CFO/COO, and CRO, is aimed at shareholders and investors, highlighting the company’s ongoing efforts to enhance its service offerings and expand its market presence.

Kinatico Limited Reports Continued Financial Growth and Expansion

Kinatico Limited, a company listed on the ASX, reported a 9% increase in revenue from ordinary activities for the half-year ended December 31, 2024, reaching $15,600,621. The company also experienced a 17% increase in net profit after tax attributable to equity holders, amounting to $416,347. This financial performance marks a continued improvement following a previous turnaround from a net loss to a profit in the prior year. No dividends were declared for the current or previous reporting periods. Additionally, Kinatico gained control over a new entity, Kinatico Compliance Pty Ltd, in July 2024, which is now a wholly owned subsidiary.