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Motorcycle Holdings Ltd. (AU:MTO)
ASX:MTO
Australian Market
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Motorcycle Holdings Ltd. (MTO) AI Stock Analysis

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AU:MTO

Motorcycle Holdings Ltd.

(Sydney:MTO)

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Neutral 69 (OpenAI - 4o)
Rating:69Neutral
Price Target:
AU$3.50
▲(1.45% Upside)
Motorcycle Holdings Ltd. demonstrates a solid financial foundation with consistent revenue growth and strong cash flow generation, contributing significantly to the overall score. The valuation is reasonable, supported by a decent P/E ratio and attractive dividend yield. Technical indicators show mixed signals, with no strong momentum, slightly impacting the score.

Motorcycle Holdings Ltd. (MTO) vs. iShares MSCI Australia ETF (EWA)

Motorcycle Holdings Ltd. Business Overview & Revenue Model

Company DescriptionMotorCycle Holdings Limited owns and operates motorcycle dealerships in Australia. It operates through two segments, Motorcycle Retailing and Motorcycle Accessories Wholesaling. The company is involved in the sale of new motorcycles, used motorcycles, accessories and parts, and mechanical protection plan contracts; wholesaling and retailing of motorcycle accessories; and financing and insurance services for motorcycle purchases through third-party sources, as well as servicing and repair of motorcycles. It serves motorcyclists who are primarily leisure riders, recreational users, commuters, farmers, and adventure sports enthusiasts through 39 retail and 3 wholesale outlets in Queensland, New South Wales, Victoria, the Australian Capital Territory in Australia, as well as in New Zealand. MotorCycle Holdings Limited was founded in 1989 and is based in Slacks Creek, Australia.
How the Company Makes MoneyMotorcycle Holdings Ltd. generates revenue through several key streams, primarily from the sale of new and used motorcycles, which constitutes a significant portion of its earnings. The company also profits from the sale of motorcycle parts and accessories, which includes aftermarket products that enhance the riding experience. Additionally, MTO offers servicing and maintenance for motorcycles, contributing to its revenue through service fees. The company may also engage in financing options for customers purchasing motorcycles, generating income from interest and fees associated with these financial products. Strategic partnerships with motorcycle manufacturers allow MTO to access exclusive models and promotional incentives, further enhancing its profitability. Overall, the combination of retail sales, service offerings, and financial solutions forms the backbone of Motorcycle Holdings Ltd.'s revenue model.

Motorcycle Holdings Ltd. Financial Statement Overview

Summary
Motorcycle Holdings Ltd. exhibits a solid financial position with consistent revenue growth and strong cash flow generation. While profitability margins are moderate, the company maintains a healthy balance sheet with improved leverage ratios. Continued focus on enhancing net profit margins and operational efficiencies could further strengthen its financial standing.
Income Statement
72
Positive
Motorcycle Holdings Ltd. has demonstrated consistent revenue growth, with a 5.4% increase in the latest year. The gross profit margin has remained stable around 25%, indicating effective cost management. However, the net profit margin is relatively low at 2.8%, suggesting room for improvement in profitability. The EBIT and EBITDA margins are moderate, reflecting operational efficiency but also highlighting potential areas for cost optimization.
Balance Sheet
68
Positive
The company's debt-to-equity ratio has improved to 0.64, indicating a balanced approach to leveraging. Return on equity is modest at 8.7%, suggesting moderate profitability relative to shareholder equity. The equity ratio stands at approximately 50.7%, reflecting a solid equity base relative to total assets, which enhances financial stability.
Cash Flow
75
Positive
Free cash flow has grown significantly by 17.9%, showcasing strong cash generation capabilities. The operating cash flow to net income ratio is 0.45, indicating efficient conversion of earnings into cash. The free cash flow to net income ratio is high at 0.94, reflecting robust cash flow management and the ability to support future growth and debt obligations.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue650.36M650.36M582.32M577.40M457.32M429.82M
Gross Profit163.28M163.28M149.35M65.45M50.98M51.28M
EBITDA41.58M41.58M45.59M56.08M49.34M55.82M
Net Income18.02M18.02M14.13M23.01M23.11M28.30M
Balance Sheet
Total Assets407.73M407.73M394.98M431.19M298.19M269.89M
Cash, Cash Equivalents and Short-Term Investments30.99M30.99M12.14M24.73M3.91M4.67M
Total Debt131.84M131.84M144.51M149.66M93.27M72.82M
Total Liabilities201.16M201.16M194.81M233.62M143.19M125.64M
Stockholders Equity206.57M206.57M200.17M197.57M155.01M144.25M
Cash Flow
Free Cash Flow50.64M50.64M24.15M12.53M11.03M32.15M
Operating Cash Flow53.86M53.86M25.45M15.66M12.99M34.25M
Investing Cash Flow-1.36M-1.36M-14.46M-26.38M-7.85M-2.04M
Financing Cash Flow-39.80M-33.93M-23.44M31.54M-5.90M-67.04M

Motorcycle Holdings Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.45
Price Trends
50DMA
3.40
Positive
100DMA
3.18
Positive
200DMA
2.60
Positive
Market Momentum
MACD
<0.01
Negative
RSI
56.63
Neutral
STOCH
88.96
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:MTO, the sentiment is Positive. The current price of 3.45 is above the 20-day moving average (MA) of 3.25, above the 50-day MA of 3.40, and above the 200-day MA of 2.60, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 56.63 is Neutral, neither overbought nor oversold. The STOCH value of 88.96 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:MTO.

Motorcycle Holdings Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
AU$8.83B40.1016.06%2.33%16.46%-20.08%
69
Neutral
AU$245.04M13.608.86%3.77%11.62%
64
Neutral
AU$749.93M21.966.57%3.07%8.22%-46.33%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
60
Neutral
AU$308.75M25.532.34%3.08%0.32%-66.48%
56
Neutral
AU$440.29M-4.58%13.54%66.00%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:MTO
Motorcycle Holdings Ltd.
3.42
1.91
126.49%
AU:PWR
Peter Warren Automotive Holdings Ltd
1.82
0.14
8.33%
AU:APE
Eagers Automotive Limited
30.54
19.69
181.47%
AU:ASG
Autosports Group Ltd
3.75
1.43
61.64%
AU:AMA
Ama Group Limited
0.09
0.02
28.57%

Motorcycle Holdings Ltd. Corporate Events

MotorCycle Holdings Director Increases Shareholding
Sep 25, 2025

MotorCycle Holdings Limited has announced a change in the interest of its director, Nicola Thomas, who has acquired an additional 6,732 fully paid ordinary shares through an on-market trade. This change increases her total shareholding to 37,000 shares, reflecting a strategic move that may indicate confidence in the company’s future performance.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.13 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MotorCycle Holdings Announces Director Resignation
Sep 23, 2025

MotorCycle Holdings Ltd. announced the resignation of Mr. Dave Ahmet from his position as a Non-Executive Director due to personal and health reasons. His departure follows a recent transition from Managing Director/CEO to a Non-Executive Director role, marking the end of his 14-year tenure with the company. This change in the board may impact the company’s strategic direction and governance, as the company acknowledges his significant contributions over the years.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.13 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

Motorcycle Holdings Director Increases Shareholding
Sep 18, 2025

Motorcycle Holdings Ltd. announced a change in the director’s interest, with Nicola Thomas acquiring 3,268 fully paid ordinary shares through an on-market trade, increasing her total holdings to 30,268 shares. This change reflects a strategic move by the director, potentially indicating confidence in the company’s future performance and stability, which may positively influence stakeholder perceptions.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.13 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MRP Mojo Motorcycles Ceases Substantial Holding in Motorcycle Holdings Ltd.
Sep 3, 2025

Motorcycle Holdings Ltd. announced that MRP Mojo Motorcycles Pty Ltd and Michael Poynton have ceased to be substantial holders in the company as of August 29, 2025. This change was due to an on-market sale of 4,000,000 ordinary shares by MRP Mojo Motorcycles Pty Ltd, potentially impacting the company’s shareholder structure and market perception.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MotorCycle Holdings Director Alters Shareholding
Sep 3, 2025

MotorCycle Holdings Ltd has announced a significant change in the shareholding of its director, David Ahmet. On August 29, 2025, Mr. Ahmet disposed of 5,000,000 fully paid ordinary shares through an on-market trade at $3.60 per share, reducing his direct shareholding significantly. This change in director’s interest could impact the company’s stock market perception and investor confidence.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MotorCycle Holdings Directors Sell Shares to Attract Institutional Investors
Sep 1, 2025

MotorCycle Holdings Ltd. announced that its Founder and Non-Executive Director, Mr. David Ahmet, and Chief Operations Officer and Executive Director, Mr. Michael Poynton, have sold a total of 9,000,000 shares to introduce new institutional investors and diversify their personal investments. Despite the sale, both directors remain committed to the company’s long-term growth, retaining significant stakes and having no current plans to sell more shares. This move aligns with the company’s Securities Trading Policy and was conducted during the permitted trading window.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

Motorcycle Holdings Ltd. Advances Corporate Governance and Diversity Initiatives
Aug 27, 2025

Motorcycle Holdings Ltd. has released its Corporate Governance Statement, detailing its adherence to the ASX Corporate Governance Council’s Principles and Recommendations. The company has outlined its governance practices, including board roles, diversity objectives, and performance evaluations. Notably, the company is working towards increasing female representation in its workforce and executive team, with recent appointments of women in senior management roles. The statement reflects the company’s ongoing efforts to enhance its governance framework and align with industry standards.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MotorCycle Holdings Limited Releases Full-Year Financial Results
Aug 27, 2025

MotorCycle Holdings Limited has released its full-year results, highlighting its financial performance and strategic initiatives. The presentation underscores the company’s focus on maintaining its market position and addressing industry challenges, although it cautions against placing undue reliance on forward-looking statements due to inherent uncertainties.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MotorCycle Holdings Achieves Record FY2025 Results with Strategic Growth
Aug 27, 2025

MotorCycle Holdings Limited reported strong financial results for FY2025, achieving record sales revenue of $650 million, an 11.6% increase from the previous year, and a net profit after tax of $18 million, up 27.7%. The company reduced its net debt by 76.3% and increased its market share to 16.6% despite a flat overall market. The company also declared a fully franked dividend of 5 cents per share, reflecting its commitment to shareholder returns while maintaining financial flexibility for strategic growth.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

Motorcycle Holdings Ltd. Releases 2025 Annual Report
Aug 27, 2025

Motorcycle Holdings Ltd. has released its annual report for the year ending June 30, 2025. The report includes key highlights, a message from the Chair, a letter from the CEO, and information on sustainability and financial performance. This announcement provides stakeholders with insights into the company’s strategic direction, operational performance, and commitment to sustainability, which may influence its market positioning and stakeholder relations.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

Motorcycle Holdings Ltd. Announces New Dividend Distribution
Aug 27, 2025

Motorcycle Holdings Ltd. has announced a new dividend distribution of AUD 0.05 per share, scheduled for payment on September 24, 2025. This announcement reflects the company’s financial performance for the six-month period ending June 30, 2025, and indicates a stable return for shareholders, potentially enhancing its market position and investor confidence.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MotorCycle Holdings Reports Strong Financial Growth and Declares Final Dividend
Aug 27, 2025

MotorCycle Holdings Limited reported a significant financial performance improvement for the year ending June 30, 2025, with a 27.5% increase in profit after tax, reaching $18,022,000. The company announced a fully franked final dividend of 5 cents per share, reflecting its strong financial position and commitment to returning value to shareholders.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$4.00 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

MotorCycle Holdings Expands with Acquisition of Peter Stevens and Harley Heaven
Jul 31, 2025

MotorCycle Holdings Limited has successfully completed the acquisition of select business assets and operations of Peter Stevens Motorcycles Pty Ltd and Harley Heaven Pty Ltd, which were in administration. This acquisition includes several dealership locations and online businesses, enhancing MTO’s operational capabilities and market presence across multiple Australian states. The move signifies a strategic expansion for MTO, potentially strengthening its position in the motorcycle retail industry.

The most recent analyst rating on (AU:MTO) stock is a Buy with a A$2.85 price target. To see the full list of analyst forecasts on Motorcycle Holdings Ltd. stock, see the AU:MTO Stock Forecast page.

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: Oct 18, 2025