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Salter Brothers Emerging Companies Ltd. (AU:SB2)
:SB2
Australian Market

Salter Brothers Emerging Companies Ltd. (SB2) AI Stock Analysis

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AU

Salter Brothers Emerging Companies Ltd.

(Sydney:SB2)

76Outperform
Salter Brothers Emerging Companies Ltd. scores well due to strong financial performance and an attractive valuation. The company's high profitability, zero leverage, and effective financial management enhance its investment appeal. The main risks include past cash flow volatility and current technical indicators suggesting limited upward momentum. Nevertheless, the stock's low P/E ratio and dividend yield present significant value potential.

Salter Brothers Emerging Companies Ltd. (SB2) vs. S&P 500 (SPY)

Salter Brothers Emerging Companies Ltd. Business Overview & Revenue Model

Company DescriptionSalter Brothers Emerging Companies Ltd. (SB2) is an investment management firm focused on identifying and investing in high-growth potential companies within emerging sectors. The company specializes in providing capital and strategic support to small and medium-sized enterprises (SMEs) that demonstrate strong potential for expansion and innovation. SB2 operates primarily within sectors such as technology, healthcare, and sustainable energy, aiming to leverage market trends and growth opportunities to maximize returns for its investors.
How the Company Makes MoneySB2 makes money through a structured revenue model centered around investment management and advisory services. The company generates income from management fees charged to investors, typically calculated as a percentage of the total assets under management (AUM). Additionally, SB2 may earn performance fees, which are contingent on achieving specific investment return benchmarks or outperforming certain market indices. These performance fees are designed to align the company's interests with those of its investors. SB2's revenue streams are further bolstered by strategic partnerships with institutional investors and other financial entities, which provide additional capital and resources to enhance the company's investment capabilities. The firm's success is also driven by its ability to identify promising companies early in their development, thus benefiting from significant capital appreciation as these companies grow and succeed in their respective markets.

Salter Brothers Emerging Companies Ltd. Financial Statement Overview

Summary
Income Statement
Balance Sheet
Cash Flow
Breakdown
Jun 2024Jun 2023Jun 2022Jun 2021
Income StatementTotal Revenue
8.00M-2.92M-12.47M4.46M
Gross Profit
8.00M-2.92M-12.47M4.46M
EBIT
6.52M-3.08M-13.15M4.41M
EBITDA
0.000.000.000.00
Net Income Common Stockholders
4.22M-1.82M-8.19M3.09M
Balance SheetCash, Cash Equivalents and Short-Term Investments
85.65M80.92M86.83M99.98M
Total Assets
89.68M86.38M90.99M100.06M
Total Debt
0.000.000.000.00
Net Debt
-1.91M-5.70M-7.47M-2.43M
Total Liabilities
438.00K270.00K1.72M1.28M
Stockholders Equity
89.24M86.11M89.27M97.46M
Cash FlowFree Cash Flow
-2.69M-437.00K5.04M-16.42M
Operating Cash Flow
-2.69M-437.00K5.04M-16.42M
Investing Cash Flow
0.000.000.000.00
Financing Cash Flow
-1.09M-1.33M0.0010.63M

Salter Brothers Emerging Companies Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.72
Price Trends
50DMA
0.74
Negative
100DMA
0.77
Negative
200DMA
0.71
Positive
Market Momentum
MACD
>-0.01
Negative
RSI
49.73
Neutral
STOCH
65.56
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SB2, the sentiment is Positive. The current price of 0.72 is above the 20-day moving average (MA) of 0.70, below the 50-day MA of 0.74, and above the 200-day MA of 0.71, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 49.73 is Neutral, neither overbought nor oversold. The STOCH value of 65.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:SB2.

Salter Brothers Emerging Companies Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUSB2
76
Outperform
AU$61.42M4.7914.62%2.78%454.96%
AUARG
68
Neutral
26.863.96%4.08%-3.41%-4.97%
AUAFI
68
Neutral
29.733.68%3.72%1.81%0.50%
64
Neutral
$12.64B9.748.05%17044.60%12.66%-4.62%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:SB2
Salter Brothers Emerging Companies Ltd.
0.72
0.12
20.00%
AU:AFI
Australian Foundation Investment Co. Ltd.
7.13
0.18
2.62%
AU:ARG
Argo Investments Limited
8.78
0.44
5.33%

Salter Brothers Emerging Companies Ltd. Corporate Events

Salter Brothers Updates on Buy-Back Program
Apr 22, 2025

Salter Brothers Emerging Companies Ltd. announced an update on its ongoing on-market buy-back program, where it has repurchased a total of 300,000 ordinary fully paid securities, including 50,000 on the previous day. This buy-back initiative is part of the company’s strategy to enhance shareholder value and optimize its capital structure, reflecting confidence in its financial position and future prospects.

Salter Brothers Emerging Companies Limited Releases General Overview Document
Apr 15, 2025

Salter Brothers Emerging Companies Limited has released a document providing a general overview of its current activities, emphasizing that the information is not exhaustive for potential investors. The document includes disclaimers about the nature of the information, highlighting that it is not a formal offer or investment invitation and contains forward-looking statements subject to change. Stakeholders are advised to conduct independent investigations and seek professional advice before making investment decisions, as the document outlines potential risks and uncertainties.

Salter Brothers Emerging Companies Reports March 2025 Performance Amid Market Volatility
Apr 14, 2025

Salter Brothers Emerging Companies Limited reported a -3.00% portfolio return for March 2025, aligning with the Australian Emerging Companies Index’s performance amid market volatility. The portfolio outperformed the market by 1.51% over the quarter, despite challenges from US tariffs and economic data. Key contributors to the portfolio included WRKR Ltd and Bluebet Holdings, while Medadvisor Ltd faced setbacks. The company’s investment strategy remains robust, with a focus on strategic meetings and compliance with investment requirements.

Director Increases Stake in Salter Brothers Emerging Companies Ltd.
Apr 11, 2025

Salter Brothers Emerging Companies Ltd. announced a change in the director’s interest, with Director Marcos Marcou acquiring 2,000 additional fully paid ordinary shares through on-market purchases, increasing his total holdings to 7,000 shares. This acquisition reflects a strategic move by the director to strengthen his stake in the company, potentially signaling confidence in the company’s future performance and stability, which could positively influence stakeholder perceptions.

Salter Brothers Director Increases Shareholding
Apr 10, 2025

Salter Brothers Emerging Companies Limited announced a change in the director’s interest, with Robert Salter acquiring an additional 90,636 fully paid ordinary shares through on-market purchases. This change increases his total holdings to 302,636 shares, reflecting a strategic move to strengthen his investment in the company. The acquisition, valued at $59,003.51, indicates confidence in the company’s future prospects and could positively influence stakeholder perceptions.

Salter Brothers Announces Change in Substantial Holding
Apr 8, 2025

Salter Brothers Emerging Companies Ltd has announced a change in the substantial holding of its voting shares. The company’s voting power has decreased from 19.22% to 15.31% due to a net movement of 3,335,661 fully paid ordinary shares. This change reflects a significant adjustment in the company’s shareholding structure, potentially impacting its influence in corporate decisions and its positioning within the market.

Salter Brothers Emerging Companies Ltd Outperforms Market with Positive February Returns
Mar 13, 2025

Salter Brothers Emerging Companies Limited reported a positive portfolio return of 2.37% in February 2025, outperforming the market’s decline of 1.98%. The company declared a fully franked interim dividend of 2 cents per share for the half-year ending December 2024. Key contributors to the portfolio’s performance included Alfabs Australia, Alcidion Group, and Asset Vision Co, while Camplify Holdings, OFX Group, and Close The Loop were notable detractors. The company remains optimistic about future growth, with a forecasted revenue growth of 18% and a strong focus on capital preservation and long-term returns.

Salter Brothers Announces New Dividend Distribution
Feb 28, 2025

Salter Brothers Emerging Companies Ltd. has announced a new dividend distribution for its shareholders, with a payment of AUD 0.02 per fully paid ordinary share. The dividend relates to the six-month period ending December 31, 2024, with the ex-date set for March 27, 2025, and the payment date scheduled for April 24, 2025. This announcement reflects the company’s ongoing commitment to providing returns to its investors and may influence its market positioning by enhancing shareholder value.

Salter Brothers Reports Robust Half-Year Financial Growth
Feb 28, 2025

Salter Brothers Emerging Companies Limited reported a significant increase in financial performance for the half-year ended 31 December 2024, with revenues from ordinary activities rising by 491.8% to $16.4 million and profits after tax soaring by 701.3% to $10.5 million. The company’s net assets increased due to a higher portfolio value, and it declared a fully franked interim dividend of $0.02 per share, signaling strong operational health and positive stakeholder implications.

Salter Brothers Sees Change in Substantial Holding Voting Power
Feb 20, 2025

Salter Brothers Emerging Companies Ltd. has announced a change in the relevant interests of its substantial holder, with Wilson Asset Management Group increasing its voting power from 10.51% to 11.72%. This change in voting power suggests an increased influence of Wilson Asset Management in the company’s decisions and could impact future strategic directions, potentially affecting stakeholders and the market perception of the company.

Salter Brothers Emerging Companies Ltd Reports January 2025 Portfolio Performance
Feb 13, 2025

Salter Brothers Emerging Companies Limited reported a slight negative return of -1.36% for January 2025, slightly underperforming a flat market due to reduced trading activity early in the month. Key contributors to the portfolio included Alcidion Group Ltd, Asset Vision Co Ltd, and Alfabs Australia Ltd, while detractors were Close the Loop Ltd, Ai-Media Technologies Ltd, and Medadvisor Ltd. The company remains optimistic about future growth, with significant valuation upside forecasted for its listed holdings and a focus on long-term growth and income generation. The investment strategy also complies with the Australian Significant Investor Visa requirements, maintaining a microcap bias and reflecting its investment philosophy.

Salter Brothers Emerging Companies Releases Disclaimer-Heavy Overview
Feb 11, 2025

Salter Brothers Emerging Companies Limited has issued a disclaimer-rich document aimed at providing a general overview of their current activities. The release emphasizes the absence of guarantees on future performance and advises potential investors to seek independent advice due to various risks involved. The document stresses that it is not an investment offer and highlights that all forward-looking statements are subject to change, reflecting the company’s cautious approach to managing investor expectations and regulatory compliance.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.