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SPACETALK Limited (SPA) AI Stock Analysis

AU:SPA

SPACETALK Limited

(ASX:SPA)

Select Model
Rating:45Neutral
Price Target:AUD 0.08â–¼(-2.56% Downside)
Action:reiterated
Date:08/30/26

SPACETALK's severely depressed overall score is predominantly driven by critical financial instability and a distressed valuation stemming from deep unprofitability. While technical indicators suggest some short-term positive momentum, profound operational challenges, a rising debt burden, and unsustainable cash burn overwhelmingly outweigh any technical optimism.

Positive Factors
Integrated Connected-Device ModelThe combination of hardware, software, and connectivity creates an integrated product proposition for children and families. This model can support ongoing customer engagement beyond the initial device sale and gives the company multiple service touchpoints as it develops its connected-wearable offering.
Negative Factors
Revenue and Margin DeteriorationThe latest deterioration indicates that the company is not currently converting sales into sustainable gross profit. Falling revenue combined with negative gross margin and very deep net losses weakens operating leverage, reduces internal funding capacity, and makes a near-term return to self-sustaining profitability more difficult.

SPACETALK Limited (SPA) vs. iShares MSCI Australia ETF (EWA)

-60%-40%-20%0%20%AU:SPA-40.00%EWA+13.51%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
AUD 31.41M
Dividend Yield
―
Average Volume (3M)
187.31K
Price to Earnings (P/E)
-0.5
Beta (1Y)
-0.34
Revenue Growth
-19.33%
EPS Growth
-151.55%
Country
Australia
Employees
54
Sector
Communication Services
Sector Strength
60
Industry
Telecommunications Services

SPACETALK Limited Business Overview & Revenue Model

Company Description

Spacetalk Limited, an Australian technology enterprise established in 2000 and based in Rose Park, specializes in providing wearable devices and mobile communication solutions across Australia, the United Kingdom, and New Zealand. The company's produ...

SPACETALK Limited Financial Statement Overview

Summary

SPACETALK faces severe financial distress characterized by shrinking revenues, deeply negative profitability margins, and a widening equity deficit. An accelerating cash burn and mounting debt burden underscore high liquidity and insolvency risks.

Income Statement

12Very Negative

Balance Sheet

10Very Negative

Cash Flow

11Very Negative
Financial statement breakdown
BreakdownTTMJun 2026Jun 2025Jun 2024Jun 2023Jun 2022
Income Statement
Total Revenue16.22M16.22M19.61M17.50M13.42M14.88M
Gross Profit-2.93M-2.93M9.70M8.64M-757.26K-1.43M
EBITDA-11.37M-11.41M-3.11M-4.21M-8.42M-925.01K
Net Income-17.15M-17.15M-4.54M-6.24M-14.68M-6.30M
Balance Sheet
Total Assets9.84M9.84M8.60M7.86M10.97M22.19M
Cash, Cash Equivalents and Short-Term Investments878.00K878.00K1.15M1.77M3.03M5.58M
Total Debt9.07M9.07M4.72M5.21M5.33M3.19M
Total Liabilities21.73M21.73M12.86M11.72M12.08M9.70M
Stockholders Equity-11.89M-11.89M-4.26M-3.86M-1.11M12.49M
Cash Flow
Free Cash Flow-7.45M-7.45M-2.71M-2.90M-5.12M-8.91M
Operating Cash Flow-7.40M-7.40M-2.68M-2.87M-3.46M-5.57M
Investing Cash Flow-4.51M-4.51M-1.66M-1.43M-1.67M-3.35M
Financing Cash Flow11.65M11.65M3.71M3.05M2.50M10.58M

SPACETALK Limited Technical Analysis

Technical Analysis SentimentNeutral
Last Price0.08

Price Trends

50DMA0.08Negative
100DMA0.09Negative
200DMA0.08Negative

Market Momentum

MACD0.00Negative
RSI50.90Neutral
STOCH58.33Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SPA, the sentiment is Neutral. The current price of 0.08 is above the 20-day moving average (MA) of 0.08, below the 50-day MA of 0.08, and below the 200-day MA of 0.08, indicating a neutral trend. The MACD of 0.00 indicates Negative momentum. The RSI at 50.90 is Neutral, neither overbought nor oversold. The STOCH value of 58.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:SPA.

SPACETALK Limited Peers Comparison

Overall Rating

UnderperformOutperform
Sector (60)

Financial Indicators

AU:SPA against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
AU:ABBAU:ABB65NeutralAUD 1.31B36.635.50%1.40%9.12%7.51%
AU:FRXAU:FRX63NeutralAUD 28.82M33.8815.81%―-25.07%―
Sector *60Neutral$48.67B4.58-11.27%4.14%2.83%-41.78%
AU:TLSAU:TLS59NeutralAUD 54.81B24.8917.30%4.24%-0.81%5.46%
AU:TPGAU:TPG55NeutralAUD 7.64B73.811.20%46.27%-4.55%―
AU:NORAU:NOR54NeutralAUD 8.70M-9.38124.87%―22.12%-23.08%
AU:SPAAU:SPA45NeutralAUD 31.41M-0.48188.00%―-19.33%-151.55%

* Communication Services Sector Average

Performance Comparison

-50%0%50%100%AU:SPAAU:TPGAU:TLSAU:NORAU:FRXAU:ABBDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
AU:SPA and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
AU:SPASPACETALK Limited0.08-0.05-40.00%
AU:TPGTPG Telecom Limited3.890.164.26%
AU:TLSTelstra Corporation Limited4.950.296.31%
AU:NORNorwood Systems Ltd0.01-0.00-16.67%
AU:FRXFlexiroam Ltd0.020.0158.33%
AU:ABBAussie Broadband Ltd.4.30-1.55-26.48%

SPACETALK Limited Corporate Events

Spacetalk boosts mobile subscribers, pivots to telco-led family safety platform

Oct 29, 2026

Spacetalk reported 20% year-on-year growth in active mobile subscribers to 61,400 for the September quarter, even as total revenue fell 32% to $3.1 million due largely to supply chain constraints on device sales and the wind-down of its Schools busin...

Spacetalk Sets November 2026 AGM to Vote on Board and Incentive Grants

Oct 20, 2026

Spacetalk Ltd has called its annual general meeting for 11:00 a.m. AEDT on 19 November 2026 in Sydney, where shareholders will review the company’s financial statements for the year ended 30 June 2026 and vote on the non-binding adoption of the...

Spacetalk Issues Nearly 99 Million New Shares and Confirms Regulatory Compliance

Sep 30, 2026

Spacetalk Limited has issued 98,752,333 new fully paid ordinary shares on 30 September 2026 and lodged a cleansing notice under section 708A(5)(e) of the Corporations Act, confirming the issue was made without a disclosure document. The company state...

Spacetalk Seeks ASX Quotation for Nearly 99 Million New Shares

Sep 30, 2026

Spacetalk Ltd, listed on the ASX under code SPA, issues ordinary fully paid shares that represent its primary listed securities. As an Australian technology-focused entity, it leverages public equity markets to fund its activities and provide investo...

Spacetalk Files Updated Corporate Governance Statement and Appendix 4G

Sep 28, 2026

Spacetalk Ltd has lodged its updated corporate governance statement for the financial year ended 30 June 2026, confirming it is available on the company’s investor website and current as of 28 September 2026. The filing, accompanied by an Appen...

Spacetalk Investors Back Capital Moves at General Meeting

Sep 16, 2026

Spacetalk Limited has reported the results of its general meeting held on 16 September 2026, confirming that all resolutions put to shareholders were passed by poll. The meeting outcomes reflect strong investor support for the company’s recent...

Spacetalk Shifts to Software-Led Family Safety Platform as Recurring Revenue Surges

Sep 16, 2026

Spacetalk has completed a multi-year transformation from relying mainly on children’s wearable hardware to operating as a software-led, hardware-enabled family safety platform. The company rebuilt its core technology, strengthened operations, a...

Spacetalk Sets Software-Led Strategy to Scale Family-Safety Platform

Aug 27, 2026

Spacetalk is positioning itself as a software-led family-safety provider by consolidating its offerings into a single app platform. The company’s strategy is to create a cash-generative, defensible niche by delivering a unified service that enh...

Spacetalk Calls 2026 Virtual Meeting to Approve Major Capital-Raising Resolutions

Aug 13, 2026

Spacetalk Limited has called a virtual general meeting for 16 September 2026 to seek shareholder approval for several capital-raising and incentive-related resolutions. Shareholders will vote on ratifying the prior issue of 34,581,000 Tranche 1 Augus...

PURE Asset Management Ceases to Be Substantial Holder in Spacetalk

Aug 13, 2026

PURE Asset Management, acting for the PURE Income and Growth Fund, has ceased to be a substantial shareholder in Spacetalk Limited, according to a notice lodged under Australia’s Corporations Act. The change follows a placement that diluted PUR...

Spacetalk issues 34.6m new shares and confirms compliance for secondary trading

Aug 13, 2026

Spacetalk Limited has issued 34,581,000 new fully paid ordinary shares at $0.075 each, raising fresh equity capital without a disclosure document under the relevant fundraising provisions of the Corporations Act. The company confirms it is compliant...

SPACETALK Seeks ASX Quotation for 34.6 Million New Shares

Aug 13, 2026

SPACETALK Ltd has applied for quotation on the ASX of 34,581,000 new fully paid ordinary shares, with an issue date of 13 August 2026. The securities are being issued as part of transactions previously flagged to the market, signalling a material exp...

Spacetalk Converts Notes Into Shares, Boosting ASX Free Float

Aug 5, 2026

Spacetalk Limited has issued 59,630,957 fully paid ordinary shares at nil consideration following the conversion of 4,475,000 converting notes and associated interest into equity. The move converts debt-like instruments into shares at a price of $0.0...

Spacetalk Director Boosts Equity Stake Through Note Conversion

Aug 5, 2026

Spacetalk Ltd has reported a change in the shareholdings of director John Bird following the conversion of previously held converting notes. Bird’s 20,000 converting notes, which were due to convert on 31 July 2026, have been exchanged into 264...

Spacetalk Director Increases Equity Stake Through Note Conversion

Aug 5, 2026

Spacetalk Ltd has disclosed a change in the shareholdings of director Hon Michael David Rann, reflecting adjustments in his equity position in the company. The notice underscores ongoing compliance with ASX rules on director interest reporting, which...

Spacetalk Director Boosts Indirect Shareholding via Note Conversion

Aug 5, 2026

Spacetalk Ltd has disclosed a change in the interests of director Simon Crowther, reflecting an internal capital structure adjustment rather than a market trade. Crowther’s holdings are split between his direct share ownership and indirect inte...

SPACETALK plans major share and option issue to expand capital base

Aug 4, 2026

SPACETALK Ltd has lodged a new Appendix 3B with the ASX outlining a proposed placement or similar issue of up to 133,333,333 ordinary fully paid shares and 30,000,000 unlisted options, exercisable at $0.10 and expiring on 12 August 2029. The proposed...

Spacetalk Seeks ASX Quotation for 59.6 Million New Shares

Aug 4, 2026

Spacetalk Ltd has applied for quotation on the ASX of 59,630,957 ordinary fully paid shares under the code SPA, with an issue date of August 3, 2026. The application indicates a significant issuance of new equity securities, which will expand the com...

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: Aug 30, 2026