Environmental Group Ltd

Environmental Group Ltd has a market price of 0.215 AUD and a market cap of 81.81 million AUD, with a price-to-earnings ratio of 17.37 and a price-to-book ratio of 1.79. The company's enterprise value to EBITDA is 13.31, and its enterprise value to revenue is 0.83, indicating a relatively low valuation compared to revenue. The company's liquidity is assessed as medium, with a current ratio of 1.45, suggesting it has sufficient short-term assets to cover its short-term liabilities, but not in excess. In terms of profitability, the company's return on equity is 10.28%, and its return on assets is 5.17%, which are metrics that reflect the efficiency of its capital use and asset management. The company's operating income is 6.99 million AUD, and its net income is 4.71 million AUD, indicating a healthy margin, although the gross profit of 32.74 million AUD suggests that the company's cost of goods sold is a significant portion of its revenue. The company's business is segmented into five units: EGL Clean Air, Baltec IES, EGL Clean Energy, EGL Water, and EGL Waste Services. The Baltec IES unit produces inlet and exhaust systems for gas turbines, which are used to complement and augment solar and wind energy production. The EGL Water division is developing patented technologies in conjunction with Victoria University, and the EGL Waste Services division provides a sales and services platform for the Turmec Agency agreement in Australia. The company's geographic exposure is primarily in Australia, with no significant international revenue concentration disclosed. The company's growth trajectory is reflected in its revenue of 111.92 million AUD, with a free cash flow of 6.76 million AUD and a capital expenditure of -906,550 AUD. The company's operating cash flow is negative at -3.79 million AUD, which may indicate short-term liquidity challenges. The company's outlook for the current fiscal year and the next fiscal year is not explicitly provided, but the company's revenue history suggests a stable performance. The company's risk assessment indicates a medium liquidity risk and a low dilution risk. The key flags include a negative net cash position after subtracting total debt, which may affect the company's ability to meet short-term obligations. The company's debt-to-equity ratio is 0.24, indicating a relatively low level of debt compared to equity. The company's dilution potential is low, with no significant dilution sources identified in the provided data. Recent events include analyst estimates with a mean price target of 0.34 AUD, a median price target of 0.34 AUD, and a mean recommendation of 1.67, indicating a generally positive outlook from analysts. The company has one strong-buy recommendation, two buy recommendations, and no hold recommendations, suggesting a favorable sentiment among analysts.