# Pexa Group (PXA.AU)

Canonical: https://gigainvestors.com/s/PXA.AU

Analysis as of: 2026-10-16T07:44:59.560Z. Financial observations: FY2018–FY2026.

Listing currency: AUD. Reporting currency: AUD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: AUD 6.36 per share; close as of 2026-10-15.

Estimated value: low AUD 0.43 per share, central AUD 0.44 per share, high AUD 0.46 per share. Buy at or below the central value AUD 0.44 per share. Valuation as of 2026-10-16T07:44:59.560Z; scenarios are not confidence intervals.

Expected annual return: 3.1% at the stated quote. About 3.1% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; AU 10-year bond 5.2% + 4 points).

## Checklist

### understandable: fail

- 0 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- negative average operating margin

- operating margin variation exceeds 0.35

- Financial history: 9 years

- Years with declining revenue: 0

- Years with a net loss: 8

- Operating margin variation: 2.94×

Chart: Operating margin; fiscal year observations.

- FY2018: -2.80×

- FY2019: -0.46×

- FY2020: -0.07×

- FY2021: 0.13×

- FY2022: 0.23×

- FY2023: 0.04×

- FY2024: 0.04×

- FY2025: -0.01×

- FY2026: 0.13×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 1.4%

- ROIC, second-lowest year: -1.0%

- Typical minus recent gross margin: 1.4 pp

- Typical gross margin (annual median): 60.4%

- Recent gross margin (lower of latest and 3-year median): 59.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 12.3%

- ROIC including acquisitions, ten-year median: 1.9%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2019: -3.0%

- FY2020: -1.0%

- FY2021: 2.9%

- FY2022: 5.4%

- FY2023: 1.1%

- FY2024: 1.6%

- FY2025: -0.5%

- FY2026: 6.5%

### economics: pass

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: AUD 65M

- Net income, five-year total: AUD -110M

- Working capital / revenue, annual change: -0.1 pp

Chart: Owner earnings · five years; fiscal year observations.

- FY2022: AUD 38M

- FY2023: AUD -21M

- FY2024: AUD 1.5M

- FY2025: AUD -32M

- FY2026: AUD 79M

### management: fail

- buybacks unrelated to price (informational)

- Per-share earnings: -0.17 to -0.10 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: -0.2%

- Diluted shares, 5-year annual growth: -0.2%

- Per-share value change: AUD 0.07

- Per-share value, starting three-year median: AUD -0.17

- Per-share value, ending three-year median: AUD -0.10

- Buybacks concentrated in cheaper years (correlation): -0.10

- Average buyback yield: 0.3%

- Buyback history: 5 years

- Debt-funded buybacks: No

- ROIC, last three-year median: 1.6%

Chart: Earnings per share; fiscal year observations.

- FY2018: AUD -0.38

- FY2019: AUD -0.17

- FY2020: AUD -0.00

- FY2021: AUD -0.07

- FY2022: AUD 0.12

- FY2023: AUD -0.12

- FY2024: AUD -0.10

- FY2025: AUD -0.43

- FY2026: AUD -0.09

### accounting: pass

- Sloan accruals: -9.7%

- Receivables to sales index (DSRI): 0.77×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Accounting red flags: 0

- Goodwill and intangibles / equity: 1.29×

Chart: Sloan accruals; fiscal year observations.

- FY2019: -1.9%

- FY2020: -2.9%

- FY2021: -7.5%

- FY2022: -3.8%

- FY2023: -5.8%

- FY2024: -7.2%

- FY2025: -11.5%

- FY2026: -9.7%

## Holders

## Price story

Down 68% since Dec 2021 · sales +9.1%

Story as of 2026-10-16T10:00:13.275Z; price observation 2026-10-15.

Price needs cash profits to grow 54.4% a year for ten years

### Sales · FY2025–2026

sales +9.1%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2018: AUD 39M 

- FY2019: AUD 73M 

- FY2020: AUD 156M 

- FY2021: AUD 221M 

- FY2022: AUD 280M 

- FY2023: AUD 282M 

- FY2024: AUD 340M 

- FY2025: AUD 373M 

- FY2026: AUD 407M 

### Gross margin · FY2026

gross margin 59%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2019: 79.4% 

- FY2020: 45.1% 

- FY2021: 57.0% 

- FY2022: 63.3% 

- FY2023: 60.4% 

- FY2024: 85.2% 

- FY2025: 82.1% 

- FY2026: 59.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in software application; annual sales are AUD 406.9 million.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2026: revenue 406884000; grossProfit 240004000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); PXA.AU: PEXA Group Limited operates as electronic lodgement networks with various ancillary property transaction businesses and products in Australia and the United Kingdom. The company's products include PEXA, a flagship brand that provides exchange services; PEXA Clear, an anti-money laundering and counter-terrorism financing (AML/CTF) compliance platform for property industry; Optima Legal, a high-volume remortgage processing which includes legal services in remortgage market; and Smoove, a conveyancing technology provider. It also provides conveyancing services on sale and purchase transactions and remortgages, income on referrals, related search and identification verification fees, provision of advisory services, and other related legal services; property search services; conveyancer referral platform; AML/CTF compliance products; digital property settlement platform; lender panel management services. In addition, the company is involved in digital property infrastructure business; transfer, refinancing/remortgage, and other lodgements; sells subscription services; and professional/consulting services, transactional sales, and foreign exchange commissions. Further, it provides its products under the PEXA Exchange, PEXA UK, Optima Legal, and Smoove brands through its online platform. The company offers its solutions for financial institutions, legal practitioners, conveyancers, governments, and property professionals. The company was formerly known as Torrens Group Holdings Limited. PEXA Group Limited was founded in 2010 and is headquartered in Melbourne, Australia.

### Why customers stay

Margins ranged from 59% to 85.2% during 2024–26; it earns 1.4% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2024: grossProfit / revenue = 85.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2025: grossProfit / revenue = 82.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2026: grossProfit / revenue = 59%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); 9-year return on capital observations [[2019,-0.030080195856812736],[2020,-0.010015784066387878],[2021,0.028766441003650375],[2022,0.05387341491535021],[2023,0.011419765468778584],[2024,0.015632176369822587],[2025,-0.005372903719701378],[2026,0.06468792948635722]]; median 0.013525970919300585. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 2 of 8 years; bought back AUD 2.4 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2019: growth capex 0; upkeep 848042; owner earnings 29981345. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2020: growth capex 0; upkeep 19121000; owner earnings 43240000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2021: growth capex 0; upkeep 23099000; owner earnings 28461400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2022: growth capex 0; upkeep 50019000; owner earnings 38239600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2024: growth capex 0; upkeep 68848000; owner earnings 1484200. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2026: growth capex 0; upkeep 996000; owner earnings 78603000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); Dividend observations: [[2019,0],[2020,0],[2021,103799000],[2022,11863000],[2023,0],[2024,0],[2025,0],[2026,0]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); FY2026: cash repurchases 2387000 AUD.

### Are managers owners

Insiders own 1.1% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); PXA.AU SharesStats.PercentInsiders = 1.097 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 54.4% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:59.560Z); Ten-year compound average after fade. Initial solved rate 0.8045086699878106. Price 6.36; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03.  Closing-price date 2026-10-15.

## Monthly share-price history (AUD per share)

- 2021-07: AUD 16.38 per share

- 2021-08: AUD 16.53 per share

- 2021-09: AUD 16.47 per share

- 2021-10: AUD 15.58 per share

- 2021-11: AUD 17.61 per share

- 2021-12: AUD 19.90 per share

- 2022-01: AUD 18.57 per share

- 2022-02: AUD 19.11 per share

- 2022-03: AUD 17.67 per share

- 2022-04: AUD 17.88 per share

- 2022-05: AUD 15.40 per share

- 2022-06: AUD 13.89 per share

- 2022-07: AUD 14.56 per share

- 2022-08: AUD 14.42 per share

- 2022-09: AUD 13.50 per share

- 2022-10: AUD 15.47 per share

- 2022-11: AUD 14.55 per share

- 2022-12: AUD 11.95 per share

- 2023-01: AUD 13.01 per share

- 2023-02: AUD 11.86 per share

- 2023-03: AUD 13.51 per share

- 2023-04: AUD 13.30 per share

- 2023-05: AUD 13.07 per share

- 2023-06: AUD 13.61 per share

- 2023-07: AUD 13.23 per share

- 2023-08: AUD 11.53 per share

- 2023-09: AUD 11.42 per share

- 2023-10: AUD 10.87 per share

- 2023-11: AUD 11.98 per share

- 2023-12: AUD 11.10 per share

- 2024-01: AUD 11.58 per share

- 2024-02: AUD 12.79 per share

- 2024-03: AUD 13.56 per share

- 2024-04: AUD 12.26 per share

- 2024-05: AUD 14.63 per share

- 2024-06: AUD 13.79 per share

- 2024-07: AUD 13.80 per share

- 2024-08: AUD 13.37 per share

- 2024-09: AUD 14.80 per share

- 2024-10: AUD 13.61 per share

- 2024-11: AUD 13.04 per share

- 2024-12: AUD 13.06 per share

- 2025-01: AUD 13.20 per share

- 2025-02: AUD 12.31 per share

- 2025-03: AUD 11.16 per share

- 2025-04: AUD 12.07 per share

- 2025-05: AUD 12.71 per share

- 2025-06: AUD 13.60 per share

- 2025-07: AUD 15.88 per share

- 2025-08: AUD 15.34 per share

- 2025-09: AUD 15.67 per share

- 2025-10: AUD 15.15 per share

- 2025-11: AUD 14.17 per share

- 2025-12: AUD 13.43 per share

- 2026-01: AUD 13.76 per share

- 2026-02: AUD 14.98 per share

- 2026-03: AUD 15.21 per share

- 2026-04: AUD 12.55 per share

- 2026-05: AUD 10.71 per share

- 2026-06: AUD 10.30 per share

- 2026-07: AUD 7.42 per share

- 2026-08: AUD 7.31 per share

- 2026-09: AUD 6.70 per share

- 2026-10: AUD 6.30 per share

## Annual estimated value (AUD per share)

- FY2022: low AUD 2.75 per share, central AUD 3.08 per share, high AUD 3.51 per share

- FY2023: low AUD 2.55 per share, central AUD 2.87 per share, high AUD 3.31 per share

- FY2024: low AUD 3.17 per share, central AUD 3.54 per share, high AUD 4.03 per share

- FY2025: low AUD 0.46 per share, central AUD 0.47 per share, high AUD 0.49 per share

- FY2026: low AUD 0.43 per share, central AUD 0.44 per share, high AUD 0.46 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.