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The Australian market has shown resilience, with the ASX200 closing up 0.36% at 7,997 points, driven by gains in the Energy and IT sectors. The term 'penny stocks' might feel like a relic of past market eras, but the potential they represent is as real as ever. Typically referring to smaller or relatively new companies, these stocks can provide a mix of affordability and growth potential when paired with strong financials.
Top 10 Penny Stocks In Australia
Name | Share Price | Market Cap | Financial Health Rating |
CTI Logistics (ASX:CLX) | A$1.63 | A$131.29M | ★★★★☆☆ |
EZZ Life Science Holdings (ASX:EZZ) | A$1.50 | A$70.76M | ★★★★★★ |
IVE Group (ASX:IGL) | A$2.46 | A$379.29M | ★★★★★☆ |
GTN (ASX:GTN) | A$0.60 | A$115.38M | ★★★★★★ |
West African Resources (ASX:WAF) | A$2.33 | A$2.66B | ★★★★★★ |
Bisalloy Steel Group (ASX:BIS) | A$3.45 | A$163.7M | ★★★★★★ |
Regal Partners (ASX:RPL) | A$1.835 | A$616.86M | ★★★★★★ |
Navigator Global Investments (ASX:NGI) | A$1.715 | A$840.49M | ★★★★★☆ |
NRW Holdings (ASX:NWH) | A$2.61 | A$1.19B | ★★★★★☆ |
LaserBond (ASX:LBL) | A$0.375 | A$44.12M | ★★★★★★ |
Click here to see the full list of 989 stocks from our ASX Penny Stocks screener.
Let's review some notable picks from our screened stocks.
Adairs
Simply Wall St Financial Health Rating: ★★★★☆☆
Overview: Adairs Limited is a specialty retailer offering home furnishings, furniture, and decoration products across Australia and New Zealand, with a market cap of A$406.51 million.
Operations: The company's revenue is derived from three segments: Focus, generating A$125.34 million; Mocka, contributing A$53.57 million; and Adairs, which accounts for A$423.56 million.
Market Cap: A$406.51M
Adairs Limited, with a market cap of A$406.51 million, shows mixed signals for penny stock investors. Recent earnings reported sales of A$310.51 million and net income of A$19.38 million, reflecting growth from the previous year despite a 6.7% annual decline over five years. The company's debt is well managed with operating cash flow covering it at 114.3%, but short-term assets do not cover liabilities, posing potential liquidity concerns. Adairs trades significantly below estimated fair value and offers dividends, though its track record is unstable; however, forecasted earnings growth appears promising at 15.97% annually.
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Click here to discover the nuances of Adairs with our detailed analytical financial health report.
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Review our growth performance report to gain insights into Adairs' future.
Jupiter Mines
Simply Wall St Financial Health Rating: ★★★★★★
Overview: Jupiter Mines Limited is an independent mining company based in Australia, with a market capitalization of A$294.16 million.
Operations: The company generates revenue from its manganese operations in South Africa, amounting to A$9.49 million.