In the last week, the Australian market has stayed flat, but it is up 6.6% over the past year with earnings forecast to grow by 11% annually. For investors willing to explore beyond well-known names, penny stocks—often representing smaller or newer companies—can present intriguing opportunities. Though the term 'penny stock' might seem outdated, these stocks can still offer significant potential when backed by strong financials and balance sheet resilience.
Top 10 Penny Stocks In Australia
| Name | Share Price | Market Cap | Rewards & Risks |
| Alfabs Australia (ASX:AAL) | A$0.37 | A$106.04M | ✅ 3 ⚠️ 3 View Analysis > |
| EZZ Life Science Holdings (ASX:EZZ) | A$2.20 | A$103.78M | ✅ 4 ⚠️ 3 View Analysis > |
| GTN (ASX:GTN) | A$0.62 | A$118.21M | ✅ 3 ⚠️ 2 View Analysis > |
| IVE Group (ASX:IGL) | A$2.89 | A$445.59M | ✅ 4 ⚠️ 2 View Analysis > |
| West African Resources (ASX:WAF) | A$2.26 | A$2.58B | ✅ 5 ⚠️ 1 View Analysis > |
| Southern Cross Electrical Engineering (ASX:SXE) | A$1.73 | A$457.43M | ✅ 4 ⚠️ 1 View Analysis > |
| Regal Partners (ASX:RPL) | A$2.63 | A$884.27M | ✅ 4 ⚠️ 2 View Analysis > |
| Sugar Terminals (NSX:SUG) | A$0.99 | A$360M | ✅ 2 ⚠️ 2 View Analysis > |
| Navigator Global Investments (ASX:NGI) | A$1.66 | A$813.53M | ✅ 5 ⚠️ 3 View Analysis > |
| CTI Logistics (ASX:CLX) | A$1.835 | A$147.8M | ✅ 4 ⚠️ 2 View Analysis > |
Click here to see the full list of 462 stocks from our ASX Penny Stocks screener.
Here's a peek at a few of the choices from the screener.
Kinatico (ASX:KYP)
Simply Wall St Financial Health Rating: ★★★★★★
Overview: Kinatico Ltd offers screening, verification, and SaaS-based workforce management and compliance technology systems in Australia and New Zealand, with a market cap of A$95.06 million.
Operations: The company generates revenue of A$30.35 million from providing screening and verification checks.
Market Cap: A$95.06M
Kinatico Ltd, with a market cap of A$95.06 million, has shown resilience in the penny stock arena by generating A$30.35 million in revenue through its screening and verification services. Despite a low return on equity of 3.2%, the company remains debt-free and has not diluted shareholders recently. While profit margins have decreased to 2.8% from last year's 5.5%, Kinatico's earnings have grown significantly over five years by 44.4% annually, indicating strong past performance despite recent setbacks in profit growth and industry comparisons. Analysts agree that the stock price could potentially rise by around 30%.
- Click here and access our complete financial health analysis report to understand the dynamics of Kinatico.
- Understand Kinatico's earnings outlook by examining our growth report.
OM Holdings (ASX:OMH)
Simply Wall St Financial Health Rating: ★★★★★☆
Overview: OM Holdings Limited is an investment holding company involved in the mining, smelting, trading, and marketing of manganese ores and ferroalloys globally, with a market cap of A$240.76 million.
Operations: The company's revenue is primarily derived from its Smelting segment, which generated $528.01 million, and its Marketing and Trading segment, contributing $675.00 million.
Market Cap: A$240.76M
OM Holdings Limited, with a market cap of A$240.76 million, is a penny stock in the mining sector with significant revenue streams from its Smelting and Marketing segments, generating A$528.01 million and A$675.00 million respectively. Despite declining earnings by 0.5% annually over five years, OM Holdings maintains satisfactory debt levels with net debt to equity at 36.1% and short-term assets exceeding liabilities. Recent sales of ferrosilicon and manganese alloys underscore operational activity; however, low profit margins at 1.4% compared to last year's 3.1%, coupled with negative earnings growth over the past year, highlight ongoing challenges in profitability and industry performance comparisons.
- Click here to discover the nuances of OM Holdings with our detailed analytical financial health report.
- Explore OM Holdings' analyst forecasts in our growth report.
SHAPE Australia (ASX:SHA)
Simply Wall St Financial Health Rating: ★★★★★★
Overview: SHAPE Australia Corporation Limited, listed under ticker ASX:SHA, operates in the construction, fitout, and refurbishment of commercial properties across Australia with a market cap of A$358.26 million.
Operations: SHAPE Australia's revenue is primarily derived from its Heavy Construction segment, which generated A$902.63 million.
Market Cap: A$358.26M
SHAPE Australia, with a market cap of A$358.26 million, has demonstrated robust earnings growth, increasing by 34.9% over the past year and surpassing its five-year average of 9.3% per annum. The company is debt-free and boasts an outstanding return on equity at 54.2%. Its short-term assets comfortably cover both short- and long-term liabilities, indicating sound financial health. Despite an unstable dividend track record, SHAPE Australia's profit margins have improved to 2%, up from last year's 1.6%. The board's experience supports strategic decision-making with an average tenure of 3.7 years.
- Click to explore a detailed breakdown of our findings in SHAPE Australia's financial health report.
- Assess SHAPE Australia's future earnings estimates with our detailed growth reports.
Next Steps
- Investigate our full lineup of 462 ASX Penny Stocks right here.
- Seeking Other Investments? Trump's oil boom is here — pipelines are primed to profit. Discover the 22 US stocks riding the wave.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Valuation is complex, but we're here to simplify it.
Discover if OM Holdings might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
Access Free AnalysisHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com