OFX Group Ltd (OFX)
Hi Team, I apologise for the late message. I just saw that OFX, a stock I have traded in the past, is currently at an all-time low. I would appreciate your thoughts on OFX. Thank you! Michael
The Latest Q&A
Answer
Hi Michael,
Excuse the brief replay but as you mentioned the question came through after the Midday cut-off.
It’s never a good sign to see a stock making new lows when the markets trading around its all-time high. In May OFX missed earnings expectations with revenue down to $221.9mn from $229.7mn a year earlier – the stock plunged ~35% on the news. Not surprisingly a plethora of downgrades have followed and the stock has drifted lower, no “V-shaped” bounce here.
Following last month’s disappointing update and with consensus estimates looking for both lower revenue and earnings in FY26 it’s hard to get excited toward the foreign-exchange provider.
- We see no catalyst to buy OFX at the moment given the competitive pressures they are facing.
