This report is an updated version of the report published on 27 January 2026 at 11:05 am AEDT.

Austin Engineering Limited (ASX: ANG)

Austin Engineering Limited is an Australia-based global engineering company. ANG is engaged in designing and manufacturing of loading and hauling solutions, including off-highway dump truck bodies, buckets, water tanks and related attachments, supporting both open-cut and underground operations.

Recommendation Rationale – SELL at AUD 0.270

• Technical Standpoint: ANG’s share price has surpassed the R2 recommended on 14 November 2025. The 14-day RSI is now around 66.11, approaching overbought territory. This upward move raises the risk of short-term consolidation or downside retracement.
• EBITDA Contraction: EBITDA declined by 4.2% YoY to AUD 41.7 million in FY25 from AUD 43.5 million in FY24, reflecting softer operating performance.
• Order Book Decline: The order book decreased by 21.3% YoY to AUD 146.9 million in FY25, down from AUD 186.7 million in FY24.
• FY26 Guidance Downgrade: FY26 revenue guidance has been revised down to AUD 370–380 million from AUD 390–410 million previously. In addition, FY26 underlying EBIT guidance from continuing operations has been reduced to AUD 30–34 million, down from AUD 40–46 million, reflecting a weaker earnings outlook.
• Business Risk: ANG continues to face challenges including a declining order book, commodity market volatility, and exposure to geopolitical and tariff risks. Operational inefficiencies and capacity constraints have pressured profit margins, prompting production realignments and process enhancements.

ANG Daily Chart

Valuation Methodology: Price/Earnings Approach (FY Jun'26E) (Illustrative)

Stock might trade at a slight discount to its peers, considering the downgrade of revenues and underlying EBIT guidance for FY26, EBITDA margin decline in FY25, decreased operating cash flow, significant operational disruption at its mine site, and other factors, etc. For conducting the valuation, peers Lindsay Australia Ltd (ASX: LAU), Emeco Holdings Ltd (ASX: EHL), and Bhagwan Marine Ltd (ASX: BWN) have been considered.

Considering that the stock has crossed its R2 level, macroeconomic uncertainty, rally in share price movement, current trading level, and risks associated, the share price can face consolidation at the current levels. Hence, a ‘Sell’ recommendation is given on the stock at the current price of AUD 0.270, as of 27 January 2026, at 10:35 AM AEDT.   

Markets are trading in a highly volatile zone currently due to certain macro-economic issues and geopolitical issues prevailing geopolitical tensions. Therefore, it is prudent to follow a cautious approach while investing.

Note 1: Past performance is neither an indicator nor a guarantee of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is 27 January 2026. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: Kalkine reports are prepared based on the stock prices captured either from REFINITIV or Trading View. Typically, REFINITIV or Trading View may reflect stock prices with a delay which could be a lag of 25-30 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.

Note 5: Dividend Yield may vary as per the stock price movement.

sTechnical Indicators Defined: -

Support: A level at which the stock prices tend to find support if they are falling, and downtrend may take a pause backed by demand or buying interest.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and uptrend may take a pause due to profit booking or selling interest.

Stop-loss: In general, it is a level to protect further losses in case of any unfavourable movement in the stock prices