This report is an updated version of the report published on 4 February 2026 at 11:30 AM AEDT.

Pinnacle Investment Management Group Limited (ASX: PNI)

Pinnacle Investment Management Group Limited is an Australia-based multi-affiliate investment management company. Besides holding equity interests in these affiliates, Pinnacle provides seed funding, global institutional and retail distribution, and business support services including industrial grade middle office and infrastructure. The company's affiliates offer a variety of investment products across multiple asset classes, such as managed funds, actively managed exchange-traded funds (ETFs), listed investment companies/trusts, and collective investment trusts. 

Recommendation Rationale – SELL at AUD 18.62

• Technical Standpoint: PNI’s share price has surpassed the R1 recommended on 29 January 2026. The 14-day RSI is now around 63.54. This upward move raises the risk of short-term consolidation or downside retracement.
• NPAT Contraction: NPAT attributable to shareholders declined 11% YoY to AUD 67.3 million in H1 FY26 from AUD 75.7 million in H1 FY25.
• Performance Fee Weakness: Post-tax performance fees contributed AUD 13.4 million to NPAT in H1 FY26, down from AUD 36.4 million in H1 FY25, reflecting lower contributions from fewer Pinnacle Affiliates.
• Business Risk: Recent variability in affiliate investment outcomes highlights the risk that weaker market conditions or underperformance may suppress performance fee generation, reduce investor confidence, and constrain fund inflows, revenue growth, and profitability.
• Overvalued Multiples: On a forward 12-month – key valuation multiples (EV/Sales, EV/EBITDA, Price/Earnings, and Price/Book) are higher than average of the Financials’ sector. 

PNI Daily Chart

Daily Technical Chart, Data Source: REFINITV

Valuation Methodology: Price/Cash Flow Value Approach (FY Jun'26E) (Illustrative)

The stock might trade at a slight premium to peers, given affiliate FUM increased 13% in H1 FY26, supported by net inflows and market movements, alongside a turnaround in operating cash flows to inflow of AUD 83.1 million in H1 FY26 from an outflow of AUD 153.3 million in H1 FY25, etc.. For conducting the valuation, peers such as Netwealth Group Ltd (ASX: NWL), Hub24 Ltd (ASX: HUB), Magellan Financial Group Ltd (ASX: MFG), and others have been considered.

Considering that the stock has crossed its R1 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 market price of AUD 18.620, as of 4 February 2026, at 10:25 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 4 February 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.

Technical 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