The Discounted Cash Flow (DCF) valuation of Brainchip Holdings Ltd (BRN.AX) is (0.74) AUD. With the latest stock price at 0.23 AUD, the upside of Brainchip Holdings Ltd based on DCF is -423%.

Is BRN.AX a buy or a sell?

Based on the latest price of 0.23 AUD and our DCF valuation, Brainchip Holdings Ltd (BRN.AX) is a sell. Selling BRN.AX stocks now will result in a potential gain of 423%.

Note: valuation result may not be accurate due to the company's negative earnings.

	Range	Selected
WACC / Discount Rate	7.9% - 11.1%	9.5%
Long-term Growth Rate	3.0% - 5.0%	4.0%
Fair Price	(1.40) - (0.51)	(0.74)
Upside	-709.0% - -321.1%	-423.0%

0.23 AUD

Stock Price

(0.74) AUD

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

BRN.AX DCF Valuation: Revenue & Expenses Forecast

(USD in millions)		Projections

	12-2024	12-2025	12-2026	12-2027	12-2028	12-2029

Revenue	0	0	1	1	1	1
% Growth	72%	5%	41%	42%	29%	28%

Cost of goods sold	(1)	(1)	(1)	(1)	(1)	(1)
% of Revenue	134%	127%	121%	115%	109%	104%

Selling, G&A expenses	(15)	(16)	(22)	(31)	(40)	(52)
% of Revenue	3726%	3726%	3726%	3726%	3726%	3726%

Research & Development	(7)	(8)	(11)	(15)	(20)	(26)
% of Revenue	1831%	1831%	1831%	1831%	1831%	1831%

Net interest & other expenses	(2)	(2)	(3)	(4)	(6)	(7)
% of Revenue	530%	530%	530%	530%	530%	530%

Tax expense	(0)	0	0	0	0	0
Tax rate	0%	0%	0%	0%	0%	0%

Net profit	(24)	(26)	(36)	(51)	(66)	(85)
% Margin	-6138%	-2560%	-3602%	-5093%	-6079%	-6074%