ReadyTech Holdings (ASX:RDY) EV-to-FCF: -291.12 (As of Aug. 29, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

ASX:RDY ReadyTech Holdings Ltd ASX:RDY
80 GF Score
Price A$1.54
GF Value A$3.38
Valuation Possible Value Trap
! 6 Warning Signs
View Full Analysis

What is ReadyTech Holdings EV-to-FCF?

ReadyTech Holdings ASX:RDY +8.83% 80 EV-to-FCF is -291.12 as of Aug. 29, 2026. GuruFocus rates ASX:RDY with a GF Score™ of 80/100 and a GF Value™ of A$3.38 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,595 Software companies, ReadyTech Holdings ranks worse than 62695.86% on this metric.

EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, ReadyTech Holdings's Enterprise Value is A$236.7 Mil. ReadyTech Holdings's Free Cash Flow for the trailing twelve months (TTM) ended in Dec. 2025 was A$-0.8 Mil. Therefore, ReadyTech Holdings's EV-to-FCF for today is -291.12.

The historical rank and industry rank for ReadyTech Holdings's EV-to-FCF or its related term are showing as below:

ASX:RDY' s EV-to-FCF Range Over the Past 10 Years
Min: -297.96   Med: 28.91   Max: 103.15
Current: -297.96

During the past 7 years, the highest EV-to-FCF of ReadyTech Holdings was 103.15. The lowest was -297.96. And the median was 28.91.

ASX:RDY's EV-to-FCF is ranked worse than
100% of 1595 companies
in the Software industry
Industry Median: 15.87 vs ASX:RDY: -297.96

EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

As of today (2026-08-29), ReadyTech Holdings's stock price is A$1.54. ReadyTech Holdings's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2025 was A$0.011. Therefore, ReadyTech Holdings's PE Ratio (TTM) for today is 140.00.


ReadyTech Holdings  (ASX:RDY) EV-to-FCF Explanation

EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

ReadyTech Holdings's PE Ratio (TTM) for today is calculated as:

PE Ratio (TTM)=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=1.54/0.011
=140.00

ReadyTech Holdings's share price for today is A$1.54.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. ReadyTech Holdings's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2025 was A$0.011.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.


ReadyTech Holdings EV-to-FCF Related Terms


ReadyTech Holdings EV-to-FCF Historical Data

* Premium members only.

The historical data trend for ReadyTech Holdings's EV-to-FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

ReadyTech Holdings EV-to-FCF Chart

ReadyTech Holdings Annual Data
Trend Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
EV-to-FCF
Get a 7-Day Free Trial 19.96 81.95 54.31 31.28 80.72

ReadyTech Holdings Semi-Annual Data
Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
EV-to-FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 31.28 0.00 80.72 0.00

ASX:RDY vs QH, SHOP, UBER: EV-to-FCF Comparison

For the Software - Application subindustry, ReadyTech Holdings's EV-to-FCF, along with its competitors' market caps and EV-to-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


ReadyTech Holdings EV-to-FCF vs Software Industry

For the Software industry and Technology sector, ReadyTech Holdings's EV-to-FCF distribution charts can be found below:

* The bar in red indicates where ReadyTech Holdings's EV-to-FCF falls into.


ASX:RDY
80GF Score
ReadyTech Holdings Ltd ASX:RDY
EV-to-FCF is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

ReadyTech Holdings EV-to-FCF Calculation

ReadyTech Holdings's EV-to-FCF for today is calculated as:

EV-to-FCF=Enterprise Value (Today)/Free Cash Flow (TTM)
=236.681/-0.813
=-291.12

ReadyTech Holdings's current Enterprise Value is A$236.7 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. ReadyTech Holdings's Free Cash Flow for the trailing twelve months (TTM) ended in Dec. 2025 was A$-0.8 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EV-to-FCF →
What does a EV-to-FCF of -291.12 mean?
ReadyTech Holdings (ASX:RDY) has a EV-to-FCF of -291.12 as of Aug. 29, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on ReadyTech Holdings and its competitors. According to the industry distribution chart, ReadyTech Holdings ranks #999999 out of 1595 companies in the Software industry.
Is ReadyTech Holdings' EV-to-FCF too high?
ReadyTech Holdings' current EV-to-FCF is -291.12. Based on the distribution chart, ReadyTech Holdings ranks #999999 out of 1595 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, ReadyTech Holdings has a GF Score™ of 80/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does ReadyTech Holdings' EV-to-FCF compare to QH and SHOP?
According to the Software industry distribution chart, ReadyTech Holdings ranks #999999 out of 1595 companies for EV-to-FCF. This places ReadyTech Holdings in the lower half of its industry. The industry median EV-to-FCF is 15.87. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a Software company?
The median EV-to-FCF among Software companies is 15.87, based on 1,595 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on ReadyTech Holdings and its competitors. For the Software industry, the median EV-to-FCF is 15.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ReadyTech Holdings's current EV-to-FCF is -291.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ReadyTech Holdings stock overvalued right now?
Based on GuruFocus' analysis, ReadyTech Holdings (ASX:RDY) is currently considered Possible Value Trap. The stock's GF Value™ is A$3.38, compared to a current price of A$1.54 — trading 54.4% below its estimated fair value. The current EV-to-FCF is -291.12. ReadyTech Holdings' overall GF Score™ is 80/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For ReadyTech Holdings (ASX:RDY), the current EV-to-FCF is -291.12 as of Aug. 29, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is ReadyTech Holdings (ASX:RDY) Overvalued in 2026?

Based on GuruFocus' analysis, ReadyTech Holdings stock appears to be undervalued. The current stock price of A$1.54 is trading 54.4% below its estimated GF Value™ of A$3.38. GuruFocus considers ReadyTech Holdings to be Possible Value Trap.

Key valuation signals for ASX:RDY:

  • EV-to-FCF: -291.12
  • GF Value™: A$3.38 vs. price of A$1.54 (54.4% below fair value)
  • GF Score™: 80/100 with 6 warning signs

No single metric tells the full story. See the ASX:RDY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


ReadyTech Holdings Business Description

Address 77 King Street, Level 2, Sydney, NSW, AUS, 2000
ReadyTech Holdings Ltd is a provider of people management software for educators, employers, and facilitators of career transitions. Its products are JR Plus, A2E, HR3, ePayroll, JR Gov, Aussiepay, and others. The company's operating segments include Education and Work pathways, Workforce Solutions, and Government and Justice. It generates maximum revenue from the Government and Justice. The education segment mainly provides products and services to tertiary education providers. Its Workforce segment provides products and services to a mid-sized company across various industries. The Government division provides government and justice case management software as a service solution to local governments, state governments, and justice departments.
80GF Score

Get the complete analysis for ASX:RDY

EV-to-FCF is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$1.54
Price
A$3.38
GF Value