3 ASX Penny Stocks With Market Caps Under A$400M

The Australian market is poised for a quiet end to the week, with futures indicating a slight decline of around 0.5%, following a turbulent period influenced by high job cuts in the US and ongoing concerns about AI valuations. Despite these broader market challenges, investors often seek opportunities in lesser-known areas like penny stocks, which can offer affordability and potential growth. Although the term “penny stocks” might seem outdated, it still holds significance as these smaller or newer companies can present unique investment opportunities when backed by strong financial health.

Name

Share Price

Market Cap

Financial Health Rating

Alfabs Australia (ASX:AAL)

A$0.475

A$136.13M

★★★★★☆

EZZ Life Science Holdings (ASX:EZZ)

A$2.42

A$114.16M

★★★★★★

Dusk Group (ASX:DSK)

A$0.88

A$54.8M

★★★★★★

IVE Group (ASX:IGL)

A$2.92

A$448.77M

★★★★★☆

MotorCycle Holdings (ASX:MTO)

A$3.69

A$272.35M

★★★★★★

West African Resources (ASX:WAF)

A$3.04

A$3.47B

★★★★★★

Service Stream (ASX:SSM)

A$2.14

A$1.31B

★★★★★★

Fleetwood (ASX:FWD)

A$2.77

A$256.45M

★★★★★★

Perenti (ASX:PRN)

A$2.57

A$2.42B

★★★★★★

GWA Group (ASX:GWA)

A$2.38

A$625.38M

★★★★★☆

Click here to see the full list of 416 stocks from our ASX Penny Stocks screener.

Here we highlight a subset of our preferred stocks from the screener.

Simply Wall St Financial Health Rating: ★★★★★★

Overview: EZZ Life Science Holdings Limited is involved in the formulation, production, marketing, and sale of health and wellbeing products across Australia, New Zealand, Mainland China, and South-East Asia with a market cap of A$114.16 million.

Operations: The company’s revenue is primarily derived from its Company Owned segment, which generated A$63.21 million, and the Brought in Lines segment, contributing A$3.66 million.

Market Cap: A$114.16M

EZZ Life Science Holdings has demonstrated financial resilience with A$66.87 million in sales for the year ending June 2025, maintaining steady revenue growth despite a slight decline in net income to A$6.73 million. The company boasts strong liquidity, with short-term assets of A$33 million comfortably covering both short and long-term liabilities. EZZ’s debt-free status enhances its financial stability, while its high Return on Equity at 24% indicates efficient management of shareholder funds. However, recent removal from the S&P/ASX Emerging Companies Index may signal challenges ahead amidst negative earnings growth over the past year compared to industry averages.

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