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Redcentric PLC (GB:RCN)
LSE:RCN
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Redcentric (RCN) Price & Analysis

5 Followers

RCN Stock Chart & Stats

120.00 p
-1.93 p(-1.50%)
At close: 4:00 PM EST
120.00 p
-1.93 p(-1.50%)

Bulls Say, Bears Say

Bulls Say
Recurring Revenue ModelRedcentric's core revenue streams are subscription-style managed services, connectivity and managed security sold under multi-month/ multi-year contracts. This creates durable revenue visibility, customer stickiness and predictable cash inflows that support budgeting, retention and investment over the next several quarters.
Improving Cash GenerationA 14.4% increase in free cash flow and a strong 67.53% free-cash-flow-to-net-income ratio indicate strengthening cash conversion. Sustained FCF growth enhances ability to pay down debt, fund strategic initiatives, or support operations without dilutive financing, improving resilience over the medium term.
Strategic Refocus Via Asset SaleDivesting the Data Centre business and refocusing on managed services simplifies the business, can lower capital intensity and concentrate management on higher recurring-margin offerings. This structural shift should improve operational focus and financial stability if execution sustains service contract retention and margin recovery.
Bears Say
Sharp Revenue DeclineA material top-line contraction (c. -31% and a recent year decline of 19.53%) erodes scale and operating leverage. Persistent revenue weakness pressures renewal economics, limits pricing power and makes it harder to cover fixed costs, requiring successful restructuring or sales recovery to restore sustainable growth.
Low Net ProfitabilityA net margin of just 2.58% leaves limited cushion for reinvestment, margin shocks or competitive pricing. Low profitability constrains capacity to fund growth initiatives, reduces returns on capital and makes achieving durable improvement reliant on meaningful margin expansion or structural cost reduction over coming quarters.
Still-elevated LeverageAlthough leverage has improved, a 0.85 debt-to-equity ratio is still elevated for a services provider. Ongoing debt burden can limit strategic flexibility, increase interest and covenant risk, and constrain M&A or capex unless sustained cash generation is maintained and deleveraging continues over the medium term.

Redcentric News

RCN FAQ

What was Redcentric PLC’s price range in the past 12 months?
Redcentric PLC lowest share price was 110.00 p and its highest was 149.00 p in the past 12 months.
    What is Redcentric PLC’s market cap?
    Redcentric PLC’s market cap is £191.18M.
      When is Redcentric PLC’s upcoming earnings report date?
      Redcentric PLC’s upcoming earnings report date is Jun 30, 2026 which is in 63 days.
        How were Redcentric PLC’s earnings last quarter?
        Redcentric PLC released its earnings results on Dec 10, 2025. The company reported 0.029 p earnings per share for the quarter, beating the consensus estimate of N/A by 0.029 p.
          Is Redcentric PLC overvalued?
          According to Wall Street analysts Redcentric PLC’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does Redcentric PLC pay dividends?
            Redcentric PLC pays a Quarterly dividend of 1.2 p which represents an annual dividend yield of 3.01%. See more information on Redcentric PLC dividends here
              What is Redcentric PLC’s EPS estimate?
              Redcentric PLC’s EPS estimate is 0.01.
                How many shares outstanding does Redcentric PLC have?
                Redcentric PLC has 159,320,470 shares outstanding.
                  What happened to Redcentric PLC’s price movement after its last earnings report?
                  Redcentric PLC reported an EPS of 0.029 p in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -3.15%.
                    Which hedge fund is a major shareholder of Redcentric PLC?
                    Currently, no hedge funds are holding shares in GB:RCN
                    What is the TipRanks Smart Score and how is it calculated?
                    Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                      Redcentric Stock Smart Score

                      3
                      Underperform
                      1
                      2
                      3
                      4
                      5
                      6
                      7
                      8
                      9
                      10

                      Technicals

                      SMA
                      Positive
                      20 days / 200 days
                      Momentum
                      11.29%
                      12-Months-Change

                      Fundamentals

                      Return on Equity
                      4.57%
                      Trailing 12-Months
                      Asset Growth
                      -0.57%
                      Trailing 12-Months

                      Company Description

                      Redcentric PLC

                      Redcentric plc provides IT managed services for public and private sector in the United Kingdom. It offers network services, including connectivity, software-defined wide area network (WAN), local area network, managed WAN, secure remote access, and managed wireless network services; and cloud services consisting of cloud consultancy and migration, infrastructure as a service, hybrid cloud, colocation, data backup, managed Microsoft 365, disaster recovery, platform as a service, and virtual desktop services. The company also provides communication services, such as IP telephony, unified communications, collaboration, SIP trunks, call management and reporting, and call recording services; and IT security services, including network security, application security, access management, security information and event management, endpoint management, distributed denial of service mitigation, vulnerability scanning and management, and security monitoring and analytics services. In addition, it offers professional services, such as IT consulting, application modernization, implementation, supply chain management, and support and maintenance services. The company was founded in 1997 and is headquartered in Harrogate, the United Kingdom.

                      Redcentric (RCN) Earnings & Revenues

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