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Bytes Technology Group Plc (GB:BYIT)
:BYIT
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Bytes Technology Group Plc (BYIT) AI Stock Analysis

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GB:BYIT

Bytes Technology Group Plc

(LSE:BYIT)

Rating:68Neutral
Price Target:
4.00p
â–Ľ(-98.89% Downside)
Bytes Technology Group's strong financial performance and positive corporate events are offset by bearish technical indicators. The stock's fair valuation and attractive dividend yield provide a balanced investment case. Strategic focus on growth and shareholder alignment enhances its potential, despite the current technical weaknesses.
Positive Factors
Cash Flow
Strong cash flow dynamics are expected to lend support to the company.
Financial Performance
The company reports 12% gross profits growth, with an improvement from 9% in the first half to approximately 15% in the second half.
Negative Factors
Growth Outlook
A disappointing AGM statement pointing to a collapse in growth is all the more difficult to absorb following the proximity of the upbeat messaging in May.
Investor Confidence
Confidence will take time to rebuild and until it does the shares are likely to trade below fair value.
Market Reaction
Investors will be slightly taken aback with the more cautious AGM statement now that flags flat yoy trends vs the May guidance for double-digit gross profits growth.

Bytes Technology Group Plc (BYIT) vs. iShares MSCI United Kingdom ETF (EWC)

Bytes Technology Group Plc Business Overview & Revenue Model

Company DescriptionBytes Technology Group Plc (BYIT) is a leading provider of IT software, hardware, and cloud services. Operating primarily in the United Kingdom and Ireland, the company specializes in delivering a wide range of technology solutions to businesses, including licensing, IT security, and digital transformation services. With a focus on helping organizations adopt and manage technology efficiently, Bytes Technology Group collaborates with numerous vendors to offer tailored solutions that meet the unique needs of its clients.
How the Company Makes MoneyBytes Technology Group Plc generates revenue through the sale of IT software, hardware, and related services. The company's primary revenue streams include licensing solutions, where it helps businesses acquire and manage software licenses from major vendors such as Microsoft, Adobe, and VMware. Additionally, Bytes earns revenue from IT security solutions, providing products and services that protect client data and infrastructure. The cloud services segment, which involves assisting clients in migrating to and managing cloud-based environments, also contributes significantly to the company's earnings. Strategic partnerships with leading technology vendors enable Bytes to offer a comprehensive portfolio of solutions and maintain competitive pricing, thus attracting a broad customer base across various industries.

Bytes Technology Group Plc Financial Statement Overview

Summary
Bytes Technology Group has shown strong financial performance with consistent revenue growth and high profitability margins. The company's minimal leverage risk and effective cash management further enhance its financial stability. Continued focus on maintaining profit margins and equity levels will be crucial.
Income Statement
85
Very Positive
Bytes Technology Group has demonstrated consistent revenue growth with a 4.88% increase in the latest year. The company maintains a strong gross profit margin of 75.2% and a robust net profit margin of 25.26%, indicating operational efficiency. Additionally, the EBIT margin of 30.6% and EBITDA margin of 35.72% reflect healthy profitability levels. Despite these strengths, monitoring the sustainability of profit margins amidst industry competition is crucial.
Balance Sheet
80
Positive
The company exhibits a solid equity base with a debt-to-equity ratio of 0.02, showcasing minimal leverage risk. The equity ratio stands at 21.54%, reflecting a balanced capital structure. Moreover, a return on equity of 55.94% highlights efficient use of shareholder funds to generate profits. However, maintaining or improving equity levels relative to total assets would enhance financial robustness.
Cash Flow
78
Positive
Bytes Technology Group has achieved a commendable free cash flow growth rate of 16.56%, driven by effective cash management. The operating cash flow to net income ratio of 1.37 indicates strong cash generation capability. The free cash flow to net income ratio of 1.18 further underlines effective conversion of profits into cash. Continued focus on sustaining cash flow growth will be beneficial.
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue217.13M207.02M184.42M145.84M393.57M
Gross Profit163.25M145.78M149.39M123.31M86.89M
EBITDA77.55M64.20M53.33M44.74M29.54M
Net Income54.84M46.85M40.42M32.85M19.93M
Balance Sheet
Total Assets455.23M379.72M320.77M283.57M189.55M
Cash, Cash Equivalents and Short-Term Investments113.08M88.84M73.02M67.12M20.73M
Total Debt1.94M1.74M992.00K1.18M1.38M
Total Liabilities357.19M301.38M259.27M236.00M172.81M
Stockholders Equity98.04M78.34M61.50M47.57M16.75M
Cash Flow
Free Cash Flow64.90M55.67M36.79M51.43M30.62M
Operating Cash Flow74.97M57.01M38.15M52.05M31.22M
Investing Cash Flow-10.07M-4.36M-1.36M-617.00K-17.28M
Financing Cash Flow-40.66M-36.83M-30.89M-5.05M-40.56M

Bytes Technology Group Plc Technical Analysis

Technical Analysis Sentiment
Negative
Last Price358.80
Price Trends
50DMA
417.93
Negative
100DMA
443.76
Negative
200DMA
433.18
Negative
Market Momentum
MACD
-13.20
Negative
RSI
43.69
Neutral
STOCH
79.13
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BYIT, the sentiment is Negative. The current price of 358.8 is above the 20-day moving average (MA) of 343.59, below the 50-day MA of 417.93, and below the 200-day MA of 433.18, indicating a neutral trend. The MACD of -13.20 indicates Negative momentum. The RSI at 43.69 is Neutral, neither overbought nor oversold. The STOCH value of 79.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:BYIT.

Bytes Technology Group Plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (57)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
ÂŁ219.98M20.00101.82%4.00%4.77%15.03%
78
Outperform
£661.60M228.352.71%―16.77%-64.34%
74
Outperform
£153.23M64.816.33%―25.72%290.00%
68
Neutral
ÂŁ870.78M15.7562.19%4.69%4.89%16.52%
68
Neutral
ÂŁ1.13B196.971.92%1.28%-5.70%-50.00%
65
Neutral
ÂŁ516.21M27.7517.90%4.31%1.42%-46.02%
57
Neutral
HK$14.02B9.49-2.83%4.86%9.29%-48.65%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:BYIT
Bytes Technology Group Plc
358.80
-98.60
-21.56%
GB:PAY
Paypoint
739.00
85.14
13.02%
GB:SPT
Spirent Communications
195.00
23.14
13.46%
GB:BOKU
BOKU
223.00
57.00
34.34%
GB:BKS
Beeks Financial Cloud Group Plc
227.50
22.50
10.98%
GB:FNX
Fonix Mobile PLC
222.00
-6.25
-2.74%

Bytes Technology Group Plc Corporate Events

Delistings and Listing Changes
Bytes Technology Group Seeks Block Listing for Employee Share Plan
Neutral
Jul 22, 2025

Bytes Technology Group Plc has applied for a block listing of 450,000 ordinary shares on the London Stock Exchange, expected to be admitted on 25 July 2025. These shares are reserved for the BTG Sharesave Plan, allowing employee options to be exercised, and will align with existing shares, potentially impacting employee engagement and share liquidity.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Business Operations and Strategy
Coronation Fund Managers Increases Stake in Bytes Technology Group
Neutral
Jul 18, 2025

Coronation Fund Managers, based in Cape Town, South Africa, has increased its voting rights in Bytes Technology Group Plc to 13.04% from a previous 12.11%. This acquisition of voting rights signifies a strengthened position for Coronation Fund Managers within the company, potentially impacting corporate governance and decision-making processes at Bytes Technology Group Plc.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £380.00 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Executive/Board Changes
Bytes Technology Group Director Joins Kainos Group
Neutral
Jul 17, 2025

Bytes Technology Group Plc announced that Shruthi Chindalur, a Non-Executive Director of the company, has been appointed to the same role at Kainos Group Plc, effective from 24 September 2025. This appointment includes joining several key committees at Kainos, potentially enhancing collaboration and strategic alignment between the two companies.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Bytes Technology Group Plc Sees Change in Major Holdings
Neutral
Jul 11, 2025

Bytes Technology Group Plc announced a change in major holdings as JPMorgan Asset Management Holdings Inc. adjusted its voting rights position in the company. The notification indicates JPMorgan’s voting rights have fallen below the minimum threshold, which could have implications for the company’s shareholder dynamics and influence in strategic decisions.

The most recent analyst rating on (GB:BYIT) stock is a Hold with a £500.00 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Business Operations and Strategy
Coronation Fund Managers Increases Stake in Bytes Technology Group
Neutral
Jul 9, 2025

Coronation Fund Managers, based in Cape Town, South Africa, has increased its voting rights in Bytes Technology Group Plc to 12.11% from a previous 10.14%. This acquisition of additional voting rights signifies a strengthened position for Coronation in the company, potentially impacting the strategic decisions and future direction of Bytes Technology Group Plc.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Shareholder MeetingsDividends
Bytes Technology Group Announces Dividend Currency Exchange Rates
Neutral
Jul 7, 2025

Bytes Technology Group Plc announced the currency exchange rates for dividends payable to shareholders on its South African register. The final and special dividends, approved at the recent Annual General Meeting, will be paid in ZAR, with applicable withholding tax, reflecting the company’s commitment to returning value to its shareholders.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Business Operations and Strategy
Coronation Fund Managers Increases Stake in Bytes Technology Group
Positive
Jul 4, 2025

Coronation Fund Managers, based in Cape Town, South Africa, has increased its voting rights in Bytes Technology Group Plc to 10.144398% as of July 3, 2025. This acquisition of voting rights signifies a strategic move by Coronation Fund Managers, potentially impacting Bytes Technology Group’s shareholder dynamics and reflecting confidence in the company’s market position.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Shareholder MeetingsDividendsBusiness Operations and Strategy
Bytes Technology Group Plc Secures Shareholder Approval for All AGM Resolutions
Positive
Jul 2, 2025

Bytes Technology Group Plc announced that all resolutions at its Annual General Meeting on July 2, 2025, were passed by the required majority. This includes the approval of the 2025 Annual Report, directors’ remuneration, dividends, re-election of directors, and other corporate governance matters, reflecting strong shareholder support and confidence in the company’s strategic direction.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Bytes Technology Group Navigates Macroeconomic Challenges with Strategic Sales Transition
Neutral
Jul 2, 2025

Bytes Technology Group plc reported that its trading in the early months of the year has been affected by a challenging macroeconomic environment, leading to deferred customer buying decisions, particularly in the corporate sector. The company has transitioned its corporate sales division to specialized, customer-segment-focused teams, which, despite a longer adjustment period, is expected to drive sustainable growth in the latter half of the financial year. The impact of changes to Microsoft enterprise incentives is more pronounced in the first half, but the company anticipates normalized growth in gross and operating profits in the second half. BTG continues to invest in its sales teams to drive growth and will update its full-year guidance in October.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £515.00 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Delistings and Listing ChangesBusiness Operations and Strategy
Bytes Technology Group Expands Share Listing on LSE
Positive
Jul 1, 2025

Bytes Technology Group Plc has applied for the admission of 21,772 ordinary shares to the Official List of the Financial Conduct Authority and trading on the premium segment of the London Stock Exchange’s main market. This move is to satisfy the exercise of options under the BTG Deferred Bonus Plan, and the shares will align with the company’s existing issued shares. This development indicates the company’s strategic financial maneuvers to accommodate employee incentives, potentially enhancing stakeholder value and market confidence.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Business Operations and Strategy
Bytes Technology Group Enhances Employee Ownership with New Sharesave Scheme
Positive
Jun 26, 2025

Bytes Technology Group Plc announced the grant of options over 489,323 ordinary shares under its Sharesave Scheme, aimed at promoting employee share ownership. The options, exercisable at £4.18 per share from August 2028, were granted to employees, including key managerial personnel, indicating a strategic move to align employee interests with company performance.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Delistings and Listing ChangesBusiness Operations and Strategy
Bytes Technology Group Seeks Block Listing for Employee Share Plan
Neutral
Jun 26, 2025

Bytes Technology Group plc has applied for a block listing of 325,000 ordinary shares on the London Stock Exchange, expected to be admitted on 1 July 2025. These shares are reserved under the BTG Performance Share Plan for employee options, aligning with the company’s strategy to incentivize its workforce and potentially impacting its market positioning and shareholder value.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Bytes Technology Executives Exercise Share Options
Neutral
Jun 25, 2025

Bytes Technology Group Plc announced that its CEO, Sam Mudd, and Director of Group Finance, Paul Emms, exercised options over a significant number of ordinary shares under the BTG Performance Share Plan. Both executives sold portions of these shares to cover the tax liabilities arising from the exercises. This transaction highlights the company’s ongoing executive compensation strategy and may impact shareholder perceptions and market dynamics.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Regulatory Filings and Compliance
Bytes Technology Group’s Director Exercises and Sells Share Options
Neutral
Jun 24, 2025

Bytes Technology Group Plc announced that Jack Watson, the Managing Director of Bytes Software Services Limited, exercised options over 46,460 ordinary shares and subsequently sold them. This transaction, conducted under the BTG Performance Share Plan, reflects the company’s adherence to regulatory requirements and could impact investor perceptions and market positioning.

The most recent analyst rating on (GB:BYIT) stock is a Hold with a £520.00 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Financial DisclosuresRegulatory Filings and Compliance
Bytes Technology CFO Exercises and Sells Share Options
Neutral
Jun 23, 2025

Bytes Technology Group Plc announced that its Chief Financial Officer, Andrew Holden, exercised options over a total of 107,015 ordinary shares under the company’s share plans. Following the exercise, Holden sold 50,664 shares to cover tax liabilities and exercise costs. This transaction reflects the company’s adherence to regulatory requirements and highlights the financial activities of its executive management, potentially impacting investor perceptions and market positioning.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Bytes Technology Group Grants Share Options to Executives
Positive
Jun 23, 2025

Bytes Technology Group Plc has announced the granting of Performance Share Plan (PSP) and Deferred Share Bonus Plan (DBP) options to its directors and persons discharging managerial responsibilities. These grants are part of the company’s 2020 incentive plans, designed to align management interests with shareholder returns and company performance. The PSP options are contingent on specific performance conditions related to earnings per share growth and total shareholder return over a three-year period, while the DBP options are tied to annual bonus deferrals without additional performance conditions. This move is expected to strengthen the company’s management incentives and potentially enhance its market positioning by aligning executive rewards with long-term company performance.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Shareholder MeetingsFinancial DisclosuresRegulatory Filings and Compliance
Bytes Technology Group Publishes 2025 Annual Report and Announces AGM Date
Neutral
May 28, 2025

Bytes Technology Group Plc has released its 2025 Annual Report and Accounts and announced the date for its Annual General Meeting (AGM), scheduled for 2 July 2025. Shareholders are encouraged to submit proxy forms and questions ahead of the meeting, with key dates outlined for trading eligibility. The documents are accessible online and will be submitted for inspection to the Financial Conduct Authority.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Shareholder MeetingsFinancial Disclosures
Bytes Technology Group Releases 2025 Annual Report and Announces AGM
Neutral
May 28, 2025

Bytes Technology Group Plc has published its 2025 Annual Report and Accounts following the release of its audited results for the year ending 28 February 2025. The company also announced that its Annual General Meeting will be held on 2 July 2025. Shareholders are encouraged to participate by submitting proxy forms and questions ahead of the meeting. The documents are available on the company’s website and will be submitted to the Financial Conduct Authority for inspection. This announcement underscores the company’s commitment to transparency and shareholder engagement.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Coronation Fund Managers Reduces Stake in Bytes Technology Group Plc
Neutral
May 22, 2025

Coronation Fund Managers, based in Cape Town, South Africa, has reduced its voting rights in Bytes Technology Group Plc from 10.986858% to 9.911191% as of May 20, 2025. This change in holdings may impact the company’s shareholder dynamics, reflecting a shift in investment strategy by a significant stakeholder.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Bytes Technology Group Reports Strong Financial Growth Amid Expanding Market Presence
Positive
May 13, 2025

Bytes Technology Group Plc reported strong financial results for the year ending February 2025, with a 15.2% increase in gross invoiced income and a 17.1% rise in operating profit, driven by robust demand for its software and IT services. The company continues to expand its market presence by investing in personnel and infrastructure, securing vendor accreditations, and enhancing its technical capabilities, positioning itself for continued growth in cloud, security, and AI sectors.

The most recent analyst rating on (GB:BYIT) stock is a Buy with a £6.10 price target. To see the full list of analyst forecasts on Bytes Technology Group Plc stock, see the GB:BYIT Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 08, 2025