finnCap Group plc (CAV) AI Stock Analysis

• Market Cap: £37.62M
• Dividend Yield: 7.96%
• Average Volume (3M): 509.31K
• Price to Earnings (P/E): 23.4
• Beta (1Y): 0.91
• Revenue Growth: -9.55%
• EPS Growth: N/A
• Country: UK
• Employees: 197
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): <0.01
• Shares Outstanding: 387,125,100
• 10 Day Avg. Volume: 491,393
• 30 Day Avg. Volume: 509,310
• PEG Ratio: -0.36
• Price to Book (P/B): 0.80
• Price to Sales (P/S): 0.58
• P/FCF Ratio: 4.77
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: 11.00p ▲(7.32% Upside)

The overall stock score of 60 reflects a mixed financial performance with signs of recovery and improved cash flow. The technical analysis indicates potential overbought conditions, while the valuation suggests an attractive dividend yield despite a high P/E ratio. The lack of earnings call and corporate events data limits further insights.

Positive Factors

Improved Leverage Management

Better leverage management enhances financial stability, reducing risk and increasing the firm's ability to invest in growth opportunities.

Positive Free Cash Flow

Positive free cash flow indicates strong cash generation, providing the company with flexibility to reinvest in its business and manage debt.

Return to Profitability

Returning to profitability reflects improved operational performance and can enhance investor confidence, supporting long-term growth.

Negative Factors

Declining Revenue Growth

Inconsistent revenue growth can hinder long-term planning and investment, potentially affecting the company's market position and competitiveness.

Decreased Gross Profit Margins

Decreasing gross profit margins suggest cost pressures, which can impact profitability and limit the company's ability to invest in growth initiatives.

Low Operational Efficiency

Low operational efficiency indicates potential challenges in cost management, which can affect profitability and competitive positioning over time.

finnCap Group plc Business Overview & Revenue Model

Company Description

finnCap Group plc (CAV) is a UK-based investment banking and advisory firm specializing in providing a range of financial services to small and mid-sized companies. The firm operates primarily in the sectors of corporate finance, equity research, and stockbroking, offering services such as mergers and acquisitions advisory, capital raising, and strategic consulting. With a focus on delivering tailored solutions, finnCap serves a diverse clientele across various industries, helping businesses to navigate complex financial landscapes.

How the Company Makes Money

finnCap Group plc generates revenue through multiple streams, primarily from advisory fees, brokerage commissions, and equity underwriting. The company's advisory services, including mergers and acquisitions, generate income through success fees and retainer arrangements. Additionally, the firm earns commissions from trading activities and stockbroking services, which include facilitating the buying and selling of securities for clients. Equity underwriting contributes to revenue by providing capital raising services for companies looking to go public or raise funds through public offerings. Significant partnerships with institutional investors and corporate clients further enhance its earning potential, allowing the firm to expand its service offerings and reach within the market.

finnCap Group plc Financial Statement Overview

Summary

finnCap Group plc has shown signs of recovery with improved profitability and cash flow metrics. While revenue growth has been inconsistent, the company has managed to enhance its financial stability by reducing leverage and generating positive free cash flow. Continued focus on operational efficiency and revenue growth will be crucial for sustained financial health.

Income Statement

The company has shown fluctuating revenue growth with a recent decline of 9.88% in the latest year. Gross profit margins have decreased over time, indicating potential cost pressures. However, the company has returned to profitability with a positive net profit margin of 1.37% after a negative margin in the previous year. EBIT and EBITDA margins have improved but remain low, suggesting limited operational efficiency.

Balance Sheet

The debt-to-equity ratio has improved to 0.24, indicating better leverage management. Return on equity has turned positive, reflecting improved profitability. The equity ratio remains stable, suggesting a solid capital structure. However, the company should continue to monitor its debt levels to maintain financial stability.

Cash Flow

Free cash flow growth is positive at 5.77%, indicating improved cash generation. The operating cash flow to net income ratio is low, suggesting potential challenges in converting earnings into cash. However, the free cash flow to net income ratio is strong, highlighting effective cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	56.74M	55.65M	48.09M	32.86M	52.55M	46.63M
Gross Profit	-2.52M	24.91M	17.91M	13.51M	25.01M	46.63M
EBITDA	3.75M	3.05M	-1.83M	-40.00K	10.50M	11.98M
Net Income	1.45M	765.00K	-3.55M	-5.52M	6.51M	7.03M
Balance Sheet
Total Assets	88.40M	77.25M	78.30M	51.96M	66.62M	58.79M
Cash, Cash Equivalents and Short-Term Investments	24.65M	25.41M	24.93M	9.63M	25.28M	20.43M
Total Debt	6.66M	9.55M	12.29M	13.26M	14.23M	15.32M
Total Liabilities	49.24M	37.41M	38.68M	25.99M	33.55M	30.49M
Stockholders Equity	39.16M	39.84M	39.62M	25.97M	33.06M	28.30M
Cash Flow
Free Cash Flow	10.12M	6.71M	1.38M	-11.11M	7.90M	15.16M
Operating Cash Flow	10.17M	6.92M	1.66M	-10.34M	8.53M	17.21M
Investing Cash Flow	-328.00K	293.00K	11.59M	-1.92M	879.00K	-2.02M
Financing Cash Flow	-6.68M	-6.73M	-1.89M	-3.39M	-4.47M	52.00K

finnCap Group plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.25
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CAV, the sentiment is Positive. The current price of 10.25 is above the 20-day moving average (MA) of 9.63, above the 50-day MA of 9.95, and below the 200-day MA of 10.27, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 61.95 is Neutral, neither overbought nor oversold. The STOCH value of 74.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CAV.

finnCap Group plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FKE	74 Outperform	£8.27M	6.13	12.70%	2.64%	6.86%	64.55%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CAV	60 Neutral	£37.62M	23.37	3.69%	7.96%	-9.55%	―
PEEL	58 Neutral	£117.25M	23.88	4.84%	―	15.42%	―
MAC	51 Neutral	£2.09M	-5.47	-10.57%	―	-57.15%	-77.78%
WHI	42 Neutral	£8.97M	―	―	―	―	―

finnCap Group plc Corporate Events

Cavendish plc Reports Strong Interim Results and Expands Market Reach

Cavendish plc reported its unaudited interim results for the first half of 2026, showing a slight increase in revenue to £28.5 million and an improved profit margin. The company executed over 30 transactions valued at £1.1 billion and maintained a strong liquidity position with cash balances of £19.8 million. Despite a decline in overall client numbers, Cavendish expanded its regional footprint and international reach, adding new clients and maintaining its market-leading position. The company remains optimistic about its future outlook, supported by a strong transaction pipeline and improving sentiment towards UK equities, although fiscal uncertainties and market volatility present challenges.

Cavendish Directors Reinvest Dividends into Company Shares

Cavendish plc, a company listed on the AIM market under the ticker CAV, announced that its executive directors have reinvested their FY25 Final Dividend into additional ordinary shares as part of the company’s Share Investment Plan. The reinvestment was conducted by the plan’s administrator, purchasing shares at 10.25 pence each, which reflects the company’s ongoing commitment to align the interests of its leadership with those of its shareholders.

Cavendish plc Reports Profitable First Half and Expands Market Presence

Cavendish plc reported a profitable first half of the year, with group revenue rising to £28.0 million, supported by continued equity issuance and private M&A mandates. The company’s cash balances increased by 15% year-on-year, highlighting its financial resilience. Cavendish has added eight new clients and opened a new office in Birmingham, strengthening its market-leading position. Despite fiscal uncertainties, the company is optimistic about closing the financial year on a positive note, especially if inflationary pressures ease.

Cavendish plc Announces Successful AGM Results

Cavendish plc announced that all resolutions were passed at their Annual General Meeting, reflecting shareholder approval and support for the company’s strategic direction. This outcome is likely to positively impact Cavendish’s operations and strengthen its position in the market, signaling stability and confidence to stakeholders.