Computacenter (CCC) AI Stock Analysis

• Market Cap: £3.09B
• Dividend Yield: 2.43%
• Average Volume (3M): 256.63K
• Price to Earnings (P/E): 20.0
• Beta (1Y): 0.87
• Revenue Growth: 21.86%
• EPS Growth: 0.86%
• Country: UK
• Employees: 20,074
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 1.23
• Shares Outstanding: 106,243,935
• 10 Day Avg. Volume: 181,886
• 30 Day Avg. Volume: 256,633
• PEG Ratio: -4.40
• Price to Book (P/B): 3.42
• Price to Sales (P/S): 0.33
• P/FCF Ratio: 11.23
• 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: £3,462.50
• Price Target Upside: 16.27% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 1.91
• Revenue Forecast (FY): £9.56B

• Rating: 68 Neutral
• Price Target: 3,318.00 p ▲(11.42% Upside)
• Action: Downgraded Date: 03/13/26
• Date: Action: Downgraded 03/13/26

The score is driven primarily by solid financial strength (strong revenue growth and low leverage) but tempered by 2025 margin compression and weaker cash flow versus 2024. Technicals add near-term caution with the price below short-term moving averages, while valuation appears moderate with a supportive dividend yield.

Positive Factors

Strong Revenue Growth

Computacenter reported a very large revenue step-up in 2025, reflecting expanding enterprise and public-sector demand. Durable top-line expansion improves scale economics, strengthens vendor negotiating power, and funds investment in higher‑value services over the next several months.

Conservative Balance Sheet

The firm’s low leverage and growing equity base provide financial flexibility to support working capital, capex, or selective M&A. A conservatively levered balance sheet reduces refinancing risk and preserves capacity to invest in managed services or absorb cyclical shocks.

Recurring, Diversified Service Model

A mix of technology resale, professional projects and multi-year managed services creates diversified, recurring revenue. This business model yields predictable cash flows, higher-margin service upsell opportunities, and stickier customer relationships that support durable earnings.

Negative Factors

Margin Compression

Material margin deterioration in 2025 signals pricing pressure, cost inflation or a heavier low‑margin product mix. Lower gross and net margins reduce operating leverage and the company’s buffer to fund investments or dividends, making earnings more sensitive to revenue shocks.

Weakened Cash Flow Momentum

A meaningful step-down in operating and free cash flow versus the prior year weakens capital allocation flexibility. Even with decent conversion ratios historically, sustained weaker cash generation would constrain capacity for reinvestment, debt reduction, or higher shareholder distributions.

Uptick in Absolute Debt

An increase in absolute debt and leverage, even from a modest base, reduces headroom if margins and cash flow remain pressured. Continued debt accumulation amid compressed profitability could tighten liquidity and elevate refinancing or covenant risk over the medium term.

Computacenter Business Overview & Revenue Model

Company Description

Computacenter plc provides information technology (IT) infrastructure and operations services in the United Kingdom, Germany, France, North America, and internationally. The company offers workplace solutions, including endpoint management, field and lifecycle, virtual desktop, managed print, service desk and remote support, application, collaboration management, and experience management services, as well as device as a service; applications and data solutions, including software development, software lifecycle management, cloud and application support, application migration, data and analytics, user experience, and process automation services; cloud and data center solutions, which include data center, cloud platform, marketplace software sourcing, private cloud, enterprise cloud, finops, data center deployment, cloud optimization, application migration, infrastructure and cloud managed, and application platform services. Tt also provides networking solutions comprising data center and cloud, local and wide area, wireless, and industrial networks; and security solutions that include cyber defense, infrastructure, cloud security, workplace security, industrial security, and identity and access services, as well as IT governance, risk, and compliance solutions. Computacenter plc was founded in 1981 and is based in Hatfield, the United Kingdom.

How the Company Makes Money

Computacenter makes money by selling and managing IT products and services for large organizations, typically through a mix of technology reselling, professional services, and long-term managed service contracts. 1) Technology sourcing and resale (product revenue): A significant portion of revenue comes from procuring hardware, software and related technology from major vendors and reselling it to customers. This includes devices and end-user computing equipment, data-center and network infrastructure, and software/licensing. The company earns a margin between the purchase price from vendors and the sales price to customers, and may also earn vendor-related incentives/rebates where applicable (specific arrangements vary by vendor and are not publicly itemized in a consistent way). 2) Professional and project services (services revenue): Computacenter generates revenue from consulting, design, implementation and transformation projects such as workplace rollouts, infrastructure refreshes, migrations, security deployments, and cloud-related delivery work. These engagements are typically billed on a time-and-materials basis, fixed price, or milestone-based project fees depending on contract structure. 3) Managed services and operations (recurring revenue): The company earns recurring fees by running and supporting customers’ IT environments under multi-year contracts. This includes service desk and field services, device and workplace management, infrastructure and network operations, monitoring, and other operational support. Revenue is generally recognized as services are delivered, often as monthly/annual charges defined by service levels and volumes. 4) Lifecycle and supply-chain services: Computacenter provides technology lifecycle services (e.g., configuration/staging, logistics, deployment, asset management, refresh and disposal). It earns service fees tied to these activities, often bundled with product supply and managed services. Key factors that contribute to earnings: Profitability is driven by (a) scale in procurement and logistics, (b) the mix between lower-margin product resale and higher-margin services/managed services, (c) long-term enterprise and public-sector customer relationships that support repeat purchasing and renewals, and (d) partnerships with major technology vendors that enable access to products, training, and go-to-market programs. Specific partner names and the quantitative contribution of each partner are not consistently disclosed at a granular level, so those details are null.

Computacenter Financial Statement Overview

Summary

Strong revenue expansion and a conservatively levered balance sheet support the score, but 2025 profitability compressed materially (lower gross/EBIT/net margins) and operating/free cash flow stepped down versus 2024, indicating weaker quality of earnings in the latest year.

Income Statement

Revenue has expanded strongly over the period, with a very large step-up in 2025 versus 2024. However, profitability has trended lower: gross margin fell from ~15% (2023–2024) to ~12% (2025), and net margin declined to ~1.7% in 2025 from ~2.5% in 2024 and ~2.9% in 2023. Operating profitability also softened (EBIT margin ~2.9% in 2025 vs ~3.4% in 2024 and ~4.1% in 2023), indicating that the latest growth came with meaningfully higher costs and/or pricing pressure.

Balance Sheet

The balance sheet looks conservatively levered, with debt-to-equity remaining low (roughly ~0.14–0.26 historically and ~0.23 in 2025). Equity has generally grown over time and provides a solid capital base versus total assets. A watch item is the uptick in absolute debt and debt-to-equity in 2025 versus 2023–2024, but leverage remains modest for the sector.

Cash Flow

Cash generation is solid relative to earnings, with free cash flow closely tracking net income (free cash flow to net income ~0.85–0.95 across the years, ~0.93 in 2025). That said, cash flow momentum weakened in 2025: operating cash flow fell to ~296m from ~417m in 2024 and free cash flow declined ~14% year over year (to ~274m). Overall cash conversion remains healthy, but the latest year shows a notable step-down that warrants monitoring.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.19B	6.96B	6.92B	6.47B	5.03B
Gross Profit	1.13B	1.03B	1.04B	936.20M	860.20M
EBITDA	352.20M	268.20M	363.00M	349.70M	346.20M
Net Income	153.70M	170.80M	197.60M	182.80M	185.30M
Balance Sheet
Total Assets	4.06B	3.37B	3.06B	3.28B	2.71B
Cash, Cash Equivalents and Short-Term Investments	628.50M	489.60M	471.20M	275.10M	285.20M
Total Debt	202.30M	136.90M	127.60M	157.90M	189.90M
Total Liabilities	3.17B	2.55B	2.11B	2.41B	1.97B
Stockholders Equity	897.90M	810.20M	941.70M	865.70M	740.50M
Cash Flow
Free Cash Flow	273.80M	398.10M	375.50M	206.10M	192.00M
Operating Cash Flow	295.60M	417.10M	410.60M	241.60M	222.30M
Investing Cash Flow	-37.60M	-38.20M	-39.40M	-62.70M	-25.30M
Financing Cash Flow	-122.20M	-349.40M	-163.60M	-180.50M	-226.10M

Computacenter Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2978.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CCC, the sentiment is Negative. The current price of 2978 is below the 20-day moving average (MA) of 3096.90, below the 50-day MA of 3129.56, and above the 200-day MA of 2718.84, indicating a neutral trend. The MACD of -5.66 indicates Positive momentum. The RSI at 40.66 is Neutral, neither overbought nor oversold. The STOCH value of 26.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:CCC.

Computacenter Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SCT	75 Outperform	£2.26B	24.52	42.93%	2.05%	51.50%	11.62%
TRD	72 Outperform	£52.29M	14.63	38.65%	2.69%	30.01%	138.65%
MTEC	69 Neutral	£54.86M	15.19	12.27%	―	20.40%	―
CCC	68 Neutral	£3.09B	20.00	17.42%	2.43%	21.86%	0.86%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
RCN	54 Neutral	£184.79M	18.70	4.57%	3.01%	-31.46%	297.44%
TPX	52 Neutral	£30.47M	-2.77	-18.74%	―	-5.84%	55.30%

Computacenter Corporate Events

Computacenter lifts 2025 profits on North American surge and record order backlog

Computacenter reported strong full-year 2025 results, with revenue up 32% to £9.19bn and adjusted operating profit rising 11.3%, driven by robust growth in Technology Sourcing and modest gains in Services. North America nearly doubled operating profit and now contributes close to 40% of group earnings, offsetting weaker performance in France and a lower gross margin due to a strategic shift toward high-volume hardware sales.

The company ended the year with a record £7.1bn product order backlog, significant growth in major customers and adjusted net funds of £606m, supporting continued investment and acquisitions. Management highlighted the early-2026 purchase of AgreeYa to expand professional services in North America and India, and signalled confidence in further strategic and financial progress in 2026 despite macroeconomic uncertainty and industry-wide hardware component shortages.

The most recent analyst rating on (GB:CCC) stock is a Buy with a £3715.00 price target. To see the full list of analyst forecasts on Computacenter stock, see the GB:CCC Stock Forecast page.

Computacenter Reports No New Share Allotments Across Employee Option Schemes

Computacenter has reported its latest six‑monthly block listing return, confirming that across six of its approved, unapproved, performance-related, and all-employee share option and share plan schemes, there has been no issue or allotment of new shares between 6 August 2025 and 5 February 2026. The balances of unallotted securities under each scheme remain unchanged, leaving substantial headroom for future exercises but signalling no recent dilution for shareholders and a stable capital structure over the period.

The most recent analyst rating on (GB:CCC) stock is a Buy with a £3633.00 price target. To see the full list of analyst forecasts on Computacenter stock, see the GB:CCC Stock Forecast page.

Computacenter Beats 2025 Expectations, Bolstered by North America Growth and AgreeYa Deal

Computacenter reported a significantly better-than-expected performance for 2025, with gross invoiced income up 32% in constant currency, driven by a 38% surge in Technology Sourcing and modest growth in Services, where strong Professional Services revenue offset a slight decline in Managed Services. The group highlighted particularly robust execution in North America and a recovery in German public sector demand, while acknowledging continued challenges in France, and now expects adjusted profit before tax of at least £270m alongside an exceptionally strong year-end net funds position of around £600m. The recent acquisition of US-focused professional services firm AgreeYa Solutions, funded from existing cash, underscores Computacenter’s push to deepen its enterprise services reach in North America, and, supported by a strong order backlog and continued appetite for targeted deals, the company anticipates further strategic and financial progress in 2026 despite macroeconomic uncertainty and hardware supply constraints.

The most recent analyst rating on (GB:CCC) stock is a Buy with a £3381.00 price target. To see the full list of analyst forecasts on Computacenter stock, see the GB:CCC Stock Forecast page.

Computacenter Buys AgreeYa to Boost North American and India Services Footprint

Computacenter has agreed to acquire US-based AgreeYa Solutions Inc and the assets of AgreeYa India for up to $120 million, in a deal that significantly expands its professional services footprint in North America and deepens its capabilities in India. AgreeYa, a 26-year-old technology solutions partner with more than 600 staff in the US and over 700 in India, is expected to generate around $120 million in revenue and $14 million in adjusted EBITDA in 2025, and the transaction, funded from existing cash, is expected to be immediately earnings accretive. The acquisition bolsters Computacenter’s offerings in cloud, data, automation, AI, digital engineering, modern workplace and IT staffing, lifting its annualised North American professional services revenue to more than $350 million and strengthening its European operations via India-based expertise, while existing AgreeYa leadership will remain in place as the business is integrated into Computacenter’s US and India operations.

The most recent analyst rating on (GB:CCC) stock is a Buy with a £3459.00 price target. To see the full list of analyst forecasts on Computacenter stock, see the GB:CCC Stock Forecast page.