CEPS plc (CEPS) AI Stock Analysis

• Market Cap: £6.30M
• Dividend Yield: N/A
• Average Volume (3M): 21.64K
• Price to Earnings (P/E): 10.9
• Beta (1Y): -0.29
• Revenue Growth: 6.35%
• EPS Growth: 4.15%
• Country: UK
• Employees: 265
• Sector: Industrials
• Sector Strength: 76
• Industry: Specialty Business Services
• EPS (TTM): <0.01
• Shares Outstanding: 21,000,000
• 10 Day Avg. Volume: 880
• 30 Day Avg. Volume: 21,644
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: £39.00
• Price Target Upside: 30.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: 39.00p ▲(30.00% Upside)

CEPS plc's overall score is driven by strong financial recovery and positive corporate events. Technical indicators show bullish momentum, although high leverage and overbought conditions pose risks. Valuation is attractive, supporting growth potential.

CEPS plc Business Overview & Revenue Model

Company Description

CEPS plc (CEPS) is a prominent company operating in the energy sector, specializing in the supply and distribution of electricity and natural gas. The company provides a range of services including energy management, infrastructure development, and renewable energy solutions. CEPS is committed to advancing sustainable energy practices and is involved in various projects that promote efficiency and reduced carbon emissions, catering to both residential and commercial clients.

How the Company Makes Money

CEPS generates revenue primarily through the sale of electricity and natural gas to its customers, which includes both individual consumers and businesses. The company's revenue model is built on fixed-price contracts, variable pricing based on market rates, and long-term supply agreements. Additionally, CEPS earns income from energy management services, where they provide consultancy and optimization solutions to enhance energy efficiency for their clients. Key partnerships with renewable energy producers and technology providers also contribute to CEPS's earnings, allowing them to expand their service offerings and tap into emerging markets in the green energy sector.

CEPS plc Financial Statement Overview

Summary

CEPS plc shows a strong recovery trend in its financial statements with revenue and margin improvements indicating operational efficiencies and strategic management. However, the high leverage and the discrepancy between cash flows and net income remain concerns.

Income Statement

CEPS plc shows a strong recovery trend in its income statement, with consistent revenue growth over the years. The gross profit margin improved significantly, reflecting operational efficiency, while the net profit margin turned positive after previous losses, indicating profitability improvements. EBIT and EBITDA margins have increased, suggesting enhanced core earnings. However, the net income remains relatively low, which might be a concern for sustained profitability.

Balance Sheet

The balance sheet of CEPS plc presents a mixed picture. The debt-to-equity ratio is high, indicating significant leverage, which could pose a risk in volatile markets. Despite this, the company has managed to increase its stockholders' equity, leading to a better equity ratio. Return on equity remains modest, though it has improved over time, reflecting better utilization of equity capital.

Cash Flow

The cash flow statement indicates healthy cash flow management, with a positive and growing operating cash flow. The free cash flow has shown substantial growth, which underlines the company's ability to generate cash after capital expenditures. However, the operating cash flow to net income ratio suggests a discrepancy between accounting profits and cash generation, which needs monitoring.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	31.56M	29.68M	26.45M	20.33M	11.86M
Gross Profit	13.29M	12.49M	10.91M	8.39M	4.35M
EBITDA	3.32M	3.40M	2.87M	2.21M	374.00K
Net Income	580.00K	556.00K	1.08M	792.00K	-980.00K
Balance Sheet
Total Assets	21.80M	22.75M	21.52M	19.51M	16.47M
Cash, Cash Equivalents and Short-Term Investments	677.00K	916.00K	1.28M	2.08M	2.33M
Total Debt	10.65M	11.24M	11.69M	11.55M	11.41M
Total Liabilities	16.84M	17.15M	17.01M	15.97M	15.38M
Stockholders Equity	2.82M	2.19M	1.59M	1.08M	-861.00K
Cash Flow
Free Cash Flow	3.37M	2.13M	1.47M	804.00K	1.15M
Operating Cash Flow	3.54M	2.83M	1.67M	1.19M	1.27M
Investing Cash Flow	-290.00K	-996.00K	-791.00K	-1.55M	-2.35M
Financing Cash Flow	-3.49M	-1.31M	-1.68M	117.00K	1.46M

CEPS plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 30.00
• 50DMA: Positive
• 100DMA: Positive
• 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:CEPS, the sentiment is Positive. The current price of 30 is above the 20-day moving average (MA) of 28.25, above the 50-day MA of 24.54, and above the 200-day MA of 22.98, indicating a bullish trend. The MACD of 1.78 indicates Positive momentum. The RSI at 63.91 is Neutral, neither overbought nor oversold. The STOCH value of 28.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CEPS.

CEPS plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DSW	77 Outperform	£14.58M	13.36	11.18%	3.02%	110.08%	1105.56%
CEPS	72 Outperform	£6.30M	10.87	23.19%	―	6.35%	4.15%
VNET	69 Neutral	£23.41M	27.91	3.15%	1.60%	-1.00%	7.35%
Sector *	65 Neutral	$2.63B	15.35	15.18%	3.65%	0.27%	30.08%
REAT	64 Neutral	£11.94M	900.00	-3.75%	―	6.90%	-242.86%
CPP	48 Neutral	£10.54M	―	-177.83%	―	-18.97%	―
MIND	42 Neutral	£16.04M	―	-106.45%	―	-14.04%	24.84%

CEPS plc Corporate Events

CEPS PLC Successfully Passes All Resolutions at AGM

CEPS PLC, a company involved in various sectors, held its Annual General Meeting where all proposed resolutions were passed. Key resolutions included the adoption of the 2024 Annual Report, re-appointment of directors, and authorization for directors to allot shares and make market purchases. These approvals reflect strong shareholder support and are likely to facilitate the company’s strategic initiatives and operational flexibility.

CEPS PLC Reports 2024 Financial Results Amid Economic Challenges

CEPS PLC announced its final results for the year ended 31 December 2024, reporting a 6.4% increase in total revenue to £31.6 million. Despite macroeconomic challenges and increased administrative costs, the company achieved a modest rise in earnings per share by 4.2%. Aford Awards maintained its EBITDA despite a challenging market, while Signature Fabrics faced sales declines but strengthened its management team. The company’s operations were influenced by broader economic conditions, including inflation and wage changes, impacting costs and consumer spending.

CEPS plc Appoints New Nominated Adviser and Broker

CEPS plc has announced a change in its advisory team, appointing SPARK Advisory Partners Limited as its new Nominated Adviser and Broker. This strategic move is expected to enhance CEPS’s market engagement and potentially improve its operational strategies, reflecting the company’s commitment to strengthening its advisory support.