Cohort plc (CHRT) AI Stock Analysis

• Market Cap: £701.49M
• Dividend Yield: 99.55%
• Average Volume (3M): 180.43K
• Price to Earnings (P/E): 34.7
• Beta (1Y): 0.66
• Revenue Growth: 13.49%
• EPS Growth: 47.00%
• Country: UK
• Employees: 1,400
• Sector: Industrials
• Sector Strength: 94
• Industry: Aerospace & Defense
• EPS (TTM): 0.36
• Shares Outstanding: 46,708,458
• 10 Day Avg. Volume: 312,474
• 30 Day Avg. Volume: 180,426
• PEG Ratio: 0.72
• Price to Book (P/B): 1.82
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 15.67
• 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: £1,600.00
• Price Target Upside: 3.76% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 76 Outperform
• Price Target: 1,754.00p ▲(13.75%Upside)

Cohort plc's overall stock score is strong, driven by robust financial performance and positive corporate events. The technical analysis indicates a bullish trend but warns of potential short-term risks. Valuation concerns slightly temper the outlook.

Cohort plc Business Overview & Revenue Model

Company Description

Cohort plc, through its subsidiaries, provides various products and services in defense and security markets in the United Kingdom, Germany, Portugal, Africa, North and South America, and other European countries. The company offers electro-optical and electro-mechanical systems, such as command, control, communications, computers, intelligence, surveillance, target acquisition, and reconnaissance, as well as combat systems; and communications systems. It also provides integrated command, control, and communications systems for warships and submarines; tactical radio, vehicle intercoms, field communications, and networking software and equipment; electronic warfare operational support, managed, secure communications, cyber security, and training support services; and electronic and surveillance technology services. In addition, the company offers training and simulation; digital forensics; and research, advice, and support services. It provides products and services for customers in the defense and security markets for land, maritime, and air applications, as well as civil markets covering the security, transport, and the oil and gas industry. Cohort plc was incorporated in 2006 and is headquartered in Reading, the United Kingdom.

How the Company Makes Money

Cohort plc generates revenue through its various subsidiaries, each contributing to the company's overall income with specialized offerings. The company's revenue model primarily revolves around providing advanced electronic systems, software, and technical services tailored to defense and security applications. Key revenue streams include contracts with government agencies, defense organizations, and commercial clients seeking specialized technology solutions. Cohort's earnings are bolstered by long-term contracts and partnerships with defense departments and organizations, enabling stable and recurring income. Additionally, the company invests in research and development to maintain its competitive edge and expand its product offerings, which contributes to its revenue growth.

Cohort plc Financial Statement Overview

Summary

Cohort plc exhibits strong financial performance with significant revenue growth and improved profit margins. The solid balance sheet and robust cash flow generation highlight financial stability, though debt levels require monitoring due to industry cyclicality.

Income Statement

Cohort plc has shown strong revenue growth over the years, with a significant increase from £121.2M in 2019 to £202.5M in 2024, reflecting a robust growth trajectory. The gross profit margin has improved consistently, indicating efficiency in cost management. The net profit margin has also shown a healthy upward trend, reaching 7.6% in the latest period. The EBIT and EBITDA margins have strengthened, highlighting improved operational efficiency.

Balance Sheet

The company's balance sheet is solid, with a manageable debt-to-equity ratio of 0.37, indicating prudent financial leverage. The return on equity is positive at 14.1%, showcasing effective utilization of shareholder funds. The equity ratio stands at 43.1%, reflecting a balanced capital structure. However, continuous monitoring of debt levels is advised due to industry cyclicality.

Cash Flow

Cohort plc has demonstrated consistent growth in free cash flow, with an increase from £6.6M in 2019 to £16.4M in 2024, indicating robust cash generation capabilities. The operating cash flow to net income ratio is strong, suggesting effective conversion of profits into cash. Free cash flow to net income ratio is promising, reinforcing the company's ability to generate cash from operations sustainably.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	226.47M	202.53M	182.71M	137.76M	143.31M	131.06M
Gross Profit	73.24M	76.27M	64.86M	56.60M	53.36M	51.04M
EBITDA	33.66M	29.25M	22.13M	20.78M	20.34M	19.97M
Net Income	19.40M	15.32M	11.36M	9.20M	5.46M	9.56M
Balance Sheet
Total Assets	278.04M	252.50M	210.69M	203.17M	190.88M	154.41M
Cash, Cash Equivalents and Short-Term Investments	75.37M	55.16M	41.45M	40.37M	32.29M	20.57M
Total Debt	45.58M	40.51M	34.98M	39.52M	37.38M	32.77M
Total Liabilities	166.84M	142.66M	110.91M	113.98M	105.83M	72.62M
Stockholders Equity	110.40M	108.67M	97.02M	83.97M	79.31M	75.54M
Cash Flow
Free Cash Flow	36.82M	16.36M	11.29M	17.52M	14.97M	8.94M
Operating Cash Flow	47.42M	23.02M	16.52M	19.52M	16.22M	11.60M
Investing Cash Flow	-13.58M	-6.16M	-6.11M	-2.37M	-2.54M	-2.63M
Financing Cash Flow	-19.48M	-16.92M	-10.57M	-8.70M	-1.55M	-7.15M

Cohort plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1542.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CHRT, the sentiment is Positive. The current price of 1542 is below the 20-day moving average (MA) of 1555.90, above the 50-day MA of 1535.36, and above the 200-day MA of 1215.79, indicating a neutral trend. The MACD of 11.61 indicates Positive momentum. The RSI at 49.54 is Neutral, neither overbought nor oversold. The STOCH value of 19.61 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CHRT.

Cohort plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CHRT	76 Outperform	£701.49M	34.70	14.40%	99.55%	13.49%	47.00%
Sector *	58 Neutral	HK$14.94B	4.62	-2.78%	5.07%	3.80%	-54.55%
BAESF	―	$73.15B	30.74	17.85%	0.07%	―	―
CHG	75 Outperform	£1.48B	37.91	11.62%	143.65%	8.00%	674.47%
GDWN	74 Outperform	£573.73M	29.41	16.39%	175.46%	3.13%	24.54%
AVON	72 Outperform	£626.73M	123.61	4.18%	88.34%	14.69%	―
QQ	63 Neutral	£2.73B	17.97	-23.92%	176.65%	1.02%	-240.44%

Cohort plc Corporate Events

Cohort plc Reports Strong Growth and Record Order Book for FY2025

Cohort plc reported strong growth in revenue and profit for the financial year ending April 2025, aligning with market expectations. The company achieved a record closing order book and positive net funds exceeding £5 million, following the acquisition of EM Solutions. The disposal of its non-core Transport division is set to focus the business more on defense and security. Cohort’s outlook remains positive with continued demand for its products amid global defense spending increases, and the integration of EM Solutions is expected to contribute significantly to future growth.

The most recent analyst rating on (GB:CHRT) stock is a Buy with a £1570.00 price target. To see the full list of analyst forecasts on Cohort plc stock, see the GB:CHRT Stock Forecast page.

Cohort plc Announces Block Listing Application for 1.8 Million Shares

Cohort plc has applied to the London Stock Exchange for the admission of 1,825,000 ordinary shares to be traded on AIM, with the expected admission date of 14 May 2025. These shares are reserved under a block listing and will be issued under the Company’s Share Option Plan and the Savings Related Share Option Scheme. This move is likely to enhance Cohort’s financial flexibility and support its growth strategy, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (GB:CHRT) stock is a Buy with a £1570.00 price target. To see the full list of analyst forecasts on Cohort plc stock, see the GB:CHRT Stock Forecast page.

Cohort plc’s SEA Secures £8M Contract with Thales UK

Cohort plc’s subsidiary, Systems Engineering Assessment Ltd (SEA), has secured a significant £8 million contract with Thales UK as part of the 15-year Maritime Sensor Enhancement Team (MSET) programme. This 5-year contract involves providing maintenance and support for the Royal Navy’s towed array handling equipment, enhancing Cohort’s visibility of future revenues and reinforcing its position as a key provider in naval defence systems.

Cohort’s SEA Secures £8M Contract with Thales UK

Cohort plc announced that its subsidiary, Systems Engineering Assessment Ltd (SEA), has secured a significant 15-year contract worth £8 million with Thales UK as part of the Maritime Sensor Enhancement Team programme. This contract, which involves providing maintenance and support for the Royal Navy’s towed array handling equipment, reinforces SEA’s reputation as a reliable provider of advanced naval systems and strengthens Cohort’s long-term revenue visibility.

Cohort plc Announces Total Voting Rights Update

Cohort plc has announced its total voting rights as of April 30, 2025, with an issued share capital of 46,682,990 ordinary shares, each carrying one vote. This update is in accordance with the FCA’s Disclosure Guidance and Transparency Rule, allowing shareholders to calculate their interests in the company’s shares. This announcement reflects Cohort’s commitment to transparency and regulatory compliance, which may impact shareholder engagement and market perception.

Cohort plc Announces Director Share Transactions

Cohort plc announced that Simon Walther, the Finance Director, and Phillippa Walther-Caine, a person closely associated with him, conducted ‘Bed and ISA’ transactions involving the sale and repurchase of shares. These transactions, executed on 23 April 2025, resulted in a slight change in their beneficial interest in Cohort’s shares. This announcement reflects routine financial management activities by key personnel and is unlikely to have significant implications for the company’s operations or market positioning.

Cohort plc Executives Engage in Strategic Share Transactions

Cohort plc announced that Andrew Thomis, the Chief Executive, and Yasmin Thomis, a person closely associated, executed ‘Bed and ISA’ transactions involving the sale and repurchase of shares into Individual Savings Accounts. Additionally, Yasmin Thomis sold shares to contribute to their sons’ ISAs. These transactions reflect strategic financial management by the company’s leadership, potentially impacting stakeholders’ perceptions of executive confidence and investment strategies.

Cohort plc Announces Total Voting Rights Update

Cohort plc announced its total voting rights as of March 31, 2025, with an issued share capital of 46,649,226 ordinary shares, each carrying one vote. This update is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure Guidance and Transparency Rules, reflecting the company’s commitment to transparency and regulatory compliance.

Cohort plc Executives Reinvest Dividends in Company Shares

Cohort plc announced that dividends received by its Chief Executive, Andrew Thomis, and his closely associated persons were automatically reinvested in the company’s shares. This transaction increased their beneficial interest to 264,524 shares, representing 0.57% of the company’s total issued share capital. The reinvestment highlights the executive’s continued confidence in the company’s prospects, potentially impacting stakeholder perception positively.