Concurrent Technologies (CNC) AI Stock Analysis

• Market Cap: £193.12M
• Dividend Yield: 0.95%
• Average Volume (3M): 345.79K
• Price to Earnings (P/E): 39.8
• Beta (1Y): 0.86
• Revenue Growth: 22.72%
• EPS Growth: -8.82%
• Country: UK
• Employees: 155
• Sector: Technology
• Sector Strength: 88
• Industry: Computer Hardware
• EPS (TTM): 0.03
• Shares Outstanding: 86,989,044
• 10 Day Avg. Volume: 235,403
• 30 Day Avg. Volume: 345,791
• PEG Ratio: 2.45
• Price to Book (P/B): 3.03
• Price to Sales (P/S): 2.92
• P/FCF Ratio: 16.83
• 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: 69 Neutral
• Price Target: 241.00p ▲(8.80% Upside)

Concurrent Technologies' strong financial performance is the primary driver of its score, supported by solid revenue and cash flow growth. However, technical indicators suggest bearish momentum, and the high P/E ratio raises valuation concerns. Corporate events present mixed signals, with a promising defense contract but potential negative sentiment from the CEO's share sale.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong demand for the company's products and services, enhancing its market position and supporting long-term business expansion.

Cash Flow Generation

Strong free cash flow growth enhances financial flexibility, allowing for reinvestment in growth opportunities and providing a buffer against economic uncertainties.

Balance Sheet Strength

A strong balance sheet with minimal leverage ensures financial stability and reduces risk, enabling the company to withstand market fluctuations and invest in strategic initiatives.

Negative Factors

EPS Decline

The decline in EPS suggests challenges in maintaining profitability, which could impact investor confidence and limit resources for future growth.

Profit Margin Pressure

Despite improved net profit margins, declining EPS indicates potential cost pressures or inefficiencies that could affect long-term profitability.

Limited Earnings Call Insights

Lack of detailed earnings call insights may hinder transparency and investor understanding of strategic direction, affecting long-term investor relations and confidence.

Concurrent Technologies Business Overview & Revenue Model

Company Description

Concurrent Technologies Plc, together with its subsidiaries, engages in the design, development, manufacture, and marketing of single board computers for system integrators and original equipment manufacturers. It offers central processing unit boards; and complementary accessory products, such as switches, storage, and I/O boards. The company serves customers in the defense, telecommunications, aerospace, transportation, scientific, and industrial markets in the United Kingdom, the United States, Malaysia, rest of Europe, and internationally. Concurrent Technologies Plc was incorporated in 1985 and is based in Colchester, the United Kingdom.

How the Company Makes Money

CNC generates revenue through a diversified model that includes direct sales of its high-performance computing products, custom engineering services, and long-term contracts with government and defense agencies. Key revenue streams come from the sale of embedded computing systems and components, which are often sold to military and aerospace clients requiring specialized technology. Additionally, CNC engages in partnerships with major defense contractors and technology companies, enabling them to integrate their products into larger systems. The company's focus on research and development also allows it to innovate continually, creating new products that address emerging market needs and expanding its customer base.

Concurrent Technologies Financial Statement Overview

Summary

Concurrent Technologies showcases strong financial performance with notable revenue and cash flow growth. The company maintains a strong balance sheet with low leverage and high equity, ensuring financial stability. The healthy profit margins and effective cash generation reflect operational efficiency and profitability.

Income Statement

Concurrent Technologies has demonstrated strong revenue growth with a 27.4% increase from 2023 to 2024. The gross profit margin remains robust at 43.1%, indicating effective cost management. Net profit margin improved to 11.7%, showcasing enhanced profitability. The EBIT and EBITDA margins of 12.1% and 19.5% respectively further reflect operational efficiency.

Balance Sheet

The company's balance sheet is solid with a low debt-to-equity ratio of 0.019, indicating minimal leverage. The return on equity is impressive at 12.1%, reflecting effective utilization of equity. With an equity ratio of 76.7%, the company has a strong equity base relative to its assets, indicating financial stability.

Cash Flow

The company has achieved significant growth in free cash flow, increasing to $7 million in 2024. The operating cash flow to net income ratio of 1.68 demonstrates healthy cash generation compared to earnings. The free cash flow to net income ratio of 1.49 indicates strong cash flow relative to profit.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	44.57M	40.32M	31.66M	18.27M	20.45M	21.14M
Gross Profit	20.48M	17.37M	15.64M	7.26M	10.03M	9.28M
EBITDA	7.53M	7.88M	5.87M	2.11M	4.94M	5.01M
Net Income	4.80M	4.70M	3.87M	987.02K	2.82M	2.75M
Balance Sheet
Total Assets	50.60M	50.78M	47.83M	32.65M	29.78M	29.04M
Cash, Cash Equivalents and Short-Term Investments	7.83M	13.71M	11.12M	4.51M	11.84M	11.77M
Total Debt	277.81K	756.66K	989.93K	1.46M	910.21K	822.78K
Total Liabilities	10.01M	11.86M	12.79M	9.47M	7.10M	6.48M
Stockholders Equity	40.59M	38.93M	35.04M	23.18M	22.68M	22.56M
Cash Flow
Free Cash Flow	4.65M	7.00M	1.16M	-6.19M	2.11M	3.18M
Operating Cash Flow	5.36M	7.88M	5.63M	-994.30K	4.25M	5.46M
Investing Cash Flow	-4.51M	-4.26M	-5.09M	-5.19M	-2.13M	-2.28M
Financing Cash Flow	-1.99M	-1.03M	6.05M	-1.12M	-2.01M	-1.93M

Concurrent Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 221.50
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CNC, the sentiment is Positive. The current price of 221.5 is below the 20-day moving average (MA) of 225.00, below the 50-day MA of 234.19, and above the 200-day MA of 203.45, indicating a neutral trend. The MACD of -1.19 indicates Negative momentum. The RSI at 50.77 is Neutral, neither overbought nor oversold. The STOCH value of 58.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CNC.

Concurrent Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FTC	75 Outperform	£370.60M	26.87	55.98%	―	121.45%	345.83%
CNC	69 Neutral	£193.12M	39.78	12.29%	0.95%	22.72%	-8.82%
GHH	67 Neutral	£167.55M	45.13	3.13%	2.19%	10.66%	21.19%
CML	66 Neutral	£44.84M	37.97	2.28%	3.67%	-21.33%	-11.35%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SRT	55 Neutral	£242.78M	106.67	―	―	―	―
TTG	54 Neutral	£199.43M	-2.80	-31.42%	―	-16.33%	-448.12%

Concurrent Technologies Corporate Events

Concurrent Technologies Rethinks Colchester Move to Accelerate Manufacturing Expansion

Concurrent Technologies has abandoned plans to relocate its UK headquarters and manufacturing operations to a new site after planning delays and instead will expand capacity by leasing additional office space adjacent to its existing Colchester facility. Under the new, lower-cost plan, office staff will move into a newly refurbished 14,800 sq ft building next door, freeing up much of the current 19,000 sq ft site for reconfigured and more efficient manufacturing, backed by a renewed 10‑year lease that secures production capacity into the mid‑2030s and ongoing investment in equipment to double PCB assembly capability by the first half of 2026, positioning the group to meet growing customer demand more quickly and with less execution risk.

The most recent analyst rating on (GB:CNC) stock is a Hold with a £241.00 price target. To see the full list of analyst forecasts on Concurrent Technologies stock, see the GB:CNC Stock Forecast page.

Concurrent Technologies Issues New Shares to Satisfy Employee Options

Concurrent Technologies Plc has announced the issuance of 50,000 new ordinary shares to satisfy employee options under its EMI share option scheme. This move, which increases the total voting shares to 86,989,048, is part of the company’s ongoing efforts to incentivize employees and align their interests with those of shareholders, potentially impacting the company’s market position and stakeholder engagement.

The most recent analyst rating on (GB:CNC) stock is a Hold with a £241.00 price target. To see the full list of analyst forecasts on Concurrent Technologies stock, see the GB:CNC Stock Forecast page.

Concurrent Technologies Announces New Share Admission Following Options Exercise

Concurrent Technologies Plc announced the admission of 100,000 new ordinary shares to the AIM market of the London Stock Exchange, following the exercise of options by Chief Revenue Officer Brent Salgat. This transaction, which included the sale of 69,445 shares to cover costs, results in Salgat holding 201,555 shares, representing 0.23% of the company’s enlarged issued share capital. The total number of ordinary shares with voting rights now stands at 86,939,048, which shareholders can use to determine their interests under the FCA’s rules.

The most recent analyst rating on (GB:CNC) stock is a Hold with a £241.00 price target. To see the full list of analyst forecasts on Concurrent Technologies stock, see the GB:CNC Stock Forecast page.

Concurrent Technologies Issues New Shares to Satisfy Employee Options

Concurrent Technologies Plc has announced the issuance of 100,000 new ordinary shares to satisfy the exercise of options by employees under its Long Term Incentive Plan. This move, which involves an application for trading on the AIM market of the London Stock Exchange, will increase the total number of ordinary shares with voting rights to 86,839,048. This development is significant for stakeholders as it impacts the calculation of their interests in the company under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:CNC) stock is a Hold with a £289.00 price target. To see the full list of analyst forecasts on Concurrent Technologies stock, see the GB:CNC Stock Forecast page.

Concurrent Technologies Announces New Share Issuance and CEO Share Sale

Concurrent Technologies Plc has announced the issuance of 267,379 new ordinary shares to satisfy the exercise of options by CEO Miles Adcock. Following this transaction, Adcock sold 103,377 shares to cover associated costs, resulting in him holding 315,431 shares, representing 0.36% of the company’s enlarged share capital. This move is part of the company’s ongoing operations and impacts the total voting rights, which now stand at 86,739,048 ordinary shares.

The most recent analyst rating on (GB:CNC) stock is a Hold with a £289.00 price target. To see the full list of analyst forecasts on Concurrent Technologies stock, see the GB:CNC Stock Forecast page.