Cordel Group PLC (CRDL) AI Stock Analysis

• Market Cap: £13.83M
• Dividend Yield: N/A
• Average Volume (3M): 164.06K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.04
• Revenue Growth: 7.86%
• EPS Growth: 70.77%
• Country: UK
• Employees: 35
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): >-0.01
• Shares Outstanding: 216,923,230
• 10 Day Avg. Volume: 105,523
• 30 Day Avg. Volume: 164,056
• PEG Ratio: 0.00
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: 6.00p ▼(-5.96% Downside)

Cordel Group PLC's overall stock score is primarily influenced by its strong revenue growth, which is overshadowed by significant profitability and cash flow challenges. The technical analysis indicates a bearish trend, and the valuation is weak due to negative earnings and lack of dividends. The absence of earnings call data and corporate events leaves these areas unaddressed.

Positive Factors

Revenue Growth

Consistent revenue growth suggests a robust business model and effective market penetration, supporting long-term sustainability.

Market Position

Long-term contracts with major clients provide stable revenue and reinforce Cordel's competitive position in the industry.

Balance Sheet Health

A strong equity base and low leverage enhance financial stability, providing resilience against economic fluctuations.

Negative Factors

Profitability Challenges

Ongoing profitability issues indicate operational inefficiencies, which could hinder long-term financial performance.

Cash Flow Inefficiencies

Weak cash flow generation limits the company's ability to invest in growth opportunities and manage financial obligations.

Return on Equity

Negative return on equity suggests that the company is not effectively utilizing its equity base to generate profits.

Cordel Group PLC Business Overview & Revenue Model

Company Description

Cordel Group Plc provides data integration and analytic services for the transportation, infrastructure, and banking sectors in Australia, the United Kingdom, the United States, Asia, Europe, the Middle East, and Africa. It offers a patented cloud-based platform for master data management and business analytics together with specialist hardware and software for capturing, analyzing, and reporting on datasets within the transport sector employing artificial intelligence algorithms. The company provides Corridor, an automated software and hardware solution that enables rail, road, and energy networks to automate inspections, predict failures, and transform corridor insights; Nextcore, a drone-based light detection and ranging for the assessment and survey of power lines, steep terrain, vegetated areas, and limited access environments; and Airsight, which offers aerial surveying and information services, including inspection, mapping, and aerial video and photography to various industries using drones. It also offers Maestrano Presen!, which presents data through dashboards, graphs, charts, animated gifs, and others; Maestrano Impac! that comprises predication services creating business insights, including classification, categorization, pattern detection, recognition, future trends modelling and projections, and KPI monitoring and management; Maestrano Reconcile!, which cleans and analyses volumes of data in real-time; Maestrano Connec! that ingests data from various disparate sources for use in new digital services; Maestrano Nex!, a platform as a service deployment; and Maestrano Hub!, a orchestration platform. The company was formerly known as Maestrano Group plc and changed its name to Cordel Group Plc in November 2021. The company was founded in 2013 and is based in Mayfield West, Australia.

How the Company Makes Money

Cordel Group PLC generates revenue primarily through the sale of its software solutions and services, which include subscription-based models for its analytics platforms, one-time licensing fees for its software products, and consulting services that assist clients in implementing and utilizing its technology effectively. Key revenue streams are derived from long-term contracts with telecommunications companies and other enterprise clients, who benefit from enhanced data analytics and operational efficiencies. Additionally, strategic partnerships with technology firms and industry leaders further bolster its market presence and contribute to its earnings by enabling Cordel to offer complementary services and expand its customer base.

Cordel Group PLC Financial Statement Overview

Summary

Cordel Group PLC demonstrates strong revenue growth, indicating market demand and business expansion. However, significant challenges in profitability and cash flow management persist. The balance sheet is stable with low leverage, but negative return on equity and cash flow inefficiencies highlight the need for strategic improvements.

Income Statement

Cordel Group PLC has shown a significant revenue growth rate of 69.6% in the latest year, indicating strong top-line expansion. However, the company continues to face challenges with profitability, as evidenced by negative net profit and EBIT margins. The gross profit margin has improved but remains below industry standards. Overall, while revenue growth is promising, the company's profitability metrics suggest ongoing operational challenges.

Balance Sheet

The balance sheet of Cordel Group PLC shows a low debt-to-equity ratio, indicating conservative leverage and a strong equity base. However, the return on equity remains negative, reflecting ongoing losses and inefficiencies in generating returns for shareholders. The equity ratio is healthy, suggesting a solid capital structure, but the company needs to improve its profitability to enhance shareholder value.

Cash Flow

Cordel Group PLC's cash flow statement reveals a decline in free cash flow growth, indicating potential liquidity challenges. The operating cash flow to net income ratio is negative, highlighting inefficiencies in converting earnings into cash. The free cash flow to net income ratio is also concerning, suggesting that the company struggles to generate sufficient cash flow relative to its net losses. Overall, the cash flow position requires improvement to support sustainable growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.79M	4.79M	4.44M	3.05M	2.27M	1.69M
Gross Profit	2.09M	3.53M	-69.34K	156.75K	-401.65K	-433.70K
EBITDA	-394.08K	-158.00K	-1.06M	-331.46K	-1.02M	-1.10M
Net Income	-402.01K	-402.01K	-1.30M	-598.15K	-1.20M	-1.02M
Balance Sheet
Total Assets	4.48M	4.48M	4.14M	4.82M	3.59M	4.46M
Cash, Cash Equivalents and Short-Term Investments	1.50M	1.50M	1.02M	1.28M	339.67K	1.54M
Total Debt	141.49K	141.49K	253.92K	32.70K	139.31K	137.27K
Total Liabilities	1.43M	1.43M	1.62M	1.02M	850.29K	614.69K
Stockholders Equity	3.05M	3.05M	2.52M	3.80M	2.74M	3.84M
Cash Flow
Free Cash Flow	-303.92K	-303.92K	-239.83K	-689.96K	-1.23M	-1.96M
Operating Cash Flow	-186.73K	-186.73K	-94.65K	-629.15K	-1.07M	-1.81M
Investing Cash Flow	-117.19K	-117.19K	-136.52K	8.61K	-152.64K	-155.78K
Financing Cash Flow	881.58K	881.58K	-15.59K	1.58M	12.71K	1.94M

Cordel Group PLC Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.38
• 50DMA: Negative
• 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:CRDL, the sentiment is Negative. The current price of 6.38 is below the 20-day moving average (MA) of 6.42, below the 50-day MA of 6.52, and below the 200-day MA of 6.67, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 41.77 is Neutral, neither overbought nor oversold. The STOCH value of 60.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:CRDL.

Cordel Group PLC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALT	75 Outperform	£14.97M	20.71	―	―	―	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CKT	57 Neutral	£22.68M	-7.32	-29.25%	―	10.00%	34.02%
BIRD	49 Neutral	£10.99M	-3.93	-32.98%	―	-9.19%	4.69%
PEN	47 Neutral	£9.51M	-1.96	-52.41%	―	-31.21%	-292.31%
CRDL	45 Neutral	£13.83M	-33.55	-14.44%	―	7.86%	70.77%

Cordel Group PLC Corporate Events

Cordel Group PLC Unveils Innovative PTC Asset Connect System

Cordel Group PLC has launched ‘PTC Asset Connect’, a Positive Train Control system that uses multimodal AI to automate the detection and location of trackside assets. This innovation enhances asset management efficiency by reducing labor costs and human error, positioning Cordel at the forefront of the industry with a significant opportunity in the growing global PTC market.

Cordel Group PLC Reports Revenue Growth and Strategic Investments Amid Delays

Cordel Group PLC reported an 8% increase in revenue for the fiscal year ending June 2025, reaching £4.79 million, with a significant improvement in cash flow and operating margin due to a shift towards software revenues and careful expense management. Despite delays in revenue from new contracts, the company added five new customers, including two major USA railroads, and plans to invest further in marketing and delivery to support the rollout of its new Positive Train Control platform, which has garnered international interest.

Cordel Group Chairman Increases Stake in Company

Cordel Group PLC announced that its Chairman, Ian Buddery, has purchased 358,150 ordinary shares, increasing his total holdings to 9,831,626 shares, which represents 4.53% of the company’s voting rights. This transaction also raises the Concert Party’s aggregate holding to 35.23% of the company’s issued share capital, potentially impacting the company’s governance and shareholder dynamics.

Cordel Group PLC Projects Revenue Growth Amid Economic Challenges

Cordel Group PLC anticipates revenue growth of up to 12% for the fiscal year ending June 2025, despite economic uncertainties in the USA affecting sales cycles and delaying revenue recognition. The company has secured contract expansions and new customers, with an improved cash position expected. Progress in their Positive Train Control product initiative, including a contract with a major Class 1 railroad, positions Cordel for future growth, with significant revenue expected in FY26.

Cordel Group Aligns Executive Incentives with FY25 Bookings Target

Cordel Group PLC announced a change in the vesting conditions for Chief Revenue Officer Mike Turner’s options, aligning them with the company’s fiscal year 2025 bookings target. This adjustment emphasizes the importance of securing multi-year recurring revenue contracts, particularly those involving Positive Train Control, to support the company’s long-term growth objectives.

Cordel Group Secures Major USA Rail Contract

Cordel Group PLC has secured a new five-year contract with a leading Class 1 freight railroad in the USA, valued at over $3.7 million, with an additional $3.8 million provision for their upcoming PTC Asset Management SaaS. This contract, which involves the use of Cordel’s AI-driven platform for rail corridor data analytics, marks Cordel’s second Class 1 multi-year contract and third major customer in the USA, alongside Amtrak and Genesee & Wyoming, reinforcing its position as a leader in transport corridor analytics.

Cordel Group PLC Announces Shareholder Name Change

Cordel Group PLC, a UK-based company, has issued a notification regarding a change in the name of a shareholder entity from Amati AIM VCT plc to Maven Renovar VCT PLC, following a change of investment manager to Maven Capital Partners UK LLP. This notification does not indicate any change in the position held by the company, but serves to inform stakeholders of the name change, maintaining transparency in its shareholder structure.

Cordel Group Secures Contract with DG8 for Network Rail Integration

Cordel Group PLC has announced a new contract with DG8 Design and Engineering Ltd to supply their LiDAR and AI technology for integration into Network Rail’s Class 153 visual inspection units. This collaboration aims to enhance infrastructure monitoring services, improve maintenance efficiency, and provide valuable insights through the Cordel Connect platform, potentially strengthening Cordel’s position in the transport analytics market.

Cordel Group PLC Strengthens Advisory Board with New Appointment

Cordel Group PLC has appointed Ms. Kayden Howard to its international Advisory Board. With extensive experience in the US railroad industry, Howard’s expertise is expected to significantly contribute to Cordel’s growth, particularly in the US market. Her appointment aligns with the company’s strategic focus on expanding its presence in the US, especially with the upcoming launch of its Positive Train Control product.