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Chesnara PLC (GB:CSN)
LSE:CSN

Chesnara (CSN) AI Stock Analysis

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GB

Chesnara

(LSE:CSN)

Rating:62Neutral
Price Target:
3.00p
▼(-98.81%Downside)
Chesnara's overall stock score is driven by a mix of improving financial performance and recent strategic corporate events that bolster its market position. However, high valuation concerns temper the outlook, despite a strong dividend yield.

Chesnara (CSN) vs. iShares MSCI United Kingdom ETF (EWC)

Chesnara Business Overview & Revenue Model

Company DescriptionChesnara plc, together with its subsidiaries, engages in the life assurance and pension businesses primarily in the United Kingdom, the Netherlands, and Sweden. It operates through CA, Movestic, Waard Group, and Scildon segments. The company underwrites life risks, such as death, disability, health, and accident; and provides a portfolio of investment contracts for the savings and retirement needs of customers through asset management, as well as general insurance products. It distributes its products principally through independent financial advisers. Chesnara plc was incorporated in 2003 and is headquartered in Preston, the United Kingdom.
How the Company Makes MoneyChesnara makes money primarily through the management and acquisition of closed life insurance and pension books. The company generates revenue from the premiums paid by policyholders, investment returns on its portfolio, and fees from managing insurance policies. Chesnara's business model focuses on acquiring closed books of business, which are existing policies that are no longer open to new customers, to optimize operational efficiencies and enhance returns. Additionally, Chesnara benefits from cost synergies and economies of scale by integrating these acquired portfolios. The company's earnings are also influenced by factors such as investment performance, changes in interest rates, and regulatory developments in the insurance sector. Strategic partnerships and collaborations play a significant role in Chesnara's operations, enabling them to enhance their service offerings and expand their market presence.

Chesnara Financial Statement Overview

Summary
Chesnara shows strong revenue recovery and improved cash flow, indicating positive operational trends. However, challenges remain in profitability and equity management, suggesting a need for further improvements in financial stability.
Income Statement
75
Positive
Chesnara shows a strong recovery in total revenue, growing from a negative revenue of -£1,074 million in 2022 to £1,667 million in 2024, indicating significant improvement. Gross profit margins have remained robust at 100% due to total revenue equaling gross profit. The net profit margin has been low, with a notable dip in 2023 but recovering slightly in 2024. EBIT and EBITDA margins reflect an improving trend, especially a substantial rise in EBIT margin in 2024, indicating improving core operations.
Balance Sheet
65
Positive
The debt-to-equity ratio has remained relatively stable, suggesting consistent leverage management. However, a decrease in stockholders' equity from 2023 to 2024 suggests potential strain on equity. The return on equity (ROE) has been low, reflecting challenges in generating profits relative to equity. Despite these challenges, the equity ratio indicates a moderate level of assets financed by equity, showing fair asset stability.
Cash Flow
70
Positive
Chesnara exhibits a positive turnaround in free cash flow from negative figures in previous years to a positive £37.8 million in 2024, reflecting improved cash generation capabilities. The operating cash flow to net income ratio indicates strong cash flow coverage over net income, enhancing financial flexibility. However, fluctuations in cash flows over the years indicate potential volatility in cash management.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.67B1.03B-1.07B1.50B634.43M
Gross Profit1.67B1.03B-1.07B1.50B634.43M
EBITDA49.70M16.40M-48.40M42.19M52.04M
Net Income3.90M18.70M-98.33M27.29M21.19M
Balance Sheet
Total Assets12.76B12.13B11.14B9.42B8.86B
Cash, Cash Equivalents and Short-Term Investments138.00M146.00M175.29M70.09M105.35M
Total Debt206.20M209.30M213.23M49.46M71.44M
Total Liabilities12.44B11.77B10.81B8.96B8.37B
Stockholders Equity314.40M359.90M333.12M458.17M487.07M
Cash Flow
Free Cash Flow37.80M-35.70M-80.43M20.69M49.34M
Operating Cash Flow38.60M-34.90M-76.92M24.32M50.20M
Investing Cash Flow5.00M29.50M52.05M-3.64M1.88M
Financing Cash Flow-49.70M-49.80M127.03M-49.98M-59.05M

Chesnara Technical Analysis

Technical Analysis Sentiment
Positive
Last Price252.00
Price Trends
50DMA
248.21
Positive
100DMA
233.58
Positive
200DMA
222.31
Positive
Market Momentum
MACD
0.83
Positive
RSI
48.72
Neutral
STOCH
30.38
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CSN, the sentiment is Positive. The current price of 252 is below the 20-day moving average (MA) of 255.98, above the 50-day MA of 248.21, and above the 200-day MA of 222.31, indicating a neutral trend. The MACD of 0.83 indicates Positive momentum. The RSI at 48.72 is Neutral, neither overbought nor oversold. The STOCH value of 30.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CSN.

Chesnara Peers Comparison

Overall Rating
UnderperformOutperform
Sector (67)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
GBPRU
70
Outperform
£23.74B14.0312.68%265.13%-17.12%30.62%
67
Neutral
$16.81B11.859.77%3.76%12.07%-8.35%
67
Neutral
£269.22M-127.10%-20.62%-44.96%
62
Neutral
£6.43B-60.34%860.74%-6.33%
GBCSN
62
Neutral
£373.41M95.771.16%1258.71%22.19%-79.23%
$832.49M5.88-6.71%
GBHSD
54
Neutral
£69.71M43.598.08%705.88%35.39%-76.12%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:CSN
Chesnara
252.00
54.00
27.27%
CBGPF
Close Brothers Group
5.38
-1.07
-16.59%
GB:PHNX
Phoenix Group Holdings
636.50
141.48
28.58%
GB:PRU
Prudential
912.40
189.42
26.20%
GB:SAGA
Saga plc
183.00
70.20
62.23%
GB:HSD
Hansard Global
49.75
6.72
15.62%

Chesnara Corporate Events

Delistings and Listing ChangesPrivate Placements and Financing
Chesnara PLC Announces Rights Issue with New Share Admission
Positive
Jul 8, 2025

Chesnara PLC announced the admission of 79,539,337 new ordinary shares, nil paid, to the London Stock Exchange as part of a Rights Issue. This move is expected to enhance the company’s capital base, potentially improving its market position and providing more opportunities for growth. The Rights Issue aims to strengthen Chesnara’s financial stability, which could have positive implications for stakeholders, including investors and policyholders.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £320.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

Private Placements and FinancingBusiness Operations and Strategy
Chesnara PLC Announces £140 Million Rights Issue
Positive
Jul 3, 2025

Chesnara PLC has announced the publication of a prospectus approved by the FCA for a rights issue intended to raise approximately £140 million. This financial move is expected to strengthen the company’s capital base, potentially enhancing its market position and providing additional resources for strategic growth initiatives.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £320.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

M&A TransactionsBusiness Operations and Strategy
Chesnara PLC Acquires HSBC Life (UK) to Expand Operations
Positive
Jul 3, 2025

Chesnara PLC has announced its acquisition of HSBC Life (UK) Limited for £260 million, marking a significant expansion in its scale and operations. The acquisition is expected to generate over £800 million in cash over its lifetime, with £140 million in the first five years, and will be funded through internal resources, a revolving credit facility, and a rights issue. This move is anticipated to increase Chesnara’s assets under administration by £4 billion and policies by 454,000, potentially leading to its inclusion in the FTSE 250 index. The acquisition is strategically aligned with Chesnara’s goal of enhancing shareholder value through operating efficiencies, capital synergies, and new business opportunities, reinforcing its position as a leading consolidator in the life and pensions industry.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £320.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

Regulatory Filings and Compliance
Chesnara Announces Total Voting Rights and Share Capital Details
Neutral
Jul 1, 2025

Chesnara PLC has announced its total voting rights, with an issued share capital of 151,124,742 ordinary shares, each carrying one voting right. This information is crucial for shareholders to determine their interests in the company under the FCA’s Disclosure Guidance and Transparency Rules, reflecting Chesnara’s commitment to transparency and regulatory compliance.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £320.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

DividendsRegulatory Filings and Compliance
Chesnara PLC Announces Share Acquisition by Group Chief of Staff
Neutral
Jun 17, 2025

Chesnara PLC announced that Al Lonie, the Group Chief of Staff and Group Company Secretary, has acquired 56 ordinary shares through a dividend reinvestment plan. This transaction, conducted on the London Stock Exchange, reflects the company’s ongoing commitment to shareholder value and regulatory compliance under the UK Market Abuse Regulation.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £320.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

DividendsBusiness Operations and StrategyRegulatory Filings and Compliance
Chesnara CEO Acquires Shares, Reinforcing Strategic Confidence
Positive
Jun 10, 2025

Chesnara plc announced that its Group CEO, Steve Murray, has acquired 9,584 ordinary shares through a dividend reinvestment plan. This transaction, conducted on the London Stock Exchange, aligns with the company’s ongoing commitment to shareholder value and regulatory compliance. The acquisition reflects confidence in Chesnara’s strategic direction and its robust market position in the life and pensions sector.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £320.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

Executive/Board Changes
Chesnara PLC Announces Board Changes with New Appointment
Neutral
Jun 6, 2025

Chesnara PLC has announced a change in its board of directors, with Karin Bergstein stepping down and Samantha Tymms being appointed as an Independent Non-Executive Director. Tymms brings extensive experience from global financial services and regulatory bodies, which is expected to support Chesnara’s strategic goals and enhance its board’s capabilities.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £328.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

DividendsBusiness Operations and Strategy
Chesnara Executives Acquire Shares Through Dividend Reinvestment
Positive
May 23, 2025

Chesnara plc announced that Tom Howard, Group CFO, and Elsie Murray, associated with the Group CEO, acquired ordinary shares through a dividend reinvestment plan. This move aligns with Chesnara’s strategic focus on shareholder value and reflects confidence in the company’s ongoing operations and market position.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £320.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Chesnara Appoints New Senior Independent Director
Positive
May 13, 2025

Chesnara PLC announced the appointment of Carol Hagh as the new Senior Independent Director, succeeding Jane Dale who retired after a nine-year tenure. This leadership change is expected to leverage Carol’s experience to continue enhancing the company’s governance and strategic direction, potentially impacting its operational efficiency and stakeholder confidence.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £320.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

Shareholder MeetingsDividendsBusiness Operations and Strategy
Chesnara PLC Successfully Passes All Resolutions at 2025 AGM
Positive
May 13, 2025

Chesnara PLC announced that all resolutions proposed at its 2025 Annual General Meeting were passed with a significant majority. This includes the adoption of audited accounts, approval of the Directors’ Remuneration Report, declaration of a final dividend, and the re-appointment of several directors and auditors. The successful passing of these resolutions reflects strong shareholder support and positions Chesnara to continue its strategic initiatives and maintain its market position.

The most recent analyst rating on (GB:CSN) stock is a Buy with a £320.00 price target. To see the full list of analyst forecasts on Chesnara stock, see the GB:CSN Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Chesnara Appoints New General Counsel and Grants Share Award
Positive
Apr 24, 2025

Chesnara plc announced that Emma Dawe, the newly appointed Group General Counsel, has been granted an award over the company’s ordinary shares under the 2023 Long Term Incentive Plan. This move aligns with the Directors’ Remuneration Policy approved by shareholders and reflects Chesnara’s commitment to strategic leadership. The award, subject to performance targets over three years, underscores the company’s focus on long-term growth and stability, potentially impacting its market positioning positively.

Shareholder MeetingsDividendsFinancial Disclosures
Chesnara PLC Announces 2025 AGM and Dividend Proposal
Positive
Apr 10, 2025

Chesnara PLC has announced its 2025 Annual General Meeting, scheduled for May 13, 2025, at Panmure Liberum’s offices in London. The company encourages electronic voting and pre-submission of questions by shareholders. The preliminary results for 2024 were released on March 27, 2025, proposing a final dividend of 16.08 pence per share. This announcement underscores Chesnara’s commitment to transparency and shareholder engagement, reflecting its ongoing strategic focus on delivering value and maintaining strong financial performance.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 08, 2025