CT Automotive Group Plc (CTA) AI Stock Analysis

• Market Cap: £18.77M
• Dividend Yield: N/A
• Average Volume (3M): 138.35K
• Price to Earnings (P/E): 2.9
• Beta (1Y): 0.54
• Revenue Growth: -18.51%
• EPS Growth: -13.40%
• Country: UK
• Employees: 2,216
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 0.04
• Shares Outstanding: 73,597,550
• 10 Day Avg. Volume: 46,280
• 30 Day Avg. Volume: 138,355
• PEG Ratio: 0.18
• Price to Book (P/B): 1.40
• Price to Sales (P/S): 0.31
• P/FCF Ratio: 9.94
• 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: 61 Neutral
• Price Target: 27.00p ▼(-3.57% Downside)

The score is supported by improving profitability/cash generation and very low valuation (P/E 2.90), but is held back by weak technicals (below key moving averages, negative MACD, very low RSI) and the recent revenue decline.

Positive Factors

Margin Improvement

Sustained gross and net margin expansion enhances unit economics and provides a buffer against raw-material and logistics cost volatility. Better margins support reinvestment in engineering, underwriting programme ramp costs, and improve long-term operating leverage versus peers.

Manageable Leverage

Moderate leverage and an improving equity ratio increase financial flexibility to fund programme ramp-ups and absorb cyclical downturns common in auto supply chains. This balance sheet posture reduces refinancing risk and supports capital allocation for strategic wins.

Positive Cash Generation

Consistent ability to convert earnings into operating cash provides durable funding for working capital, capex, and engineering activities tied to new programme awards. Strong cash conversion also improves resilience to supply-chain cost swings and timing gaps in payments.

Negative Factors

Revenue Decline

A significant revenue drop reduces scale benefits and undermines bargaining power with OEMs. If programme wins and run-rates do not recover, revenue contraction can erode the improved margins and pressure long-term cash flows, constraining investment in new product development.

Customer / Programme Concentration

Heavy reliance on winning and retaining OEM programme awards creates lumpy, contract-timed revenue streams. Loss or deferral of a major programme or OEM reprioritisation can cause material multi-quarter earnings volatility and underutilised manufacturing capacity.

Declining Free Cash Flow Growth

Although FCF is positive, a declining growth rate weakens the firm’s ability to self-fund programme ramp investments and absorb cost inflation. Persistent FCF contraction would raise liquidity risk during new programme launches and limit flexibility for strategic actions.

CT Automotive Group Plc Business Overview & Revenue Model

Company Description

CT Automotive Group plc designs, develops, engineers, manufactures, and supplies interior components and kinematic assemblies for the automotive industry. The company offers decorative finishes, air registers, arm rests, deployable cup holders, storage systems, wrapped assemblies, mechanical assemblies, light guides, dashboard panels, fascia finishes, and HVAC doors and assemblies, as well as related tooling products. It serves automotive original equipment suppliers and tier-one manufacturers in the United Kingdom, Europe, the United States, and Japan. The company was founded in 2000 and is headquartered in Portsmouth, the United Kingdom.

How the Company Makes Money

CT Automotive Group Plc generates revenue primarily through the sale of automotive components and systems to original equipment manufacturers (OEMs) and Tier 1 suppliers. Key revenue streams include the production of electronic control units, infotainment systems, and various interior components designed for new vehicle models. The company also benefits from long-term contracts with major automotive brands, ensuring a steady income. Additionally, CTA invests in research and development to create innovative solutions that meet evolving industry standards, further driving sales. Strategic partnerships with automotive manufacturers and technology firms enhance its market position and contribute to its earnings, as these collaborations often lead to joint ventures and shared technology developments.

CT Automotive Group Plc Financial Statement Overview

Summary

Financials are mixed: profitability improved (higher gross and net margins), leverage appears manageable (debt-to-equity 0.65 and improved equity ratio), and free cash flow is positive with strong cash generation vs. net income. The key risk is the revenue decline in 2024 and softer free cash flow growth.

Income Statement

The company has shown a mixed performance in terms of revenue growth. While there was a decline in revenue from 2023 to 2024, the company has managed to improve its gross profit margin to 27.65% in 2024 from 21.59% in 2022. The net profit margin increased significantly from 2022 to 2024, indicating improved profitability. However, the decline in total revenue in 2024 is a concern, and sustained growth will be crucial moving forward.

Balance Sheet

The company's balance sheet shows a moderate debt-to-equity ratio of 0.65 in 2024, reflecting manageable leverage. The equity ratio improved to 35.23% in 2024, showing better financial stability compared to previous years. However, stockholders' equity has fluctuated in the past, which could pose a risk if not stabilized.

Cash Flow

The cash flow statement indicates a positive free cash flow, though it decreased from the previous year. The operating cash flow to net income ratio is strong, suggesting good cash generation relative to net income. However, the decline in free cash flow growth rate in 2024 highlights the need for sustained cash management efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	100.94M	119.75M	142.97M	124.27M	127.78M	109.90M
Gross Profit	28.46M	33.10M	30.86M	14.86M	29.03M	22.15M
EBITDA	14.66M	14.89M	13.72M	-10.88M	-2.59M	-1.22M
Net Income	6.47M	8.65M	6.31M	-24.66M	-11.07M	-8.63M
Balance Sheet
Total Assets	61.75M	74.68M	84.40M	79.14M	119.43M	111.10M
Cash, Cash Equivalents and Short-Term Investments	1.01M	3.63M	9.44M	4.83M	13.45M	2.16M
Total Debt	20.62M	17.19M	22.15M	28.98M	30.57M	68.26M
Total Liabilities	54.88M	48.50M	67.44M	76.56M	81.27M	120.98M
Stockholders Equity	29.88M	26.32M	16.91M	2.58M	38.16M	-9.88M
Cash Flow
Free Cash Flow	-870.27K	3.70M	4.83M	2.04M	1.05M	-4.90M
Operating Cash Flow	1.51M	6.90M	8.04M	5.54M	5.77M	-3.23M
Investing Cash Flow	-2.26M	-2.98M	-3.21M	-3.49M	-4.92M	-3.69M
Financing Cash Flow	-1.53M	-9.64M	79.00K	-7.95M	11.96M	3.85M

CT Automotive Group Plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 28.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CTA, the sentiment is Negative. The current price of 28 is below the 20-day moving average (MA) of 28.05, below the 50-day MA of 29.06, and below the 200-day MA of 34.12, indicating a bearish trend. The MACD of -0.79 indicates Positive momentum. The RSI at 26.54 is Positive, neither overbought nor oversold. The STOCH value of 21.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:CTA.

CT Automotive Group Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABDP	73 Outperform	£293.82M	24.54	8.85%	0.63%	3.10%	23.59%
TRT	65 Neutral	£11.03M	7.62	22.19%	―	32.78%	-8.69%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
CTA	61 Neutral	£18.77M	2.91	30.82%	―	-18.51%	-13.40%
AUTG	52 Neutral	£5.19M	-5.14	-11.13%	―	-15.55%	-25.85%
SCE	47 Neutral	£20.18M	-0.99	-131.18%	―	34.87%	77.15%

CT Automotive Group Plc Corporate Events

CT Automotive CFO Resigns as Board Affirms FY25 Performance in Line With Expectations

CT Automotive Group plc has announced the immediate resignation of its Chief Financial Officer, Salman Mohammed, with Group Head of Finance Anshul Gupta and Group Financial Controller Victoria Thomas assuming responsibility for day-to-day financial operations, reporting directly to the board with support from Senior Independent Non-Executive Director Geraint Davies. Despite the sudden leadership change in the finance function, the board signalled confidence in the underlying performance of the business, indicating that full-year 2025 revenues are expected to be in line with market expectations and that net debt stood at $7.7m at year-end, with a more detailed trading update to follow, suggesting operational stability and continued progress in its price-led global automotive components niche.

The most recent analyst rating on (GB:CTA) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on CT Automotive Group Plc stock, see the GB:CTA Stock Forecast page.

CT Automotive Announces Board Changes Amid Strategic Shift

CT Automotive Group Plc announced a change in its board of directors, with Nick Timberlake stepping down as a Non-executive director effective December 31, 2025. This change follows Otus Capital Management’s reduced shareholding in the company. The board will now consist of two Independent Non-Executive Directors and two Executive Directors, with plans to appoint an additional independent Non-Executive Director. The departure of Timberlake reflects a strategic shift in the company’s governance structure, potentially impacting its stakeholder relationships and future board dynamics.

The most recent analyst rating on (GB:CTA) stock is a Hold with a £35.00 price target. To see the full list of analyst forecasts on CT Automotive Group Plc stock, see the GB:CTA Stock Forecast page.

CT Automotive Director Increases Shareholding

CT Automotive Group PLC announced that Geraint Davies, the Senior Independent Non-Executive Director, has purchased 25,200 Ordinary Shares at a price of 32.1 pence per share, increasing his total holding to 80,000 shares, which represents 0.11% of the company’s issued share capital. This transaction reflects confidence in the company’s prospects and may influence stakeholder perceptions positively.

The most recent analyst rating on (GB:CTA) stock is a Hold with a £35.00 price target. To see the full list of analyst forecasts on CT Automotive Group Plc stock, see the GB:CTA Stock Forecast page.

CT Automotive Group Plc Consolidates UK Office Address

CT Automotive Group Plc has announced a change in its registered office address to Riverside Road, Sunderland, UK, as part of an internal administrative alignment. This consolidation of UK registered office addresses into a single location at the Sunderland facility reflects the company’s ongoing efforts to streamline operations and enhance administrative efficiency.

The most recent analyst rating on (GB:CTA) stock is a Hold with a £35.00 price target. To see the full list of analyst forecasts on CT Automotive Group Plc stock, see the GB:CTA Stock Forecast page.