Itim Group PLC (ITIM) AI Stock Analysis

• Market Cap: £13.67M
• Dividend Yield: N/A
• Average Volume (3M): 11.39K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.13
• Revenue Growth: -2.67%
• EPS Growth: -466.67%
• Country: UK
• Employees: 173
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.02
• Shares Outstanding: 31,415,607
• 10 Day Avg. Volume: 3,331
• 30 Day Avg. Volume: 11,394
• PEG Ratio: -0.52
• Price to Book (P/B): 1.09
• Price to Sales (P/S): 0.71
• P/FCF Ratio: 5.03
• 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: 54 Neutral
• Price Target: 47.00p ▲(1.08% Upside)

The overall stock score is primarily influenced by strong financial performance, which is offset by weak technical indicators and poor valuation metrics. The company's robust financial health and cash flow improvements are significant strengths, but the bearish technical trend and negative P/E ratio present notable risks.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.

Cash Flow Generation

Improved cash flow generation enhances financial flexibility, enabling strategic investments and reducing reliance on external financing.

Balance Sheet Health

A strong balance sheet with low leverage reduces financial risk and provides a stable foundation for future growth.

Negative Factors

Net Profit Margin

Low net profit margins can limit reinvestment capabilities and shareholder returns, necessitating efficiency improvements for sustainable growth.

Revenue Growth Decline

A decline in revenue growth can signal market saturation or competitive pressures, potentially impacting future earnings potential.

EPS Growth

Negative EPS growth reflects challenges in profitability and may deter investor confidence, affecting long-term valuation.

Itim Group PLC Business Overview & Revenue Model

Company Description

Itim Group plc, together with its subsidiaries, provides software, and related implementation and consultancy services in the United Kingdom, Europe, and internationally. The company offers retail software solutions, including multi channel sales & service, enterprise order management, price & stock optimization, and supplier management solutions. It also provides data exchange, and software consultancy and supply services. Itim Group plc was founded in 1993 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Itim Group PLC generates revenue through a subscription-based model, providing its software solutions to retailers on a recurring basis. Key revenue streams include licensing fees for its software platforms, transaction fees from e-commerce transactions facilitated through its systems, and professional services such as implementation, training, and ongoing support. Additionally, strategic partnerships with retail chains and technology providers enhance its market presence and contribute to its earnings by expanding its customer base and increasing the adoption of its solutions.

Itim Group PLC Financial Statement Overview

Summary

Itim Group PLC shows robust financial health with impressive revenue growth and margin improvements. The balance sheet reflects a strong capital structure with low leverage. Cash flow generation is strong, supporting ongoing operational and strategic initiatives. Despite the positive trajectory, the company needs to focus on enhancing net profit margins for sustainable long-term growth.

Income Statement

The company demonstrated solid revenue growth, with a 11% increase from the previous year. Gross profit margin improved to 40.1%, reflecting enhanced operational efficiency. Positive EBIT and EBITDA margins indicate a turnaround from the previous year's losses. However, net profit margin remains low at 1.1%, suggesting room for further improvement in profitability.

Balance Sheet

The company maintains a healthy financial position with a low debt-to-equity ratio of 0.09, indicating prudent financial management. Return on equity is positive at 1.72%, a notable recovery from negative figures in prior years. The equity ratio of 59% underscores a strong capital structure, reducing financial risk. However, growth in total assets has been modest.

Cash Flow

Operating cash flow has significantly improved, supporting a strong free cash flow position. The free cash flow to net income ratio is favorable at 12.58, illustrating effective cash conversion. The cash flow improvements are driven by operational efficiencies and reduced capital expenditures, enhancing financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	17.07M	17.91M	16.13M	14.03M	13.47M	11.82M
Gross Profit	4.39M	7.18M	5.04M	4.50M	5.52M	4.71M
EBITDA	1.69M	2.33M	684.00K	153.00K	1.42M	1.43M
Net Income	-215.00K	200.00K	-892.00K	-686.00K	252.00K	956.00K
Balance Sheet
Total Assets	18.89M	19.68M	19.97M	19.92M	19.60M	15.07M
Cash, Cash Equivalents and Short-Term Investments	1.84M	3.79M	1.93M	3.92M	6.17M	2.13M
Total Debt	742.00K	1.07M	1.38M	816.00K	1.04M	4.99M
Total Liabilities	7.67M	8.07M	8.44M	7.44M	6.62M	10.06M
Stockholders Equity	11.22M	11.62M	11.53M	12.48M	12.98M	5.01M
Cash Flow
Free Cash Flow	1.03M	2.52M	-1.42M	-1.71M	667.00K	890.00K
Operating Cash Flow	1.09M	4.18M	527.00K	478.00K	2.08M	2.13M
Investing Cash Flow	-1.66M	-1.66M	-1.95M	-2.19M	6.27M	-1.19M
Financing Cash Flow	-576.00K	-639.00K	-544.00K	-578.00K	-4.30M	-207.00K

Itim Group PLC Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 46.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ITIM, the sentiment is Negative. The current price of 46.5 is above the 20-day moving average (MA) of 43.95, above the 50-day MA of 45.30, and below the 200-day MA of 50.43, indicating a bearish trend. The MACD of -0.59 indicates Negative momentum. The RSI at 5.69 is Positive, neither overbought nor oversold. The STOCH value of 31.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:ITIM.

Itim Group PLC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DOTD	73 Outperform	£200.75M	19.34	11.31%	1.68%	6.27%	0.83%
TRB	70 Outperform	£152.12M	19.10	15.34%	1.71%	3.48%	318.89%
NET	68 Neutral	£215.66M	51.02	9.59%	0.80%	22.80%	-32.13%
SAAS	63 Neutral	£100.29M	-127.21	-1.08%	2.00%	9.69%	-319.35%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SPA	58 Neutral	£80.44M	2,400.00	0.15%	―	5.35%	-97.78%
ITIM	54 Neutral	£13.67M	-63.97	-1.90%	―	-2.67%	-466.67%