Want to see GB:KGH full AI Analyst Report?
Top Page
Knights Group Holdings Plc
(LSE:KGH)
Select Model
Select Model
Rating:61Neutral
Price Target:
207.00 p
▲(17.61% Upside)
Action:Reiterated
Date:07/07/26
The score is primarily supported by solid cash-flow performance and a clearly positive technical trend (price above major moving averages with a positive MACD). Offsetting these strengths are elevated balance-sheet leverage and a very high P/E valuation, which together raise risk if profitability or execution weakens.
Positive Factors
Strong cash generation
Consistently positive operating and free cash flow (2026 OCF 24.2m; FCF +11.9%) underpins durable internal funding. This supports reinvestment in the business, services delivery, and debt servicing capacity, and provides a buffer versus cyclical client demand shifts over months.
Negative Factors
Elevated leverage
A marked step-up in debt to 122.6m with equity broadly flat raises leverage and reduces financial flexibility. Higher debt amplifies refinancing and interest-rate risk, limits ability to invest or absorb shocks, and makes the business more sensitive to earnings volatility over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
Consistently positive operating and free cash flow (2026 OCF 24.2m; FCF +11.9%) underpins durable internal funding. This supports reinvestment in the business, services delivery, and debt servicing capacity, and provides a buffer versus cyclical client demand shifts over months.
Read all positive factors
Knights Group Holdings Plc (KGH) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£161.33M
Dividend Yield2.75%
Average Volume (3M)217.28K
Price to Earnings (P/E)34.2
Beta (1Y)-0.18
Revenue Growth28.41%
EPS Growth-36.92%
CountryUK
Employees1,663
SectorIndustrials
Sector Strength72
IndustrySpecialty Business Services
Share Statistics
EPS (TTM)0.06
Shares Outstanding85,813,470
10 Day Avg. Volume115,996
30 Day Avg. Volume217,285
Financial Highlights & Ratios
PEG Ratio-0.79
Price to Book (P/B)1.37
Price to Sales (P/S)0.69
P/FCF Ratio8.09
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£261.67Price Target Upside48.67% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering3
EPS Forecast (FY)0.3
Revenue Forecast (FY)£216.62M
Knights Group Holdings Plc Business Overview & Revenue Model
Company Description
Knights Group Holdings plc, a UK-based firm established in 1759 and headquartered in Newcastle-under-Lyme, delivers a broad spectrum of legal and professional services across the United Kingdom. Their extensive business offerings encompass areas s...
How the Company Makes Money
KGH makes money mainly by charging fees for professional services delivered by its legal and advisory teams. Revenue is primarily earned from (1) client matter fees for legal work (e.g., advisory, transactional, and dispute-related services), bill...
Knights Group Holdings Plc Financial Statement Overview
Summary
Income Statement
64
Positive
Balance Sheet
55
Neutral
Cash Flow
71
Positive
| Breakdown | Apr 2025 | Apr 2024 | Apr 2023 | Apr 2022 | Apr 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 207.98M | 161.97M | 149.96M | 142.08M | 125.60M |
| Gross Profit | 192.02M | 64.36M | 56.95M | 130.47M | 48.74M |
| EBITDA | 41.99M | 28.58M | 31.72M | 26.80M | 14.18M |
| Net Income | 4.74M | 7.58M | 9.85M | 7.94M | -2.53M |
Balance Sheet | |||||
| Total Assets | 287.18M | 278.61M | 219.10M | 212.17M | 206.28M |
| Cash, Cash Equivalents and Short-Term Investments | 6.03M | 5.85M | 5.45M | 4.04M | 4.10M |
| Total Debt | 122.63M | 124.95M | 81.19M | 78.18M | 79.68M |
| Total Liabilities | 182.07M | 174.08M | 118.84M | 119.36M | 120.62M |
| Stockholders Equity | 105.11M | 104.53M | 100.26M | 92.81M | 85.66M |
Cash Flow | |||||
| Free Cash Flow | 17.82M | 13.50M | 14.63M | 14.41M | 7.52M |
| Operating Cash Flow | 24.17M | 25.25M | 22.83M | 16.33M | 10.11M |
| Investing Cash Flow | -13.04M | -38.09M | -14.33M | -7.85M | -10.33M |
| Financing Cash Flow | -11.03M | 13.32M | -7.09M | -8.67M | 1.52M |
Knights Group Holdings Plc Technical Analysis
Positive
176.00
Price Trends
183.93
Positive
174.27
Positive
175.61
Positive
Market Momentum
2.12
Positive
51.49
Neutral
41.42
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:KGH, the sentiment is Positive. The current price of 176 is below the 20-day moving average (MA) of 186.34, below the 50-day MA of 183.93, and above the 200-day MA of 175.61, indicating a bullish trend. The MACD of 2.12 indicates Positive momentum. The RSI at 51.49 is Neutral, neither overbought nor oversold. The STOCH value of 41.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:KGH.
Knights Group Holdings Plc Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | £167.00M | 15.68 | 59.02% | 5.98% | 17.88% | 28.90% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
61 Neutral | £161.33M | 34.20 | 1.15% | 2.75% | 28.41% | -36.92% | |
54 Neutral | £358.39M | 277.04 | 0.58% | 2.31% | 10.68% | -89.58% | |
53 Neutral | £305.28M | -3.19 | -12.70% | 15.28% | -0.86% | -481.50% | |
40 Underperform | £281.48M | -1.72 | -142.88% | ― | -7.30% | -311.68% |
* Industrials Sector Average
GB:KGH
Knights Group Holdings Plc
190.50
34.21
21.89%
GB:CPI
Capita plc
235.50
-109.00
-31.64%
GB:RST
Restore
271.50
-0.08
-0.03%
GB:RWS
RWS Holdings
83.15
3.43
4.30%
GB:KEYS
Keystone Law Group Plc
533.00
-65.49
-10.94%
Knights Group Holdings Plc Corporate Events
Business Operations and StrategyDividendsFinancial DisclosuresM&A TransactionsPrivate Placements and Financing
Knights Group lifts revenue 28% as regional legal expansion gathers pace
Positive
Jul 6, 2026
Knights Group Holdings plc reported a strong set of full-year results for the year to 30 April 2026, with underlying revenue up 28% to £207.7m and organic growth improving to 7%, including 12% in the second half. Underlying EBITDA rose 20% to...
Business Operations and StrategyFinancial Disclosures
Knights to Brief Investors on Full-Year Results via Equity Development Webinar
Positive
Jun 26, 2026
Knights Group Holdings plc, a national legal and professional services firm and one of the UK’s top 50 law practices by revenue, has expanded rapidly since adopting a corporate structure in 2012 and now operates 29 offices across major regio...
Business Operations and StrategyFinancial DisclosuresM&A Transactions
Knights Group lifts revenue 28% as acquisitions and organic growth drive FY26 performance
Positive
May 20, 2026
Knights Group Holdings reported a strong trading performance for the year to 30 April 2026, with revenue expected to rise 28% to about £207m and second-half organic growth reaching double digits after a slower first half. Underlying EBITDA is...
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.