Next Fifteen Communications (NFG) AI Stock Analysis

• Market Cap: £300.25M
• Dividend Yield: 4.97%
• Average Volume (3M): 321.35K
• Price to Earnings (P/E): 18.9
• Beta (1Y): 3.14
• Revenue Growth: -5.98%
• EPS Growth: -74.21%
• Country: UK
• Employees: 3,992
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): 0.21
• Shares Outstanding: 100,924,810
• 10 Day Avg. Volume: 420,540
• 30 Day Avg. Volume: 321,347
• PEG Ratio: -0.33
• Price to Book (P/B): 1.87
• Price to Sales (P/S): 0.47
• P/FCF Ratio: 5.07
• 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: £498.00
• Price Target Upside: 69.68% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: 317.00p ▲(8.01% Upside)

Next Fifteen Communications has a robust financial performance and positive corporate events, which are significant strengths. However, bearish technical indicators and moderate valuation metrics slightly offset these positives. The overall score reflects a balanced view, acknowledging both the company's strong fundamentals and current market challenges.

Positive Factors

Stable Cash Flows

Strong operating cash flows indicate efficient capital management, supporting the company's ability to fund operations and growth.

Leverage Management

Stable leverage management ensures financial flexibility and reduces risk, supporting long-term strategic initiatives.

Revenue Diversification

Diversified revenue streams from strategic partnerships enhance resilience against market fluctuations and expand client base.

Negative Factors

Profit Margin Pressure

Declining profit margins can impact long-term profitability, requiring improved cost management and efficiency.

Revenue Growth Decline

Recent decline in revenue growth may indicate challenges in market expansion or competitive pressures, affecting future growth.

Cash Flow Growth Decline

A decline in cash flow growth can limit investment in new opportunities and strain financial flexibility over time.

Next Fifteen Communications Business Overview & Revenue Model

Company Description

Next 15 Group plc, together with its subsidiaries, provides communications services in the United Kingdom, Europe, Africa, the United States, and the Asia Pacific. It also engages in the provision of consultancy services including data and insights, customer engagement, digital marketing and communications, and business transformation. The company provides its services under the activate, Agent3, Archetype, Beyond, The Blueshirt Group, Brandwidth, ELVIS, encore, House 337, M Booth, M Booth Health, Mach49, MHP Group, Nectar, Outcast, Palladium, Publitek, Savanta, SMG, Transform, twogether, and Velocity brands. The company was formerly known as Next Fifteen Communications Group plc and changed its name to Next 15 Group plc in April 2023. Next 15 Group plc was incorporated in 1981 and is based in London, the United Kingdom.

How the Company Makes Money

Next Fifteen Communications generates revenue primarily through its diverse portfolio of communication services. The company operates on a project-based and retainer model, where clients pay for specific campaigns or ongoing services. Key revenue streams include fees from public relations and marketing services, digital strategy consulting, and social media management. Additionally, NFG benefits from strategic partnerships with technology firms and media organizations, which enhance its service offerings and attract new business. The company leverages its expertise in the tech sector to capture clients looking for integrated digital communication solutions, contributing significantly to its earnings.

Next Fifteen Communications Financial Statement Overview

Summary

Next Fifteen Communications demonstrates steady financial health with consistent revenue growth and stable cash flows. The company effectively manages its leverage and capital structure, reflecting a sound financial strategy. Despite some pressure on profit margins and recent declines in cash flow growth, the overall financial position remains robust, supporting future growth prospects.

Income Statement

The company has shown moderate revenue growth over the years with a significant increase in total revenue from 2022. Gross profit margin has fluctuated, indicating variability in cost management. Net profit margin is positive but declined, suggesting pressure on bottom-line profitability. EBITDA and EBIT margins are stable but showed a slight decline in the most recent period, indicating efficient but pressured operational performance.

Balance Sheet

The company's debt-to-equity ratio appears relatively stable, reflecting a balanced approach to financing. Return on equity has improved, signaling better returns for shareholders. The equity ratio is within a reasonable range, suggesting a healthy balance between equity and assets. Overall, the balance sheet reveals a stable financial structure with manageable leverage.

Cash Flow

Operating cash flow has remained strong, although there is a slight decline in the most recent year. Free cash flow is positive and reflects efficient capital management. The cash flow ratios indicate a healthy cash generation relative to net income, supporting the company's ability to fund operations and growth. However, the slight decline in free cash flow growth rate requires attention.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	729.81M	729.81M	720.50M	734.67M	470.06M	323.67M
Gross Profit	123.74M	123.74M	146.73M	577.84M	74.40M	49.35M
EBITDA	104.12M	104.12M	73.39M	147.21M	-41.61M	34.14M
Net Income	39.47M	39.47M	1.62M	52.91M	-69.22M	-4.94M
Balance Sheet
Total Assets	604.96M	604.96M	594.43M	591.62M	444.76M	321.65M
Cash, Cash Equivalents and Short-Term Investments	89.43M	89.43M	47.32M	42.87M	58.22M	26.83M
Total Debt	150.96M	150.96M	63.02M	77.66M	55.46M	55.58M
Total Liabilities	423.77M	423.77M	480.03M	435.40M	383.30M	204.77M
Stockholders Equity	181.67M	181.67M	113.95M	155.98M	59.83M	116.96M
Cash Flow
Free Cash Flow	67.18M	67.18M	66.25M	69.27M	72.60M	60.35M
Operating Cash Flow	69.38M	69.38M	73.22M	76.42M	78.40M	64.46M
Investing Cash Flow	-12.89M	-12.89M	-67.58M	-23.97M	-32.23M	-27.82M
Financing Cash Flow	-71.76M	-71.76M	-19.39M	-55.08M	-14.79M	-38.24M

Next Fifteen Communications Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 293.50
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:NFG, the sentiment is Positive. The current price of 293.5 is below the 20-day moving average (MA) of 297.58, below the 50-day MA of 338.56, and above the 200-day MA of 284.34, indicating a neutral trend. The MACD of -10.14 indicates Negative momentum. The RSI at 49.48 is Neutral, neither overbought nor oversold. The STOCH value of 68.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:NFG.

Next Fifteen Communications Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PEBB	73 Outperform	£70.42M	12.80	7.09%	4.02%	1.24%	7.54%
SAA	65 Neutral	£149.09M	19.46	18.23%	1.17%	-21.19%	-29.54%
NFG	63 Neutral	£300.25M	18.90	9.53%	4.97%	-5.98%	-74.21%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
YOU	59 Neutral	£299.37M	22.16	7.16%	3.55%	15.99%	―
EBQ	48 Neutral	£20.15M	-1.61	-37.24%	―	-0.79%	-100.22%
SFOR	48 Neutral	£146.52M	-0.44	-45.75%	6.34%	-14.27%	-15466.67%

Next Fifteen Communications Corporate Events

Next Fifteen Announces Additional Share Listing

Next Fifteen Communications Group plc announced the issuance of 26,796 ordinary shares due to the vesting of awards under their Long-Term Incentive Plan. Additionally, the company has applied for the admission of 77,326 more shares to AIM, related to an RSU award for M Booth Health LLC, expected to be effective on December 8, 2025. This move increases the company’s total ordinary shares to 101,028,935, potentially enhancing its market positioning and shareholder value.

Next 15 Group Announces Total Voting Rights Update

Next 15 Group plc has announced that as of November 30, 2025, its issued share capital consists of 100,924,813 ordinary shares, with no shares held in treasury. This information is crucial for shareholders to determine their notification requirements under the Financial Conduct Authority’s Disclosure and Transparency Rules.

Next Fifteen Announces Long-Term Incentive Awards for Key Directors

Next Fifteen Communications Group plc has announced the issuance of performance share awards under its Long-Term Incentive Plan to key directors, including CEO Sam Knights and Mickey Kalifa. These awards are part of a strategic move to align leadership incentives with company performance, with targets tied to the company’s relative total shareholder return, organic revenue growth, and adjusted earnings per share over a three-year period. Additionally, a buy-out award was granted to Sam Knights, replacing his previous incentives from the company’s subsidiary, Shopper Media Group, as he transitions to his new role as CEO of Next Fifteen.

Next Fifteen Announces Capital Markets Day to Discuss Strategic Growth

Next Fifteen Communications Group plc has announced a Capital Markets Day scheduled for January 28, 2026, where it will update investors and analysts on its strategic initiatives and operational progress. The event will highlight the company’s focus on AI, data, and technology, efforts to streamline its structure, and its capital allocation strategy, all aimed at enhancing its market position and delivering sustainable long-term value.

Next 15 Directors Increase Shareholdings, Signaling Confidence

Next 15 Group plc announced that two of its directors, Mark Astaire and Mickey Kalifa, have purchased additional ordinary shares in the company. Mark Astaire, a Non-Executive Director, acquired 9,500 shares, while Mickey Kalifa, the Chief Financial Officer, purchased 31,250 shares. These transactions, conducted on the London Stock Exchange, reflect a vote of confidence in the company’s prospects and may positively influence stakeholder perception.

Next 15 Ends Acquisition Talks with Epiris

Next 15 Group plc has announced the termination of discussions with Epiris regarding the potential acquisition of some of its brands. The company emphasized its commitment to only consider disposals that reflect the strengths and prospects of its businesses, while continuing to trade in line with expectations and positioning itself to capitalize on market opportunities.

Next Fifteen Explores Potential Brand Sales Amid Simplification Strategy

Next Fifteen Communications has acknowledged recent media speculation about the potential sale of some of its brands. The company is in discussions to explore the terms of a possible disposal, aligning with its simplification strategy. The board emphasizes that any sale will only proceed if it meets minimum value thresholds and reflects the strengths and prospects of the brands involved. The primary goal remains to maximize shareholder value, with further updates to be provided as necessary.

Next Fifteen Sells Majority Stake in Blueshirt Group and BCA

Next Fifteen Communications Group has announced the sale of its majority-owned US-based capital markets advisory businesses, The Blueshirt Group and Blueshirt Capital Advisors, to their founders and senior management. This move is part of Next Fifteen’s strategy to focus on areas where it can drive long-term value creation and simplify its portfolio. The transaction allows Blueshirt to maintain its founder-led approach while enabling Next Fifteen to concentrate on its core sectors, reflecting a disciplined approach to portfolio management.

Next 15 Group Announces Total Voting Rights Update

Next 15 Group plc has announced that as of September 30, 2025, its issued share capital comprises 100,924,813 ordinary shares, with none held in treasury. This information is crucial for shareholders to determine their notification requirements under the Financial Conduct Authority’s Disclosure and Transparency Rules.

Next 15 Announces COO Departure and Transition Plan

Next Fifteen Communications Group plc announced the resignation of Jonathan Peachey as Chief Operating Officer, effective October 31, 2025. Peachey, who played a significant role in the company’s growth and strategic acquisitions, will remain as a Senior Advisor until January 2026 to ensure a smooth transition. His departure marks a pivotal moment for Next 15 as it continues to pursue its growth strategy under new leadership.

Next Fifteen Communications Reports Resilient H1 2025 Performance Amid Market Challenges

Next Fifteen Communications reported a robust performance for the first half of 2025 despite challenging market conditions, with a slight decline in net revenue and adjusted operating profit due to macroeconomic uncertainties and reduced technology client spend. The company has implemented a simplification strategy, reducing its portfolio from 22 to 12 businesses, and is winding down its Mach49 operations. Strong growth was observed in the public sector and retail media, with a focus on digital transformation and data-driven services. The company maintained its interim dividend and improved cash flow through effective working capital management, positioning itself well for future growth.

Next 15 Group to Announce Interim Results on 30 September 2025

Next 15 Group plc has announced that it will release its interim results for the period ending 31 July 2025 on 30 September 2025. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction, potentially influencing market perceptions and investment decisions.