Quixant (NXQ) AI Stock Analysis

• Market Cap: £49.74M
• Dividend Yield: 5.17%
• Average Volume (3M): 37.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.30
• Revenue Growth: -27.57%
• EPS Growth: -130.10%
• Country: UK
• Employees: 223
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Computer Hardware
• EPS (TTM): <0.01
• Shares Outstanding: 59,931,828
• 10 Day Avg. Volume: 23,037
• 30 Day Avg. Volume: 37,396
• PEG Ratio: -1.71
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.60
• P/FCF Ratio: 5.11
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: 97.00p ▲(35.66% Upside)

Quixant's overall stock score is driven by its solid financial performance and positive corporate events, which indicate strong strategic positioning and growth potential. However, the negative P/E ratio and moderate technical indicators temper the score, highlighting valuation concerns and the need for cautious optimism.

Positive Factors

Cash Generation

Strong cash generation capability supports Quixant's ability to fund operations and investments internally, enhancing financial flexibility.

Balance Sheet Stability

A strong equity base and low debt-to-equity ratio indicate financial stability, allowing Quixant to withstand economic fluctuations and invest in growth.

Revenue Growth Trajectory

Positive revenue growth trajectory, backed by efficient cash management, positions Quixant well for future opportunities in the hardware and equipment industry.

Negative Factors

Profitability Volatility

Volatility in profitability margins may impact Quixant's ability to maintain consistent earnings, posing a challenge to long-term financial performance.

Net Profit Margin Fluctuations

Fluctuations in net profit margin suggest challenges in maintaining consistent profitability, which could affect investor confidence and long-term growth.

Decline in Operating Efficiency

Declines in operating efficiency, as indicated by EBIT and EBITDA margins, may hinder Quixant's ability to sustain competitive advantage and profitability.

Quixant Business Overview & Revenue Model

Company Description

Nexteq plc operates as a business-to-business technology design and supply chain partner to industrial equipment manufacturers North America, Europe, Asia, Australia, rest of the United Kingdom, and internationally. It operates through two divisions, Quixant and Densitron. The Quixant segment engages in the design, development, and manufacture of gaming platforms and display solutions, such as cabinets and other computer platforms, as well as software for the casino gaming and slot machine industry. The Densitron is involved the sale of electronic display products, and control surfaces and systems to industrial markets, primarily broadcast and medical sectors. The company was formerly known as Quixant Plc and changed its name to Nexteq plc in May 2023. Nexteq plc was incorporated in 2001 and is headquartered in Crawley, the United Kingdom.

How the Company Makes Money

Quixant generates revenue through multiple streams, primarily by selling its proprietary gaming hardware and software solutions to manufacturers and operators in the gaming industry. The company earns significant income from the sale of its gaming platforms, which include both hardware components and software licenses. Additionally, Quixant benefits from ongoing support and maintenance contracts with its clients, providing a recurring revenue stream. Strategic partnerships with key players in the gaming sector further enhance its market reach and revenue potential, allowing for collaborative product development and distribution agreements that contribute to its overall earnings.

Quixant Financial Statement Overview

Summary

Quixant's financial health is solid, with strengths in cash generation and equity stability, though profitability margins reveal some volatility. The company's revenue growth trajectory is positive, supported by efficient cash flow management and conservative leverage, positioning it well for future opportunities in the hardware and equipment industry.

Income Statement

Quixant has demonstrated strong revenue growth over the years, with a notable increase from 2020 to 2023. Gross profit margin is healthy, reflecting efficient cost management. However, the net profit margin has seen fluctuations, indicating some volatility in profitability. The EBIT and EBITDA margins are reasonable, although recent declines suggest potential challenges in maintaining operating efficiency.

Balance Sheet

The company maintains a solid equity base with a strong equity ratio, indicating financial stability. The debt-to-equity ratio remains low, underscoring conservative leverage practices. Return on equity has shown variability, yet remains positive, reflecting effective use of equity in generating profits. Overall, the balance sheet reflects a stable financial position with manageable liabilities.

Cash Flow

Quixant has demonstrated robust operating cash flow, consistently exceeding net income, which indicates strong cash generation capability. Free cash flow has generally improved, showcasing the company's ability to fund operations and investments internally. The free cash flow to net income ratio indicates efficient cash conversion, supporting financial flexibility and resilience.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	106.83M	86.68M	114.35M	119.87M	87.13M	63.79M
Gross Profit	40.47M	31.11M	41.52M	31.30M	18.84M	15.64M
EBITDA	14.80M	4.54M	16.42M	12.24M	8.31M	1.71M
Net Income	10.51M	311.00K	10.90M	10.99M	3.56M	-2.96M
Balance Sheet
Total Assets	105.09M	85.49M	102.86M	79.78M	69.89M	59.74M
Cash, Cash Equivalents and Short-Term Investments	37.34M	29.47M	28.41M	11.23M	13.55M	13.76M
Total Debt	2.02M	2.74M	2.15M	1.99M	2.69M	2.69M
Total Liabilities	20.44M	14.87M	20.51M	19.75M	22.59M	13.39M
Stockholders Equity	84.65M	70.62M	82.35M	60.03M	47.31M	63.35M
Cash Flow
Free Cash Flow	22.84M	10.11M	17.52M	-1.61M	1.63M	1.35M
Operating Cash Flow	24.49M	12.97M	19.75M	651.09K	3.20M	3.10M
Investing Cash Flow	-2.68M	-1.51M	-1.77M	-2.78M	-2.17M	-2.24M
Financing Cash Flow	-3.49M	-10.64M	-3.22M	-2.51M	-2.71M	71.00K

Quixant Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 71.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:NXQ, the sentiment is Negative. The current price of 71.5 is below the 20-day moving average (MA) of 87.01, below the 50-day MA of 87.15, and below the 200-day MA of 73.10, indicating a bearish trend. The MACD of -1.76 indicates Positive momentum. The RSI at 6.08 is Positive, neither overbought nor oversold. The STOCH value of 14.54 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:NXQ.

Quixant Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MWE	75 Outperform	£38.36M	10.18	17.79%	4.44%	5.46%	12.34%
NXQ	70 Outperform	£49.74M	-19.02	-3.85%	5.17%	-27.57%	-130.10%
CNC	69 Neutral	£193.44M	39.87	12.29%	0.94%	22.72%	-8.82%
CML	66 Neutral	£49.82M	42.19	2.28%	3.69%	-21.33%	-11.35%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
CLCO	41 Neutral	£1.17M	―	―	―	―	―

Quixant Corporate Events

Nexteq PLC Strengthens Board with New Non-Executive Director Appointment

Nexteq PLC has appointed Deborah Wilkinson as an Independent Non-Executive Director and Chair of the Audit & Risk Committee, effective October 30, 2025. Deborah brings extensive finance and technology industry experience from her previous roles at Pennant International Group and IrvinGQ Limited. Her appointment is expected to enhance Nexteq’s strategic execution and governance as the company pursues its three-year plan. This move signals Nexteq’s commitment to strengthening its leadership team to support its growth and strategic objectives.

Nexteq plc Secures Shareholder Support at General Meeting

Nexteq plc announced that all resolutions were passed at their recent General Meeting, indicating strong shareholder support for the company’s strategic direction. This development is likely to enhance Nexteq’s operational capabilities and strengthen its market position in the industrial technology solutions sector.

Nexteq’s Quixant Brand Secures First Major Order in Brazil

Nexteq plc, through its Quixant brand, has secured its first mass production purchase order in Brazil, marking a significant milestone in entering the Brazilian gaming market. This development positions Nexteq to capitalize on further growth opportunities in Brazil’s state lottery sector, with expected revenue contributions in FY26, supporting the company’s long-term expansion plans.

Nexteq Reports Resilient H1 2025 Performance Amid Market Challenges

Nexteq reported a resilient performance for the first half of 2025, despite challenging market conditions, with strong order intake and cash generation. The company is focusing on revenue diversification and innovation, with new products and solutions in Gaming and Broadcast sectors contributing to pipeline growth. Despite a decline in revenue and profit compared to the previous year, Nexteq’s strategic reorganization and cost control measures have positioned it well for future growth, supported by a robust cash position and ongoing M&A discussions.