PCI PAL (PCIP) AI Stock Analysis

• Market Cap: £37.31M
• Dividend Yield: N/A
• Average Volume (3M): 38.31K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.33
• Revenue Growth: 20.56%
• EPS Growth: 83.30%
• Country: UK
• Employees: 119
• Sector: Technology
• Sector Strength: 86
• Industry: Software - Infrastructure
• EPS (TTM): >-0.01
• Shares Outstanding: 72,452,590
• 10 Day Avg. Volume: 9,891
• 30 Day Avg. Volume: 38,306
• PEG Ratio: -1.14
• Price to Book (P/B): -17.40
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.88
• 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

• Rating: 59 Neutral
• Price Target: 54.00p ▲(4.85%Upside)

PCI PAL's overall stock score reflects solid short-term price momentum and revenue growth. However, the financial instability due to negative equity and ongoing net losses, coupled with a challenging valuation, weigh down the score. Continued focus on improving profitability and strengthening the balance sheet are critical for future performance.

PCI PAL Business Overview & Revenue Model

Company Description

PCI Pal (PCIP) is a leading provider of secure payment solutions, specializing in safeguarding sensitive customer data during telephonic and digital transactions. Operating primarily in the technology and financial services sectors, the company offers cloud-based products designed to prevent fraud and ensure compliance with the Payment Card Industry Data Security Standard (PCI DSS). By delivering innovative technologies, PCI Pal enables businesses to securely handle customer payment information across various communication channels, including phone, chat, and social media.

How the Company Makes Money

PCI Pal generates revenue primarily through a Software as a Service (SaaS) model, whereby businesses subscribe to its secure payment solutions on a recurring basis. The company offers a suite of products that integrate with existing customer service and payment systems, charging clients based on the number of transactions processed or through fixed subscription fees. Key revenue streams include subscription fees for its cloud-based security services and transaction-based fees from the usage of its products. Additionally, PCI Pal may engage in strategic partnerships with contact center software providers and payment processors, enhancing its market reach and contributing to its revenue through collaborative offerings.

PCI PAL Financial Statement Overview

Summary

PCI PAL shows strong revenue growth and improved cash flow management. However, persistent net losses and negative equity present concerns, indicating financial instability and the need for improved profitability.

Income Statement

PCI PAL has demonstrated impressive revenue growth, notably a 20.17% increase from 2023 to 2024. The gross profit margin is robust at 89.20% in 2024, indicating strong cost management. However, the company continues to incur net losses, with a net profit margin of -6.56% in 2024, suggesting the need for improved profitability.

Balance Sheet

The balance sheet reveals a concerning negative stockholders' equity of -$1.97 million in 2024, indicating financial instability. The equity ratio is negative, highlighting a potential risk of insolvency. The company has minimal debt, which is advantageous, but the negative equity presents a significant risk factor.

Cash Flow

PCI PAL has significantly improved its operating cash flow, moving from a deficit to a positive $1.83 million in 2024. The free cash flow, although negative, has improved substantially. The operating cash flow to net income ratio is positive, indicating efficient cash flow management relative to net income.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	19.80M	17.96M	14.95M	11.94M	7.36M	4.40M
Gross Profit	16.20M	16.02M	11.94M	9.04M	4.82M	2.50M
EBITDA	858.00K	-248.00K	-3.69M	-2.12M	-3.26M	-3.68M
Net Income	-694.00K	-1.18M	-4.89M	-2.94M	-4.04M	-4.13M
Balance Sheet
Total Assets	14.70M	15.52M	11.51M	12.95M	13.69M	9.25M
Cash, Cash Equivalents and Short-Term Investments	4.00M	4.33M	1.17M	4.89M	7.52M	4.30M
Total Debt	0.00	23.00K	67.00K	109.00K	15.00K	1.32M
Total Liabilities	16.74M	17.49M	15.62M	12.77M	9.76M	7.34M
Stockholders Equity	-2.04M	-1.97M	-4.11M	185.00K	3.93M	1.91M
Cash Flow
Free Cash Flow	1.88M	-235.00K	-3.68M	-2.63M	-762.00K	-3.00M
Operating Cash Flow	1.91M	1.83M	-2.02M	-1.36M	198.00K	-1.66M
Investing Cash Flow	-1.93M	-2.03M	-1.66M	-1.27M	-960.00K	-1.33M
Financing Cash Flow	3.23M	3.37M	-42.00K	5.00K	3.98M	5.81M

PCI PAL Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 51.50
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:PCIP, the sentiment is Neutral. The current price of 51.5 is above the 20-day moving average (MA) of 49.95, above the 50-day MA of 48.35, and below the 200-day MA of 56.92, indicating a neutral trend. The MACD of 1.14 indicates Negative momentum. The RSI at 66.44 is Neutral, neither overbought nor oversold. The STOCH value of 43.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:PCIP.

PCI PAL Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PAY	75 Outperform	£597.26M	31.99	18.01%	1.70%	43.88%	28.50%
BOKU	74 Outperform	£604.79M	208.16	2.71%	―	16.77%	-63.97%
BKS	73 Outperform	£154.92M	65.53	6.33%	―	25.72%	290.00%
Sector *	63 Neutral	£571.22M	24.42	-6.00%	2.36%	3.52%	-29.29%
CNS	60 Neutral	£72.98M	203.57	2.72%	―	6.95%	―
PCIP	59 Neutral	£37.31M	―		―	20.56%	83.30%

PCI PAL Corporate Events

PCI Pal Expands Equity with New Share Issuance

PCI Pal, a global cloud provider of secure payment solutions, has announced the issuance of 10,000 new ordinary shares following an employee’s exercise of options. These shares will be admitted to trading on AIM, increasing the company’s total voting rights to 72,452,589. This move is part of PCI Pal’s ongoing efforts to enhance its market presence and operational capabilities, potentially impacting shareholder interests and compliance with FCA regulations.

PCI-PAL Announces Change in Major Shareholding

PCI-PAL PLC, a company involved in secure payment solutions, has announced a change in its major shareholding structure. Canaccord Genuity Group Inc., based in Vancouver, Canada, has adjusted its voting rights in PCI-PAL, reducing its stake from 13.9536% to 12.9448%. This change reflects a shift in the company’s ownership dynamics, potentially impacting its strategic decisions and stakeholder interests.