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Pinewood Technologies (GB:PINE)
LSE:PINE
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Pinewood Technologies (PINE) AI Stock Analysis

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Pinewood Technologies

(LSE:PINE)

Rating:77Outperform
Price Target:
5.50p
▼(-98.89%Downside)
Pinewood Technologies demonstrates strong growth potential driven by robust financial performance, positive market momentum, and strategic corporate actions. Despite the lack of detailed valuation metrics, the company's strategic expansions and consistent insider buying signal a promising outlook.
Positive Factors
Acquisition Impact
The acquisition of Seez is seen as robustly earnings enhancing, a growth and proposition enhancer, and a strong strategic fit.
Financial Performance
11m comparable revenue grew +15% to £31.2m, and after significant investment in headcount to support future growth, 11m comparable uEBITDA was +7% to £14.0m.
Market Expansion
The opportunity in the Japanese market is significant, being approximately twice the size of the UK market.
Strategic Partnerships
Pinewood's deal with Volkswagen Group Japan demonstrates the building momentum at the company.
Negative Factors
Equity Raise
An oversubscribed equity raise was completed to support the acquisition, indicating strong investor confidence.
Share Dilution
The timing of the equity raise dilution has been adjusted, impacting the FY25 share count.

Pinewood Technologies (PINE) vs. iShares MSCI United Kingdom ETF (EWC)

Pinewood Technologies Business Overview & Revenue Model

Company DescriptionPinewood Technologies Group PLC operates as a cloud-based dealer management software provider that offers software solutions to the automotive industry in the United Kingdom and internationally. It offers end-to-end solution that empowers vehicle retailers with efficient business processes. The company was formerly known as Pendragon PLC and changed its name to Pinewood Technologies Group PLC in February 2024. Pinewood Technologies Group PLC was founded in 1981 and is headquartered in Nottingham, the United Kingdom.
How the Company Makes MoneyPinewood Technologies generates revenue primarily through the licensing of its dealer management software to automotive dealerships. The company employs a subscription-based model, wherein clients pay recurring fees for access to the software and associated support services. Additional revenue streams include consulting services for system implementation and integration, as well as training programs for dealership staff. Pinewood Technologies also forms strategic partnerships with automotive manufacturers and technology providers to enhance its service offerings, thereby expanding its market reach and contributing to its earnings.

Pinewood Technologies Financial Statement Overview

Summary
Pinewood Technologies exhibits a strong financial recovery with solid revenue and profit growth. The balance sheet is stable with good equity ratios and manageable debt levels, while cash flow generation remains a highlight. The company is well-positioned for future growth, with careful attention needed on potential cash flow volatility.
Income Statement
72
Positive
Pinewood Technologies has shown a recovery in revenue with a substantial increase from previous years, albeit with some fluctuations. Gross and net profit margins have improved significantly, demonstrating better cost management and operational efficiency. The EBIT and EBITDA margins reflect a solid operational performance, enhancing profitability.
Balance Sheet
68
Positive
The company's balance sheet indicates a strong equity position with a favorable equity ratio suggesting financial stability. The debt-to-equity ratio is low, indicating limited leverage risk. Return on equity is improving, highlighting effective use of shareholder funds, but there remains room for growth.
Cash Flow
75
Positive
Cash flow performance is robust, with operating cash flow covering net income effectively and positive free cash flow growth. The company has maintained strong cash flow generation, allowing for reinvestment and debt management, although fluctuations in financing activities signal potential volatility.
BreakdownDec 2024Mar 2024Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue34.04M22.62M3.62B3.42B2.77B
Gross Profit24.65M20.12M387.60M362.80M245.50M
EBITDA15.93M37.57M132.90M136.10M96.80M
Net Income6.22M37.94M45.50M61.50M-18.20M
Balance Sheet
Total Assets61.80M484.70M1.62B1.53B1.65B
Cash, Cash Equivalents and Short-Term Investments9.30M47.40M171.90M200.10M56.00M
Total Debt1.60M94.20M413.10M471.90M399.60M
Total Liabilities22.80M123.30M1.34B1.30B1.52B
Stockholders Equity39.00M360.40M281.00M225.60M126.70M
Cash Flow
Free Cash Flow1.60M7.57M31.80M44.60M-30.60M
Operating Cash Flow9.10M44.68M76.10M63.20M29.60M
Investing Cash Flow374.70M-43.75M-25.10M16.20M19.90M
Financing Cash Flow-421.90M-21.23M-19.30M-97.30M-50.50M

Pinewood Technologies Technical Analysis

Technical Analysis Sentiment
Positive
Last Price497.50
Price Trends
50DMA
427.84
Positive
100DMA
382.43
Positive
200DMA
358.88
Positive
Market Momentum
MACD
17.78
Negative
RSI
78.16
Negative
STOCH
90.19
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:PINE, the sentiment is Positive. The current price of 497.5 is above the 20-day moving average (MA) of 461.48, above the 50-day MA of 427.84, and above the 200-day MA of 358.88, indicating a bullish trend. The MACD of 17.78 indicates Negative momentum. The RSI at 78.16 is Negative, neither overbought nor oversold. The STOCH value of 90.19 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:PINE.

Pinewood Technologies Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
£471.73M
76
Outperform
£2.87B7.4918.69%3.33%-19.08%57.32%
73
Outperform
£283.11M6.2510.69%0.50%
GBVTU
64
Neutral
£192.27M11.135.09%3.77%0.94%-28.04%
62
Neutral
$16.79B10.79-7.01%3.04%1.73%-25.15%
55
Neutral
£141.57M46.6811.03%0.57%-17.31%47.33%
39
Underperform
£12.95M73.640.60%2.10%-0.42%-183.34%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:PINE
Pinewood Technologies
497.50
164.00
49.18%
GB:CFYN
Caffyns
475.00
24.90
5.53%
GB:INCH
Inchcape
762.50
-33.06
-4.16%
GB:MARS
Marston's
43.70
6.90
18.75%
GB:MOTR
Motorpoint
176.00
35.80
25.53%
GB:VTU
Vertu Motors
63.00
-8.21
-11.53%

Pinewood Technologies Corporate Events

Other
Pinewood Technologies CFO Purchases Shares, Signaling Confidence
Positive
Jul 7, 2025

Pinewood Technologies Group PLC announced a significant transaction involving the purchase of ordinary shares by its Chief Financial Officer, Oliver Mann. This move, executed on the London Stock Exchange, reflects confidence in the company’s future prospects and may influence stakeholder perceptions positively.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £550.00 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

M&A TransactionsBusiness Operations and Strategy
Pinewood Technologies Expands in Southern Africa with Strategic Acquisition
Positive
Jul 7, 2025

Pinewood Technologies Group PLC has announced the acquisition of key assets from the Motify Group’s Pinewood South Africa Business for £2.5 million, expected to complete on August 1, 2025. This strategic move allows Pinewood.AI to enhance its control over sales and customer service in Southern Africa, aiming to drive growth in the region. The acquisition aligns with Pinewood.AI’s focus on expanding its operations in Southern Africa, Asia Pacific, and Northern & Central Europe, and is anticipated to add £0.5m to £0.7m in annual EBITDA. The transaction will also involve the transfer of employees to maintain high service levels, reflecting the company’s commitment to strengthening its presence and customer relationships in Southern Africa.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £550.00 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

Regulatory Filings and Compliance
Pinewood Technologies Announces Change in Major Holdings
Neutral
Jul 1, 2025

Pinewood Technologies Group PLC, a UK-based company, has announced a change in its major holdings due to an acquisition or disposal of voting rights by Sellaronda Global Management LP, a firm registered in New York, USA. This notification indicates that Sellaronda Global Management LP now holds 3.007083% of the voting rights in Pinewood Technologies, amounting to 3,023,300 shares. This change in holdings could potentially impact Pinewood Technologies’ shareholder dynamics and influence future company decisions.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £550.00 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

Executive/Board ChangesShareholder MeetingsStock Buyback
Pinewood Technologies Announces AGM and General Meeting Results
Neutral
Jun 30, 2025

Pinewood Technologies Group PLC announced the results of its Annual General Meeting and General Meeting held on June 30, 2025. All resolutions, including the re-election of directors and the approval of financial reports, were passed, with some receiving significant support. However, the re-election of Chris Holzshu as a director received less than 80% of votes in favor, prompting the company to engage with dissenting shareholders to address their concerns. Additionally, the company approved resolutions related to share allotment and buyback, which could increase the Concert Party’s stake to up to 35.5% of the company’s issued share capital.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £550.00 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

Other
Pinewood Technologies Director Commits to Regular Share Purchases
Positive
Jun 27, 2025

Pinewood Technologies Group PLC announced that Dietmar Exler, a Non-Executive Director, has committed to purchasing the company’s ordinary shares regularly. This decision reflects confidence in the company’s future prospects and is expected to positively influence stakeholder sentiment and market perception.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £550.00 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Pinewood Technologies Grants Conditional Share Awards to Executives
Positive
Jun 12, 2025

Pinewood Technologies Group PLC has announced the granting of conditional share awards under its Long Term Incentive Plan (LTIP) and Deferred Share Plan (DSP) to its executive directors, William Berman and Oliver Mann. These awards are designed to align the interests of the executives with those of the shareholders, with vesting conditions tied to the company’s financial performance and market expansion in North America. The announcement reflects Pinewood’s commitment to incentivizing its leadership team to drive growth and enhance shareholder value.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £550.00 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

M&A TransactionsBusiness Operations and Strategy
Pinewood Technologies Expands North American Presence with Strategic Acquisition
Positive
Jun 6, 2025

Pinewood Technologies Group PLC has announced the acquisition of a 51% interest in Pinewood North America LLC from Lithia UK Holdings Limited for $76.5 million. This acquisition, facilitated by the issuance of new ordinary shares, is expected to strengthen Pinewood.AI’s market position in North America, enhancing its operational capabilities and offering potential growth opportunities for stakeholders.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £600.00 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

M&A TransactionsBusiness Operations and Strategy
Pinewood.AI Acquires Full Control of North American Joint Venture with Lithia
Positive
Jun 6, 2025

Pinewood.AI has announced an agreement to acquire Lithia’s 51% stake in their North American joint venture for $76.5 million in new shares, valuing the venture at $150 million. This acquisition will give Pinewood.AI full control over its North American operations, enabling it to expand its market presence and capitalize on the $6.5 billion automotive dealer software market. The company also secured a five-year contract with Lithia to implement its software across all Lithia sites in the US and Canada by 2028, projecting significant revenue growth. This strategic move is expected to enhance Pinewood.AI’s financial clarity, strengthen its partnership with Lithia, and support its medium-term growth ambitions in North America.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £590.00 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Pinewood Technologies Announces Board Changes Amid Strategic AI Focus
Neutral
Jun 4, 2025

Pinewood Technologies Group PLC announced that Nikki Flanders will step down from the Board, effective June 4, 2025, and will not seek re-election at the 2025 Annual General Meeting. Her responsibilities as Chair of the ESG Committee will be temporarily distributed among other Board members until a new independent Non-Executive Director is appointed. This transition marks a significant change in the Board’s composition, as the company continues to strengthen its strategic focus on AI development.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £4.55 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

Other
Pinewood Technologies Director Commits to Regular Share Purchases
Positive
May 28, 2025

Pinewood Technologies Group PLC announced that Dietmar Exler, a Non-Executive Director, has committed to purchasing the company’s ordinary shares regularly. This commitment involves buying £5,000 worth of shares monthly on the open market, indicating strong confidence in the company’s future prospects and potentially enhancing shareholder value.

The most recent analyst rating on (GB:PINE) stock is a Buy with a £550.00 price target. To see the full list of analyst forecasts on Pinewood Technologies stock, see the GB:PINE Stock Forecast page.

Business Operations and Strategy
Pinewood Technologies Secures Major Contract with Volkswagen Group Japan
Positive
Apr 29, 2025

Pinewood Technologies Group PLC has secured a significant five-year contract with Volkswagen Group Japan to implement its Automotive Intelligence™ platform in approximately 350 Volkswagen and Audi dealerships across Japan. This partnership aligns with Pinewood’s strategic focus on expanding its market presence in Japan and is expected to commence revenue generation in the first half of 2026, enhancing operational efficiencies and customer experience for Volkswagen Group Japan.

Business Operations and StrategyFinancial Disclosures
Pinewood Technologies Releases FY24 Annual Report, Highlights Strategic Growth
Positive
Apr 17, 2025

Pinewood Technologies Group PLC has published its Annual Report and Accounts for FY24, following the announcement of its results for the 11 months ended December 2024. The report is available on the company’s website and has been submitted to the National Storage Mechanism. This marks a significant step in Pinewood’s operations as an independent entity, highlighting its strategic moves to strengthen its market position and expand its reach, especially in North America, through its partnership with Lithia Motors Inc.

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.Date of analysis: Jul 08, 2025