Computacenter Plc (CCC) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Bytes Technology Group Plc

Darktrace Plc

Softcat Plc

Kainos Group Plc

Computacenter Plc

Redcentric Plc

FDM Group (Holdings) Plc

KR1 Plc

Corero Network Security Plc

NCC Group Plc

Instem Plc

Why is Computacenter Plc ?

Strong Long Term Fundamental Strength with a 7.09% CAGR growth in Operating Profits

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 29.26
The company has been able to generate a Return on Capital Employed (avg) of 48.47% signifying high profitability per unit of total capital (equity and debt)

The company declared positive results in Dec'24 after negative results in Jun'24

OPERATING CASH FLOW(Y) Highest at GBP 848.6 MM
INTEREST COVERAGE RATIO(Q) Highest at 5,757.14
RAW MATERIAL COST(Y) Fallen by -2.28% (YoY)

With ROE of 19.78%, it has a attractive valuation with a 3.37 Price to Book Value

Over the past year, while the stock has generated a return of 36.67%, its profits have fallen by -0.3% ; the PEG ratio of the company is 2.4

Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks

Market Beating performance in long term as well as near term

Along with generating 36.67% returns in the last 1 year, the stock has outperformed FTSE 100 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Computacenter Plc should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Computacenter Plc for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Computacenter Plc

32.49%

0.35

30.88%

FTSE 100

16.5%

1.23

12.99%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.06%

EBIT Growth (5y)

7.09%

EBIT to Interest (avg)

29.26

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.55

Sales to Capital Employed (avg)

7.44

Tax Ratio

29.72%

Dividend Payout Ratio

45.78%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

48.47%

ROE (avg)

22.54%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.37

EV to EBIT

10.98

EV to EBITDA

8.10

EV to Capital Employed

4.31

EV to Sales

0.33

PEG Ratio

2.39

Dividend Yield

2.66%

ROCE (Latest)

39.23%

ROE (Latest)

19.78%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Bullish

OBV

Mildly Bullish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

Not enough Data to analyse Financial Trend

Here's what is working for Computacenter Plc

Operating Cash Flow

Highest at GBP 848.6 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (GBP MM)

Interest Coverage Ratio

Highest at 5,757.14

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at GBP 3,861 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (GBP MM)

Operating Profit

Highest at GBP 201.5 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (GBP MM)

Pre-Tax Profit

Highest at GBP 161.3 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (GBP MM)

Net Profit

Highest at GBP 110.99 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (GBP MM)

EPS

Highest at GBP 1

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (GBP)

Cash and Eqv

Highest at GBP 489.6 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -43.53 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 22.71%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -2.28% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales