Corero Network Security Plc (CNS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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 Corero Network Security Plc ?

Poor Management Efficiency with a low ROE of 2.42%

The company has been able to generate a Return on Equity (avg) of 2.42% signifying low profitability per unit of shareholders funds

With a fall in Net Sales of -12.41%, the company declared Very Negative results in Jun 25

ROCE(HY) Lowest at -9.83%
CASH AND EQV(HY) Lowest at GBP 2.27 MM
DEBT-EQUITY RATIO (HY) Highest at -15.58 %

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -32.86%, its profits have fallen by -190%

Underperformed the market in the last 1 year

Even though the market (FTSE 100) has generated returns of 15.58% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -32.86% returns

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Corero Network Security Plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Corero Network Security Plc

-32.86%

-0.29

55.53%

FTSE 100

13.98%

1.15

13.60%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

14.05%

EBIT Growth (5y)

11.29%

EBIT to Interest (avg)

-0.28

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.28

Sales to Capital Employed (avg)

1.27

Tax Ratio

4.51%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

4.28%

ROE (avg)

2.42%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

5.06

EV to EBIT

-46.61

EV to EBITDA

59.30

EV to Capital Employed

5.94

EV to Sales

3.29

PEG Ratio

Dividend Yield

ROCE (Latest)

-12.74%

ROE (Latest)

-10.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

No Trend

OBV

No Trend

Mildly Bullish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 0.92% (YoY

-19What is not working for the Company

ROCE(HY)

Lowest at -9.83%

CASH AND EQV(HY)

Lowest at GBP 2.27 MM

DEBT-EQUITY RATIO (HY)

Highest at -15.58 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 10.02 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.67 times

NET SALES(Q)

Lowest at GBP 8.41 MM

OPERATING PROFIT(Q)

Lowest at GBP -1.08 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -12.85 %

PRE-TAX PROFIT(Q)

Lowest at GBP -1.82 MM

NET PROFIT(Q)

Lowest at GBP -1.86 MM

EPS(Q)

Lowest at GBP -0

Here's what is working for Corero Network Security Plc

Raw Material Cost

Fallen by 0.92% (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

Here's what is not working for Corero Network Security Plc

Pre-Tax Profit

At GBP -1.82 MM has Fallen at -962.59%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (GBP MM)

Net Profit

At GBP -1.86 MM has Fallen at -762.49%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (GBP MM)

Net Sales

Lowest at GBP 8.41 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (GBP MM)

Operating Profit

Lowest at GBP -1.08 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (GBP MM)

Operating Profit Margin

Lowest at -12.85 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at GBP -1.82 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (GBP MM)

Net Profit

Lowest at GBP -1.86 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (GBP MM)

EPS

Lowest at GBP -0

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (GBP)

Cash and Eqv

Lowest at GBP 2.27 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -15.58 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 10.02 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 2.67 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio