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Carr's Group PLC (GB:CARR)
LSE:CARR
UK Market

Carr's Group plc (CARR) AI Stock Analysis

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GBCarr's Group plc
(LSE:CARR)
56Neutral
The overall stock score reflects significant challenges in financial performance, with declining revenues and negative income being key concerns. Technical analysis indicates neutral momentum, while valuation is hampered by a negative P/E ratio despite a reasonable dividend yield. The recent corporate event of granting options under the LTIP provides a positive outlook for future growth and alignment with shareholder interests. Addressing profitability issues and improving revenue generation will be critical for enhancing the stock's appeal.

Carr's Group plc (CARR) vs. S&P 500 (SPY)

Carr's Group plc Business Overview & Revenue Model

Company DescriptionCarr's Group plc (CARR) is a United Kingdom-based company engaged in the provision of essential products and services across the agriculture and engineering sectors. The company operates through three main divisions: Agriculture, Engineering, and Specialty Agriculture. Its Agriculture division supplies animal feed, farm machinery, and fertiliser, while the Engineering division offers bespoke engineering solutions primarily to the nuclear, oil and gas, and pharmaceutical industries. The Specialty Agriculture division focuses on the production and supply of feed blocks and other nutritional products for livestock.
How the Company Makes MoneyCarr's Group plc generates its revenue mainly through the sale of agricultural products and services, comprising animal feed, farm machinery, and fertilisers, which are critical to the agricultural industry. The Engineering division contributes by providing tailored engineering solutions and services to sectors such as nuclear, oil and gas, and pharmaceuticals, which are often high-value and long-term contracts. The Specialty Agriculture division further enhances revenue by producing and selling feed blocks and other nutritional products globally. The company's earnings are also bolstered by strategic partnerships and collaborations with industry players to expand its market reach and enhance its product offerings.

Carr's Group plc Financial Statement Overview

Summary
Carr's Group plc faces profitability challenges with declining revenues and negative income, impacting its income statement performance. Despite these challenges, the company maintains a stable balance sheet with manageable debt levels. Cash flow management shows signs of improvement, yet historical inconsistencies highlight potential risks. Overall, the company needs to address its revenue and profit generation strategies to enhance its financial health.
Income Statement
45
Neutral
The income statement shows significant challenges with declining revenues and negative net income in the latest year, indicating profitability issues. The negative EBIT and EBITDA margins further highlight operating difficulties. Revenue has decreased sharply compared to the previous period.
Balance Sheet
65
Positive
The balance sheet reflects moderate financial stability with a reasonable debt-to-equity ratio and positive stockholders' equity. However, the total assets have decreased, which might indicate challenges in asset management or growth. Still, the company maintains a positive equity ratio, suggesting some level of financial resilience.
Cash Flow
70
Positive
The cash flow statement shows improvement in free cash flow, indicating better cash management compared to the previous year. The operating cash flow to net income ratio is positive, suggesting efficient cash conversion despite net losses. However, previous periods had negative free cash flow, indicating inconsistency in cash generation capabilities.
Breakdown
TTMSep 2024Sep 2023Sep 2022Sep 2021Sep 2020
Income StatementTotal Revenue
81.37M75.70M143.21M124.24M120.32M395.63M
Gross Profit
17.80M14.27M32.29M27.75M29.09M49.73M
EBIT
2.17M-6.79M1.95M10.36M9.03M12.56M
EBITDA
5.15M-4.03M6.72M12.79M12.49M18.65M
Net Income Common Stockholders
2.82M-5.72M-226.00K2.71M7.66M8.42M
Balance SheetCash, Cash Equivalents and Short-Term Investments
21.58M13.71M23.12M22.52M24.31M17.57M
Total Assets
156.42M143.80M160.02M307.56M262.69M244.81M
Total Debt
20.17M6.39M25.74M44.08M49.70M50.39M
Net Debt
-1.41M-7.32M2.62M21.57M25.39M32.82M
Total Liabilities
48.73M48.87M52.15M175.23M128.13M113.17M
Stockholders Equity
107.69M94.93M107.88M118.13M117.40M114.83M
Cash FlowFree Cash Flow
4.20M6.25M-3.83M-5.83M16.91M10.73M
Operating Cash Flow
5.53M7.44M-919.00K-1.79M20.05M17.35M
Investing Cash Flow
2.67M392.00K23.18M-7.03M-3.89M-8.14M
Financing Cash Flow
-5.54M-10.47M-36.30M13.65M-6.47M-22.21M

Carr's Group plc Technical Analysis

Technical Analysis Sentiment
Positive
Last Price132.50
Price Trends
50DMA
125.60
Positive
100DMA
120.81
Positive
200DMA
126.35
Positive
Market Momentum
MACD
1.65
Positive
RSI
49.75
Neutral
STOCH
12.52
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CARR, the sentiment is Positive. The current price of 132.5 is below the 20-day moving average (MA) of 136.16, above the 50-day MA of 125.60, and above the 200-day MA of 126.35, indicating a neutral trend. The MACD of 1.65 indicates Positive momentum. The RSI at 49.75 is Neutral, neither overbought nor oversold. The STOCH value of 12.52 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CARR.

Carr's Group plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
GBPFD
81
Outperform
£1.53B14.328.03%0.95%5.90%11.24%
GBABF
76
Outperform
£13.95B9.8913.06%3.29%1.64%44.38%
GBNWF
76
Outperform
£86.54M10.789.64%4.64%-5.38%-38.50%
66
Neutral
£2.32B12.5312.23%3.66%-11.03%-2.05%
63
Neutral
$20.85B13.27-10.88%7.48%1.13%11.50%
GBFGP
58
Neutral
£990.77M11.2314.51%3.29%2.16%243.88%
56
Neutral
£125.13M-6.03%4.00%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:CARR
Carr's Group plc
130.25
9.98
8.30%
GB:TATE
Tate & Lyle
526.50
-52.56
-9.08%
GB:FGP
Firstgroup
171.90
13.92
8.81%
GB:ABF
Associated British Foods
1,930.50
-277.58
-12.57%
GB:NWF
NWF Group plc
175.00
-17.17
-8.93%
GB:PFD
Premier Foods
177.00
24.81
16.30%

Carr's Group plc Corporate Events

Executive/Board ChangesShareholder Meetings
Carr’s Group PLC Announces AGM Outcomes and Leadership Transition
Neutral
Feb 14, 2025

Carr’s Group plc announced the successful completion of its Annual General Meeting held on 14 February 2025, where all proposed resolutions were passed. In addition, the company disclosed an upcoming change in company secretary, with Paula Robertson set to succeed Justin Richards on 1 April 2025. This transition reflects the company’s ongoing commitment to enhancing its governance and operational frameworks.

Regulatory Filings and Compliance
Carr’s Group PLC Updates on Shareholder Voting Rights
Neutral
Feb 14, 2025

Carr’s Group PLC, a UK issuer, announced a voluntary disclosure regarding its substantial shareholder, FMR LLC. The notification highlights a minor update in the voting rights held by FMR LLC, which now stands at 10.0449%, with no changes through financial instruments. This update reflects a slight adjustment from the previous position, marginally impacting the company’s shareholder structure.

M&A TransactionsBusiness Operations and Strategy
Changes in Voting Rights for Carr’s Group PLC
Neutral
Jan 31, 2025

Carr’s Group PLC, a UK-based company, has experienced a change in its voting rights structure due to an acquisition or disposal involving Harwood Capital LLP. As of January 30, 2025, Harwood Capital LLP increased its voting rights in Carr’s Group PLC to 21.07203%, up from a previous position of 20.91320%. This adjustment reflects an increase in influence by Harwood Capital LLP via its associated entities, potentially impacting Carr’s Group’s governance and strategic decisions.

Financial DisclosuresRegulatory Filings and Compliance
Carr’s Group Issues Correction to Directors’ Remuneration Report
Neutral
Jan 30, 2025

Carr’s Group plc has issued a correction to its Directors’ Remuneration Report in the recently published Annual Report and Accounts for the year ending 31 August 2024. The correction addresses errors in the CEO’s reported bonus and total remuneration figures. The inaccuracies in the report do not impact the company’s financial statements, such as profit or earnings per share. This correction aims to ensure transparency and accuracy in the company’s reporting, reflecting its commitment to correct governance practices.

Business Operations and StrategyFinancial Disclosures
Carr’s Group plc Grants Options to CEO Under LTIP
Positive
Jan 23, 2025

Carr’s Group plc announced the granting of options under its Long Term Incentive Plan 2023 to certain key managerial figures, including CEO David White, covering a substantial number of ordinary shares. These options are contingent on performance metrics centered on adjusted Earnings Per Share and Total Shareholder Return over a three-year period, aiming to drive growth and enhance shareholder value.

Executive/Board ChangesBusiness Operations and Strategy
Carr’s Group plc Awards CEO Share Options Under Deferred Bonus Plan
Neutral
Jan 23, 2025

Carr’s Group plc announced on January 23, 2025, that its CEO, David White, received an award of options over 15,971 ordinary shares, as part of the company’s Deferred Bonus Share Plan 2023. This award aligns with the Directors’ Remuneration Policy, requiring 25% of an annual cash bonus to be deferred into shares, with a vesting period of two years. This move is significant for stakeholders as it reflects the company’s commitment to aligning executive incentives with long-term shareholder value.

Harwood Capital Increases Stake in Carr’s Group PLC
Jan 17, 2025

Carr’s Group PLC has announced a change in its major shareholders, with Harwood Capital LLP increasing its voting rights in the company to 20.91320%. This shift suggests a strategic move by Harwood Capital, potentially affecting the company’s governance and future strategic decisions, which could have implications for stakeholders and influence Carr’s market position.

Carr’s Group Sells Engineering Division to Focus on Agriculture
Jan 16, 2025

Carr’s Group plc has announced the sale of its Engineering Division to Cadre Holdings, Inc. for £75 million, a move aimed at simplifying its business structure and focusing solely on its agriculture operations. This strategic decision is expected to unlock significant shareholder value, allowing Carr’s to concentrate investments in its Agriculture Division, enhance financial flexibility, and drive growth in its specialized livestock supplement products. The company plans to return up to £70 million to shareholders through a tender offer, reflecting its commitment to delivering shareholder value as it transitions to a pure-play agriculture business.

Carr’s Group Updates Total Voting Rights
Dec 30, 2024

Carr’s Group plc has announced that its issued share capital now consists of 94,437,970 ordinary shares, each carrying one vote, with no shares held in treasury. This update in total voting rights is significant for shareholders as it affects how they calculate their interests in the company, in compliance with the Financial Conduct Authority’s Disclosure and Transparency Rules.

Carr’s Group Announces 2025 AGM and Publishes FY24 Report
Dec 24, 2024

Carr’s Group plc has announced its 2025 Annual General Meeting, scheduled for February 14, 2025, at The Halston Hotel in Carlisle. The company has also published its Annual Report and Accounts for the fiscal year ending August 31, 2024. These documents are accessible online for shareholders and have been submitted to the Financial Conduct Authority. This announcement ensures transparency and keeps stakeholders informed about the company’s financial health and future plans.

Carr’s Group Reports FY24 Results and Strategic Focus on Agriculture
Dec 12, 2024

Carr’s Group plc reported its full-year results for the year ending August 31, 2024, revealing a strategic shift towards strengthening its Agriculture Division following a challenging year marked by economic and climatic difficulties. The Group is in the process of selling its Engineering Division to optimize shareholder value and focus on its core agricultural operations, aiming for profitable growth and expansion into new markets. Despite a statutory loss, the company showed growth in like-for-like revenue and adjusted profit, and remains optimistic about future prospects, driven by a refreshed leadership team and strategic transformations.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.