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Cohort PLC (GB:CHRT)
LSE:CHRT

Cohort plc (CHRT) AI Stock Analysis

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GB

Cohort plc

(LSE:CHRT)

79Outperform
Cohort plc demonstrates a robust overall performance, driven by strong financials and strategic corporate moves. The company's solid revenue and profitability growth, coupled with effective cash management, strengthen its standing. Technical indicators show positive momentum, although valuation remains moderate. Recent corporate activities, such as leadership confidence through dividend reinvestment and strategic acquisitions, enhance the growth outlook, making the stock a promising prospect with some caution advised due to valuation levels.

Cohort plc (CHRT) vs. S&P 500 (SPY)

Cohort plc Business Overview & Revenue Model

Company DescriptionCohort plc (CHRT) is a leading independent technology group that operates primarily within the defense and security sectors. The company is composed of several subsidiary businesses, each specializing in different aspects of technology and innovation, including electronic systems, software solutions, and advisory services. Cohort plc focuses on delivering advanced solutions to enhance operational effectiveness for its clients, primarily in government and defense sectors.
How the Company Makes MoneyCohort plc generates revenue through a diversified model encompassing multiple subsidiaries, each contributing to the group's financial performance. The company earns money by providing bespoke technology solutions and services to government and defense clients, which include the development and supply of electronic systems, software, and advisory services. Key revenue streams include long-term contracts for defense and security projects, maintenance and support services, and the sale of proprietary technology products. Strategic partnerships with defense agencies and collaborations with other technology providers also play a significant role in the company's ability to secure large-scale projects and expand its market reach. Additionally, the company's focus on innovation and research and development helps in creating competitive offerings that further drive its revenue growth.

Cohort plc Financial Statement Overview

Summary
Cohort plc exhibits a solid financial performance with strong growth in revenue and profitability. The balance sheet is well-managed with adequate leverage, and cash flows are healthy, supporting operational and strategic initiatives. While the company shows a positive financial trajectory, maintaining vigilance on debt levels and market conditions is essential, given the aerospace and defense industry's inherent risks.
Income Statement
85
Very Positive
Cohort plc has shown strong revenue growth over the years, with a significant increase from £121.2M in 2019 to £202.5M in 2024, reflecting a robust growth trajectory. The gross profit margin has improved consistently, indicating efficiency in cost management. The net profit margin has also shown a healthy upward trend, reaching 7.6% in the latest period. The EBIT and EBITDA margins have strengthened, highlighting improved operational efficiency.
Balance Sheet
78
Positive
The company's balance sheet is solid, with a manageable debt-to-equity ratio of 0.37, indicating prudent financial leverage. The return on equity is positive at 14.1%, showcasing effective utilization of shareholder funds. The equity ratio stands at 43.1%, reflecting a balanced capital structure. However, continuous monitoring of debt levels is advised due to industry cyclicality.
Cash Flow
80
Positive
Cohort plc has demonstrated consistent growth in free cash flow, with an increase from £6.6M in 2019 to £16.4M in 2024, indicating robust cash generation capabilities. The operating cash flow to net income ratio is strong, suggesting effective conversion of profits into cash. Free cash flow to net income ratio is promising, reinforcing the company's ability to generate cash from operations sustainably.
Breakdown
Jun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
202.53M182.71M137.76M143.31M131.06M
Gross Profit
76.27M64.86M56.60M53.36M51.04M
EBIT
21.19M15.25M11.09M7.81M10.73M
EBITDA
29.25M22.13M20.78M20.34M19.97M
Net Income Common Stockholders
15.32M11.36M9.20M5.46M9.56M
Balance SheetCash, Cash Equivalents and Short-Term Investments
55.16M41.45M40.37M32.29M20.57M
Total Assets
252.50M210.69M203.17M190.88M154.41M
Total Debt
40.51M34.98M39.52M37.38M32.77M
Net Debt
-14.65M-6.47M-851.00K5.09M12.20M
Total Liabilities
142.66M110.91M113.98M105.83M72.62M
Stockholders Equity
108.67M97.02M83.97M79.31M75.54M
Cash FlowFree Cash Flow
16.36M11.29M17.52M14.97M8.94M
Operating Cash Flow
23.02M16.52M19.52M16.22M11.60M
Investing Cash Flow
-6.16M-6.11M-2.37M-2.54M-2.63M
Financing Cash Flow
-16.92M-10.57M-8.70M-1.55M-7.15M

Cohort plc Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1225.00
Price Trends
50DMA
1131.68
Positive
100DMA
1059.24
Positive
200DMA
942.07
Positive
Market Momentum
MACD
30.61
Negative
RSI
63.83
Neutral
STOCH
67.59
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CHRT, the sentiment is Positive. The current price of 1225 is above the 20-day moving average (MA) of 1111.80, above the 50-day MA of 1131.68, and above the 200-day MA of 942.07, indicating a bullish trend. The MACD of 30.61 indicates Negative momentum. The RSI at 63.83 is Neutral, neither overbought nor oversold. The STOCH value of 67.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CHRT.

Cohort plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
£545.11M25.1318.73%1.27%13.49%47.00%
75
Outperform
£6.78B27.6710.84%2.23%3.13%13.36%
GBBA
74
Outperform
$47.04B24.1317.85%1.92%14.01%6.03%
GBRR
72
Outperform
$62.29B24.56
14.70%3.76%
68
Neutral
£722.00M13.7731.92%4.11%3.43%7.24%
66
Neutral
£427.90M185.351.82%1.27%9.11%
62
Neutral
$8.16B12.850.64%3.04%3.83%-15.83%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:CHRT
Cohort plc
1,215.00
654.07
116.60%
GB:BA
BAE Systems
1,575.50
322.83
25.77%
GB:RR
Rolls-Royce Holdings
747.40
355.60
90.76%
GB:SMIN
Smiths Group plc
1,950.00
341.67
21.24%
GB:AVON
Avon Protection
1,400.00
434.96
45.07%
GB:MEGP
ME Group International
191.60
32.42
20.37%

Cohort plc Corporate Events

Regulatory Filings and Compliance
Cohort plc Announces Total Voting Rights Update
Neutral
Mar 3, 2025

Cohort plc announced its total voting rights as of February 28, 2025, with an issued share capital of 46,607,938 ordinary shares, each carrying one vote. This update is in line with the FCA’s Disclosure Guidance and Transparency Rule, allowing shareholders to calculate their interests in the company’s shares. The announcement reflects Cohort’s commitment to transparency and regulatory compliance, potentially impacting shareholder decisions and market perceptions.

DividendsBusiness Operations and Strategy
Cohort Executives Reinvest Dividends, Signaling Confidence in Growth
Positive
Feb 21, 2025

Cohort plc announced the reinvestment of dividends received by its Chief Executive, Andrew Thomis, and Finance Director, Simon Walther, along with their closely associated persons. This reinvestment involved the purchase of additional shares in the company, thereby slightly increasing their beneficial interests to 0.57% and 0.51% of the total issued share capital, respectively. The transactions occurred as part of automatic reinvestment plans across various accounts including ISAs and SIPs. This move reflects the executives’ continued confidence in the company’s prospects and may reassure stakeholders about the management’s commitment to the company’s growth.

Business Operations and StrategyFinancial Disclosures
Cohort plc Schedules Live Investor Presentation on Strategy and Results
Neutral
Feb 12, 2025

Cohort plc announced a live investor presentation on 21st February 2025, where CEO Andrew Thomis will present the company’s recent half-year results and corporate strategy. This event, accessible to both current and potential shareholders, aims to enhance understanding of Cohort’s strategic direction and operational performance, which could influence stakeholder perceptions and market positioning.

Business Operations and Strategy
Cohort Subsidiary MASS Secures Key Defence Contract Extension
Positive
Feb 12, 2025

Cohort plc’s subsidiary, MASS Consultants Ltd, has secured a two-year extension to the Joint Command and Staff Training (JCAST) contract with UK Strategic Command. This extension, valued at over £17.5 million, solidifies MASS’s role as a key service provider, reinforcing its reputation for delivering high-quality support in defence training. This contract extension highlights Cohort’s strategic positioning in the defence sector, enhancing its operational stability and affirming its trusted relationship with UK defence authorities.

Business Operations and StrategyFinancial Disclosures
Cohort plc to Present at Shares Spotlight Event
Neutral
Feb 10, 2025

Cohort plc announced that its CEO, Andrew Thomis, will present the company’s recent half-year results and corporate strategy at the Shares Spotlight event on February 18, 2025, in London. This presentation aims to engage with existing and potential investors, reflecting Cohort’s commitment to transparency and strategic growth in the defense market.

Business Operations and StrategyFinancial Disclosures
Cohort plc Announces Investor Presentation to Discuss Half-Year Results
Positive
Feb 5, 2025

Cohort plc announced that its Chief Executive, Andrew Thomis, will conduct a live presentation on the Engage Investor platform on February 19th to discuss the company’s recent half-year results and corporate strategy. This event aims to engage current shareholders and prospective investors by allowing them to submit questions and follow Cohort’s updates through a personalized investor hub. This presentation is positioned to enhance transparency and foster investor relations, potentially strengthening Cohort’s market position.

Regulatory Filings and Compliance
Cohort plc Discloses Total Voting Rights for January 2025
Neutral
Feb 3, 2025

Cohort plc has announced its total voting rights as of January 31, 2025, with an issued share capital of 46,606,088 ordinary shares, each carrying one vote. This update is crucial for shareholders for determining their interests in accordance with the FCA’s Disclosure Guidance and Transparency Rules. This announcement underscores Cohort’s commitment to transparency and regulatory compliance, potentially impacting shareholder engagement and market perception.

M&A TransactionsBusiness Operations and Strategy
Cohort plc Completes Acquisition of EM Solutions, Expanding Global Reach
Positive
Jan 31, 2025

Cohort plc has completed the acquisition of EM Solutions, a Brisbane-based company specializing in satellite communication terminals and RF subsystems for defence and commercial customers. This acquisition enhances Cohort’s naval systems service offering and expands its global footprint, positioning the group to better serve its existing and future clients.

Business Operations and StrategyFinancial Disclosures
Cohort plc to Present at MelloMonday Event
Neutral
Jan 24, 2025

Cohort plc announced its participation in the upcoming MelloMonday event on January 27, 2025, where Chief Executive Andrew Thomis will present the company’s recent half-year results and corporate strategy. This event provides an opportunity for stakeholders to engage with Cohort’s leadership and gain insights into the company’s operational plans and market positioning.

M&A Transactions
Cohort plc Set to Complete EM Solutions Acquisition
Positive
Jan 20, 2025

Cohort plc has announced the expected completion of its acquisition of EM Solutions by the end of January 2025. This acquisition is anticipated to enhance Cohort’s capabilities and market position in the defence technology sector, potentially providing new opportunities for growth and innovation for its stakeholders.

Cohort plc Releases Interim Report for 2024
Jan 14, 2025

Cohort plc has announced the release of its interim report for the six months ending on 31 October 2024, making it available to shareholders via their website. This report’s availability underscores Cohort’s commitment to transparency and timely communication with its stakeholders, potentially influencing its market positioning as it continues to cater to domestic and international defense markets.

Cohort’s ELAC Secures €16.4 Million Contract Amendment with Italian Navy
Jan 9, 2025

Cohort plc announced a €16.4 million contract amendment for its subsidiary ELAC Sonar, involving the delivery of sonar systems for an additional submarine for the Italian Navy, raising the total contract value to over €100 million. This contract demonstrates ELAC’s capability to meet high standards and is indicative of Cohort’s visibility in future revenues, strengthening its position in the defence industry.

Liontrust Reduces Stake in Cohort plc
Jan 6, 2025

Cohort plc, a UK-based company, has experienced a change in its major holdings. Liontrust Investment Partners LLP has reduced its voting rights in Cohort plc from 10.046% to 4.933%, indicating a significant divestment. This adjustment in holdings could impact Cohort plc’s shareholder dynamics and investor confidence moving forward.

Cohort plc Announces Total Voting Rights Update
Jan 2, 2025

Cohort plc has announced its total voting rights as of 31 December 2024, with an issued share capital of 46,571,003 ordinary shares, each carrying one vote. This update is in accordance with the FCA’s Disclosure Guidance and Transparency Rules, and it allows shareholders to determine their notification requirements regarding their stake in the company.

Cohort plc Revises Timeline for EM Solutions Acquisition
Dec 24, 2024

Cohort plc announced a revised timeline for the acquisition of EM Solutions Pty Ltd, a subsidiary of Electro Optic Systems Holdings Limited, with completion now expected by the end of February 2025. The company anticipates that any changes in the financial contribution from this acquisition for the fiscal year will be minimal, suggesting a limited immediate impact on Cohort’s financials, but potentially strengthening its strategic position in the technology and defense sectors.

Cohort PLC Announces Change in Major Shareholdings by Schroders
Dec 16, 2024

Cohort PLC has announced a change in their major shareholdings due to an acquisition or disposal of voting rights by Schroders PLC, a significant shareholder based in London, UK. On December 12, 2024, Schroders PLC’s holding in Cohort PLC dropped from 10.935607% to 9.979419%, indicating a shift in the distribution of voting rights, which may affect the company’s decision-making processes and stakeholder influence.

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.