Triad Group plc (TRD) AI Stock Analysis

• Market Cap: £54.18M
• Dividend Yield: 1.85%
• Average Volume (3M): 7.67K
• Price to Earnings (P/E): 71.0
• Beta (1Y): 0.09
• Revenue Growth: 26.44%
• EPS Growth: N/A
• Country: UK
• Employees: 133
• Sector: Technology
• Sector Strength: 43
• Industry: Information Technology Services
• EPS (TTM): 0.04
• Shares Outstanding: 16,670,387
• 10 Day Avg. Volume: 3,647
• 30 Day Avg. Volume: 7,670
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 4.27
• Price to Cash Flow (P/CF): -23.90
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Triad Group plc exhibits significant financial and technical challenges. Declining revenues and negative profitability margins weigh heavily on the financial performance score. Technical analysis indicators suggest continued bearish momentum, while the high P/E ratio indicates potential overvaluation. Although the recent corporate event of RSU vesting is positive, it does not outweigh the prevailing negative trends.

Triad Group plc Business Overview & Revenue Model

Company Description

Triad Group plc (TRD) is a UK-based consultancy that specializes in providing IT services and solutions. The company operates in sectors such as information technology, digital transformation, and business consulting. Triad Group offers a range of services, including IT strategy development, project management, software development, and digital transformation consulting.

How the Company Makes Money

Triad Group plc makes money primarily through consulting fees charged for its IT services and solutions. The company earns revenue by providing bespoke IT consulting, software development, and project management services to businesses across various industries. Key revenue streams include fees for IT strategy development, custom software solutions, and digital transformation initiatives. Triad Group also partners with technology vendors and leverages these partnerships to offer integrated solutions, which further contributes to its earnings. The company's ability to deliver tailored IT solutions and its reputation for quality consulting services are significant factors in its revenue generation.

Triad Group plc Financial Statement Overview

Summary

Triad Group plc is experiencing financial difficulties with declining revenue, negative profitability margins, and cash flow constraints. While the balance sheet maintains some stability with a manageable debt-to-equity ratio, overall financial performance is hindered by operational inefficiencies and cash management challenges.

Income Statement

Triad Group plc has seen a significant decrease in revenue over the past few years, with a revenue growth rate of -5.47% from 2023 to 2024. The company also reported a negative EBIT and EBITDA margin for 2024, indicating operational inefficiencies. Gross profit margin has decreased, and the net profit margin is negative, pointing to profitability challenges.

Balance Sheet

The balance sheet shows a manageable debt-to-equity ratio, with a decent level of stockholders' equity. However, the equity ratio has decreased slightly, reflecting reduced financial stability. The company maintains a positive cash position, contributing to a relatively stable liquidity profile.

Cash Flow

Free cash flow has turned negative in 2024, indicating cash constraints. The operating cash flow to net income ratio has deteriorated significantly, reflecting cash flow challenges. The company needs to improve its cash management to enhance financial flexibility.

Breakdown
Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
14.05M	14.86M	17.02M	17.82M	19.35M
	Gross Profit
2.82M	3.23M	4.51M	3.55M	2.59M
	EBIT
-1.28M	35.00K	1.11M	686.00K	-538.00K
	EBITDA
-990.00K	308.00K	1.38M	944.00K	-277.00K
	Net Income Common Stockholders
-1.01M	-44.00K	1.17M	685.00K	-761.00K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.05M	4.79M	5.33M	4.92M	3.84M
	Total Assets
6.50M	8.71M	8.88M	8.46M	7.82M
	Total Debt
753.00K	1.05M	426.00K	733.00K	938.00K
	Net Debt
-1.30M	-3.75M	-4.90M	-4.18M	-2.90M
	Total Liabilities
3.10M	3.51M	2.86M	3.18M	3.26M
	Stockholders Equity
3.40M	5.19M	6.02M	5.28M	4.55M
Cash Flow		Free Cash Flow
-1.51M	692.00K	1.07M	1.29M	-102.00K
	Operating Cash Flow
-1.47M	701.00K	1.21M	1.33M	64.00K
	Investing Cash Flow
54.00K	93.00K	-24.00K	80.00K	-23.00K
	Financing Cash Flow
-1.33M	-1.32M	-777.00K	-332.00K	-805.00K

Triad Group plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 325.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TRD, the sentiment is Negative. The current price of 325 is below the 20-day moving average (MA) of 361.25, below the 50-day MA of 365.18, and above the 200-day MA of 308.26, indicating a neutral trend. The MACD of -10.52 indicates Positive momentum. The RSI at 18.14 is Positive, neither overbought nor oversold. The STOCH value of 13.34 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:TRD.

Triad Group plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IDOX	69 Neutral	£264.47M	50.00	6.94%	1.03%	19.55%	-6.45%
Sector *	57 Neutral	$20.89B	10.40	-13.99%	2.52%	4.47%	-23.34%
KBT	55 Neutral	£42.45M	79.83	-8.92%	―	-46.97%	―
RM	51 Neutral	£93.46M	―	-22.14%	―	-14.88%	88.83%
TRD	42 Neutral	£54.18M	70.96	20.93%	1.85%	26.44%	―
SYN	38 Underperform	£3.19M	0.50	56.96%	―	-55.66%	―

Triad Group plc Corporate Events

Triad Group Plc Announces Vesting of 750,000 RSUs

Triad Group Plc announced the vesting of 750,000 Restricted Share Units (RSUs) for its ordinary shares, including allocations to key executive directors. This move follows shareholder approval and the fulfillment of performance conditions, enhancing the shareholdings of the company’s leadership and potentially impacting its market position positively.

Triad Group’s Director Executes Strategic Share Transaction

Triad Group Plc announced a transaction involving Alison Lander, a Non-Executive Director, who executed a ‘Bed and ISA’ transaction. She sold 5,634 ordinary shares and repurchased 5,592 shares into her Individual Savings Account, resulting in a total beneficial ownership of 177,248 shares, maintaining her 1.06% stake in the company’s voting rights. This transaction reflects a strategic financial maneuver by a key company figure, potentially impacting stakeholder perceptions and the company’s market dynamics.