You are here

Prices & Quotes - UK Markets - Computacenter (CCC)

Risk Warning The value of investments can fall as well as rise and any income from them is not guaranteed and you may get back less than you invested. Past performance is not a guide to future performance.

Share Price:
2,816.00p
Change Today:
0.000p
Market Cap:
3,454.89m
Sector:
Software & Computer Services

UBS initiates Softcat at 'sell', upgrades Computacenter to 'buy'

By Michele Maatouk

Date: Tuesday 21 Sep 2021

LONDON (ShareCast) - (Sharecast News) - UBS initiated coverage of Softcat with a 'sell' rating and 1,860p price target on Tuesday and upgraded Computacenter to 'buy' from 'neutral', hiking the price target to 3,290p from 2,520p.
The bank said that while Softcat's high return on invested capital warrants a premium, the stock is vulnerable to a de-rating as growth slows.

UBS said the market underestimates the risks from Softcat's high exposure to SMBs - a segment particularly vulnerable as the UK government ends financial support measures. It noted that at the end of January, Softcat had a bad debt provision of 3m, just 1.1% of receivables.

"With 9,500 customers as of FY 20 in the UK & Ireland of which 3,800 spend less than 10k a year and just 300 more than 1m, we believe Softcat is more exposed to this risk than peers," it said.

The bank also reckons Softcat may see a slowdown in hardware spending growth in FY22 in the UK as remote-working and semiconductor-shortage induced demand fade.

"While software spending will be robust it is lower margin, dragging down profitability," it said. "Longer-term, we believe Softcat could also see margin pressure as it has a lower proportion of business coming from services than peers, and we see services as a differentiator that gives pricing power."

UBS said its 'buy' rating on Computacenter is predicated on the view that it can continue to benefit from its limited exposure to SMB bad debt risks and successful growth of its US presence via new local outsourcing relationships and the maturing of its US cloud relationships.

"A more mature managed services market aside, we think Computacenter is likely to see robust demand in Germany and the US which combined accounted for nearly 60% of sales in H1," it said.

Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

 

Computacenter Market Data

Currency UK Pounds
Price 2,816.00p
Change Today 0.000p
52 Week High 3,030.00p
52 Week Low 2,086.00p
Volume 365,315
Shares Issued 122.69m
Market Cap 3,454.89m
Beta 0.61

Performance Indicators

Compare performance with the sector and the market.

Key
Vs Market
Vs Sector
Value
market
  1. empty market
  2. empty market
  3. empty market
  4. empty market
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. empty sector
  5. empty sector
Price Trend
market
  1. full market star
  2. full market star
  3. full market star
  4. full market star
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. half sector star
  5. empty sector
Income
market
  1. full market star
  2. half market star
  3. empty market
  4. empty market
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. half sector star
  5. empty sector
Growth
market
  1. full market star
  2. full market star
  3. full market star
  4. full market star
  5. half market star
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. full sector star
  5. half sector star
Price Chg 6m
market
  1. full market star
  2. full market star
  3. full market star
  4. half market star
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. half sector star
  5. empty sector
P/E
market
  1. full market star
  2. full market star
  3. half market star
  4. empty market
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. full sector star
  5. empty sector
PEG
market
  1. half market star
  2. empty market
  3. empty market
  4. empty market
  5. empty market
sector
  1. full sector star
  2. empty sector
  3. empty sector
  4. empty sector
  5. empty sector
Dividend Yield
market
  1. full market star
  2. half market star
  3. empty market
  4. empty market
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. empty sector
  5. empty sector
EPS Growth
market
  1. full market star
  2. full market star
  3. full market star
  4. full market star
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. full sector star
  5. empty sector
Operating Margin
market
  1. full market star
  2. full market star
  3. empty market
  4. empty market
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. half sector star
  4. empty sector
  5. empty sector

What The Brokers Say

Strong Buy 5
Buy 0
Neutral 2
Sell 0
Strong Sell 0
Total 7
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Computacenter Dividends

  Latest Previous
  Interim Final
Ex-Div 23-Sep-21 03-Jun-21
Paid 22-Oct-21 02-Jul-21
Amount 16.90p 38.40p

Trades for 01-Dec-2021

Time Volume / Share Price
16:28 24 @ 2,816.00p
16:26 11 @ 2,816.00p
16:26 7 @ 2,816.00p
16:26 11 @ 2,816.00p
16:26 35 @ 2,816.00p

Computacenter Key Personnel

CEO Michael J Norris