Beeks Financial Cloud Group Plc (BKS) AI Stock Analysis

• Market Cap: £156.94M
• Dividend Yield: N/A
• Average Volume (3M): 170.31K
• Price to Earnings (P/E): 66.4
• Beta (1Y): 0.47
• Revenue Growth: 25.72%
• EPS Growth: 290.00%
• Country: UK
• Employees: 103
• Sector: Technology
• Sector Strength: 89
• Industry: Software - Infrastructure
• EPS (TTM): 0.39
• Shares Outstanding: 67,354,690
• 10 Day Avg. Volume: 172,421
• 30 Day Avg. Volume: 170,311
• PEG Ratio: 7.57
• Price to Book (P/B): 2.26
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -357.27
• 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: £335.00
• Price Target Upside: 43.78% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: 268.00p ▲(15.02%Upside)

Beeks Financial Cloud Group Plc's strong financial performance and positive corporate developments are major strengths, contributing significantly to the overall score. Technical indicators present a mix of bullish signals with potential overbought conditions, while the high P/E ratio suggests overvaluation risks. The absence of earnings call data limits insights into management's outlook.

Beeks Financial Cloud Group Plc Business Overview & Revenue Model

Company Description

Beeks Financial Cloud Group Plc (BKS) is a leading provider of cloud computing and connectivity solutions specifically tailored for the financial markets. The company operates in the sectors of financial technology and cloud infrastructure, offering an array of services that include Infrastructure as a Service (IaaS) and connectivity solutions. Beeks Financial Cloud enables its clients, which include financial institutions and trading firms, to deploy and manage their trading infrastructure within a secure and low-latency environment.

How the Company Makes Money

Beeks Financial Cloud Group Plc generates revenue primarily through the provision of cloud-based infrastructure and connectivity solutions. The company's key revenue streams include subscription fees for its Infrastructure as a Service (IaaS) offerings, which allow clients to access and utilize its secure and high-performance trading environments. Additionally, Beeks earns money through its connectivity services, providing secure and low-latency connections to key financial exchanges and data centers. Significant partnerships with financial exchanges and technology providers enhance its service offerings and expand its market reach, thereby contributing to its revenue growth.

Beeks Financial Cloud Group Plc Financial Statement Overview

Summary

Beeks Financial Cloud Group Plc exhibits strong financial performance, with impressive revenue growth and improved net profit margins. The balance sheet is solid with low leverage, and cash flow management is robust, indicating effective capital management. However, there is room for improvement in EBIT margins and return on equity.

Income Statement

Beeks Financial Cloud Group Plc demonstrates strong revenue growth, with a recent annual increase of 27% from 2023 to 2024. The gross profit margin is healthy at 39%, indicating efficient production cost management. Net profit margin improved significantly to 7.6%, reflecting enhanced profitability and operational efficiency. However, the EBIT margin is relatively low at 5.5%, suggesting potential room for cost management improvements.

Balance Sheet

The company maintains a solid equity base, with an equity ratio of 76% in 2024, indicating financial stability. The debt-to-equity ratio is low at 0.08, showing conservative leverage use, which reduces financial risk. Return on equity is moderate at 5.8%, highlighting room for enhancing shareholder returns.

Cash Flow

Beeks Financial Cloud Group Plc shows robust cash flow management, with the operating cash flow to net income ratio at 4.81, indicating strong cash generation from operations. Free cash flow has turned positive in 2024, showing improvement in capital management. The free cash flow to net income ratio is 1.71, highlighting effective conversion of profits to cash.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	31.32M	28.86M	22.72M	18.80M	11.62M	9.36M
Gross Profit	12.00M	11.34M	9.12M	7.94M	5.02M	4.51M
EBITDA	9.78M	8.71M	6.04M	5.15M	4.60M	2.82M
Net Income	2.32M	2.19M	-89.00K	826.00K	1.60M	575.00K
Balance Sheet
Total Assets	49.70M	49.50M	47.44M	44.75M	22.88M	16.83M
Cash, Cash Equivalents and Short-Term Investments	7.33M	7.70M	7.83M	10.16M	3.37M	1.43M
Total Debt	2.04M	2.89M	5.82M	5.88M	4.35M	4.69M
Total Liabilities	10.53M	12.00M	14.66M	13.99M	9.11M	10.12M
Stockholders Equity	39.17M	37.49M	32.79M	30.76M	13.77M	6.72M
Cash Flow
Free Cash Flow	5.11M	3.76M	-207.00K	-7.65M	-1.28M	-304.00K
Operating Cash Flow	8.72M	10.55M	6.94M	4.50M	5.47M	3.23M
Investing Cash Flow	-6.50M	-6.79M	-7.15M	-12.09M	-6.64M	-4.29M
Financing Cash Flow	-2.05M	-3.81M	-2.19M	14.38M	3.10M	149.00K

Beeks Financial Cloud Group Plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 233.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BKS, the sentiment is Positive. The current price of 233 is above the 20-day moving average (MA) of 219.00, above the 50-day MA of 215.71, and below the 200-day MA of 251.51, indicating a neutral trend. The MACD of 5.84 indicates Negative momentum. The RSI at 58.92 is Neutral, neither overbought nor oversold. The STOCH value of 52.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:BKS.

Beeks Financial Cloud Group Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BKS	73 Outperform	£156.94M	66.38	6.33%	―	25.72%	290.00%
IOM	66 Neutral	£32.99M	9.65	2.80%	8.89%	1.47%	-49.08%
SPT	66 Neutral	£1.12B	112.09	3.25%	―	-5.70%	-50.00%
Sector *	62 Neutral	£570.90M	24.23	-6.00%	2.32%	3.52%	-29.29%
CNS	60 Neutral	£71.70M	200.00	2.72%	―	6.95%	―
SYS	55 Neutral	£17.48M	―	-26.77%	―	2.89%	-804.62%
CLCO	54 Neutral	£1.84M	―		―	―	―

Beeks Financial Cloud Group Plc Corporate Events

Beeks Financial Cloud Group Expands Share Capital

Beeks Financial Cloud Group plc has announced the issuance of 37,500 ordinary shares following the exercise of options under its Employee Share Option Plan. These shares are set to be admitted to trading on AIM, increasing the company’s total issued shares to 67,354,694. This move reflects Beeks’ ongoing growth and commitment to enhancing its market presence, providing stakeholders with updated figures for shareholding calculations under FCA rules.

The most recent analyst rating on (GB:BKS) stock is a Buy with a £260.00 price target. To see the full list of analyst forecasts on Beeks Financial Cloud Group Plc stock, see the GB:BKS Stock Forecast page.

Beeks Financial Cloud CEO Sells Shares, Retains Major Stake

Beeks Financial Cloud Group plc announced that its CEO, Gordon McArthur, sold 260,000 ordinary shares for personal reasons, retaining a significant shareholding of 31.3% in the company. This transaction, conducted on the London Stock Exchange, does not alter the company’s operations or strategic direction but highlights the CEO’s substantial continued investment in the company.

The most recent analyst rating on (GB:BKS) stock is a Buy with a £260.00 price target. To see the full list of analyst forecasts on Beeks Financial Cloud Group Plc stock, see the GB:BKS Stock Forecast page.

Beeks Financial Cloud Partners with ASX for Innovative Cloud Solution

Beeks Financial Cloud Group plc has secured a multi-year contract with the Australian Securities Exchange (ASX) to provide its Exchange Cloud service, supporting ASX’s new Colocation on Demand offering. This partnership, structured as a revenue share deal, is expected to enhance Beeks’ recurring revenue and shorten sales cycles, while enabling ASX to offer scalable, secure cloud computing and trading infrastructure to a broader range of market participants. The collaboration is anticipated to lower entry barriers to the Australian financial markets, benefiting smaller firms and emerging software providers by reducing the complexity and cost of managing their own infrastructure.

The most recent analyst rating on (GB:BKS) stock is a Buy with a £260.00 price target. To see the full list of analyst forecasts on Beeks Financial Cloud Group Plc stock, see the GB:BKS Stock Forecast page.

Beeks Financial Cloud Expands Share Capital with New Issuance

Beeks Financial Cloud Group plc has announced the issuance of 33,500 new ordinary shares following the exercise of options under its Employee Share Option Plan. These shares are set to be admitted to trading on AIM, increasing the total number of shares in issue to 67,317,194. This move is part of Beeks’ ongoing efforts to enhance its market presence and operational capabilities in the financial cloud computing sector, potentially impacting shareholder calculations under FCA rules.

Beeks Financial Cloud Secures $2 Million Contract with Global Brokerage Firm

Beeks Financial Cloud Group plc has secured a multi-year Proximity Cloud contract valued at approximately $2 million with a leading global FX and multi-asset brokerage firm. This contract will enhance Beeks’ revenue from the second half of fiscal year 2025 and underscores the company’s strong sales momentum, following a recent win with Kraken. The deal highlights the increasing demand for Beeks’ cloud solutions as financial services firms advance their cloud strategies, positioning the company for further growth.

Beeks Financial Cloud Issues New Shares Following Option Exercise

Beeks Financial Cloud Group plc has announced the issuance of 99,255 ordinary shares following the exercise of options under its Employee Share Option Plan. These shares will be admitted to trading on AIM, with dealings expected to commence on or around 4 April 2025. This move will increase the total number of ordinary shares in issue to 67,283,694, impacting shareholder calculations under the FCA’s Disclosure and Transparency Rules.