Want to see GB:KNOS full AI Analyst Report?
Top Page
Kainos Group plc
(LSE:KNOS)
Select Model
Select Model
Rating:73Outperform
Price Target:
1,465.00 p
▲(19.11% Upside)
Action:Reiterated
Date:08/19/26
The score is driven primarily by strong financial performance (re-accelerating revenue growth, solid profitability and free cash flow, and very low leverage). Technicals are supportive but appear overextended (very high RSI/Stoch), while valuation is a constraint due to a relatively high P/E despite a moderate dividend yield.
Positive Factors
Revenue Growth
The return to double-digit revenue growth demonstrates renewed demand for Kainos’s digital transformation and Workday services. Re-accelerating sales can support better utilisation, reinforce customer relationships, and provide a durable base for continued earnings growth over the next several quarters.
Negative Factors
Margin Compression
Falling operating margins indicate that revenue growth is not currently producing the same level of operating leverage as in prior years. If this trend persists, cost pressure could limit profit growth, reduce reinvestment capacity, and weaken the earnings benefit of future sales expansion.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth
The return to double-digit revenue growth demonstrates renewed demand for Kainos’s digital transformation and Workday services. Re-accelerating sales can support better utilisation, reinforce customer relationships, and provide a durable base for continued earnings growth over the next several quarters.
Read all positive factors
Kainos Group plc (KNOS) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£1.50B
Dividend Yield2.3%
Average Volume (3M)326.62K
Price to Earnings (P/E)36.8
Beta (1Y)1.01
Revenue Growth17.39%
EPS Growth24.79%
CountryUK
Employees3,216
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)0.35
Shares Outstanding116,263,725
10 Day Avg. Volume256,557
30 Day Avg. Volume326,624
Financial Highlights & Ratios
PEG Ratio0.83
Price to Book (P/B)8.70
Price to Sales (P/S)2.03
P/FCF Ratio16.57
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£1,286.25Price Target Upside4.57% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering4
EPS Forecast (FY)0.53
Revenue Forecast (FY)£541.05M
Kainos Group plc Business Overview & Revenue Model
Company Description
Kainos Group plc is a UK-based provider of digital technology services. The company is structured into two main segments: Digital Services and Workday Practice. The Digital Services arm is responsible for the complete development lifecycle of besp...
How the Company Makes Money
Kainos makes money primarily by selling professional services and related support to organisations undertaking digital transformation and enterprise cloud modernisation.
1) Digital Services revenue: Kainos earns fees for consulting and delivery w...
Kainos Group plc Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
86
Very Positive
Cash Flow
78
Positive
| Breakdown | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 431.10M | 367.25M | 382.39M | 374.81M | 302.63M |
| Gross Profit | 198.91M | 175.91M | 187.31M | 177.16M | 140.25M |
| EBITDA | 55.56M | 54.47M | 73.33M | 56.23M | 51.15M |
| Net Income | 42.50M | 35.56M | 48.72M | 41.65M | 35.77M |
Balance Sheet | |||||
| Total Assets | 273.51M | 267.06M | 278.84M | 233.60M | 207.22M |
| Cash, Cash Equivalents and Short-Term Investments | 82.81M | 131.19M | 123.46M | 108.30M | 76.61M |
| Total Debt | 6.14M | 5.56M | 5.90M | 1.38M | 3.36M |
| Total Liabilities | 173.05M | 129.07M | 122.03M | 104.25M | 99.53M |
| Stockholders Equity | 100.46M | 137.99M | 156.81M | 129.35M | 107.69M |
Cash Flow | |||||
| Free Cash Flow | 52.77M | 55.44M | 67.35M | 60.79M | 38.82M |
| Operating Cash Flow | 60.81M | 58.81M | 73.02M | 63.29M | 44.64M |
| Investing Cash Flow | -16.62M | 7.86M | -27.15M | -2.50M | -4.63M |
| Financing Cash Flow | -90.33M | -59.69M | -28.36M | -29.37M | -26.53M |
Kainos Group plc Technical Analysis
Positive
1230.00
Price Trends
1232.93
Positive
1034.67
Positive
914.33
Positive
Market Momentum
32.40
Positive
56.14
Neutral
50.06
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:KNOS, the sentiment is Positive. The current price of 1230 is below the 20-day moving average (MA) of 1273.00, below the 50-day MA of 1232.93, and above the 200-day MA of 914.33, indicating a bullish trend. The MACD of 32.40 indicates Positive momentum. The RSI at 56.14 is Neutral, neither overbought nor oversold. The STOCH value of 50.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:KNOS.
Kainos Group plc Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | £1.50B | 36.77 | 41.45% | 2.30% | 17.39% | 24.79% | |
68 Neutral | £219.22M | 138.17 | 3.23% | 0.86% | 20.24% | -62.04% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
61 Neutral | £110.13M | 33.44 | 6.17% | 2.67% | -9.87% | -22.86% | |
59 Neutral | £254.12M | 56.20 | 4.85% | 2.76% | ― | ― | |
54 Neutral | £369.55M | -5.02 | -14.39% | 2.72% | 0.82% | -997.08% |
* Technology Sector Average
GB:KNOS
Kainos Group plc
1,287.00
369.43
40.26%
GB:GBG
GB Group plc
161.60
-68.85
-29.87%
GB:APTD
Aptitude Software Group plc
202.00
-89.07
-30.60%
GB:NCC
NCC Group plc
168.60
24.52
17.02%
GB:NET
Netcall
128.50
3.57
2.86%
Kainos Group plc Corporate Events
Regulatory Filings and Compliance
Kainos Updates Total Voting Rights and Share Capital
Neutral
Oct 1, 2026
Kainos Group plc has confirmed that, as of 1 October 2026, it has 116,263,722 ordinary shares in issue, each carrying voting rights, and holds no shares in treasury. This updated share count provides the reference denominator for shareholders asse...
Business Operations and StrategyExecutive/Board ChangesStock BuybackDividendsShareholder Meetings
Kainos shareholders back all AGM resolutions and approve 19.8p dividend
Positive
Sep 22, 2026
Kainos Group plc reported that all resolutions at its 2026 Annual General Meeting were approved by shareholders through a poll vote, reflecting strong investor support across both ordinary and special business. The meeting endorsed the companyR...
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
Kainos appoints interim remuneration chair as board reshapes
Neutral
Sep 16, 2026
Kainos Group plc has announced changes to its board committees, appointing independent Non‑Executive Director Shruthi Chindalur as interim Chair of the Remuneration Committee from the conclusion of the Annual General Meeting on 22 September ...
Regulatory Filings and Compliance
Kainos updates total voting rights as share capital reaches 116.2 million
Neutral
Sep 1, 2026
Kainos Group plc, a UK-based IT services and software company listed on the London Stock Exchange, delivers digital transformation projects and Workday-related services and products for public sector, commercial and healthcare clients. Its three c...
Business Operations and StrategyFinancial Disclosures
Kainos lifts FY27 guidance after strong start to year
Positive
Aug 18, 2026
Kainos has reported a strong start to its financial year, building on double‑digit revenue growth, robust sales and record backlog achieved in the year to 31 March 2026, and now expects revenue and adjusted profit before tax for FY27 to come...
Regulatory Filings and ComplianceShareholder Meetings
Kainos Publishes 2026 AGM Notice and Annual Report for Shareholders
Neutral
Aug 13, 2026
Kainos Group plc, the London-listed digital services and software provider, serves public sector, commercial and healthcare customers through its Digital Services, Workday Services and Workday Products divisions. The company’s offerings rang...
Regulatory Filings and Compliance
Kainos updates total voting rights as share capital reaches 116.2 million
Neutral
Aug 3, 2026
Kainos Group plc, listed on the London Stock Exchange under the ticker KNOS, focuses on helping organisations tackle complex digital projects and build long-term capability in the digital age. Its diversified offering across digital services and W...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
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.