Petards (PEG) AI Stock Analysis

• Market Cap: £4.55M
• Dividend Yield: N/A
• Average Volume (3M): 31.48K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.40
• Revenue Growth: 63.81%
• EPS Growth: 71.62%
• Country: UK
• Employees: 87
• Sector: Industrials
• Sector Strength: 72
• Industry: Security & Protection Services
• EPS (TTM): >-0.01
• Shares Outstanding: 60,705,040
• 10 Day Avg. Volume: 46,284
• 30 Day Avg. Volume: 31,485
• PEG Ratio: -1.33
• Price to Book (P/B): 0.76
• Price to Sales (P/S): 0.40
• P/FCF Ratio: -13.33
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: 8.00p ▲(6.67% Upside)

The overall stock score is primarily influenced by financial performance and technical analysis. The company's operational challenges and negative financial indicators are significant concerns. Technical analysis suggests bearish momentum, further impacting the score. Valuation reflects the company's struggles with profitability.

Petards Business Overview & Revenue Model

Company Description

Petards Group plc, together with its subsidiaries, develops, supplies, and maintains technologies used in advanced security, surveillance, and ruggedized electronic applications in the United Kingdom, Continental Europe, and internationally. It offers rail technology solutions, such as eyeTrain, a solution for digital on-train surveillance subsystem; and RTS, a solution that provides safety and efficiency of railways with crucial resource, asset, safety, and failure management software. The company also provides traffic technologies that include ProVida mobile speed enforcement, an in-car surveillance and speed enforcement technology solutions; and Hawk ANPR, an automatic number plate recognition (ANPR) technology camera that manages issues related to access control, parking enforcement, level cross monitoring, traffic management, and law enforcement. In addition, it offers mobile ANPR solutions comprising tablet based mobile ANPR, PC boot mounted ANPR, and intelligent mobile camera ANPR; fixed site ANPR; and ANPR software solutions, such as management servers, software, and video evidence storages. Further, the company provides defense solutions and services, such as communication systems, advanced visual surveillance, in-service supports, defensive aide systems, control systems, and real threat stimulators, as well as consultancy services. It serves customers under eyeTrain, ProVida, and QRO brand names. Petards Group plc was incorporated in 1994 and is headquartered in Guildford, the United Kingdom.

How the Company Makes Money

Petards generates revenue through the sale of its proprietary technology products, which include hardware and software solutions tailored for security and surveillance applications. The company’s revenue model is primarily based on direct sales to government and commercial clients, as well as long-term contracts for maintenance and support services. Key revenue streams include system integration services, licensing of software, and ongoing support contracts. Additionally, partnerships with government agencies and defense contractors enhance Petards' market presence and provide opportunities for project-based revenue, further contributing to its earnings.

Petards Financial Statement Overview

Summary

Petards is experiencing operational and profitability challenges, with negative net income and cash flow issues. While the balance sheet shows some financial stability, the company needs to improve its revenue growth and operational efficiency to enhance overall financial health.

Income Statement

The company has faced declining revenue from 2019 to 2024, with the most recent year showing a slight recovery in revenue compared to 2023. However, the net income has consistently been negative, indicating challenges in profitability. The gross profit margin has improved slightly in 2024, but EBIT and EBITDA margins remain negative, highlighting operational inefficiencies.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, suggesting manageable leverage. However, the decline in stockholders' equity over the years raises concerns. The equity ratio remains strong, indicating good financial stability, but the company needs to address its negative net income to improve return on equity.

Cash Flow

The cash flow statement reveals fluctuating free cash flow, with a negative trend in recent years. Operating cash flow has seen some recovery in 2024, but free cash flow remains negative, indicating potential liquidity challenges. The company needs to improve its cash generation to support operations and reduce reliance on external financing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.46M	12.02M	9.42M	10.87M	13.57M	13.00M
Gross Profit	6.79M	5.44M	4.75M	4.96M	5.49M	3.72M
EBITDA	635.00K	-77.00K	-294.00K	1.15M	1.49M	-152.00K
Net Income	-511.00K	-1.13M	-1.05M	524.00K	865.00K	-583.00K
Balance Sheet
Total Assets	12.67M	13.25M	10.72M	11.96M	11.95M	13.93M
Cash, Cash Equivalents and Short-Term Investments	205.00K	168.00K	1.24M	2.02M	2.28M	2.20M
Total Debt	2.28M	2.56M	732.00K	339.00K	767.00K	1.02M
Total Liabilities	6.58M	6.85M	3.53M	3.71M	4.22M	7.00M
Stockholders Equity	6.08M	6.40M	7.20M	8.25M	7.72M	6.93M
Cash Flow
Free Cash Flow	317.00K	-364.00K	-529.00K	253.00K	592.00K	1.81M
Operating Cash Flow	569.00K	194.00K	4.00K	571.00K	727.00K	2.37M
Investing Cash Flow	-632.00K	-2.51M	-485.00K	-298.00K	-127.00K	-543.00K
Financing Cash Flow	-476.00K	-462.00K	-294.00K	-534.00K	-527.00K	-445.00K

Petards Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 7.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:PEG, the sentiment is Neutral. The current price of 7.5 is above the 20-day moving average (MA) of 7.33, below the 50-day MA of 7.89, and below the 200-day MA of 7.82, indicating a neutral trend. The MACD of -0.12 indicates Negative momentum. The RSI at 48.76 is Neutral, neither overbought nor oversold. The STOCH value of 96.67 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:PEG.

Petards Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NWT	74 Outperform	£11.06M	16.64	7.90%	―	3.41%	393.71%
SNX	69 Neutral	£46.53M	10.70	10.49%	1.66%	21.43%	44.70%
CSSG	68 Neutral	£11.50M	14.60	5.08%	2.02%	10.26%	44.92%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
IGE	55 Neutral	£1.85M	-19.29	-7.14%	―	-16.19%	-600.00%
PEG	45 Neutral	£4.55M	-8.93	-8.06%	―	63.81%	71.62%
THRU	45 Neutral	£4.69M	-0.38	-64.32%	―	-46.72%	-50.00%

Petards Corporate Events

Petards Group Reports Strong H1 2025 Financial Performance and Strategic Growth

Petards Group PLC reported a significant improvement in its financial performance for the first half of 2025, with a 78% increase in revenue to £7.9 million and a substantial reduction in operating losses. The company has seen strong interest in its new QRO Harrier Mini ANPR camera and is expanding its presence in overseas markets. The order book stands at £6.7 million, with additional orders post-June totaling over £1.5 million. The company anticipates improved trading performance for the full year, supported by multi-year contract wins and a strong recurring revenue stream from its Affini and RTS operations.

The most recent analyst rating on (GB:PEG) stock is a Hold with a £9.00 price target. To see the full list of analyst forecasts on Petards stock, see the GB:PEG Stock Forecast page.

Petards Group to Announce Interim Results, Highlights Affini Acquisition Impact

Petards Group PLC announced it will release its interim results for the six months ended 30 June 2025 on 18 September 2025. The acquisition of Affini Technology in June 2024 has strengthened Petards’ market position by expanding its offerings in wireless critical communications, providing end-to-end services and generating significant recurring revenues from long-term blue-chip client relationships.

The most recent analyst rating on (GB:PEG) stock is a Hold with a £9.00 price target. To see the full list of analyst forecasts on Petards stock, see the GB:PEG Stock Forecast page.

Petards’ Subsidiary Secures Significant ANPR Contract

Petards Group PLC announced that its subsidiary, QRO Solutions, has secured a contract to support and maintain a UK police force’s ANPR camera infrastructure. The contract, starting in November, spans an initial three-year period with a potential extension to five years, valued at over £0.4 million. This win highlights QRO’s competitive edge in providing quality and cost-effective solutions, potentially strengthening Petards’ market position in the enforcement industry.

Petards Secures Multi-Year Framework Agreement Renewal

Petards Group PLC announced the multi-year renewal of a framework agreement through its subsidiary, Affini Technology, for the supply of critical communications equipment and related services. The agreement, which could extend until 2031, is expected to generate significant annual revenues, bolstering Affini’s future trading prospects and reinforcing its market position.

Petards Secures Key Contract Renewal in Rail Industry

Petards Group PLC has announced the renewal of a contract with a key rail industry customer for software licenses, maintenance, and support services, valued at over £0.3 million, effective until June 2026. This contract renewal, secured by its subsidiary RTS Solutions, strengthens Petards’ order book and supports its recurring revenue stream, following a similar contract renewal announced last month.