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Touchstar (TST) AI Stock Analysis

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GB:TST

Touchstar

(LSE:TST)

Select Model
Rating:55.2Neutral
Price Target:GBX 72.00â–²(2.86% Upside)
Action:downgraded
Date:08/18/26

The overall score is modestly above mid-range because the significant 2025 deterioration in revenue, margins, and net income, along with the hit to equity, weighs heavily against the prior record of steady growth and moderate leverage; this is partially offset by consistently positive but volatile cash flow and a still-constructive, though clearly softening, technical setup, while valuation provides only moderate dividend support and no clear earnings-based discount.

Positive Factors
Positive cash generationPositive operating and free cash flow shows that Touchstar can generate cash from its business activities even while reported earnings are negative. This provides some internal funding capacity for product delivery, customer support, and ongoing operations over the next several quarters.
Negative Factors
Sharp profitability deteriorationThe move from positive profitability to a sizeable net loss is a material deterioration in earnings quality and demonstrates substantial operating volatility. Until profitability recovers, Touchstar has less capacity to reinvest, strengthen equity, or fund growth from internally generated earnings.

Touchstar (TST) vs. iShares MSCI United Kingdom ETF (EWC)

-30%-20%-10%0%10%20%30%GB:TST-9.58%EWC+26.00%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
GBP 5.60M
Dividend Yield
4.29%
Average Volume (3M)
5,708
Price to Earnings (P/E)
-5.2
Beta (1Y)
-0.06
Revenue Growth
-0.23%
EPS Growth
-3223.26%
Country
UK
Employees
58
Sector
Technology
Sector Strength
61
Industry
Computer Hardware

Touchstar Business Overview & Revenue Model

Company Description

Based in Manchester, UK, and founded in 1904, Touchstar plc is a global specialist in mobile technology solutions. The company designs and produces rugged mobile computing devices, marketed under the Touchstar brand, for customers throughout the Unit...

How the Company Makes Money

Touchstar makes money primarily by selling and supporting its business software solutions and related technology services. Key revenue streams typically include: (1) software revenue, from licensing its applications and/or providing software on a sub...

Touchstar Financial Statement Overview

Summary

Score reflects a mixed profile: historically steady revenue growth, solid margins, and consistently positive operating cash flow, offset by a sharp 2025 setback with negative revenue growth, compressed margins, a sizeable net loss, and erosion of shareholders’ equity despite moderate leverage.

Income Statement

42Neutral

Balance Sheet

53Neutral

Cash Flow

64Positive
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue6.87M6.82M6.89M7.22M6.74M6.10M
Gross Profit3.13M3.17M3.37M4.29M3.27M2.79M
EBITDA549.00K755.00K1.18M1.42M1.33M1.07M
Net Income-1.09M-1.08M366.00K639.00K558.00K341.00K
Balance Sheet
Total Assets4.72M5.58M7.32M6.82M7.95M7.78M
Cash, Cash Equivalents and Short-Term Investments2.04M2.49M2.92M3.00M4.46M3.90M
Total Debt452.00K721.00K165.00K211.00K1.28M1.93M
Total Liabilities2.95M3.70M3.88M3.56M5.01M5.45M
Stockholders Equity1.77M1.88M3.44M3.26M2.93M2.33M
Cash Flow
Free Cash Flow941.00K702.00K1.02M62.00K1.28M791.00K
Operating Cash Flow1.07M792.00K1.11M662.00K1.90M1.30M
Investing Cash Flow-444.00K-749.00K-773.00K-600.00K-625.00K-510.00K
Financing Cash Flow-612.00K-623.00K-420.00K-533.00K-315.00K-197.00K

Touchstar Technical Analysis

Technical Analysis SentimentPositive
Last Price70.00

Price Trends

50DMA70.12Negative
100DMA75.44Negative
200DMA69.66Positive

Market Momentum

MACD0.10Negative
RSI58.93Neutral
STOCH46.60Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TST, the sentiment is Positive. The current price of 70.00 is above the 20-day moving average (MA) of 69.25, below the 50-day MA of 70.12, and above the 200-day MA of 69.66, indicating a neutral trend. The MACD of 0.10 indicates Negative momentum. The RSI at 58.93 is Neutral, neither overbought nor oversold. The STOCH value of 46.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:TST.

Touchstar Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

GB:TST against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
GB:NETGB:NET70OutperformGBP 225.19M141.403.23%0.71%20.24%-62.04%
Sector *61Neutral$37.18B12.37-10.20%1.83%8.50%-7.62%
GB:TSTGB:TST55NeutralGBP 5.55M-5.24-59.56%4.29%-0.23%-3223.26%
GB:PCIPGB:PCIP55NeutralGBP 51.12M-117.7431.19%―17.23%29.17%
GB:CKTGB:CKT50NeutralGBP 15.66M-9.80-20.00%―-8.39%48.43%
GB:TIDEGB:TIDE50NeutralGBP 6.41M23.104.92%―――
GB:GETBGB:GETB49NeutralGBP 39.29M-31.3834.82%―6.07%-851.52%

* Technology Sector Average

Performance Comparison

-25%0%25%50%GB:TSTGB:TIDEGB:CKTGB:NETGB:PCIPGB:GETBDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
GB:TST and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
GB:TSTTouchstar plc70.00-8.38-10.69%
GB:TIDECrimson Tide97.5035.0056.00%
GB:CKTCheckit Plc14.50-3.50-19.44%
GB:NETNetcall plc131.506.575.26%
GB:PCIPPCI PAL73.0027.0058.70%
GB:GETBGetbusy Plc77.50-4.50-5.49%

Touchstar Corporate Events

Regulatory Filings and Compliance

Touchstar CEO Increases Stake After Corrected Shareholding Disclosure

Positive
Oct 7, 2026

Touchstar plc has disclosed that Chief Executive Officer Lynden Jones purchased a total of 15,910 ordinary shares in the company on 30 September 2026, in multiple tranches at prices of 68, 69 and 69.5 pence per share. The transaction, including an ad...

Other

Touchstar CEO Increases Stake with Additional Share Purchase

Positive
Oct 6, 2026

Touchstar plc disclosed that its chief executive officer, Lynden Jones, has increased his personal stake in the company through a market purchase of 12,533 ordinary shares at prices of 68 and 69 pence per share. The transaction, completed on 30 Septe...

Dividends

Touchstar Sets Timetable for Interim Dividend Payment

Positive
Sep 28, 2026

Touchstar plc has announced the timetable for its latest interim ordinary dividend, set at 1.50 pence per share, with payment scheduled for 19 November 2026. Shareholders on the register as of 23 October 2026 will be eligible to receive the dividend,...

Business Operations and StrategyExecutive/Board ChangesDividendsFinancial Disclosures

Touchstar strengthens platform focus as interim results mark pivotal transition year

Negative
Sep 28, 2026

Touchstar reported interim results for the six months to 30 June 2026 showing broadly flat revenue at £3.41m, but an increase in recurring revenue to £1.6m, representing 47% of total sales. The order book rose 4.4% to £2.63m and net ca...

DividendsRegulatory Filings and Compliance

Touchstar CEO Increases Stake via Dividend Reinvestment

Positive
Aug 18, 2026

Touchstar plc has disclosed that Chief Executive Officer Lynden Jones acquired 9,090 ordinary shares in the company on 13 August 2026 through an automatic dividend reinvestment scheme, paying 83.95 pence per share. Following this transaction, Jones&#...

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.

Date of analysis: Aug 17, 2026