1.96%
2.36%
-7.96%
-4.06%
7.88%
-4.99%
35.06%
AI Spotlight on SCT
Company Description
Softcat plc primarily acts as a value-added IT reseller and IT infrastructure solutions provider in the United Kingdom.The company advices, procures, designs, implements, and manages technology, such as software licensing, workplace technology, networking, security, and cloud and datacenter for businesses and public sector organizations.It also offers asset management, collaboration, connectivity, and device services.
In addition, the company provides supply chain operations and virtual desktop and applications.Further, it offers lifecycle, modern management, and financial solutions.The company was incorporated in 1987 and is headquartered in Marlow, the United Kingdom.
Market Data
| Last Price | 1560 |
| Change Percentage | 1.96% |
| Open | 1530 |
| Previous Close | 1530 |
| Market Cap ( Millions) | 3109 |
| Volume | 125216 |
| Year High | 1855 |
| Year Low | 1415 |
| M A 50 | 1534 |
| M A 200 | 1600.38 |
Financial Ratios
| FCF Yield | 3.82% |
| Dividend Yield | 1.88% |
| ROE | 43.79% |
| Debt / Equity | 3.48% |
| Net Debt / EBIDTA | -90.91% |
| Price To Book | 10.46 |
| Price Earnings Ratio | 26.18 |
| Price To FCF | 26.21 |
| Price To sales | 3.23 |
| EV / EBITDA | 18.18 |
News
- Nov -24 - Softcat plc's (LON:SCT) Stock Has Been Sliding But Fundamentals Look Strong: Is The Market Wrong?
- Oct -27 - Softcat (LON:SCT) Has Announced That It Will Be Increasing Its Dividend To £0.39
- Oct -25 - Softcat PLC (LSE:SCT) (Q4 2024) Earnings Call Highlights: Record Dividends and Strategic Growth ...
- Oct -17 - Calculating The Intrinsic Value Of Softcat plc (LON:SCT)
- May -10 - Stocks to watch this week: Burberry, Vodafone, BT and Walmart
- May -10 - Softcat plc (LON:SCT) Shares Could Be 34% Above Their Intrinsic Value Estimate
- Apr -26 - Stocks to watch this week: Amazon, Apple, Anglo American and Novo Nordisk
- Apr -25 - E.ON (ETR:EOAN) shareholders have earned a 10% CAGR over the last five years
- Apr -19 - Are Robust Financials Driving The Recent Rally In Softcat plc's (LON:SCT) Stock?
- Apr -17 - Trending tickers: ASML, Asos, LVMH, JustEat
- Apr -11 - Infineon Technologies' (ETR:IFX) five-year earnings growth trails the 10% YoY shareholder returns
- Apr -09 - Those who invested in Geberit (VTX:GEBN) five years ago are up 39%
- Apr -07 - Is It Worth Considering Forbo Holding AG (VTX:FORN) For Its Upcoming Dividend?
- Mar -30 - Softcat plc Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Predictions
- Mar -29 - Softcat (LON:SCT) Is Due To Pay A Dividend Of £0.085
- Mar -19 - Should You Be Adding Bâloise Holding (VTX:BALN) To Your Watchlist Today?
- Mar -17 - Does APG|SGA (VTX:APGN) Deserve A Spot On Your Watchlist?
- Feb -08 - Is Now The Time To Put Chocoladefabriken Lindt & Sprüngli (VTX:LISN) On Your Watchlist?
- Dec -01 - Are Softcat plc (LON:SCT) Investors Paying Above The Intrinsic Value?
- Nov -03 - Softcat (LON:SCT) Is Paying Out A Larger Dividend Than Last Year
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Hardware
Expected Growth : 6 %
What the company do ?
Hardware from Softcat plc refers to the physical components of computer systems, including servers, storage, networking equipment, and peripherals.
Why we expect these perspectives ?
Softcat plc's Hardware segment growth is driven by increasing demand for cloud infrastructure, digital transformation, and cybersecurity solutions. Additionally, the rise of remote work and online learning has boosted sales of laptops, desktops, and peripherals. Furthermore, the company's strong relationships with major vendors and its ability to provide tailored solutions to customers have contributed to its growth.
Segment n°2 -> Software
Expected Growth : 8 %
What the company do ?
Softcat plc offers a range of software solutions, including Microsoft, VMware, and Citrix, to help businesses optimize their IT infrastructure and operations.
Why we expect these perspectives ?
Softcat plc's software segment growth is driven by increasing demand for cloud-based solutions, digital transformation, and cybersecurity needs. The company's strong relationships with major vendors, such as Microsoft and Amazon Web Services, also contribute to its growth. Additionally, Softcat's expertise in IT consulting and managed services helps to drive sales of software solutions, resulting in an 8% growth rate.
Segment n°3 -> Services
Expected Growth : 5 %
What the company do ?
Softcat plc offers a range of services including IT consulting, managed services, cybersecurity, and cloud services to help businesses optimize their IT infrastructure and operations.
Why we expect these perspectives ?
Softcat plc's 5% growth in services is driven by increasing demand for cloud-based solutions, cybersecurity, and digital transformation. Strong relationships with major vendors, a skilled workforce, and strategic acquisitions also contribute to growth. Additionally, the company's focus on customer satisfaction, efficient delivery, and cost-effective solutions resonates with clients, leading to repeat business and referrals.
Softcat Plc Products
| Product Range | What is it ? |
|---|---|
| IT Infrastructure | Softcat provides a range of IT infrastructure solutions including servers, storage, networking, and virtualization |
| Cloud Services | Softcat offers cloud services including public, private, and hybrid cloud solutions, as well as cloud migration and management |
| Cyber Security | Softcat provides cyber security solutions including threat detection, incident response, and security consulting |
| Digital Workplace | Softcat offers digital workplace solutions including end-user computing, collaboration, and productivity tools |
| Data and Analytics | Softcat provides data and analytics solutions including data management, business intelligence, and data science |
| Networking and Communications | Softcat offers networking and communications solutions including network infrastructure, unified communications, and contact center solutions |
| Managed Services | Softcat provides managed services including IT service management, monitoring, and support |
Softcat plc's Porter Forces
Threat Of Substitutes
Softcat plc operates in the IT infrastructure and services market, where there are few substitutes for its products and services. However, the company faces some threat from cloud-based services and open-source alternatives.
Bargaining Power Of Customers
Softcat plc's customers are largely medium to large-sized businesses, which have limited bargaining power. The company's strong relationships with its customers and its ability to provide customized solutions reduce the bargaining power of customers.
Bargaining Power Of Suppliers
Softcat plc relies on a few large suppliers for its products and services. While the company has some bargaining power due to its scale, suppliers like Microsoft, Cisco, and VMware have significant market power, which can affect Softcat's pricing and margins.
Threat Of New Entrants
The IT infrastructure and services market has high barriers to entry, including significant capital requirements and the need for specialized skills and expertise. This limits the threat of new entrants and allows Softcat plc to maintain its market position.
Intensity Of Rivalry
The IT infrastructure and services market is highly competitive, with several established players competing for market share. Softcat plc faces intense competition from companies like Computacenter, Daisy Group, and CDW, which can lead to pricing pressure and reduced margins.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 3.74% |
| Debt Cost | 3.95% |
| Equity Weight | 96.26% |
| Equity Cost | 7.51% |
| WACC | 7.38% |
| Leverage | 3.88% |
Softcat plc : Quality Control
Softcat plc passed 8 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| TIETO.HE | TietoEVRY Oyj operates as a software and services company. It operates through six segments: Digital Consulting, Cloud & Infra, Industry Software, Financial Services Solutions, International Operations, and Product Development Services. … |
| WISE.L | Wise plc provides cross-border money transfer services for personal and business customers in the United Kingdom, rest of Europe, the Asia-Pacific, North America, and internationally. The company's transfer infrastructure includes … |
| SOP.PA | Sopra Steria Group SA provides consulting, digital, and software development services in France and internationally. The company operates through five segments: France, United Kingdom, Other Europe, Sopra Banking Software, and … |
| LAGR-B.ST | Lagercrantz Group AB (publ) operates as a technology company in Sweden, Denmark, Norway, Finland, the United Kingdom, Germany, Poland, rest of Europe, and internationally. The company operates through five divisions: … |
| BC8.DE | Bechtle AG provides information technology (IT) services primarily in Europe. The company operates in two segments, IT System House & Managed Services, and IT E-Commerce. The IT System House & … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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TietoEVRY
A-Score
1-Year Total Return ->
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Softcat
A-Score
1-Year Total Return ->
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Lagercrantz Group
A-Score
1-Year Total Return ->
4
Bechtle
A-Score
1-Year Total Return ->
5
Sopra Steria
A-Score
1-Year Total Return ->
6
