Investment accounts
Adult accounts
Child accounts
Choosing Fidelity
Choosing Fidelity
Why invest with us Current offers Fees and charges Open an account Transfer investments
Financial advice & support
Fidelity’s Services
Fidelity’s Services
Financial advice Retirement Wealth Management Investor Centre (London) Bereavement
Guidance and tools
Guidance and tools
Choosing investments Choosing accounts ISA calculator Retirement calculators
Share dealing
Choose your shares
Tools and information
Tools and information
Share prices and markets Chart and compare shares Stock market news Shareholder perks
Pensions & retirement
Pensions, tax & tools
Saving for retirement
Approaching / In retirement
Approaching / In retirement
Speak to a specialist Creating a retirement plan Taking tax-free cash Pension drawdown Annuities Investing in retirement Investment Pathways
Berenberg hikes target price on Kainos
(Sharecast News) - Analysts at Berenberg hiked their target price on software firm Kainos from 1,260.0p to 1,415.0p on Tuesday, citing "resilient profits" and a "positive outlook". Kainos released its full-year results on Monday, which Berenberg said demonstrated its "bottom-line resilience", despite revenue coming in slightly below consensus.
Berenberg stated that although cyclical challenges in Kainos' services divisions will constrain growth in FY25, its Workday Products offering was performing "strongly" and that the medium- to long-term outlook for the business remains "overtly strong".
"While Kainos does not provide explicit guidance, CEO Russell Sloan noted that Kainos is positioned for 'substantial growth opportunities in both the near and medium term'. We think that challenges remain, with revenues from the Digital Services division's commercial sector expected to see 'modest reductions' in FY25. However, revenue from the healthcare
sector, which declined 11% in FY24, is expected to return to growth. Meanwhile, revenues from the public sector and both Workday divisions (c80% of group revenues in total) are expected to see further growth in FY25," said Berenberg.
"Despite cyclical challenges in its services divisions and the short-term disruption of an impending UK general election, Kainos's long-term prospects remain undiminished and overtly positive, in our view."
The German bank added that Kainos trades on 23.9x full-year earnings per share and 23.3x enterprise value/free cash flow.
Reporting by Iain Gilbert at Sharecast.com
Share this article
Related Sharecast Articles
Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.
Award-winning online share dealing
Search, compare and select from thousands of shares.
Expert insights into investing your money
Our team of experts explore the world of share dealing.
Policies and important information
Accessibility | Conflicts of interest statement | Consumer Duty Target Market | Consumer Duty Value Assessment Statement | Cookie policy | Diversity, Equity & Inclusion | Doing Business with Fidelity | Diversity, Equity & Inclusion Reports | Investing in Fidelity funds | Legal information | Modern slavery | Mutual respect policy | Privacy statement | Remuneration policy | Staying secure | Statutory and Regulatory disclosures | Whistleblowing policy
Please remember that past performance is not necessarily a guide to future performance, the performance of investments is not guaranteed, and the value of your investments can go down as well as up, so you may get back less than you invest. When investments have particular tax features, these will depend on your personal circumstances and tax rules may change in the future. This website does not contain any personal recommendations for a particular course of action, service or product. You should regularly review your investment objectives and choices and, if you are unsure whether an investment is suitable for you, you should contact an authorised financial adviser. Before opening an account, please read the ‘Doing Business with Fidelity’ document which incorporates our client terms. Prior to investing into a fund, please read the relevant key information document which contains important information about the fund.
This website is issued by Financial Administration Services Limited, which is authorised and regulated by the Financial Conduct Authority (FCA) (FCA Register number 122169) and registered in England and Wales under company number 1629709 whose registered address is Beech Gate, Millfield Lane, Lower Kingswood, Tadworth, Surrey, KT20 6RP.
