Berenberg Bank Has Lowered Expectations for Capita (LON:CPI) Stock Price

by · The Markets Daily

Capita (LON:CPI – Get Free Report) had its price target cut by stock analysts at Berenberg Bank from GBX 4,000 to GBX 330 in a research report issued on Wednesday,London Stock Exchange reports. The firm currently has a “hold” rating on the stock. Berenberg Bank’s target price points to a potential upside of 12.63% from the company’s previous close.

Separately, Canaccord Genuity Group reiterated a “buy” rating and set a GBX 900 target price on shares of Capita in a report on Wednesday. Three investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of GBX 489.

View Our Latest Research Report on CPI

Capita Trading Up 6.4%

CPI traded up GBX 17.50 during midday trading on Wednesday, reaching GBX 293. 11,699,344 shares of the company’s stock traded hands, compared to its average volume of 1,212,997. Capita has a 52 week low of GBX 168 and a 52 week high of GBX 415.50. The company has a debt-to-equity ratio of 409.05, a current ratio of 0.67 and a quick ratio of 0.53. The firm has a fifty day moving average of GBX 375.32 and a two-hundred day moving average of GBX 336.96. The stock has a market capitalization of £333.28 million, a price-to-earnings ratio of 21.61, a P/E/G ratio of 0.18 and a beta of 0.66.

Capita (LON:CPI – Get Free Report) last released its earnings results on Tuesday, March 10th. The company reported GBX 49.71 earnings per share for the quarter. Capita had a return on equity of 8.48% and a net margin of 0.69%.

Insider Buying and Selling

In other news, insider Pablo Andres acquired 12,178 shares of the business’s stock in a transaction on Wednesday, March 11th. The shares were purchased at an average price of GBX 280 per share, for a total transaction of £34,098.40. Company insiders own 13.40% of the company’s stock.

Capita News Summary

Here are the key news stories impacting Capita this week:

  • Positive Sentiment: Senior management buying — Capita’s CFO Pablo Andres filed multiple purchases (notably 12,178 shares at GBX 280 and 12,000 shares at GBX 275 on 11 Mar), indicating insider conviction. CFO Share Purchase
  • Positive Sentiment: CEO stake increase as a fourth tranche of a buy‑out award vested — management acquiring shares via vesting removes some dilution and signals alignment with shareholders. CEO Vesting
  • Positive Sentiment: AI-led transformation and contract wins — company and coverage highlight progress on AI initiatives and new contract wins that support medium-term revenue and efficiency upside. AI Transformation
  • Neutral Sentiment: Quarterly results: Capita reported GBX 49.71 EPS for the quarter with a net margin of 0.69% and ROE of 8.48% — soliding a mixed operational picture where headline EPS arrived but margins remain thin. Quarterly Results
  • Negative Sentiment: Weak 2026 margin outlook — management guided to a margin dip next year due to contact‑centre weakness and higher costs; that guidance triggered an earlier selloff and remains the principal near‑term risk to the stock. Weak 2026 Outlook

Capita Company Profile

(Get Free Report)

Capita is a modern outsourcer, helping clients across the public and private sectors run complex business processes more efficiently, creating better consumer experiences. Operating across 8 countries, Capita’s colleagues support primarily UK and European clients with people-based services underpinned by market-leading technology. We play an integral role in society – our work matters to the lives of the millions of people who rely on us every day.

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