Softcat (LON:SCT) Earns Buy Rating from Berenberg Bank

by · The Markets Daily

Softcat (LON:SCT – Get Free Report)‘s stock had its “buy” rating reissued by research analysts at Berenberg Bank in a research note issued to investors on Thursday,London Stock Exchange reports. They presently have a GBX 1,900 price target on the stock. Berenberg Bank’s price target points to a potential upside of 52.49% from the stock’s previous close.

Other equities research analysts also recently issued research reports about the stock. JPMorgan Chase & Co. raised shares of Softcat to an “overweight” rating and increased their price objective for the stock from GBX 2,820 to GBX 2,950 in a research report on Thursday, December 4th. Shore Capital Group reaffirmed a “buy” rating on shares of Softcat in a research note on Thursday. Finally, Jefferies Financial Group lowered their target price on Softcat from GBX 1,500 to GBX 1,210 and set a “hold” rating for the company in a report on Thursday. Seven research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of GBX 1,908.89.

Check Out Our Latest Stock Analysis on Softcat

Softcat Stock Down 0.8%

Shares of LON:SCT traded down GBX 10 during trading on Thursday, hitting GBX 1,246. 46,924,363 shares of the company’s stock traded hands, compared to its average volume of 4,152,085. The company has a current ratio of 1.28, a quick ratio of 1.38 and a debt-to-equity ratio of 10.39. The company has a 50-day moving average price of GBX 1,260.17 and a 200-day moving average price of GBX 1,424.14. Softcat has a 52 week low of GBX 1,083 and a 52 week high of GBX 1,960. The company has a market cap of £2.45 billion, a price-to-earnings ratio of 18.82, a price-to-earnings-growth ratio of 11.51 and a beta of 0.62.

Softcat (LON:SCT – Get Free Report) last posted its earnings results on Wednesday, March 18th. The company reported GBX 36.10 earnings per share (EPS) for the quarter. Softcat had a return on equity of 42.93% and a net margin of 9.12%. As a group, research analysts forecast that Softcat will post 60.72 EPS for the current fiscal year.

Key Softcat News

Here are the key news stories impacting Softcat this week:

  • Positive Sentiment: Company raised guidance as customers accelerate hardware refreshes and IT spend, supporting near‑term revenue visibility and margin leverage. Article Title
  • Positive Sentiment: Shares jumped after management said AI is “reshaping customer priorities at pace,” suggesting sustained demand for Softcat’s services and higher‑margin projects. Article Title
  • Positive Sentiment: Quarterly results: EPS GBX 36.10, ROE ~42.9% and a net margin ~9.1% — metrics that underline healthy profitability and cash generation for reinvestment or dividends. Article Title
  • Positive Sentiment: Shore Capital reaffirmed its “buy” rating, providing broker support that may limit downside from negative headlines. Article Title
  • Neutral Sentiment: Market commentary highlights Softcat as a FTSE 250 tech stock with growth, dividends and value — useful context for longer‑term investors but not an immediate catalyst. Article Title
  • Neutral Sentiment: Coverage noting a 23% pullback frames the stock as beaten up yet still benefiting from stronger profit forecasts — signals higher volatility and potential bargain‑hunting interest. Article Title
  • Negative Sentiment: Jefferies cut its price target sharply from GBX 1,500 to GBX 1,210 and moved to a “hold” rating — a material analyst downgrade that likely pressured the share price today. Article Title Read More.

About Softcat

(Get Free Report)

Softcat plc operates 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 public cloud, collaboration, connectivity, data centre and private cloud, devices, and financial solution services. In addition, the company provides IT asset management, lifecycle solutions, modern management, security, software licensing, supply chain operation, and virtual desktop and application.

Further Reading