Concentrix Corp (CNXC) stock analysis

P/E against its history

Not enough price and earnings history to compare.

P/E against the industry

Needs positive earnings and enough profitable companies in the industry.

EV/EBITDA against its history

Needs positive EBITDA and price history.

P/B below the industry

Concentrix's price-to-book of 1.13 is below the Miscellaneous Business Services median of 2.48.

Trading below fair value

The share price of $32.76 is below our fair value estimate of $100.88.

Margin of safety over 20%

The price is 67.5% below fair value, more than the 20% cushion we look for.

Revenue growing 10%+ a year

Revenue grew 15.8% a year over the last three fiscal years.

EPS growth over 3 years

Needs positive EPS three years ago and today.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing slower than the industry

Revenue grew 2.6% over the last twelve months; the Miscellaneous Business Services median is 9.9%.

Guidance lowered

Concentrix lowered its Full year reported revenue outlook on Sep 29, 2026.

Gross margin slipping

Gross margin was 34.1% over the last twelve months, against 35.3% a year earlier.

Return on equity under 15%

Return on equity was -78.2% over the last twelve months and averaged 2.1% over five years; we look for 15% on both.

Return on capital under 10%

Return on invested capital was -22.3%, below the 10% that usually covers the cost of capital.

Return on equity below the industry

Concentrix's return on equity of -78.2% is below the Miscellaneous Business Services median of 6.8%.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin below its 5-year average

Net margin was -24.0% over the last twelve months, against a 5-year average of 1.6%.

Net margin below the industry

Concentrix's net margin of -24.0% is below the Miscellaneous Business Services median of 3.8%.

High debt

Debt is 247% of shareholders' equity, above the 40% we consider low.

Debt rising against equity

Debt to equity rose from 49.7% five years ago to 247%.

Debt not well covered by cash flow

Operating cash flow over the last twelve months equals 18.0% of total debt; we look for at least 20%.

Interest coverage

Interest expense is not reported separately.

Short-term assets cover short-term debts

Current assets are 1.23 times current liabilities.

Elevated bankruptcy risk

The Altman Z-score is 0.39; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Concentrix paid dividends worth 4.4% of the share price over the last twelve months.

Yield above Treasuries

The 4.4% yield is above the 4.4% on a 1-year Treasury.

Yield in the top quarter

The top quarter of US dividend payers yield 3.8% or more; Concentrix yields 4.4%.

Dividend stability

Fewer than five years of dividend history.

Earnings cover

Needs dividends paid and net income.

Covered by free cash flow

Dividends take 16.1% of free cash flow.