Concurrent Technologies wins biggest-ever order, shares at 251p look far too low, SQC TP 300p

Mark Watson-Mitchell - 11.06.2026

This morning, the £266m-capitalised Concurrent Technologies (LON:CNC) announced that it has secured its largest-ever contract, a four-year order valued at approximately £17.0m from a major European defence equipment prime contractor for Ground Based Air Defence systems.

This significant deal, which surpasses the previous largest order of $6.2m, involves supplying over 3,400 units of an established VME-based computer board and accessories, enhancing multi-year revenue visibility.

The contract includes an upfront milestone payment to cover component procurement and addresses a last-time buy opportunity for a key processor, securing anticipated demand for the next four years.

This award, coupled with strong order intake in the Systems business, reinforces confidence in the company's strategy and long-term growth prospects.

The Business

Concurrent Technologies develops and manufactures high-end embedded plug-in cards and systems for use in a wide range of high-performance, long-life cycle applications within the telecommunications, defence, security, telemetry, scientific and aerospace markets, including applications within extremely harsh environments.

The processor products feature Intel® processors, including the latest generation embedded Intel® Core™ processors, Intel® Xeon® and Intel Atom™ processors.

The products are designed to be compliant with industry specifications and support many of today's leading embedded operating systems.

The group's products are sold world-wide.

Management Comment

CEO Miles Adcock stated that:

"This order represents our largest ever contract win and demonstrates the longevity of our product set and the strength of our long-standing customer relationships.

It also reflects the confidence our customers place in our products, our people and our ability to support critical defence programmes over the long term.

This contract secures several years of the customer's expected requirements through a single commitment, providing us with enhanced multi-year revenue visibility.

More broadly, demand across our defence markets remains encouraging.

Prior to this award, we were already on track to achieve record first-half order intake, while order intake in our Systems business has already exceeded the level achieved during the whole of 2025.

These indicators give us increasing confidence as we continue to execute our strategy and build a broader, more resilient foundation for long-term growth."

The Equity

There are some 86.39m shares in issue.

The larger holders include Premier Fund Managers (9.36%), Canaccord Genuity Wealth (4.80%), Lombard Odier Asset Management (4.212%), Rathbones Investment Management (3.74%), KW Investment Management (2.56%), Hargreaves Lansdown Fund Managers (1.24%), Unicorn Asset Management (1.21%), Schroder Investment Management (1.13%), Brooks Macdonald Asset Management (0.96%) and Herald Investment Management (0.94%).

Broker Views

The analyst consensus is for a 260.50p Target Price, with Berenberg Bank going for 275p and Stifel for 250p, while analyst Ian McInally, at Cavendish Capital Markets, rates the group’s shares as a Buy, with a Target Price of 256p.

His current year estimates to end-December, suggest revenues could rise to £52.0m (£45.9m), with adjusted pre-tax profits of £8.3m (£6.9m), earnings of 6.8p (6.0p) and a dividend of 1.3p (1.2p) per share.

For next year, he looks for £60.0m revenues, £10.4m profits, 8.5p earnings and a 1.4p dividend per share.

My View

On Friday, 29th May, SQC Research featured the group yet again, setting a 300p Target Price, with its shares then trading at 266p.

Last night they closed at 251p, a price which I am sure will be beaten as investors following the group take advantage of cheap lines of stock on offer.

(Profile 09.04.26 @ 192p set a Target Price of 235p*)

(Profile 29.05.26 @ 266p set a Target Price of 300p)