Capita (CPI) Stock Overview
Operates as an outsourcer that supports clients across the public and private sectors in the United Kingdom, India, South Africa, and the rest of Europe. More details
| Snowflake Score | |
|---|---|
| Valuation | 5/6 |
| Future Growth | 4/6 |
| Past Performance | 0/6 |
| Financial Health | 3/6 |
| Dividends | 0/6 |
CPI Community Fair Values
Create NarrativeSee what 20 others think this stock is worth. Follow their fair value or set your own to get alerts.
Analyst Price Targets
Capita plc Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | UK£3.70 |
| 52 Week High | UK£4.16 |
| 52 Week Low | UK£2.24 |
| Beta | 0.90 |
| 1 Month Change | 19.16% |
| 3 Month Change | 5.26% |
| 1 Year Change | 50.65% |
| 3 Year Change | -25.66% |
| 5 Year Change | -39.42% |
| Change since IPO | 146.05% |
Recent News & Updates
Narrative Update • May 31
CPI: AI Partnerships And Margin Execution Will Support Higher Future Earnings
Analysts have trimmed their average price target for Capita to £3.00 from £4.05, citing concerns about the revenue trajectory while also incorporating a slightly improved profit margin outlook and a lower discount rate into their valuation work. Analyst Commentary Bullish analysts are focusing on how the latest price target revisions reflect a more balanced view of Capita, with revenue concerns now set against slightly better expectations for margins and risk.
Narrative Update • May 15
CPI: AI And Data Partnerships Will Support Future Re Rating Potential
Analysts have trimmed their fair value estimate for Capita to roughly £4.70 per share from about £4.88. This reflects an updated view that factors in a slightly lower discount rate, a less steep expected revenue decline, marginally softer profit margins, and a reduced future P/E assumption, consistent with recent changes in price targets and ratings in Street research.Narrative Update • Apr 28
CPI: AI Partnerships And Margin Execution Will Support Higher Future P/E
Analysts have trimmed their fair value estimate for Capita to £8.73 from £8.76, while lifting the assumed future P/E multiple to about 16.8x. This reflects updated views on revenue trajectory and profitability following the recent price target reset to £3.00 and rating change to Hold.Recent updates
Narrative Update • May 31
CPI: AI Partnerships And Margin Execution Will Support Higher Future Earnings
Analysts have trimmed their average price target for Capita to £3.00 from £4.05, citing concerns about the revenue trajectory while also incorporating a slightly improved profit margin outlook and a lower discount rate into their valuation work. Analyst Commentary Bullish analysts are focusing on how the latest price target revisions reflect a more balanced view of Capita, with revenue concerns now set against slightly better expectations for margins and risk.Narrative Update • May 15
CPI: AI And Data Partnerships Will Support Future Re Rating Potential
Analysts have trimmed their fair value estimate for Capita to roughly £4.70 per share from about £4.88. This reflects an updated view that factors in a slightly lower discount rate, a less steep expected revenue decline, marginally softer profit margins, and a reduced future P/E assumption, consistent with recent changes in price targets and ratings in Street research.Narrative Update • Apr 28
CPI: AI Partnerships And Margin Execution Will Support Higher Future P/E
Analysts have trimmed their fair value estimate for Capita to £8.73 from £8.76, while lifting the assumed future P/E multiple to about 16.8x. This reflects updated views on revenue trajectory and profitability following the recent price target reset to £3.00 and rating change to Hold.Narrative Update • Apr 14
CPI: AI Data Partnership Execution Will Support Re Rating Despite Revenue Pressures
Capita's updated analyst price target has shifted to around £4.88 from about £5.09, as analysts factor in lower expected revenue growth, a slightly reduced discount rate and a modestly higher profit margin outlook. Analyst Commentary Recent research paints a mixed picture for Capita, with fresh price targets and rating changes reflecting both confidence in certain parts of the story and concern about execution risks.Narrative Update • Mar 31
CPI: Higher Margins And AI Partnerships Will Support Future P/E
Narrative Update The updated analyst price target for Capita moves to about £8.76 from £8.61, as analysts factor in a softer revenue outlook, slightly lower profit margin expectations, and a higher assumed future P/E multiple following recent recalibrations to £3.00 and other target changes from firms covering the stock. Analyst Commentary Recent Street research around Capita has been mixed, with some analysts becoming more cautious on revenue trends while others have adjusted price targets that still sit meaningfully above current implied levels.Narrative Update • Mar 17
CPI: Execution On AI Data Partnerships Will Drive Future Re Rating
Narrative Update on Capita The analyst price target for Capita has been reduced to £3.00 from £4.05. Analysts point to a weaker revenue trajectory, a lower fair value estimate and a higher discount rate, partly offset by an assumed higher future P/E multiple.Narrative Update • Mar 03
CPI: Higher Margins And Refined Discount Rate Will Support Future P/E
Analysts have increased their price target on Capita by £0.50, citing updated assumptions on fair value, discount rate, revenue growth, profit margin, and future P/E as the key drivers behind the change. Analyst Commentary Bullish analysts are framing the £0.50 uplift in the price target as a reflection of refined assumptions rather than a sudden change in view.
Narrative Update • Feb 17
CPI: Lower Discount Rate Will Support Higher Fair Value Case
Analysts have raised their price target on Capita to £4.00 from £3.21, citing updated views on fair value, a reduced discount rate of 11.16%, and slightly higher expected profit margins, as reflected in recent Street research including the Berenberg price target increase. Analyst Commentary While the updated fair value work supports a higher £4.00 price target, some bearish analysts remain cautious and flag areas where they see risk around the new assumptions.Narrative Update • Feb 02
CPI: Fair Value Revisions Will Drive Re Rating As Earnings Power Builds
Analysts have raised their price target on Capita, with one firm lifting its target by £0.50. The change was attributed to updated assumptions around fair value, discount rate, revenue growth, profit margins and future P/E expectations.Narrative Update • Jan 19
CPI: AI Catalyst Stack Will Support Margins And Higher Future P/E
Analysts have lifted their price target on Capita by £0.50, citing updated assumptions around discount rates, modest revenue growth expectations, and a steady profit margin outlook reflected in a slightly adjusted future P/E multiple. Analyst Commentary Bullish Takeaways Bullish analysts point to the £0.50 price target lift as a signal that updated assumptions on discount rates and valuation metrics still support upside at current levels.Narrative Update • Jan 05
CPI: AI Operational Rollout Will Reshape Margins And Future Earnings Multiple
Analysts have raised their fair value estimate for Capita from £6.00 to £9.00, citing a lower discount rate, slightly more conservative revenue growth assumptions, modestly higher profit margin expectations, and a somewhat higher future P/E multiple in their updated models. What's in the News Capita launched The AI Catalyst Stack, aiming to operationalise AI at scale within its business process outsourcing services and position itself as an AI enabled BPO provider (Key Developments).Narrative Update • Dec 15
CPI: AI Turnaround Will Reach Inflection As Public Sector Platform Scales
Analysts have lifted their price target on Capita from £4.96 to about £5.09, citing a strengthening turnaround that is now at an inflection point and gaining momentum. This is supported by slightly lower perceived risk and an improved valuation multiple, despite modestly softer growth and margin assumptions.Analysis Article • Dec 11
Capita plc's (LON:CPI) Shares Bounce 28% But Its Business Still Trails The Industry
Capita plc ( LON:CPI ) shares have continued their recent momentum with a 28% gain in the last month alone. The last 30...Narrative Update • Nov 30
CPI: AI-Fueled Turnaround Will Drive Momentum At This Inflection Point
Analysts have slightly lowered their price target for Capita to £4.96, citing the company's ongoing turnaround and recent positive momentum as key factors for this adjustment. Analyst Commentary Analyst perspectives on Capita reflect both optimism about its ongoing transformation and awareness of the hurdles it still faces.Narrative Update • Nov 16
CPI: Turnaround Momentum Will Accelerate Market Leadership With AI Integration
Analysts have reaffirmed Capita's price target at £4.96. They note that the company's turnaround is accelerating, which supports a stable outlook despite only slight adjustments to key financial assumptions.Narrative Update • Oct 31
CPI: Public Sector Outsourcing Momentum Will Drive Digital Transformation Forward
Narrative Update: Capita Analyst Price Target Revised Analysts have revised Capita's fair value downward from £5.57 to £4.96, citing recent research that acknowledges the company's ongoing turnaround progress but underscores a cautious approach as the transformation gains momentum. Analyst Commentary Analysts covering Capita have offered insights into both the promising opportunities and potential risks associated with the company's turnaround story.Narrative Update • Oct 17
Public Sector Pipelines And Digital Transformation Will Redefine Service Delivery
Analysts have raised their price target for Capita from £5.25 to £5.57, citing improving fundamentals and momentum as the company's turnaround continues to gather pace. Analyst Commentary Recent analyst reports highlight a mix of optimism and caution regarding Capita's ongoing transformation.Narrative Update • Oct 03
Public Sector Pipelines And Digital Transformation Will Redefine Service Delivery
The analyst price target for Capita has increased significantly from £4.32 to £5.25, as analysts note the company's improving turnaround prospects and a strengthening position in the UK public sector outsourcing market. Analyst Commentary Recent research highlights a notable shift in sentiment surrounding Capita, with analysts updating their views on the company's outlook and valuation potential.Analysis Article • Sep 30
Is Capita (LON:CPI) Using Too Much Debt?
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...Analysis Article • Sep 30
Capita plc (LON:CPI) Shares Fly 34% But Investors Aren't Buying For Growth
Those holding Capita plc ( LON:CPI ) shares would be relieved that the share price has rebounded 34% in the last thirty...Analysis Article • Aug 08
Capita plc (LON:CPI) Looks Inexpensive After Falling 29% But Perhaps Not Attractive Enough
LSE:CPI 1 Year Share Price vs Fair Value Explore Capita's Fair Values from the Community and select yours Capita plc...Analysis Article • Jun 27
Here's Why Capita (LON:CPI) Is Weighed Down By Its Debt Load
Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to...
New Narrative • Apr 24
Amazon And Microsoft Partnerships Will Advance AI Efficiency Amid Risks
Capita's investment in AI aims to enhance efficiency and market position, improving operational margins and competitive stance in business process services.Analysis Article • Apr 10
Is There Now An Opportunity In Capita plc (LON:CPI)?
Capita plc ( LON:CPI ), is not the largest company out there, but it received a lot of attention from a substantial...Analysis Article • Mar 12
Capita's (LON:CPI) Earnings Might Not Be As Promising As They Seem
Following the release of a positive earnings report recently, Capita plc's ( LON:CPI ) stock performed well. Despite...Analysis Article • Aug 02
Capita plc's (LON:CPI) Price Is Right But Growth Is Lacking After Shares Rocket 44%
Capita plc ( LON:CPI ) shareholders have had their patience rewarded with a 44% share price jump in the last month...Analysis Article • Nov 23
Is Capita (LON:CPI) Using Debt In A Risky Way?
Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...Analysis Article • Aug 05
Capita plc's (LON:CPI) Intrinsic Value Is Potentially 37% Above Its Share Price
Key Insights Capita's estimated fair value is UK£0.30 based on 2 Stage Free Cash Flow to Equity Capita is estimated to...Analysis Article • May 17
At UK£0.32, Is Capita plc (LON:CPI) Worth Looking At Closely?
While Capita plc ( LON:CPI ) might not be the most widely known stock at the moment, it saw a double-digit share price...Analysis Article • Apr 07
Calculating The Intrinsic Value Of Capita plc (LON:CPI)
Key Insights Using the 2 Stage Free Cash Flow to Equity, Capita fair value estimate is UK£0.39 Capita's UK£0.36 share...Shareholder Returns
| CPI | GB Professional Services | GB Market | |
|---|---|---|---|
| 7D | -7.2% | 4.4% | -0.7% |
| 1Y | 50.7% | -29.4% | 16.7% |
Return vs Industry: CPI exceeded the UK Professional Services industry which returned -29.4% over the past year.
Return vs Market: CPI exceeded the UK Market which returned 16.7% over the past year.
Price Volatility
| CPI volatility | |
|---|---|
| CPI Average Weekly Movement | 10.5% |
| Professional Services Industry Average Movement | 5.7% |
| Market Average Movement | 5.6% |
| 10% most volatile stocks in GB Market | 11.6% |
| 10% least volatile stocks in GB Market | 3.1% |
Stable Share Price: CPI's share price has been volatile over the past 3 months compared to the UK market.
Volatility Over Time: CPI's weekly volatility (10%) has been stable over the past year, but is still higher than 75% of UK stocks.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1984 | 29,500 | Adolfo Hernandez | www.capita.com |
Capita plc operates as an outsourcer that supports clients across the public and private sectors in the United Kingdom, India, South Africa, and the rest of Europe. It operates through two divisions: Capita Public Service and Capita Experience. The company offers central government services, including intelligent automation; citizen experience; customer communications and digital services; operations, and transformation; learning and development; procurement; and public services procurement framework services.
Capita plc Fundamentals Summary
| CPI fundamental statistics | |
|---|---|
| Market cap | UK£443.19m |
| Earnings (TTM) | -UK£164.10m |
| Revenue (TTM) | UK£2.31b |
0.2x
P/S Ratio-2.7x
P/E RatioIs CPI overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| CPI income statement (TTM) | |
|---|---|
| Revenue | UK£2.31b |
| Cost of Revenue | UK£1.72b |
| Gross Profit | UK£590.20m |
| Other Expenses | UK£754.30m |
| Earnings | -UK£164.10m |
Last Reported Earnings
Dec 31, 2025
Next Earnings Date
n/a
| Earnings per share (EPS) | -1.37 |
| Gross Margin | 25.52% |
| Net Profit Margin | -7.10% |
| Debt/Equity Ratio | 973.4% |
How did CPI perform over the long term?
See historical performance and comparisonCompany Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/06/07 06:29 |
| End of Day Share Price | 2026/06/05 00:00 |
| Earnings | 2025/12/31 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
Learn about the world class team who designed and built the Simply Wall St analysis model.
Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
Capita plc is covered by 25 analysts. 5 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Paul Daniel Sullivan | Barclays |
| James Rosenthal | Barclays |
| Alex Smith | Berenberg |