last post , but just seems silly cheap ! #CTA
Market cap: ยฃ17m
This is a business that just posted:
$9.5m adjusted PBT
$8.4m profit after tax
$14.8m EBITDA
Record new business wins of $47m annualised
Run the numbers:
P/E: 2.6x EV/EBITDA: ~2x EV/PBT: ~3x
A normal small-cap manufacturer trades at 6-10x EBITDA. CTA is at 2x.
Yes there are reasons for the discount. Accounting restatements across multiple years. CFO just left. Thin cash. Customer concentration. AIM illiquidity.
All real. All worth respecting.
But here's what the market seems to be missing entirely none of the $47m new contract wins are in these numbers yet. That revenue hasn't started flowing.
Management themselves said it "changes the picture materially for FY27."
At $115m revenue today, $47m fully ramped is potentially 40% top line growth sitting in the pipeline.
FCF is thin right now at ~$3.6m but that's because they've been spending heavily on Mexico. Capex normalises, FCF expands materially.
The market is pricing this like a distressed business circling the drain.
It isn't. Third consecutive year of profit growth, record order book, improving margins, and a genuinely differentiated manufacturing operation.
At 2x EBITDA with that pipeline? The risk/reward here looks seriously skewed to the upside. ๐
#PXEN only a matter of time before this takes off.
Held back by some flipping no doubt but the macro background will dictate the share price.
In tough markets this is such a low risk play from here imo.
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#TOO nice write-up highlighting both current value disconnect and its huge potential.
A buy and hold for 2026 and will certainly be one of my @smallcappixuk shares for next year.