Stock of the Day

October 23, 2024

Concentrix (CNXC)

$27.48
-$0.19 (-0.7%)
Market Cap: $1.68B

About Concentrix

Concentrix Corporation engages in the provision of technology-infused customer experience (CX) solutions worldwide. The company provides CX process optimization, technology innovation, front- and back-office automation, analytics, and business transformation services, across various channels of communication, such as voice, chat, email, social media, asynchronous messaging, and custom applications. It also offers customer lifecycle management; customer experience/user experience strategy and design; analytics and actionable insights; digital transformation services that design and engineer CX solutions to enable efficient customer self-service and build customer loyalty; customer engagement solutions and services that address the entirety of the customer lifecycle; AI technology that can intelligently act on customer intent to improve customer experience with non-human engagement; voice of the customer and analytics solutions to gather and analyze customer feedback to foster loyalty to, and growth with, clients; analytics and consulting solutions that synthesize data and provide professional insight to improve clients' customer experience strategies; vertical business process outsourcing (BPO) services; and back office BPO services that support clients in non-customer facing areas. The company's clients include technology and consumer electronics, retail, travel and e-commerce, communications and media, banking, financial services and insurance, healthcare, and others, as well as global IPOs, social brands, and banks. Concentrix Corporation was founded in 2004 and is based in Newark, California.

Today's Trend

Concentrix Corporation (NASDAQ: CNXC) is trading higher as investors weigh a better-than-expected adjusted earnings result and the company’s AI-driven growth strategy against weaker revenue, reduced guidance and a large goodwill impairment.

  • Concentrix reported third-quarter adjusted EPS of $2.92, exceeding the $2.71 analyst consensus. Non-GAAP operating income was $309 million, indicating solid underlying profitability despite the reported GAAP loss. Concentrix Q3 2026 earnings results
  • Management highlighted continued momentum from AI-enabled services: roughly half of revenue now comes from business won since the company introduced AI tools, while new-business revenue is expected to exceed $6 billion in 2027. Concentrix earnings call highlights
  • The company increased its quarterly dividend to $0.37 per share from $0.36, supporting an annualized payout of $1.48 and a roughly 5.9% yield. Concentrix dividend and earnings coverage
  • Canaccord Genuity reaffirmed its Buy rating and assigned a $45 price target, suggesting substantial long-term upside if the AI transition improves growth and margins.
  • Concentrix expects fiscal 2026 EPS of $10.97-$11.09 and fourth-quarter EPS of $2.86-$2.98, providing a relatively stable earnings outlook even as revenue growth remains pressured. Concentrix fiscal 2026 guidance
  • Third-quarter revenue declined 1.2% year over year to $2.45 billion, missing expectations of $2.48 billion. The company also reported a $1.05 billion goodwill charge, producing a $910.3 million operating loss and a sharply negative GAAP margin. Concentrix quarterly loss after goodwill charge
  • BofA Securities lowered its price target to $29, signaling limited near-term upside and continued concern about the slower revenue outlook. BofA lowers Concentrix price target
← Previous Stock of the DayNext Stock of the Day →

Recent News