Concentrix (NASDAQ:CNXC) Sets New 52-Week Low Following Weak Earnings

Key Points

• Concentrix shares hit a new 52-week low after the company reported weaker-than-expected earnings, with the stock falling as low as $19.00 intraday from a prior close of $25.23.
• The company missed second-quarter estimates, posting EPS of $2.63 versus $2.64 expected and revenue of about $2.46 billion versus $2.47 billion forecast.
• Concentrix also cut FY2026 and Q3 guidance below Wall Street estimates, citing softer client spending and margin pressure, while announcing a quarterly dividend of $0.36 per share.

Shares of Concentrix Corporation (NASDAQ:CNXC - Get Free Report) hit a new 52-week low during trading on Tuesday following a weaker than expected earnings announcement. The company traded as low as $19.00 and last traded at $21.1980, with a volume of 202219 shares traded. The stock had previously closed at $25.23.

The company reported $2.63 EPS for the quarter, missing the consensus estimate of $2.64 by ($0.01). The company had revenue of $2.46 billion for the quarter, compared to the consensus estimate of $2.47 billion. Concentrix had a positive return on equity of 17.80% and a negative net margin of 13.35%.Concentrix's quarterly revenue was up 1.9% compared to the same quarter last year. During the same quarter last year, the business earned $2.70 EPS. Concentrix has set its FY 2026 guidance at 10.830-11.180 EPS and its Q3 2026 guidance at 2.650-2.770 EPS.

Concentrix Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 4th. Shareholders of record on Friday, July 24th will be paid a dividend of $0.36 per share. This represents a $1.44 annualized dividend and a yield of 6.9%. The ex-dividend date is Friday, July 24th. Concentrix's dividend payout ratio is currently -6.68%.

More Concentrix News

Here are the key news stories impacting Concentrix this week:

• Positive Sentiment: Concentrix declared a quarterly dividend of $0.36 per share, implying a 5.7% annualized yield, which may support income-focused investors.
• Positive Sentiment: Management highlighted record quarterly cash flow from operations and adjusted free cash flow, along with strong growth in iX Suite deals and an AI push that could help margins over time.
• Neutral Sentiment: Robert W. Baird lowered its price target on CNXC from $40 to $30 while keeping an outperform rating, signaling caution but still modest upside from current levels. Benzinga
• Neutral Sentiment: Analysts and media coverage note that the stock is reacting to the company’s revised guidance and earnings details, while the broader market tone was mixed to slightly positive in pre-market trading. Reuters article
• Negative Sentiment: CNXC missed second-quarter EPS and revenue estimates, with revenue of about $2.46 billion and EPS of $2.63 falling just short of expectations.
• Negative Sentiment: The company cut FY2026 and Q3 guidance below Wall Street estimates, citing softer client spending and margin pressure, which is the main reason the stock is trading lower today.

Wall Street Analyst Weigh In

CNXC has been the topic of several analyst reports. Robert W. Baird lowered their target price on shares of Concentrix from $40.00 to $30.00 and set an "outperform" rating on the stock in a report on Tuesday. Wall Street Zen lowered shares of Concentrix from a "buy" rating to a "hold" rating in a research report on Saturday, March 28th. Weiss Ratings reaffirmed a "sell (d)" rating on shares of Concentrix in a research note on Monday, April 27th. Canaccord Genuity Group dropped their price objective on shares of Concentrix from $80.00 to $55.00 and set a "buy" rating for the company in a report on Wednesday, March 25th. Finally, Barrington Research reiterated an "outperform" rating and issued a $38.00 target price on shares of Concentrix in a research note on Monday, June 22nd. Three equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $41.00.

Insiders Place Their Bets

In related news, CFO Andre S. Valentine acquired 2,500 shares of the firm's stock in a transaction on Thursday, April 9th. The shares were purchased at an average price of $27.95 per share, with a total value of $69,875.00. Following the acquisition, the chief financial officer directly owned 89,066 shares in the company, valued at $2,489,394.70. The trade was a 2.89% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through this link. Also, major shareholder Bruxelles Lambert Groupe sold 6,000,000 shares of the stock in a transaction dated Wednesday, April 29th. The stock was sold at an average price of $22.25, for a total transaction of $133,500,000.00. Following the sale, the insider directly owned 2,773,667 shares in the company, valued at approximately $61,714,090.75. This represents a 68.39% decrease in their position. The disclosure for this sale is available in the SEC filing. Company insiders own 0.90% of the company's stock.

Hedge Funds Weigh In On Concentrix

Large investors have recently modified their holdings of the stock. Royal Bank of Canada increased its holdings in shares of Concentrix by 9.5% in the first quarter. Royal Bank of Canada now owns 47,501 shares of the company's stock valued at $2,643,000 after purchasing an additional 4,133 shares in the last quarter. Goldman Sachs Group Inc. raised its position in Concentrix by 75.1% in the 1st quarter. Goldman Sachs Group Inc. now owns 423,287 shares of the company's stock worth $23,552,000 after purchasing an additional 181,546 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in Concentrix by 17.4% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 146,515 shares of the company's stock worth $8,152,000 after buying an additional 21,746 shares in the last quarter. Focus Partners Wealth acquired a new position in Concentrix during the 1st quarter worth $781,000. Finally, Geneos Wealth Management Inc. boosted its position in Concentrix by 532.7% in the 1st quarter. Geneos Wealth Management Inc. now owns 620 shares of the company's stock valued at $34,000 after buying an additional 522 shares during the last quarter. 90.34% of the stock is currently owned by institutional investors and hedge funds.

Concentrix Price Performance

The stock has a 50-day simple moving average of $25.84 and a 200 day simple moving average of $32.08. The stock has a market capitalization of $1.27 billion, a P/E ratio of -0.97, a price-to-earnings-growth ratio of 0.31 and a beta of 0.43. The company has a debt-to-equity ratio of 1.43, a quick ratio of 1.18 and a current ratio of 1.18.

About Concentrix

Concentrix Inc NASDAQ: CNXC is a global business services company specializing in customer engagement solutions and technology‐driven business process outsourcing. The firm’s offerings encompass customer care delivered across voice and digital channels, back‐office processing, analytics and consulting, and automated workflow management. By integrating proprietary platforms, strategic partnerships and advanced automation, Concentrix helps clients enhance customer experiences and streamline operations.

Its capabilities extend to digital marketing and technology implementation, leveraging artificial intelligence, machine learning and data analytics to optimize customer journeys.

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