Concentrix (NASDAQ:CNXC) Issues Earnings Results

Concentrix (NASDAQ:CNXC) released its quarterly earnings results on Monday. The company reported $2.63 EPS for the quarter, missing the consensus estimate of $2.64 by ($0.01), FiscalAI reports. Concentrix had a positive return on equity of 18.93% and a negative net margin of 13.16%.The firm had revenue of $2.46 billion for the quarter, compared to analysts’ expectations of $2.47 billion. During the same quarter in the prior year, the business earned $2.70 earnings per share. The company’s quarterly revenue was up 1.9% on a year-over-year basis. Concentrix updated its FY 2026 guidance to 10.830-11.180 EPS and its Q3 2026 guidance to 2.650-2.770 EPS.

Here are the key takeaways from Concentrix’s conference call:

• Concentrix’s iX Suite gained significant traction, with contract signings up 400% year over year and annual recurring revenue expected to surpass $120 million by the end of the fiscal year. Management said clients using the platform are growing faster and delivering about 350 basis points better margins.
• Cash generation was strong, as adjusted free cash flow reached a second-quarter record of $242 million. The company also reduced total net debt by $228 million and reiterated its plan to repay more than $550 million of debt this year.
• Revenue came in slightly below expectations, with constant-currency growth of 0.6% in the quarter and full-year revenue guidance reduced. Management said the lower outlook reflects a faster-than-expected shift to offshore delivery and some clients reallocating spend.
• Margins improved and are expected to keep rising, with second-quarter non-GAAP operating margin at 11.9% and adjusted EBITDA margin at 14.1%. The company expects margin expansion to accelerate in the second half of 2026 as restructuring actions, offshore transitions, and iX Suite deployments mature.
• Management increased restructuring spending to realign the cost structure and speed AI adoption internally, with about $175 million of total restructuring planned for the year. Concentrix expects these charges to be covered by cash flow within six to nine months while continuing to invest in higher-growth areas.

Concentrix Price Performance

Shares of CNXC opened at $22.41 on Wednesday. Concentrix has a twelve month low of $19.12 and a twelve month high of $62.14. The firm’s fifty day simple moving average is $25.69 and its 200-day simple moving average is $31.96. The firm has a market capitalization of $1.37 billion, a price-to-earnings ratio of -1.05, a PEG ratio of 0.32 and a beta of 0.44. The company has a current ratio of 1.18, a quick ratio of 1.18 and a debt-to-equity ratio of 1.43.

Concentrix Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 4th. Shareholders of record on Friday, July 24th will be given a $0.36 dividend. The ex-dividend date of this dividend is Friday, July 24th. This represents a $1.44 dividend on an annualized basis and a dividend yield of 6.4%. Concentrix’s dividend payout ratio is currently -6.68%.

Insider Activity

In other news, 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 value of $133,500,000.00. Following the transaction, the insider 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 transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Andre S. Valentine bought 2,500 shares of the business’s stock in a transaction dated Thursday, April 9th. The shares were acquired at an average cost of $27.95 per share, for a total transaction of $69,875.00. Following the transaction, the chief financial officer directly owned 89,066 shares in the company, valued at approximately $2,489,394.70. This represents a 2.89% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 0.90% of the company’s stock.

Institutional Investors Weigh In On Concentrix

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Osaic Holdings Inc. lifted its position in Concentrix by 13.4% in the second quarter. Osaic Holdings Inc. now owns 2,222 shares of the company’s stock valued at $118,000 after acquiring an additional 263 shares during the last quarter. State of Wyoming lifted its stake in Concentrix by 6.2% in the fourth quarter. State of Wyoming now owns 5,029 shares of the company’s stock valued at $209,000 after buying an additional 293 shares during the last quarter. Deutsche Bank AG lifted its stake in Concentrix by 4.7% in the fourth quarter. Deutsche Bank AG now owns 6,767 shares of the company’s stock valued at $281,000 after buying an additional 303 shares during the last quarter. Brevan Howard Capital Management LP boosted its holdings in shares of Concentrix by 4.5% in the second quarter. Brevan Howard Capital Management LP now owns 8,951 shares of the company’s stock valued at $473,000 after acquiring an additional 384 shares during the period. Finally, California State Teachers Retirement System increased its holdings in shares of Concentrix by 1.1% in the 2nd quarter. California State Teachers Retirement System now owns 36,387 shares of the company’s stock valued at $1,923,000 after acquiring an additional 384 shares during the period. 90.34% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several research firms recently issued reports on CNXC. Robert W. Baird decreased their target price on Concentrix from $40.00 to $30.00 and set an “outperform” rating on the stock in a research note on Tuesday. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Concentrix in a research report on Monday, April 27th. Bank of America cut their price target on shares of Concentrix from $32.00 to $26.00 and set a “neutral” rating on the stock in a research note on Tuesday. Canaccord Genuity Group reduced their price target on shares of Concentrix from $55.00 to $45.00 and set a “buy” rating on the stock in a research report on Tuesday. Finally, Barrington Research lowered their price objective on shares of Concentrix from $38.00 to $30.00 and set an “outperform” rating for the company in a research note on Tuesday. Three analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus target price of $32.75.

Key Stories Impacting Concentrix

Here are the key news stories impacting Concentrix this week:

• Positive Sentiment: Concentrix said AI-related wins, offshore shifts, and cost cuts are helping support its margin strategy, while cash generation was strong with record operating cash flow and adjusted free cash flow. Article Title
• Positive Sentiment: Some analysts still see upside despite the selloff: Barrington Research and Robert W. Baird both kept outperform ratings, and the stock was also described as undervalued by GF Value after the drop. Article Title
• Neutral Sentiment: Concentrix announced a quarterly dividend of $0.36 per share, which supports income-focused investors but is not the main driver of the stock move. Article Title
• Neutral Sentiment: The latest analyst consensus remains “Hold,” indicating the Street is divided after the earnings update and guidance reset. Article Title
• Negative Sentiment: Q2 results missed expectations: EPS came in at $2.63 versus $2.64 expected, and revenue was $2.46 billion versus $2.47 billion expected, signaling only modest top-line growth and margin pressure. Article Title
• Negative Sentiment: Management cut FY2026 and Q3 guidance below Wall Street forecasts, with Reuters reporting clients are trimming spend; that weaker outlook is the biggest reason CNXC has been falling. Article Title
• Negative Sentiment: Several firms lowered price targets after the earnings release, including Bank of America, Barrington, and Baird, reinforcing concerns about near-term execution and demand. Article Title

Concentrix Company Profile

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.