Concentrix (NASDAQ:CNXC) Trading 7.2% Higher on Better-Than-Expected Earnings

Concentrix Corporation (NASDAQ:CNXC) shares rose 7.2% on Wednesday following a stronger than expected earnings report. The stock traded as high as $42.29 and last traded at $41.9950. Approximately 171,968 shares traded hands during mid-day trading, a decline of 85% from the average daily volume of 1,147,321 shares. The stock had previously closed at $39.18.

The company reported $2.95 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.93 by $0.02. The business had revenue of $2.55 billion during the quarter, compared to analysts’ expectations of $2.54 billion. Concentrix had a net margin of 3.25% and a return on equity of 16.02%. The business’s revenue for the quarter was up 4.3% compared to the same quarter last year. During the same period in the previous year, the company earned $3.26 earnings per share. Concentrix has set its Q1 2026 guidance at 2.570-2.690 EPS and its FY 2026 guidance at 11.480-12.070 EPS.

Concentrix Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, February 10th. Investors of record on Friday, January 30th will be issued a $0.36 dividend. This represents a $1.44 annualized dividend and a yield of 3.4%. The ex-dividend date is Friday, January 30th. Concentrix’s payout ratio is 30.44%.

Key Stories Impacting Concentrix

Here are the key news stories impacting Concentrix this week:

• Positive Sentiment: Record cash generation and shareholder returns — Concentrix reported $807M operating cash flow and $626M adjusted free cash flow for FY‑2025 and returned $258M via dividends and buybacks (repurchased 1.3M shares; ~$438.6M authorization remaining), supporting valuation and buyback optionality. QuiverQuant Summary
• Positive Sentiment: Revenue beat and forward guidance — Q4 revenue $2.553B (+4.3% YoY) topped guidance and management gave FY‑2026 revenue and non‑GAAP EPS guidance (FY non‑GAAP EPS $11.48–$12.07; revenue $10.035B–$10.18B), signaling continued top‑line growth. GlobeNewswire Press Release
• Positive Sentiment: Analyst support — Barrington Research reiterated an “Outperform” rating, providing some sell‑side endorsement amid the volatility. Barrington Research Note
• Positive Sentiment: Dividend maintained — Board declared quarterly $0.36/share dividend (payable Feb 10; ~3.7% yield), which supports income‑oriented holders.
• Neutral Sentiment: Strategy shift to tech and AI‑enabled services — Management highlighted a technology‑driven transformation that is reshaping revenue mix; this underpins longer‑term growth but is also linked to near‑term margin investment. Yahoo Deep Dive
• Neutral Sentiment: Earnings‑call color available — Transcripts and summaries emphasize cash strength and integration costs; useful for investors digging into segment trends and margin drivers. Earnings Call Transcript
• Negative Sentiment: Large non‑cash goodwill impairment — A $1.523B impairment drove a Q4 GAAP operating loss (~$1.38B) and a per‑share GAAP loss of $(23.85), creating headline volatility and pressuring the stock. GlobeNewswire Press Release
• Negative Sentiment: Margin compression and lower non‑GAAP earnings — Non‑GAAP operating margin contracted (~150 bps Q/Q) and non‑GAAP EPS fell to $2.95 (down ~9.5% YoY for the quarter), signaling near‑term margin pressure as Concentrix invests and integrates acquisitions. Yahoo Market Reaction

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on CNXC shares. Canaccord Genuity Group reissued a “buy” rating and issued a $80.00 price target on shares of Concentrix in a research report on Tuesday, September 23rd. Robert W. Baird decreased their price objective on Concentrix from $75.00 to $62.00 and set an “outperform” rating for the company in a report on Monday, September 29th. Barrington Research reiterated an “outperform” rating and set a $62.00 price target on shares of Concentrix in a report on Monday. Wall Street Zen upgraded Concentrix from a “hold” rating to a “buy” rating in a research note on Saturday, October 25th. Finally, Weiss Ratings raised Concentrix from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Thursday, January 8th. Three research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, Concentrix currently has a consensus rating of “Moderate Buy” and a consensus price target of $66.25.

Insiders Place Their Bets

In other news, CEO Christopher A. Caldwell acquired 2,000 shares of Concentrix stock in a transaction that occurred on Thursday, October 30th. The shares were bought at an average cost of $42.03 per share, with a total value of $84,060.00. Following the transaction, the chief executive officer directly owned 286,661 shares of the company’s stock, valued at $12,048,361.83. This trade represents a 0.70% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at this link. 3.20% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Concentrix

Institutional investors and hedge funds have recently made changes to their positions in the business. AQR Capital Management LLC grew its position in Concentrix by 25.5% in the 2nd quarter. AQR Capital Management LLC now owns 4,305,469 shares of the company’s stock worth $226,252,000 after purchasing an additional 875,556 shares during the last quarter. Deprince Race & Zollo Inc. acquired a new position in shares of Concentrix in the 3rd quarter valued at $31,768,000. Norges Bank bought a new stake in shares of Concentrix in the 2nd quarter valued at about $23,318,000. Arrowstreet Capital Limited Partnership raised its holdings in Concentrix by 247.2% in the second quarter. Arrowstreet Capital Limited Partnership now owns 535,843 shares of the company’s stock worth $28,322,000 after purchasing an additional 381,497 shares during the period. Finally, Capital Management Corp VA acquired a new position in shares of Concentrix in the 2nd quarter valued at approximately $17,230,000. 90.34% of the stock is currently owned by hedge funds and other institutional investors.

Concentrix Trading Up 7.6%

The company has a market capitalization of $2.63 billion, a P/E ratio of 8.95, a price-to-earnings-growth ratio of 0.54 and a beta of 0.48. The business has a fifty day moving average price of $38.43 and a 200 day moving average price of $46.68. The company has a quick ratio of 1.56, a current ratio of 1.56 and a debt-to-equity ratio of 1.10.

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.