Touchstar
TST · AIM · Technology · mcap £5.4m · 70.0p
Touchstar sells software, rugged handheld devices and support services that help fuel distributors and other delivery businesses manage their drivers and orders. About 45% of revenue is recurring (contracted subscriptions and support).
The case for
- Recurring revenue has grown every year, reaching £3.2m in 2025, and the order book reached £2.6m at H1 2026. 7 May 2026 28 Sep 2026
- Net cash of about £2.0m with no debt supports a £1m buyback programme and the dividend. 28 Sep 2026 24 Jun 2025 28 Sep 2026
- The CEO has bought shares repeatedly, and major holders Charlton and Martin added to their stakes in late 2025. 25 Feb 2026 4 Jun 2026 6 Oct 2026
- Q1 2026 order intake was the strongest since 2021. 7 May 2026
The case against
- Revenue has not grown since 2023, and 2025 guidance was cut twice by delays and weak demand. 29 Oct 2024 16 Dec 2025
- 2025 produced a £1.3m pre-tax loss because of £1.4m exceptional charges, including a £1.25m software impairment. 16 Dec 2025 7 May 2026
- Gross margin fell to 46% from 55% a year earlier, and adjusted EBITDA is close to zero. 28 Sep 2026
- The promised return to growth has slipped from 2025 to 2027, and the 'step change' in 2027 is unproven. 18 Mar 2025 16 Dec 2025 7 May 2026
Both sides use only facts from the company's announcements · not investment advice
Company filings. Not investment advice.