Cognition Holdings Limited. JSE: CGN

Cognition shares

Background of Cognition

  • Cognition Holdings is a South Africa-based investment holding company with a portfolio of subsidiaries involved in the telecommunications, business services, fixed and mobile networking, digital and marketing consulting industries. The group provides a broad range of bespoke services to media companies, consumer goods organisations and digital agencies.

  • Operating via two distinct strategic objectives active data exchange and knowledge creation and management – the group’s services are predominantly found in South Africa, but the company has grown to provide niche services such as research, promotions, texting and database management in 38 African countries.

  • The group has 100% ownership of proprietary businesses such as BMi Research, Retail Card Club, SurveyOnline and Four Rivers Trading 123, as well as significant stakes in Livingfacts, CarbonWorx and BMi Sport Info. The majority of the group’s business is conducted through 100% subsidiary Foneworx, which is further split into MediaWorx, BizWorx and Knowledge 350.

  • Cognition’s head office is based in Randburg, with satellite offices in Cape Town and Durban. Cognition shares are available to buy under the telecommunications sector of the Johannesburg Stock Exchange (JSE).

Cognition Shares Growth Driver

  • The group has fallen on tough times recently, and Cognition share price reflects this negative performance. According to the latest available data, after-tax profits declined by 31.3% in the second half of 2015, from R12.8 million to R8.8 million. This was largely due to a continuing decline in the group’s core business – faxing solutions – which has a history of contributing half of revenue. The decline has been greater than the increased revenue generated by new services being developed for sale to the market.

  • The group has been focusing on building up cash reserves to make value-enhancing acquisitions and to invest in internal projects. During the 2015 financial year, investments in associate companies totalled R8 million, a 60% stake of BMi Sport was acquired for R16 million and internal assets were developed to the value of R3.6 million. It is forecast that these assets will grow the revenue base of the group in future. Having gained strong cash reserves and accessed capital funds, the grouphas said that it is in a good position to become a significant player within the data and knowledge economy.

Cognition Group Investor Tip

  • The live online stocks chart does not instill investor confidence to buy the shares, with Cognition share price plummeting from a high of R2.10 in 2015 to R1.22 by June 2016. The company has said that it expects a number of large contracts which haven’t materialised should do so in the near future, which will boost the group’s performance.

  • At present, Cognition is scrambling to offset losses in its traditionally strong businesses. The company has identified a need to buy into diversification and the release of up-to-date, innovative products for future success. Overall, a strong cash position could allow the group to overcome challenges and reverse the trend of declining profits and Cognition share price today.

Cognition Major Shareholders

Caxton and CTP Publishers and Printers, Navsur.

  • Sector

    Consumer Discretionary

  • Industry

    Commercial Services

  • Sub industry

    Other Commercial Services

How to buy Cognition Group Shares

  • Cognition : How to buy Cognition Group Shares Online

    We have made it simple to buy JSE listed firm shares online. The easiest way to buy Cognition Group shares or stocks is to; start by submitting the ‘BUY THIS SHARE’ form. Next, one of our experienced and certified stock brokers will personally get in contact with you to discuss your custom stock request. Finally, a stock advisor will confirm the amount of shares you are looking to invest in Cognition Group and assist you with the setup and management of your stock portfolio account.

  • Here are the steps you must follow to Buy / Purchase Cognition Group shares with utmost confidence:

    1. Start by Filling in the BUY THIS SHARE form.
    2. Insert your name, email, telephone number and monthly remuneration.
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    4. Click the “ INVEST NOW” button
    5. Once we have received your info, a dedicated stock advisor will personally call you back to discuss your personal share request.
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