Q4 FY2025 Financial Performance: Endava reported a revenue decrease of 3.9% year-on-year to £186.8 million, with a profit before tax of £3.8 million, compared to a loss in the previous year. Adjusted diluted EPS improved to £0.24 from £0.22.
FY2025 Overview: For the full fiscal year, revenue increased by 4.3% to £772.3 million, with a profit before tax of £24.1 million. Adjusted diluted EPS rose to £1.13 from £1.12 in the prior year.
Operational Insights: The company ended FY2025 with its highest quarterly order book and noted that over half of its employees are now using AI in projects. However, the outlook remains cautious due to a volatile operating environment.
Future Guidance: Endava anticipates a revenue range of £750 million to £765 million for FY2026, indicating a potential decline in constant currency revenue, and expects adjusted diluted EPS between £0.82 and £0.94.
DAVA
$7.01+Infinity%1D
Analyst Views on DAVA
Wall Street analysts forecast DAVA stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DAVA is 10.17 USD with a low forecast of 8.00 USD and a high forecast of 15.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Analyst Rating
Wall Street analysts forecast DAVA stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DAVA is 10.17 USD with a low forecast of 8.00 USD and a high forecast of 15.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Buy
5 Hold
0 Sell
Moderate Buy
Current: 6.960
Low
8.00
Averages
10.17
High
15.00
Current: 6.960
Low
8.00
Averages
10.17
High
15.00
Needham
Mayank Tandon
Buy
downgrade
$12 -> $9
2025-11-12
Reason
Needham
Mayank Tandon
Price Target
$12 -> $9
2025-11-12
downgrade
Buy
Reason
Needham analyst Mayank Tandon lowered the firm's price target on Endava to $9 from $12 and keeps a Buy rating on the shares. The company posted Q1 results below expectations on the top and bottom line and lowered FY26 guidance primarily due to an unexpected client credit and subdued pipeline conversion in the quarter, though on a positive note, Endava secured a multi-year relationship with a payments client totaling $100M, the analyst tells investors in a research note. Needham adds however that given its expectations for AI adoption to begin helping growth over 2026 and the potential for increased demand for digital transformation as economic visibility improves, there's potential for the shares to re-rate over time.
JPMorgan
Neutral
downgrade
$13 -> $10
2025-11-12
Reason
JPMorgan
Price Target
$13 -> $10
2025-11-12
downgrade
Neutral
Reason
JPMorgan lowered the firm's price target on Endava to $10 from $13 and keeps a Neutral rating on the shares. The company reported a fiscal Q1 miss and guidance cut, the analyst tells investors in a research note. The firm sees limited share upside until consensus estimates are "de-risked."
TD Cowen
Bryan Bergin
Hold
downgrade
$10 -> $8
2025-11-12
Reason
TD Cowen
Bryan Bergin
Price Target
$10 -> $8
2025-11-12
downgrade
Hold
Reason
TD Cowen analyst Bryan Bergin lowered the firm's price target on Endava to $8 from $10 and keeps a Hold rating on the shares. The firm noted they missed their previously stated growth guidance with pressure carrying forward into their outlook. A client credit and lack of pipeline conversion drove softer performance.
Guggenheim
Jonathan Lee
Buy
downgrade
$18 -> $15
2025-11-12
Reason
Guggenheim
Jonathan Lee
Price Target
$18 -> $15
2025-11-12
downgrade
Buy
Reason
Guggenheim analyst Jonathan Lee lowered the firm's price target on Endava to $15 from $18 and keeps a Buy rating on the shares. Quarterly underperformance and a negative revision to the company's FY26 outlook overshadow management's incremental confidence in large deals, says the analyst, whose lower target reflects uncertainty in the near term.
About DAVA
Endava plc is a technology service provider. The Company provides a combination of engineering, industry expertise and a customer-centric mindset, to consult and partner with its customers to create technological solutions that transform businesses into the artificial intelligence (AI)-driven digital shift. The Company provides solutions to its customers from ideation to production at every stage of their digital transformation, regardless of industry, region or scale. It uses its proprietary enterprise agile delivery framework, known as The Endava Adaptive Model, or TEAM, with its three component structure comprising an Engagement Model to guide the interaction with its clients; an Interaction Model, called TEAM Enterprise Agile Scaling, or TEAS, which defines how it implements agile delivery at all levels of scaling, and Engineering Practices that guide its people to deliver effective and technical solutions for its clients.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
