Andrews Sykes (ASY) AI Stock Analysis

• Market Cap: £215.57M
• Dividend Yield: 5.03%
• Average Volume (3M): 2.15K
• Price to Earnings (P/E): 12.8
• Beta (1Y): 0.15
• Revenue Growth: -3.56%
• EPS Growth: -5.13%
• Country: UK
• Employees: 500
• Sector: Industrials
• Sector Strength: 85
• Industry: Rental & Leasing Services
• EPS (TTM): 0.23
• Shares Outstanding: 41,858,746
• 10 Day Avg. Volume: 1,096
• 30 Day Avg. Volume: 2,146
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £579.00
• Price Target Upside: 13.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 75 Outperform
• Price Target: 579.00p ▲(13.53% Upside)

Andrews Sykes maintains a solid financial position with strong profitability and a robust balance sheet, contributing significantly to the overall score. The valuation is attractive with a reasonable P/E ratio and high dividend yield, enhancing investor appeal. Technical analysis indicates a neutral to slightly bearish trend, which slightly tempers the overall score.

Andrews Sykes Business Overview & Revenue Model

Company Description

Andrews Sykes Group plc, an investment holding company, engages in the hire, sale, and installation of environmental control equipment in the United Kingdom, rest of Europe, the Middle East, Africa, and internationally. It operates through Hire and Sales UK, Hire and Sales Europe, Hire and Sales Middle East, and Installation and Maintenance segments. The company offers air conditioning products, including exhaust tube and split type air conditioners, evaporative coolers, cooling fans, and portable humidifiers; and pumps, such as general purpose, silenced range, bentonite, submersible drainage and wastewater, submersible sludge, hydraulic submersible, and air pumps, as well as hoses and accessories, repair services, and spare parts. It also provides fluid chillers, low temperature chillers, air handlers, heat exchangers, hear pump chillers, and fan coils; electric, direct and indirect fired gas, direct and indirect fired oil, high capacity, and marquee heaters; fuel tanks; electric, packaged, mobile, and medium pressure hot water boilers, as well as boiler air handlers; and ventilation and cooling fans, industrial fans, and carpet dryers. In addition, the company offers building dryers, refrigerant and desiccant dehumidifiers, and humidifiers. The company was founded in 1857 and is headquartered in Wolverhampton, the United Kingdom. Andrews Sykes Group plc is a subsidiary of EOI Sykes Sarl.

How the Company Makes Money

Andrews Sykes generates revenue primarily through the rental and sale of its climate control equipment. The company offers a wide range of products for short-term and long-term rental, catering to diverse customer needs across sectors like construction, industrial, and commercial. Key revenue streams include daily and long-term rental fees, sales of new and refurbished equipment, and maintenance services for its products. Additionally, the company benefits from significant partnerships with various businesses and organizations, which help to secure long-term contracts and repeat business. The diverse applications of its products ensure steady demand, contributing to the company's overall earnings.

Andrews Sykes Financial Statement Overview

Summary

Andrews Sykes demonstrates stable financial health with strong profitability and a solid balance sheet. The income statement reveals consistent margins, although revenue growth is a concern. The balance sheet is robust with low leverage and effective equity utilization. Cash flow management shows strength in operational cash generation, albeit with reduced free cash flow. Overall, the company maintains a solid financial position with opportunities for revenue growth.

Income Statement

Andrews Sykes displays stable profitability with consistent gross and net margins. The gross profit margin remained strong at 64.78% in 2024, while the net profit margin stood at 22.12%. However, there was a decline in revenue from 2023 to 2024 by 3.56%, indicating challenges in growing top-line revenue. The EBIT and EBITDA margins remain robust, reflecting efficient cost management.

Balance Sheet

The company maintains a healthy balance sheet with strong equity and manageable debt levels. The debt-to-equity ratio is favorable at 0.35, indicating low leverage. Return on equity is solid at 36.37%, showcasing effective use of shareholder funds. The equity ratio of 57.52% reflects a strong equity base relative to total assets, supporting financial stability.

Cash Flow

Cash flow metrics indicate a decrease in free cash flow by 32.37% from 2023 to 2024, suggesting reduced cash available for reinvestment or distribution. The operating cash flow to net income ratio is 1.21, showing a strong conversion of earnings to cash. However, the decrease in free cash flow could signal potential challenges in liquidity management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	75.94M	78.75M	83.01M	75.22M	67.26M
Gross Profit	49.20M	51.73M	53.00M	46.22M	39.08M
EBITDA	33.10M	33.17M	31.75M	29.81M	26.66M
Net Income	16.80M	17.76M	17.02M	15.54M	13.02M
Balance Sheet
Total Assets	80.30M	77.57M	96.22M	97.34M	85.81M
Cash, Cash Equivalents and Short-Term Investments	23.18M	19.97M	37.22M	32.44M	24.01M
Total Debt	16.03M	15.40M	11.32M	15.93M	16.34M
Total Liabilities	34.11M	37.11M	31.51M	33.72M	29.79M
Stockholders Equity	46.19M	40.47M	64.71M	63.62M	56.02M
Cash Flow
Free Cash Flow	14.94M	22.09M	25.13M	21.06M	18.10M
Operating Cash Flow	20.32M	26.15M	27.60M	23.59M	22.25M
Investing Cash Flow	-3.27M	13.79M	-16.99M	-1.35M	-3.46M
Financing Cash Flow	-13.76M	-40.37M	-23.06M	-13.32M	-22.77M

Andrews Sykes Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 510.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ASY, the sentiment is Positive. The current price of 510 is below the 20-day moving average (MA) of 514.25, below the 50-day MA of 518.45, and above the 200-day MA of 505.63, indicating a neutral trend. The MACD of -3.20 indicates Negative momentum. The RSI at 50.24 is Neutral, neither overbought nor oversold. The STOCH value of 66.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:ASY.

Andrews Sykes Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASY	75 Outperform	£215.57M	12.83	38.77%	5.03%	-3.56%	-5.13%
VP	70 Neutral	£232.82M	16.12	9.52%	6.67%	3.06%	―
Sector *	62 Neutral	C$7.21B	-0.54	-4.20%	2.32%	11.03%	-29.50%
SDY	56 Neutral	£138.30M	―	-0.65%	8.67%	-1.16%	-141.38%

Andrews Sykes Corporate Events

Andrews Sykes Announces AGM Results and Dividend Payout

Andrews Sykes Group PLC, a company specializing in climate control solutions, announced the successful passing of all resolutions at its Annual General Meeting. A final dividend of 14.0 pence per share will be distributed on June 20, 2025. This decision reflects the company’s stable financial performance and commitment to shareholder value, reinforcing its market position.

Andrews Sykes Releases 2024 Annual Report and Announces AGM

Andrews Sykes Group PLC has announced the posting of its Annual Report and Accounts for the financial year ending December 31, 2024, to shareholders. The company also issued a notice for its Annual General Meeting scheduled for June 17, 2025, in London, inviting shareholders to attend in person. This announcement is part of the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting its market positioning by reinforcing trust and communication with stakeholders.