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Eurocell
(LSE:ECEL)
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Rating:58Neutral
Price Target:
106.00 p
▼(-15.54% Downside)
Action:Reiterated
Date:04/18/26
The score is driven mainly by improving 2025 operating performance and steady positive free cash flow, which help offset concerns. The key risks are the sharp rise in leverage and profitability that remains well below prior-cycle peaks. Technical indicators are mixed but skew weaker given the stock is still below key longer-term moving averages and MACD remains negative, while valuation appears reasonable on P/E but lacks dividend support.
Positive Factors
Revenue & Operating Momentum
Revenue growth and a higher EBIT margin in 2025 demonstrate a durable recovery in core operations. A 7.5% top-line increase and improved operating leverage support ongoing cash generation and reinvestment capacity, strengthening the company's medium-term operating profile.
Negative Factors
Rising Leverage
The sharp step-up in leverage reduces balance-sheet flexibility and raises interest and refinancing risk. With debt roughly matching equity, the company has less cushion to absorb demand shocks or pursue opportunistic investments without increasing financial strain in the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue & Operating Momentum
Revenue growth and a higher EBIT margin in 2025 demonstrate a durable recovery in core operations. A 7.5% top-line increase and improved operating leverage support ongoing cash generation and reinvestment capacity, strengthening the company's medium-term operating profile.
Read all positive factors
Eurocell (ECEL) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£112.35M
Dividend Yield3.97%
Average Volume (3M)153.65K
Price to Earnings (P/E)11.8
Beta (1Y)0.46
Revenue Growth12.74%
EPS Growth-3.35%
CountryUK
Employees2,301
SectorIndustrials
Sector Strength72
IndustryConstruction
Share Statistics
EPS (TTM)0.10
Shares Outstanding99,270,170
10 Day Avg. Volume110,194
30 Day Avg. Volume153,649
Financial Highlights & Ratios
PEG Ratio-4.09
Price to Book (P/B)1.25
Price to Sales (P/S)0.33
P/FCF Ratio3.84
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£240.00Price Target Upside91.24% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)0.17
Revenue Forecast (FY)£425.15M
Eurocell Business Overview & Revenue Model
Company Description
Founded in 1974 and based in Alfreton, UK, Eurocell plc specializes in the manufacturing, distribution, and recycling of polyvinyl chloride (PVC) products for the building industry, specifically windows, doors, and roofline components, throughout ...
How the Company Makes Money
Eurocell makes money primarily by selling building products (predominantly PVC-based) to trade and construction customers across the UK. Its key revenue streams include: (1) Branch/Trade counter sales: revenue generated through its network of bran...
Eurocell Earnings Call Summary
Earnings Call Date:Sep 04, 2025
(Q2-2025)
| % Change Since: |
Next Earnings Date:Sep 09, 2026
Earnings Call Sentiment Neutral
The earnings call reflects a mixed performance, with strong growth from the Alunet acquisition and digital sales offset by challenging market conditions and increased costs. While there are significant achievements, the revised full-year outlook and subdued market conditions indicate a balanced outlook.Positive Updates
Revenue and Profit Growth
Against a challenging market backdrop, Eurocell reported a 10% increase in total group sales and a 9% increase in adjusted operating profit for H1 2025 compared to H1 2024.
Negative Updates
Subdued Market Conditions
Despite growth in some areas, the overall market remains challenging with low consumer confidence affecting the RMI (Repair, Maintenance, and Improvement) sector.
Read all updates
Q2-2025 Updates
Positive
Negative
Revenue and Profit Growth
Against a challenging market backdrop, Eurocell reported a 10% increase in total group sales and a 9% increase in adjusted operating profit for H1 2025 compared to H1 2024.
Read all positive updates
Company Guidance
During the Eurocell Half Year Results Presentation for Fiscal Year 2025, several key metrics were highlighted. The company reported a 10% increase in total Group sales, primarily driven by the acquisition of Alunet, which showed a robust 36% growth post-acquisition. Adjusted operating profit rose by 9% compared to H1 2024, with underlying sales volumes slightly below the previous year. Despite ongoing challenges, including subdued trading conditions and a demanding market environment, Eurocell managed to implement cost reduction strategies, achieving GBP 2 million in annualized savings from a Branch Network restructure. Shareholder returns were enhanced with GBP 7.3 million announced, including an interim dividend up 5% to 2.3p per share and a GBP 5 million share buyback. The company revised its full-year outlook downward due to challenging trading conditions, with adjusted profit before tax down by 3%, and net debt at GBP 29 million, reflecting the funding of the Alunet acquisition.Eurocell Financial Statement Overview
Summary
Income Statement
63
Positive
Balance Sheet
54
Neutral
Cash Flow
71
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 403.50M | 357.90M | 364.50M | 381.20M | 339.80M |
| Gross Profit | 204.00M | 188.30M | 173.80M | 182.70M | 170.20M |
| EBITDA | 51.50M | 41.90M | 39.60M | 53.00M | 52.40M |
| Net Income | 9.60M | 10.50M | 9.60M | 19.70M | 21.10M |
Balance Sheet | |||||
| Total Assets | 287.80M | 223.80M | 223.80M | 254.90M | 240.20M |
| Cash, Cash Equivalents and Short-Term Investments | 6.30M | 400.00K | 400.00K | 5.10M | 6.60M |
| Total Debt | 103.80M | 62.90M | 58.60M | 84.00M | 76.30M |
| Total Liabilities | 183.00M | 118.40M | 109.50M | 140.00M | 134.00M |
| Stockholders Equity | 104.80M | 105.40M | 114.30M | 114.90M | 106.20M |
Cash Flow | |||||
| Free Cash Flow | 34.20M | 33.90M | 43.70M | 21.50M | 13.50M |
| Operating Cash Flow | 46.50M | 44.20M | 52.80M | 33.90M | 29.00M |
| Investing Cash Flow | -33.10M | -10.30M | -8.30M | -12.10M | -15.50M |
| Financing Cash Flow | -4.50M | -36.90M | -49.20M | -17.40M | -15.40M |
Eurocell Technical Analysis
Positive
125.50
Price Trends
108.03
Positive
109.47
Positive
115.81
Negative
Market Momentum
1.13
Negative
55.52
Neutral
77.41
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ECEL, the sentiment is Positive. The current price of 125.5 is above the 20-day moving average (MA) of 110.64, above the 50-day MA of 108.03, and above the 200-day MA of 115.81, indicating a neutral trend. The MACD of 1.13 indicates Negative momentum. The RSI at 55.52 is Neutral, neither overbought nor oversold. The STOCH value of 77.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:ECEL.
Eurocell Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | £1.21B | 23.85 | 18.46% | 1.68% | 26.72% | 29.51% | |
66 Neutral | £82.28M | 10.61 | 18.04% | 4.63% | -3.47% | -21.11% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
60 Neutral | £685.65M | 14.86 | 6.89% | 3.19% | 7.27% | 34.79% | |
58 Neutral | £112.35M | 11.78 | 9.23% | 3.97% | 12.74% | -3.35% | |
53 Neutral | £283.41M | 923.53 | 0.15% | 3.48% | 6.87% | -91.28% | |
49 Neutral | £1.19B | -6.80 | -9.35% | 2.12% | -0.93% | -127.17% |
* Industrials Sector Average
GB:ECEL
Eurocell
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Eurocell Corporate Events
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and Compliance
Eurocell Awards CEO Significant Nil-Cost Share Option Grant
Positive
May 1, 2026
Eurocell plc has granted Chief Executive Officer Will Truman a nil-cost option over 830,353 ordinary shares under its 2025 Performance Share Plan. The award, disclosed in line with UK Market Abuse Regulation, ties a significant portion of the CEO&...
Business Operations and StrategyExecutive/Board Changes
Eurocell Names Travis Perkins Executive as New CFO
Positive
Apr 17, 2026
Eurocell has appointed Matt Worster as its new chief financial officer, with plans for him to join the board as an executive director in the autumn and succeed long-serving CFO Michael Scott upon his retirement. Worster brings extensive finance, i...
Financial DisclosuresRegulatory Filings and ComplianceShareholder Meetings
Eurocell Publishes 2025 Annual Report and Sets Date for 2026 AGM
Neutral
Apr 15, 2026
Eurocell has published its full Annual Report and Accounts for the year ended 31 December 2025, together with the Notice and proxy form for its 2026 Annual General Meeting, which will be held on 14 May 2026 at the company’s head office and d...
Regulatory Filings and Compliance
Eurocell CEO Increases Personal Stake with Share Purchase
Positive
Mar 23, 2026
Eurocell plc disclosed that its chief executive officer, Will Truman, has purchased 24,519 ordinary shares in the company on 23 March 2026 at £1.13 per share, increasing his total holding to 37,203 shares, or about 0.04% of voting rights. The...
Regulatory Filings and Compliance
Eurocell Chair Derek Mapp Increases Stake with Share Purchase
Positive
Mar 19, 2026
Eurocell has disclosed that its non-executive chair, Derek Mapp, has increased his stake in the company by purchasing 17,589 ordinary shares at £1.13 each on 19 March 2026. Following the transaction, Mapp now holds 669,033 shares, representin...
Business Operations and StrategyExecutive/Board ChangesStock BuybackDividendsFinancial Disclosures
Eurocell Delivers Resilient 2025 Results as Alunet Boosts Profits and Strategy Accelerates
Positive
Mar 19, 2026
Eurocell reported a resilient 2025 performance despite subdued UK construction and RMI demand, with revenue up 13% to £403.5 million and adjusted operating profit 6% higher at £24.1 million, driven largely by the strong contribution from...
Business Operations and StrategyFinancial Disclosures
Eurocell sets dates for 2025 results and investor presentations
Neutral
Mar 16, 2026
Eurocell plc will publish its preliminary financial results for the year ended 31 December 2025 on 19 March 2026, accompanied by an audiocast presentation for analysts and investors the same morning. Presentation materials and a recording will be ...
Business Operations and StrategyStock BuybackDividends
Eurocell Completes £5 Million Share Buyback, Sets Stage for Further Capital Returns
Positive
Feb 17, 2026
Eurocell has completed a £5 million share buyback programme, repurchasing a total of 3,478,173 ordinary shares between 20 March 2025 and 16 February 2026 at an average price of £1.44 per share, with all shares bought for cancellation. Fo...
Stock BuybackRegulatory Filings and Compliance
Eurocell Reduces Share Capital After Targeted Buyback on LSE
Positive
Feb 16, 2026
Eurocell plc has executed a share buyback transaction on the London Stock Exchange, repurchasing 34,962 ordinary shares of 0.1p each at a price of 129.50 pence per share via its broker Berenberg. Following the cancellation of these shares, the com...
Stock BuybackRegulatory Filings and Compliance
Eurocell Updates Share Capital Following Latest Buyback
Positive
Feb 13, 2026
Eurocell plc has executed a share buyback transaction, repurchasing 32,232 of its ordinary shares at a price of 129 pence per share through its broker Berenberg on the London Stock Exchange. Following the cancellation of these shares, the company&...
Stock BuybackRegulatory Filings and Compliance
Eurocell Tightens Share Capital With Latest Buyback on LSE
Positive
Feb 12, 2026
Eurocell plc has executed a share buyback transaction on the London Stock Exchange, repurchasing 32,083 ordinary shares at a price of 132.75 pence per share through its broker Berenberg. Following the cancellation of these shares, Eurocell’s...
Stock BuybackRegulatory Filings and Compliance
Eurocell Updates Capital Structure After Latest Share Buyback
Positive
Feb 11, 2026
Eurocell plc has executed a share buyback transaction on the London Stock Exchange, repurchasing 29,696 ordinary shares of 0.1p each at a price of 127.50 pence per share through its broker Berenberg. Following the cancellation of these shares, the...
Stock BuybackRegulatory Filings and Compliance
Eurocell Updates Share Capital After Latest Share Buyback
Positive
Feb 10, 2026
Eurocell plc has repurchased 22,036 of its ordinary shares at 133.50 pence each via broker Berenberg as part of its ongoing share buyback activity. Following this transaction and cancellation, the company now has 99,433,558 ordinary shares in issu...
Business Operations and StrategyExecutive/Board Changes
Eurocell reshuffles top leadership as CEO departs in pivotal year
Neutral
Feb 9, 2026
Eurocell has announced an immediate change in top leadership, with Darren Waters stepping down as chief executive officer and Will Truman moving from CFO designate to CEO to provide continuity in what the board describes as a critical strategic ye...
Stock BuybackRegulatory Filings and Compliance
Eurocell Updates Market on Share Buyback and Voting Rights
Neutral
Feb 9, 2026
Eurocell plc has disclosed a small share repurchase conducted on 6 February 2026 via its broker Berenberg, buying 20,639 ordinary shares at a price of 131 pence per share, in line with its ongoing share buyback programme. Following the cancellatio...
Stock BuybackRegulatory Filings and Compliance
Eurocell Updates Market on Share Buyback and Voting Rights
Neutral
Feb 6, 2026
Eurocell plc has executed a small share buyback transaction, repurchasing 20,634 ordinary shares of 0.1 pence each on 5 February 2026 at a price of 131.75 pence per share via its broker Berenberg. Following the cancellation of these shares, Euroce...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.