EKF Diagnostics Holdings (EKF) AI Stock Analysis

• Market Cap: £134.28M
• Dividend Yield: 4.8%
• Average Volume (3M): 515.62K
• Price to Earnings (P/E): 22.1
• Beta (1Y): 0.11
• Revenue Growth: -1.43%
• EPS Growth: 28.57%
• Country: UK
• Employees: 303
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): <0.01
• Shares Outstanding: 449,093,780
• 10 Day Avg. Volume: 769,409
• 30 Day Avg. Volume: 515,619
• 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: £35.00
• Price Target Upside: 17.06% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: 32.00p ▲(7.02% Upside)

EKF Diagnostics Holdings' overall stock score is driven by its strong financial performance and positive earnings call. The company's robust balance sheet and improved profitability are significant strengths. Technical indicators suggest a stable trend, while valuation remains fair. The positive sentiment from the earnings call, highlighting strategic growth and production increases, further supports the stock's outlook.

Positive Factors

Strong Balance Sheet

A strong balance sheet with minimal debt and high equity ratio reduces financial risk, providing stability and flexibility for future investments.

Improved Profitability

Improved profitability through better margins suggests effective cost management and operational efficiency, supporting long-term financial health.

Strategic Growth and Expansion

Expanding into new markets with strategic contracts enhances market reach and potential revenue streams, supporting sustainable growth.

Negative Factors

Revenue Decline

A declining revenue trend can hinder growth prospects and indicates challenges in maintaining market share or product demand.

APAC Region Challenges

Significant revenue drop in the APAC region due to product discontinuation suggests market challenges and potential loss of regional presence.

Legacy Product Reduction

Shifting focus away from legacy products may risk losing existing customer base unless new products can effectively replace them.

EKF Diagnostics Holdings Business Overview & Revenue Model

Company Description

EKF Diagnostics Holdings plc designs, develops, manufactures, and sells diagnostic instruments, reagents, and other ancillary products in Europe, the Middle East, the Americas, Asia, Africa, and internationally. It offers DiaSpect Tm hand-held hemoglobin analyzer; DiaSpect Hemoglobin T analyzer; Hemo Control, a hemoglobin analyzer that provides quantitative and lab quality hemoglobin results; and HemataStat II, a microhematocrit centrifuge that provides a quantitative hematocrit reading for six blood samples. The company also provides glucose and lactate analyzers, such as Biosen C-Line GP+ and C-Line Clinic; Quo-Lab A1c, a desktop point-of-care analyzer for measuring glycated hemoglobin; Quo-Test A1c for the monitoring and management of diabetes; and STAT-Site M Beta-hydroxybutyrate analyzer. In addition, it offers Creamatocrit Plus, an analyzer for detecting the lipid concentration and calorific density in mothers' milk; QuPID and True20 pregnancy tests; and Lactate Scout 4, a lactate analyzer. Further, the company provides clinical chemical analyzers, such as Beta-hydroxybutyrate for monitoring ketosis; Glycated Albumin; Glycated Serum Protein; Nitro-tab Ketone tablets; and Procalcitonin marker for bacterial infection and sepsis, as well as reagents, calibrators, standards, and controls. Additionally, it offers RaPET Serology immunoassay kits; QuStick Strep A for Strep A infection treatment; Altair 240, a chemistry analyzer; Excel, a semi-automated chemistry analyzer; Micro 12, a micro centrifuge for clinical, molecular, and bacteriological applications; Hema-Screen Serology, an analyzer dependent for early detection of colorectal cancer; Uri-Trak 120 urine analyzer; and kits and other services related to COVID-19, as well as contract manufacturing solutions to third-party businesses and laboratory services. The company was founded in 1990 and is headquartered in Cardiff, the United Kingdom.

How the Company Makes Money

EKF generates revenue through the sale of its diagnostic products and services, which are targeted at hospitals, clinics, and laboratories. The company has a diversified revenue model that includes direct sales of its point-of-care testing devices, as well as recurring revenue from consumables and reagents used alongside its equipment. Key revenue streams include sales of glucose monitoring products, hemoglobin analyzers, and electrolyte analyzers. Additionally, EKF benefits from strategic partnerships with healthcare providers and distributors, enhancing its market reach and enabling it to tap into various geographic markets. The company also invests in research and development to innovate new products and improve existing offerings, which can lead to increased sales and market share over time.

EKF Diagnostics Holdings Financial Statement Overview

Summary

EKF Diagnostics Holdings demonstrates solid financial health with strong profit margins and low leverage. Although revenue declined, improved profitability and efficient cost management are positive indicators. Strong balance sheet with minimal debt reduces financial risk, and robust cash flows, despite historical volatility, highlight the company's financial stability.

Income Statement

EKF Diagnostics Holdings has shown a mixed performance in its income statement. The gross profit margin for the latest year is approximately 42.78%, which is solid, but lower revenue growth is concerning. The net profit margin improved significantly from the previous year to 12.43%, indicating a rebound in profitability. However, revenue declined over the years with a negative growth rate of -4.60% from 2023 to 2024. The EBIT and EBITDA margins are healthy at 12.87% and 22.23%, respectively, showing operational efficiency.

Balance Sheet

The balance sheet is quite robust, reflecting a strong equity base with a high equity ratio of 88.49%. The debt-to-equity ratio is very low at 0.02, indicating minimal leverage and reduced financial risk. Return on equity is relatively strong at 8.63%, suggesting effective use of equity to generate profits. However, a downward trend in total assets and stockholders' equity over the years could be a point of concern.

Cash Flow

Cash flow analysis shows a positive trend with operating cash flow comfortably exceeding net income, resulting in a strong operating cash flow to net income ratio of 2.19. Free cash flow has turned positive and grew significantly from the previous year, with a free cash flow to net income ratio of 1.83, reflecting improved cash generation capabilities. However, fluctuations in free cash flow in prior years highlight some volatility.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	50.19M	52.61M	66.64M	81.84M	65.26M
Gross Profit	21.48M	23.86M	24.04M	39.37M	37.42M
EBITDA	11.16M	7.68M	-2.18M	27.39M	20.04M
Net Income	6.24M	2.35M	-9.58M	15.85M	11.11M
Balance Sheet
Total Assets	81.75M	80.85M	89.29M	115.12M	101.27M
Cash, Cash Equivalents and Short-Term Investments	13.01M	6.02M	11.58M	20.34M	21.91M
Total Debt	1.32M	4.10M	1.55M	2.63M	1.58M
Total Liabilities	8.53M	12.63M	14.77M	20.38M	23.07M
Stockholders Equity	72.33M	67.12M	73.35M	94.12M	77.65M
Cash Flow
Free Cash Flow	11.41M	-664.00K	3.86M	4.59M	11.16M
Operating Cash Flow	13.66M	6.31M	9.69M	10.24M	13.81M
Investing Cash Flow	-2.66M	-5.64M	-8.93M	-5.48M	1.34M
Financing Cash Flow	-4.08M	-3.65M	-11.04M	-6.16M	-5.21M

EKF Diagnostics Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 29.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:EKF, the sentiment is Positive. The current price of 29.9 is below the 20-day moving average (MA) of 30.10, above the 50-day MA of 29.06, and above the 200-day MA of 25.44, indicating a neutral trend. The MACD of 0.22 indicates Positive momentum. The RSI at 52.78 is Neutral, neither overbought nor oversold. The STOCH value of 45.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:EKF.

EKF Diagnostics Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EKF	69 Neutral	£134.28M	22.15	8.71%	4.80%	-1.43%	28.57%
RUA	55 Neutral	£6.98M	1,125.00	―	―	87.72%	―
CREO	44 Neutral	£50.01M	-2.03	-67.69%	―	―	―
SBTX	40 Underperform	£40.43M	-12.50	―	―	1557.07%	24.70%
IHC	40 Underperform	£19.28M	-1.20	-89.97%	―	1.65%	-102.83%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

EKF Diagnostics Holdings Corporate Events

EKF Diagnostics Implements Long Term Incentive Plan for Executives

EKF Diagnostics Holdings plc has announced the implementation of a Long Term Incentive Plan (LTIP) for its senior executives, with a specific award granted to CEO Gavin Jones. The LTIP is designed to align executive performance with shareholder value creation, with vesting conditions based on the growth of Adjusted EBITDA per share over a three-year period. This move reflects the company’s commitment to incentivizing its leadership while potentially enhancing its market position and stakeholder confidence.

The most recent analyst rating on (GB:EKF) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on EKF Diagnostics Holdings stock, see the GB:EKF Stock Forecast page.

EKF Diagnostics Reports Record Sales and Strong Financial Performance in H1 2025

EKF Diagnostics Holdings plc reported record analyzer sales and improved earnings for the first half of 2025, with gross margins rising to 50.2% and a 16.1% increase in pre-tax profit. The company is on track to meet full-year revenue and adjusted EBITDA growth expectations, supported by strong performances in Hematology and β-HB product lines. The strategic development plan is yielding results, with increased production capacity and a focus on high-margin products driving profitability. The company also completed a share buyback and canceled a loan facility due to strong cash generation, indicating a robust financial position.

The most recent analyst rating on (GB:EKF) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on EKF Diagnostics Holdings stock, see the GB:EKF Stock Forecast page.

EKF Diagnostics to Announce Interim Results and Host Investor Presentation

EKF Diagnostics Holdings plc will announce its interim results for the first half of 2025 on 16 September and will host a live online presentation for investors on the same day. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and investor relations.

The most recent analyst rating on (GB:EKF) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on EKF Diagnostics Holdings stock, see the GB:EKF Stock Forecast page.

EKF Diagnostics Secures €4.65m Hematology Contracts, Expands Production Capacity

EKF Diagnostics Holdings plc has announced the signing of three new contracts in the Hematology point-of-care testing sector, valued at approximately €4.65 million. These contracts, secured by EKF’s distribution partners in Latin America and Africa, include a significant return to the Peruvian market and the company’s first sales in Uganda. To meet the rising demand, EKF plans to increase its production capacity by 30% at its Barleben site as part of its five-year strategic development plan. This expansion reinforces the company’s confidence in achieving its revenue and adjusted EBITDA targets for FY 2025, aligning with market expectations. The continued global expansion of EKF’s Hematology analyzer footprint is expected to drive future growth and higher margin revenue through consumable pull-through.

The most recent analyst rating on (GB:EKF) stock is a Hold with a £29.00 price target. To see the full list of analyst forecasts on EKF Diagnostics Holdings stock, see the GB:EKF Stock Forecast page.

EKF Diagnostics Secures €4.65 Million in Hematology Contracts

EKF Diagnostics Holdings plc has announced the signing of three new contracts in the Hematology point-of-care testing sector, valued at approximately €4.65 million. These contracts, secured by distribution partners in Latin America and Africa, mark significant sales growth in Peru and new market entry in Uganda. To meet rising demand, EKF is increasing its production capacity by 30% at its Barleben site as part of its five-year strategic development plan. This expansion is expected to drive revenue and adjusted EBITDA growth in line with market expectations, reinforcing the company’s confidence in its strategic focus on Hemoglobin testing as a key growth area.

The most recent analyst rating on (GB:EKF) stock is a Hold with a £29.00 price target. To see the full list of analyst forecasts on EKF Diagnostics Holdings stock, see the GB:EKF Stock Forecast page.

EKF Diagnostics Reports Steady Revenue and Growth in Key Sectors for H1 2025

EKF Diagnostics Holdings plc reported a stable revenue of £25.2 million for the first half of 2025, with improvements in gross margins and cash generation, aligning with management expectations. The company saw significant growth in its hematology and β-HB sectors, with revenues increasing by 8% and 12% respectively, and is optimistic about future contract manufacturing and fermentation opportunities, indicating a positive trajectory in its strategic development plan.

The most recent analyst rating on (GB:EKF) stock is a Buy with a £0.29 price target. To see the full list of analyst forecasts on EKF Diagnostics Holdings stock, see the GB:EKF Stock Forecast page.

EKF Diagnostics Completes Share Cancellation and Continues Buyback Efforts

EKF Diagnostics Holdings plc has completed the cancellation of 5,836,774 ordinary shares, including those previously held in treasury, as part of its share buyback program. This action reduces the company’s total issued share capital to 449,093,790 ordinary shares, which will now serve as the basis for shareholder voting rights calculations. The company continues to pursue additional share buybacks up to approximately £1.0 million, reflecting its strategic focus on optimizing capital structure and enhancing shareholder value.

The most recent analyst rating on (GB:EKF) stock is a Buy with a £0.29 price target. To see the full list of analyst forecasts on EKF Diagnostics Holdings stock, see the GB:EKF Stock Forecast page.

Schroders PLC Increases Stake in EKF Diagnostics Holdings

EKF Diagnostics Holdings PLC has announced a significant change in its shareholding structure, with Schroders PLC increasing its stake in the company. This acquisition of shares by Schroders PLC, a major investment firm based in London, raises its total shareholding to over 6%, indicating a vote of confidence in EKF Diagnostics’ market position and future prospects. This development is likely to impact EKF’s market dynamics and could influence investor perceptions positively.

The most recent analyst rating on (GB:EKF) stock is a Buy with a £0.29 price target. To see the full list of analyst forecasts on EKF Diagnostics Holdings stock, see the GB:EKF Stock Forecast page.