Goodwin (GDWN) AI Stock Analysis

• Market Cap: £1.75B
• Dividend Yield: 1.01%
• Average Volume (3M): 10.30K
• Price to Earnings (P/E): 44.1
• Beta (1Y): 0.56
• Revenue Growth: 24.42%
• EPS Growth: 103.25%
• Country: UK
• Employees: 1,225
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 3.52
• Shares Outstanding: 7,509,600
• 10 Day Avg. Volume: 9,680
• 30 Day Avg. Volume: 10,300
• PEG Ratio: 0.45
• Price to Book (P/B): 3.65
• Price to Sales (P/S): 2.30
• P/FCF Ratio: 12.04
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: 26,091.00p ▲(17.00% Upside)

Goodwin's strong financial performance and positive corporate events significantly bolster its stock score. However, the high P/E ratio suggests overvaluation, and technical indicators show mixed momentum, tempering the overall score.

Positive Factors

Strong revenue growth

Sustained high revenue growth (24% in fundamentals) indicates expanding market share and product adoption across end markets. Over 2-6 months this underpins scalable topline momentum, supports investment in R&D and capacity, and reduces reliance on single-contract outcomes.

Material cash generation

A 62% rise in free cash flow and strong FCF-to-net-income conversion demonstrate durable cash conversion. This supports capex, special dividends or debt reduction, providing financial flexibility to fund strategic projects and weather cyclical downturns without eroding core operations.

Conservative balance sheet

Low leverage (D/E ~0.23) signals a conservative capital structure that enhances resilience to cyclical shocks and interest cost rises. Over months this allows prioritising strategic investments or M&A, maintaining liquidity and preserving operational continuity during sector slowdowns.

Negative Factors

Missing ROE metric

Absence of a current ROE limits assessment of how efficiently management is converting equity into returns. Over the medium term this opacity hampers evaluation of shareholder value creation and makes it harder to benchmark operational effectiveness versus peers.

Exposure to cyclical end-markets

Concentration in aerospace, automotive and energy ties revenue to capital spending and macro cycles. Structurally, these sectors exhibit multi-quarter to multi-year swings; such exposure can produce persistent demand volatility and margin pressure through downturns.

Modest dividend yield

A low dividend yield indicates limited near-term income return to shareholders and suggests management may prioritise reinvestment over distributions. Over several months this can reduce appeal to income-focused investors and signal constrained free cash allocation to payouts.

Goodwin Business Overview & Revenue Model

Company Description

Goodwin PLC, together with its subsidiaries, provides mechanical and refractory engineering solutions primarily in the United Kingdom, rest of Europe, the United States, the Pacific Basin, and internationally. The company designs, manufactures, and sells dual plate check, axial nozzle check, and axial piston control and isolation valves for large construction projects, including the construction of naval vessels, nuclear waste treatment, nuclear power generation, liquefied natural gas, gas, oil, petrochemical, mining, and water markets; submersible slurry pumps; and radar surveillance systems for defense contractors, civil aviation authorities, and border security agencies. It also provides alloy casting and machining products for use in defence industry, nuclear decommissioning, and the oil and gas industry. In addition, the company designs, manufactures, and sells investment casting powders, injection moulding rubbers, and waxes for jewelry casting, tire mold, and aerospace industries. Further, it produces exfoliated vermiculite that is used in insulation, brake linings, fire protection products, and technical textiles. Additionally, the company is involved in selling consumable refractories to the shell molding casting industry. Goodwin PLC was founded in 1883 and is headquartered in Stoke-on-Trent, the United Kingdom.

How the Company Makes Money

Goodwin generates revenue through multiple streams including the sale of manufactured products, engineering services, and long-term contracts with key clients in various industries. The company’s primary revenue comes from its manufacturing operations, where it produces precision-engineered components that are sold to original equipment manufacturers (OEMs) and other industrial clients. Additionally, Goodwin has established strategic partnerships with leading firms in the aerospace and energy sectors, enabling it to secure long-term contracts that provide a steady stream of income. The company also invests in research and development to innovate and expand its product offerings, which helps to capture new market opportunities and enhance profitability.

Goodwin Financial Statement Overview

Summary

Goodwin exhibits strong financial health with impressive revenue growth and profitability margins. The balance sheet is stable with low leverage, and cash flow metrics highlight efficient cash management. The company is well-positioned for future growth, although monitoring of return on equity is suggested for a comprehensive view of shareholder returns.

Income Statement

Goodwin has demonstrated strong revenue growth, with a 9.82% increase in the latest year. The company maintains healthy profitability metrics, with a gross profit margin of 41.70% and a net profit margin of 11.18%. EBIT and EBITDA margins are also robust at 16.94% and 21.31%, respectively, indicating efficient operational management.

Balance Sheet

The balance sheet shows a solid financial position with a low debt-to-equity ratio of 0.23, reflecting conservative leverage. The equity ratio is strong, indicating a stable capital structure. However, the return on equity is not available for the latest period, which limits a full assessment of profitability from shareholders' perspective.

Cash Flow

Cash flow analysis reveals a significant improvement in free cash flow, with a growth rate of 62.10%. The operating cash flow to net income ratio is 0.65, suggesting good cash conversion efficiency. The free cash flow to net income ratio of 0.72 indicates strong cash generation relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	248.93M	219.71M	191.26M	185.74M	144.11M	131.23M
Gross Profit	112.80M	91.61M	77.89M	46.22M	42.70M	39.00M
EBITDA	66.41M	46.81M	37.87M	29.04M	30.17M	25.44M
Net Income	39.65M	24.57M	16.90M	15.90M	12.98M	12.49M
Balance Sheet
Total Assets	298.81M	285.87M	284.23M	262.83M	218.98M	202.41M
Cash, Cash Equivalents and Short-Term Investments	19.89M	18.46M	32.12M	19.66M	11.65M	15.16M
Total Debt	28.33M	32.13M	75.93M	53.98M	43.14M	34.67M
Total Liabilities	192.91M	143.66M	157.58M	133.68M	99.24M	84.38M
Stockholders Equity	101.24M	138.16M	122.28M	124.75M	115.31M	113.14M
Cash Flow
Free Cash Flow	50.84M	41.90M	9.72M	8.38M	-8.00K	7.33M
Operating Cash Flow	70.16M	58.19M	27.12M	29.13M	17.99M	21.21M
Investing Cash Flow	-14.74M	-16.01M	-16.88M	-20.52M	-18.09M	-11.92M
Financing Cash Flow	-19.61M	-55.92M	987.00K	-281.00K	-3.79M	-3.48M

Goodwin Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22300.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:GDWN, the sentiment is Positive. The current price of 22300 is above the 20-day moving average (MA) of 20945.00, above the 50-day MA of 20759.58, and above the 200-day MA of 11793.37, indicating a bullish trend. The MACD of 879.00 indicates Negative momentum. The RSI at 66.29 is Neutral, neither overbought nor oversold. The STOCH value of 85.93 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:GDWN.

Goodwin Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IMI	75 Outperform	£6.48B	28.10	23.79%	1.29%	-0.32%	-3.96%
WEIR	75 Outperform	£7.73B	25.24	17.68%	1.26%	-1.97%	40.55%
GDWN	73 Outperform	£1.75B	44.13	35.23%	1.01%	24.42%	103.25%
AVG	70 Outperform	£170.62M	25.98	5.87%	1.02%	14.49%	76.33%
MGAM	67 Neutral	£638.20M	23.33	8.04%	4.87%	-7.30%	-59.71%
ROR	66 Neutral	£2.81B	28.90	16.97%	2.04%	1.93%	-15.07%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Goodwin Corporate Events

Goodwin PLC Reports Strong Half-Year Performance with Doubling Profits

Goodwin PLC reported a strong trading performance for the half-year ending October 2025, with trading profits more than doubling compared to the previous year, reaching £37.2 million. The company’s diverse operations, including robust demand in defense and nuclear sectors, and successful projects in radar systems and LNG valves, contributed to this growth. Despite a rise in net debt following a special dividend, the company remains optimistic about its financial position and future profitability, supported by a strong order book and ongoing demand in key markets.

The most recent analyst rating on (GB:GDWN) stock is a Buy with a £21910.00 price target. To see the full list of analyst forecasts on Goodwin stock, see the GB:GDWN Stock Forecast page.

Goodwin PLC Directors Consolidate Shareholdings

Goodwin PLC announced a series of share transactions involving its executive and former executive directors, including members of the Goodwin family. These transactions have resulted in the Goodwin Concert Party, which includes both current and former directors and their wider family members, holding a total of 53.73% of the company’s share capital. This consolidation of shares among the Goodwin family members may impact the company’s governance and decision-making processes, potentially influencing its strategic direction and stakeholder interests.

The most recent analyst rating on (GB:GDWN) stock is a Hold with a £24960.00 price target. To see the full list of analyst forecasts on Goodwin stock, see the GB:GDWN Stock Forecast page.

Goodwin PLC Reports Doubling of Profitability and Announces Special Dividend

Goodwin PLC has announced a significant increase in profitability, expecting trading profit before tax to exceed £71 million for the financial year ending April 2026, doubling from the previous year. This growth is supported by strong performance across all divisions, a solid order book, and enhanced visibility in key programs. The company has declared a special interim dividend of 532 pence per share to reward shareholders, reflecting its strong financial position and cash generation capabilities. Additionally, the appointments of Adam Deeth as Finance Director and Anthony Thomas as Director strengthen the Board as the company continues to pursue its strategic objectives.

The most recent analyst rating on (GB:GDWN) stock is a Buy with a £16502.00 price target. To see the full list of analyst forecasts on Goodwin stock, see the GB:GDWN Stock Forecast page.