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IMI PLC (GB:IMI)
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IMI plc (IMI) AI Stock Analysis

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GB:IMI

IMI plc

(LSE:IMI)

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Outperform 75 (OpenAI - 4o)
Rating:75Outperform
Price Target:
2,534.00p
▲(3.43% Upside)
IMI plc's overall stock score reflects its strong financial performance and positive earnings call, which highlight resilience and growth potential. Technical indicators support a stable outlook, though valuation concerns slightly dampen the score. The absence of significant corporate events maintains focus on core financial and operational metrics.
Positive Factors
Revenue Growth
Consistent organic revenue and profit growth indicate strong demand for IMI's products and effective market strategies, supporting long-term business expansion.
Cash Generation
Robust cash generation allows IMI to return significant capital to shareholders, reflecting strong operational cash flow and financial health.
Order Intake
Strong order intake through strategic initiatives like the Growth Hub underscores IMI's competitive position and potential for sustained revenue growth.
Negative Factors
Cyber Attack Impact
The cyber attack resulted in significant costs and operational disruptions, highlighting vulnerabilities in IT infrastructure that could affect future performance.
Decline in Industrial Automation
Revenue decline in Industrial Automation reflects challenges in maintaining growth amidst operational disruptions, impacting segment performance.
Challenges in Fluid Control
Decreased revenue in Fluid Control indicates market challenges and potential competitive pressures, affecting overall segment growth prospects.

IMI plc (IMI) vs. iShares MSCI United Kingdom ETF (EWC)

IMI plc Business Overview & Revenue Model

Company DescriptionIMI plc, a specialist engineering company, designs, manufactures, and services engineered products worldwide. The company operates through three divisions: IMI Precision Engineering, IMI Critical Engineering, and IMI Hydronic Engineering. The IMI Precision Engineering division develops motion and fluid control technologies for industrial automation, commercial vehicle, life sciences, energy, and rail applications. This division offers actuators, air preparation products, pressure switches, and fittings; pneumatic, hydraulic, electric, and vacuum motion solutions; solenoid valves, angle-seat valves, motorized valves, and systems for dust filters; miniature fluid control solutions; precise and accurate syringes, syringe pumps, and rotary valves; cab chassis, powertrain solutions, stainless steel valves and regulators, and emergency shutdown controls; and stainless steel valves and regulators, nuclear class valves, and emergency shutdown controls. It provides its products under the Norgren, Bimba, Buschjost, FAS, Herion, Kloehn, Adaptas, and Maxseal brands. The IMI Critical Engineering division offers specialized valves and actuators to the fossil power, oil and gas, petrochemical, nuclear, marine, and pharmaceutical markets under the IMI Bopp & Reuther, IMI CCI, IMI Fluid Kinetics, IMI NH, IMI Orton, IMI Remosa, IMI STI, IMI TH Jansen, IMI Thompson Valves, IMI Truflo Marine, IMI Truflo Rona, IMI PBM, and IMI Z&J brands. The IMI Hydronic Engineering division provides products for hydronic distribution systems, which deliver heating and cooling systems to the residential and commercial building sectors. This segment offers balancing and control solutions, thermostatic control systems, and pressure maintenance systems, dirt and air separators, and pressure step degassers under the IMI Pneumatex, IMI TA, IMI Flow Design, IMI Heimeier, and IMI Aero-Dynamiek brands. The company was founded in 1862 and is headquartered in Birmingham, the United Kingdom.
How the Company Makes MoneyIMI plc generates revenue primarily through the sale of its engineering products and solutions across its three divisions. Key revenue streams include the sale of precision engineering components, which are utilized in sectors like automotive, oil and gas, and energy; hydronic products that optimize heating and cooling systems in buildings; and critical engineering solutions for high-demand industries such as aerospace and marine. Additionally, IMI benefits from long-term service agreements and aftermarket sales, which provide recurring revenue. Strategic partnerships with major industrial clients and investments in research and development further enhance its competitive edge, enabling the company to deliver innovative solutions that meet evolving market demands.

IMI plc Earnings Call Summary

Earnings Call Date:Aug 01, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Mar 06, 2026
Earnings Call Sentiment Neutral
The call highlighted IMI's solid performance in the face of challenges, including organic growth in sales and profits, strong order intake, and effective recovery from a cyber attack. However, it also noted the negative impact of the cyber incident, declines in specific divisions, and ongoing challenges in certain markets.
Q2-2025 Updates
Positive Updates
Organic Sales and Profit Growth
IMI achieved 2% organic sales growth and 5% organic adjusted operating profit growth in the first half of 2025, with adjusted operating margins rising by 30 basis points.
Strong Order Intake and Dividend Increase
The company delivered outstanding GBP 64 million of orders through the Growth Hub and completed a GBP 200 million share buyback, raising the interim dividend by 10%.
Resilience Post-Cyber Attack
IMI quickly recovered from a significant cyber attack, limiting the impact to temporary operational disruption and achieving 6% organic revenue growth in the second quarter.
Growth in Aftermarket and Process Automation
Aftermarket organic orders increased by 10% and Process Automation had an excellent first half, with order intake up 7% organically.
Commitment to Shareholder Returns
IMI has returned over GBP 1 billion to shareholders since 2019 and is on track to deliver GBP 1 billion of free cash flow over the next three years.
Negative Updates
Impact of Cyber Attack
The company recognized a one-off exceptional charge of $25.4 million related to IT system recovery and infrastructure upgrades following a cyber attack.
Decline in Industrial Automation and Transport Revenue
Industrial Automation's organic revenue was 4% lower due to the cyber incident and softer industrial activity, while Transport revenue declined by 9% organically.
Challenges in Life Sciences & Fluid Control
Fluid Control sales were impacted by the cyber incident, and Life Science & Fluid Control organic revenue decreased by 5% compared to the prior period.
Company Guidance
During the call, IMI reconfirmed its guidance for 2025, expecting to achieve its fourth consecutive year of mid-single-digit organic revenue growth. The company anticipates full-year adjusted basic earnings per share (EPS) to range between 129p and 136p. The adjusted operating margin is projected to be around 20%, with the interest charge slightly higher than prior guidance. The tax rate is expected to increase to approximately 25%, while the weighted average number of shares is predicted to reduce to 249 million at year-end. Despite currency fluctuations presenting a 1.5% headwind to profits, IMI remains on track to deliver on its financial targets, supported by strong order books in Process Automation, Climate, and Industrial Automation sectors.

IMI plc Financial Statement Overview

Summary
IMI plc exhibits a solid financial standing with consistent revenue growth and strong profitability metrics. The balance sheet is stable with manageable leverage, though continued monitoring of debt levels is advisable. Cash flows remain robust, supporting the company's operational and strategic initiatives.
Income Statement
82
Very Positive
IMI plc has demonstrated steady revenue growth with a 0.64% increase from 2023 to 2024. The gross profit margin is solid at 47.27%, indicating efficient cost management. The net profit margin of 11.25% and EBIT margin of 16.11% are healthy, reflecting good operational efficiency. EBITDA margin of 21.44% suggests strong earnings quality, although there is room for improvement in net profitability.
Balance Sheet
75
Positive
The company's debt-to-equity ratio of 0.64 indicates moderate leverage, which is manageable but higher than prior years. Return on equity at 22.90% highlights strong shareholder value creation. The equity ratio of 43.56% suggests a balanced capital structure, though there is potential risk if debt levels increase significantly.
Cash Flow
78
Positive
Operating cash flow to net income ratio is 1.49, showing robust cash generation compared to net income. Free cash flow growth is slightly negative, but the free cash flow to net income ratio of 1.13 reflects sufficient free cash flow generation to support dividends and reinvestment. Overall, cash flow is stable, with strong operational cash flows providing a buffer against fluctuations.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.66B2.21B2.20B2.05B1.87B1.82B
Gross Profit783.55M1.04B1.01B900.40M836.20M790.50M
EBITDA348.50M473.90M457.60M431.40M358.60M340.20M
Net Income181.05M248.50M237.30M226.30M196.30M170.20M
Balance Sheet
Total Assets2.50B2.49B2.47B2.52B2.17B1.98B
Cash, Cash Equivalents and Short-Term Investments123.60M150.00M108.20M135.00M97.50M211.00M
Total Debt859.20M695.50M745.10M945.00M717.40M524.10M
Total Liabilities1.58B1.41B1.44B1.61B1.39B1.18B
Stockholders Equity914.80M1.09B1.03B905.60M779.10M799.50M
Cash Flow
Free Cash Flow255.75M280.10M283.30M193.20M199.60M267.30M
Operating Cash Flow307.20M371.60M363.20M264.50M257.10M318.00M
Investing Cash Flow-114.10M-58.00M-69.10M-278.00M-234.40M-73.00M
Financing Cash Flow-232.20M-276.20M-276.40M24.50M-109.40M-146.60M

IMI plc Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2450.00
Price Trends
50DMA
2372.44
Positive
100DMA
2308.77
Positive
200DMA
2117.99
Positive
Market Momentum
MACD
17.96
Negative
RSI
61.06
Neutral
STOCH
78.19
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:IMI, the sentiment is Positive. The current price of 2450 is above the 20-day moving average (MA) of 2433.10, above the 50-day MA of 2372.44, and above the 200-day MA of 2117.99, indicating a bullish trend. The MACD of 17.96 indicates Negative momentum. The RSI at 61.06 is Neutral, neither overbought nor oversold. The STOCH value of 78.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:IMI.

IMI plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
£5.79B25.1323.79%1.31%-0.32%-3.96%
74
Outperform
£7.42B24.2317.68%1.30%-1.97%40.55%
71
Outperform
£5.18B31.8514.19%2.50%0.10%-15.33%
68
Neutral
£7.83B28.3512.85%1.87%-6.93%18.57%
66
Neutral
£2.80B28.7116.97%1.96%1.93%-15.07%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
57
Neutral
£7.82B25.2510.69%1.12%-0.38%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:IMI
IMI plc
2,466.00
659.21
36.49%
GB:MRO
Melrose
572.00
9.22
1.64%
GB:ROR
Rotork plc
339.00
15.95
4.94%
GB:SMIN
Smiths Group plc
2,454.00
729.40
42.29%
GB:SPX
Spirax Group
6,720.00
-360.16
-5.09%
GB:WEIR
Weir Group plc (The)
2,882.00
660.79
29.75%

IMI plc Corporate Events

Shareholder Meetings
IMI plc Engages Shareholders After Resolution Falls Short
Neutral
Oct 23, 2025

IMI plc, during its 2025 Annual General Meeting, encountered a situation where Special Resolution B, concerning the authority to allot securities for cash, did not achieve the 80% support threshold as per the UK Corporate Governance Code, garnering only 78.25% support. This shortfall was attributed to institutional voting policies and concerns about potential dilution without a specific transaction in mind. The company’s board remains committed to engaging with shareholders to address these concerns and will provide further updates in its 2025 Annual Report.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2490.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Other
IMI plc Executives Increase Stake Through Share Ownership Plan
Positive
Oct 15, 2025

IMI plc announced transactions involving its top executives, including CEO Roy Twite, CFO Luke Grant, and Chief People Officer Elizabeth Rose, who purchased shares under the IMI Employee Share Ownership Plan. This move reflects the leadership’s commitment to aligning their interests with the company’s performance, potentially boosting stakeholder confidence and reinforcing IMI’s market position.

The most recent analyst rating on (GB:IMI) stock is a Hold with a £2500.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Regulatory Filings and Compliance
IMI plc Announces Share Capital and Voting Rights Update
Neutral
Oct 1, 2025

IMI plc has announced its current issued share capital, which consists of 259,651,784 ordinary shares, with 12,648,836 held in Treasury, resulting in a total of 247,002,948 voting rights. This information is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure and Transparency Rules, impacting how they manage their investments in the company.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2720.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Other
IMI plc Director Acquires Shares, Signaling Confidence
Positive
Sep 26, 2025

IMI plc announced that Ajai Puri, a Non-executive Director, purchased 1,000 ordinary shares of the company at a price of £22.346 per share on 25 September 2025. This transaction, conducted on the London Stock Exchange, highlights a notable investment by a key managerial figure, potentially signaling confidence in the company’s future performance and stability, which could influence stakeholder perspectives.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2720.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Other
IMI plc Executives Increase Stake Through Share Ownership Plan
Positive
Sep 10, 2025

IMI plc has announced transactions by key executives, including CEO Roy Twite, CFO Luke Grant, and Chief People Officer Elizabeth Rose, who have purchased shares as part of the IMI Employee Share Ownership Plan. These transactions, conducted on the London Stock Exchange, reflect the executives’ confidence in the company’s future prospects and align their interests with those of shareholders.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2534.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Regulatory Filings and Compliance
IMI plc Announces Share Transactions by Former Employee
Neutral
Sep 1, 2025

IMI plc announced a series of share transactions involving Ruth Grant, a former employee and person closely associated with Luke Grant, the Chief Financial Officer. These transactions, conducted under the IMI Employee Share Ownership Plan and the HMRC Employee Share Ownership Plan, included both the sale and acquisition of shares on the London Stock Exchange. This notification, in compliance with the Market Abuse Regulation, highlights the company’s ongoing commitment to transparency in its financial dealings.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2534.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Executive/Board ChangesRegulatory Filings and Compliance
IMI plc Announces Transactions Involving CFO and Associated Person
Neutral
Aug 20, 2025

IMI plc announced a transaction involving its Chief Financial Officer, Luke Grant, and his closely associated person, Ruth Grant. Luke Grant was granted a performance share award under the IMI Incentive Plan, while Ruth Grant exercised and sold shares to cover tax liabilities. This notification is in compliance with the Market Abuse Regulation, reflecting IMI’s commitment to transparency in its financial dealings.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2534.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Other
IMI plc COO Executes Share Transactions Under Incentive Plan
Neutral
Aug 18, 2025

IMI plc announced that Jun Hu, the Chief Operating Officer, received shares under the company’s Incentive Plan and sold a portion to cover tax liabilities. This transaction, conducted under the Market Abuse Regulation, reflects routine financial management by a key executive, with shares sold on the London Stock Exchange.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2500.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Business Operations and Strategy
IMI plc Executives Increase Stake in Company Through Share Purchase
Positive
Aug 13, 2025

IMI plc announced transactions involving its top executives, including CEO Roy Twite, CFO Luke Grant, and Chief People Officer Elizabeth Rose, who have purchased shares under the IMI Employee Share Ownership Plan. These transactions, conducted on the London Stock Exchange, reflect the executives’ commitment to the company and may positively influence stakeholder confidence in IMI’s strategic direction and market performance.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2500.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

IMI plc Earnings Call: Growth Amid Challenges
Aug 2, 2025

The recent earnings call for IMI plc showcased a solid performance, marked by growth in sales, profit, and strategic initiatives such as a share buyback and dividend increase. Despite facing challenges like a cyber attack and declines in certain segments, the company’s robust financial management and strategic focus on growth areas provided a positive outlook for the future.

Regulatory Filings and Compliance
IMI plc Updates on Share Capital and Voting Rights
Neutral
Aug 1, 2025

IMI plc announced its current issued share capital, consisting of 259,598,917 ordinary shares, with 12,648,836 held in Treasury. This results in a total of 246,950,081 voting rights, which shareholders can use as a denominator for regulatory compliance under the FCA’s Disclosure and Transparency Rules. This update is crucial for stakeholders to understand their shareholding and voting power within the company.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2315.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Business Operations and StrategyDividendsFinancial Disclosures
IMI plc Reports Strong H1 2025 Performance Amid Strategic Progress
Positive
Aug 1, 2025

IMI plc has reported a 5% growth in organic operating profit and a 2% increase in organic sales for the first half of 2025, despite a 1% decline in statutory revenue due to foreign exchange impacts. The company has reconfirmed its full-year guidance, expecting a fourth consecutive year of mid-single-digit organic revenue growth. Key highlights include strong performance in Process Automation, a 21% rise in adjusted operating cash flow, and a proposed 10% increase in interim dividend. The company also addressed a cyber incident that impacted operations earlier in the year, but has since taken steps to enhance security.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £21.60 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Business Operations and StrategyStock Buyback
IMI plc Announces Share Repurchase to Optimize Capital Structure
Positive
Jul 30, 2025

IMI plc, a company involved in the engineering sector, announced the repurchase of 50,244 of its ordinary shares for cancellation at an average price of 2,210.9620 pence per share. This transaction, executed through J.P. Morgan Securities plc, reduces the company’s total number of ordinary shares in issue to 259,598,917, with 12,648,836 shares held in treasury. The repurchase reflects IMI’s strategic move to optimize its capital structure, potentially enhancing shareholder value and signaling confidence in its financial stability.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2205.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Stock Buyback
IMI plc Announces Share Repurchase and Cancellation
Neutral
Jul 29, 2025

IMI plc announced the repurchase of 49,243 of its ordinary shares for cancellation at an average price of 2,198.3292 pence per share. This transaction, conducted through J.P. Morgan Securities plc, reduces the total number of ordinary shares in issue to 259,649,161, with 12,648,836 shares held in treasury, impacting the total voting rights to 247,000,325.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2205.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

Stock Buyback
IMI plc Announces Share Repurchase and Cancellation
Neutral
Jul 28, 2025

IMI plc has announced the repurchase and cancellation of 50,200 of its ordinary shares at an average price of 2,190.5930 pence per share. This transaction, executed through J.P. Morgan Securities plc, reduces the total number of ordinary shares in issue to 259,698,404, with 12,648,836 shares held in treasury, impacting the total number of voting rights to 247,049,568.

The most recent analyst rating on (GB:IMI) stock is a Buy with a £2205.00 price target. To see the full list of analyst forecasts on IMI plc stock, see the GB:IMI Stock Forecast page.

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.Date of analysis: Aug 19, 2025