Iofina plc (IOF) AI Stock Analysis

• Market Cap: £49.40M
• Dividend Yield: N/A
• Average Volume (3M): 188.59K
• Price to Earnings (P/E): 13.3
• Beta (1Y): 0.42
• Revenue Growth: 8.48%
• EPS Growth: 29.33%
• Country: UK
• Employees: 108
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): <0.01
• Shares Outstanding: 191,858,400
• 10 Day Avg. Volume: 227,450
• 30 Day Avg. Volume: 188,590
• PEG Ratio: -0.28
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 0.85
• P/FCF Ratio: 22.95
• 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: £45.00
• Price Target Upside: 74.76% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: 29.00p ▲(12.62% Upside)

Iofina plc's overall stock score is driven by its strong financial stability and strategic corporate developments. While technical indicators suggest caution due to overbought conditions, the company's valuation and growth prospects remain attractive.

Positive Factors

Low Leverage / Strong Balance Sheet

A debt-to-equity of 0.09 gives Iofina durable financial flexibility: lowers interest burden, preserves capacity for cyclical downturns, and supports capital allocation for plant expansion or product development without near-term refinancing risk, strengthening longer-term resilience.

Improving Free Cash Flow

A 72.7% jump in free cash flow growth materially improves internal funding for operations, capex and derivative product development. Strong cash conversion reduces reliance on external capital, enabling durable reinvestment and resilience against margin volatility over the next several quarters.

Vertical integration & proprietary extraction

Owning a proprietary upstream extraction process plus downstream specialty-chemical conversion lets Iofina capture value across the chain. That integration supports differentiation, tighter quality control, and long-term customer relationships that sustain pricing and margins versus pure commodity sellers.

Negative Factors

Margin erosion

Material declines in gross and net margins indicate structural pressure from higher costs or weaker realized iodine/product pricing. Persisting margin compression reduces retained earnings, limits reinvestment capacity, and undermines long-term profitability unless cost structure or pricing power improves.

Declining return on equity

ROE falling by over half signals deteriorating capital efficiency. With equity remaining robust, lower ROE suggests profit generation has weakened versus capital base, reducing long-term shareholder return potential and possibly constraining ability to attract capital for growth initiatives.

Feedstock concentration risk

Dependence on oil and gas-related brine ties production to the activity and regulatory environment of another sector. Reduced drilling, site closures, or tighter environmental rules could constrain feedstock availability or raise costs, creating a durable operational risk to iodine supply and volumes.

Iofina plc Business Overview & Revenue Model

Company Description

Iofina plc engages in the exploration and production of iodine, iodine specialty chemical derivatives, produced water, and natural gas in the United States and the United Kingdom. It offers halogen chemicals, disinfectants, electronic specialty gases, sanitizers, heat stabilizers, preservatives, and specialty intermediates, as well as animal health, mineral separation, and odor control products for use in electronics/semiconductor, pharmaceutical, food and beverage, personal care, paints and coatings, dairy, chemical intermediates, gemological, fish and wildlife, and nylon markets. The company also provides turnkey mid-stream fee based solutions to third party brine stream operators to extract iodine. Iofina plc was founded in 2005 and is based in London, the United Kingdom.

How the Company Makes Money

Iofina generates revenue primarily through the sale of high-purity iodine and iodine derivatives, which are sold to various sectors including pharmaceuticals, agricultural chemicals, and industrial applications. The company employs a unique extraction technology that allows it to efficiently recover iodine from brine, enabling a competitive cost structure. Key revenue streams include direct sales to manufacturers and distributors in these sectors. Additionally, Iofina may engage in strategic partnerships or contracts with companies that require consistent iodine supply, further solidifying its market position and ensuring stable cash flows. Fluctuations in iodine pricing and demand dynamics in end-use markets also significantly influence the company’s earnings.

Iofina plc Financial Statement Overview

Summary

Iofina plc demonstrates a stable financial position with low leverage and strong cash flow generation. However, declining profitability margins and return on equity indicate challenges in maintaining growth and efficiency.

Income Statement

Iofina plc has shown a moderate revenue growth rate of 5.32% in the latest year, with a declining trend in gross profit margin from 31.29% to 24.30%. The net profit margin also decreased from 13.12% to 5.36%, indicating pressure on profitability. The EBIT and EBITDA margins have similarly declined, reflecting challenges in maintaining operational efficiency.

Balance Sheet

The company has a strong balance sheet with a low debt-to-equity ratio of 0.09, indicating low leverage and financial stability. However, the return on equity has decreased from 14.67% to 6.11%, suggesting reduced profitability on shareholder investments. The equity ratio remains robust, highlighting a solid capital structure.

Cash Flow

Iofina plc's free cash flow growth rate has significantly improved by 72.67%, showing enhanced cash generation capabilities. The operating cash flow to net income ratio is healthy at 0.93, indicating efficient cash conversion. However, the free cash flow to net income ratio has decreased, reflecting potential challenges in translating earnings into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	57.65M	54.47M	50.04M	42.20M	39.04M	29.69M
Gross Profit	14.36M	13.24M	15.65M	15.83M	10.73M	8.40M
EBITDA	8.37M	7.65M	10.64M	12.07M	7.13M	4.61M
Net Income	4.82M	2.92M	6.56M	7.87M	9.19M	1.28M
Balance Sheet
Total Assets	70.23M	63.78M	60.52M	52.71M	44.45M	39.83M
Cash, Cash Equivalents and Short-Term Investments	6.42M	6.86M	6.52M	5.93M	5.26M	4.38M
Total Debt	7.47M	4.26M	5.84M	7.20M	8.68M	12.62M
Total Liabilities	19.91M	15.99M	15.77M	14.73M	14.48M	19.18M
Stockholders Equity	50.32M	47.79M	44.75M	37.97M	29.96M	20.66M
Cash Flow
Free Cash Flow	-1.70M	2.02M	2.34M	2.46M	6.41M	1.33M
Operating Cash Flow	8.37M	11.53M	8.57M	5.55M	7.89M	3.78M
Investing Cash Flow	-9.94M	-9.34M	-6.10M	-3.07M	-1.47M	-2.43M
Financing Cash Flow	2.19M	-1.85M	-1.88M	-1.81M	-4.64M	-6.58M

Iofina plc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 25.75
• 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:IOF, the sentiment is Neutral. The current price of 25.75 is below the 20-day moving average (MA) of 26.88, above the 50-day MA of 24.66, and above the 200-day MA of 24.12, indicating a neutral trend. The MACD of 0.26 indicates Positive momentum. The RSI at 46.73 is Neutral, neither overbought nor oversold. The STOCH value of 22.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:IOF.

Iofina plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IOF	72 Outperform	£49.40M	13.27	10.25%	―	8.48%	29.33%
CRDA	65 Neutral	£3.81B	27.22	6.17%	3.45%	2.36%	-13.99%
ELM	64 Neutral	£918.27M	-16.32	3.37%	1.34%	-11.78%	-92.61%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
JMAT	60 Neutral	£3.96B	-30.67	-5.62%	3.54%	-4.60%	-126.46%
TET	60 Neutral	£120.27M	24.34	8.02%	4.08%	1.12%	-0.70%
SYNT	51 Neutral	£87.50M	-1.05	-7.26%	―	-4.41%	2.29%

Iofina plc Corporate Events

Iofina Posts Record Iodine Output and Beats 2025 Earnings Expectations

Iofina reported a record 743.2 metric tonnes of crystalline iodine production in 2025, up 17.2% year-on-year, driven by strong output from its eight IOsorb® plants in Oklahoma and a robust sales cycle in the second half of the year. The company now expects full-year 2025 revenue to exceed $65m and EBITDA to be above $11m, both ahead of market expectations, with net cash rising to $5.2m, underscoring improved financial strength. Management is advancing construction of a new, larger IOsorb® plant in the Permian Basin, targeting annual output of 170–220 tonnes from H2 2026, and forecasts further production growth in H1 2026, supported by a spot iodine price that remained above $70/kg throughout 2025 and ongoing strong global demand, reinforcing Iofina’s growth trajectory and competitive position in the iodine market.

The most recent analyst rating on (GB:IOF) stock is a Buy with a £31.00 price target. To see the full list of analyst forecasts on Iofina plc stock, see the GB:IOF Stock Forecast page.

Iofina Appoints Tim Hughes as Non-Executive Director to Bolster Iodine Expansion

Iofina plc has announced the appointment of Tim Hughes as a Non-Executive Director, effective from January 1, 2026. Hughes brings extensive experience from the specialty chemical industry, having held significant roles at Synthomer plc and Chemtura Corporation. His expertise in the iodine sector and corporate development is expected to support Iofina’s strategic expansion of its iodine production facilities and penetration into new customer markets, enhancing its industry positioning.

The most recent analyst rating on (GB:IOF) stock is a Buy with a £45.00 price target. To see the full list of analyst forecasts on Iofina plc stock, see the GB:IOF Stock Forecast page.

Iofina Partners with Western Midstream for New IOsorb® Plant in Permian Basin

Iofina plc has announced an agreement with Western Midstream Partners to develop a new IOsorb® plant in the Permian Basin, which will utilize the company’s WET IOsorb® technology to extract iodine from produced water. This new facility, expected to be operational in the second half of 2026, will double the brine water processing capacity to 50,000 barrels per day and is projected to become Iofina’s largest producing plant. The partnership with Western Midstream, a leader in produced water infrastructure, is a strategic move to enhance Iofina’s production capabilities and expand its presence in the Permian Basin, a significant area for U.S. crude oil production.

The most recent analyst rating on (GB:IOF) stock is a Hold with a £21.50 price target. To see the full list of analyst forecasts on Iofina plc stock, see the GB:IOF Stock Forecast page.