Macfarlane (MACF) AI Stock Analysis

• Market Cap: £183.54M
• Dividend Yield: 3.18%
• Average Volume (3M): 373.32K
• Price to Earnings (P/E): 11.8
• Beta (1Y): 0.26
• Revenue Growth: -3.66%
• EPS Growth: 3.28%
• Country: UK
• Employees: 1,165
• Sector: Consumer Cyclical
• Sector Strength: 73
• Industry: Packaging & Containers
• EPS (TTM): 0.10
• Shares Outstanding: 159,588,500
• 10 Day Avg. Volume: 371,840
• 30 Day Avg. Volume: 373,316
• PEG Ratio: -5.59
• Price to Book (P/B): 1.41
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.63
• 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: £145.00
• Price Target Upside: 21.34% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 82 Outperform
• Price Target: 136.00p ▲(13.81%Upside)

Macfarlane Group's strong financial performance and technical indicators highlight its robust market position and operational efficiency. The strategic share buyback program and positive corporate events bolster its attractiveness. However, the need to address revenue growth remains a critical challenge.

Positive Factors

Acquisition Benefits

The acquisition of Pitreavie provides geographic, product, end-market and customer synergies, and drives a c.5% adj. EPS upgrade in FY26E.

Growth Strategy

The group anticipates performance to improve as it completes the East Midlands site consolidation and builds on organic growth momentum in Distribution.

Sustainability

Macfarlane is ideally placed to expand its sustainable packaging range, enabling it to play a central role in the sustainability shift across the protective packaging market.

Negative Factors

Cost Challenges

Duplicate costs related to the consolidation of the East Midlands operations and increased property costs have impacted profit.

Financial Performance

Profit was down year-over-year due to lower gross margins, duplicate costs related to the consolidation of the East Midlands operations, and increased property costs and acquisition related costs.

Macfarlane Business Overview & Revenue Model

Company Description

Macfarlane Group PLC, through its subsidiaries, designs, manufactures, and distributes protective packaging products to businesses. The company operates through Packaging Distribution and Manufacturing Operations segments. The Packaging Distribution segment distributes packaging materials; and supplies storage and warehousing services in the United Kingdom, Ireland, and Europe. The Manufacturing Operations segment designs, manufactures, and assembles timber, corrugated, and foam-based packaging materials in the United Kingdom. The company also distributes and supplies packaging equipment; and recovers waste papers and corrugated boards for recycling. In addition, it serves e-commerce retail, logistics, medical, automotive, aerospace, electronics, high street retail, household essentials, and food and hospitality industries. The company was incorporated in 1899 and is headquartered in Glasgow, the United Kingdom.

How the Company Makes Money

Macfarlane generates revenue through the sale of its packaging products and services to a diverse range of industries, including e-commerce, manufacturing, and retail. Its revenue model is largely based on providing custom packaging solutions that cater to the specific demands of its clients, ensuring product safety and cost efficiency. Additionally, the company earns money through its packaging machinery sales and leasing services. Key revenue streams include contracts with large-scale industrial clients, ongoing supply agreements with repeat customers, and partnerships with major e-commerce platforms seeking efficient and sustainable packaging solutions. Macfarlane's focus on innovation and customer service supports its strong market position and profitability.

Macfarlane Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
268.70M	280.71M	290.43M	264.46M	210.23M	225.25M
	Gross Profit
105.82M	105.68M	98.06M	89.47M	69.83M	71.99M
	EBIT
21.87M	22.29M	21.68M	20.27M	13.68M	13.58M
	EBITDA
32.56M	36.19M	34.30M	25.35M	17.81M	17.24M
	Net Income Common Stockholders
14.70M	14.97M	15.64M	12.60M	10.17M	9.73M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.61M	7.69M	5.71M	12.31M	7.23M	5.58M
	Total Assets
142.10M	221.23M	216.16M	216.17M	172.71M	172.83M
	Total Debt
17.87M	43.34M	43.71M	44.78M	36.46M	44.22M
	Net Debt
13.26M	35.65M	38.01M	32.47M	29.23M	38.64M
	Total Liabilities
79.57M	106.65M	110.14M	121.27M	92.93M	104.10M
	Stockholders Equity
62.53M	114.58M	106.02M	94.89M	79.78M	68.74M
Cash Flow		Free Cash Flow
25.05M	31.33M	14.71M	21.67M	22.52M	16.85M
	Operating Cash Flow
27.27M	33.51M	18.00M	23.80M	23.32M	19.50M
	Investing Cash Flow
-8.87M	-16.55M	-11.59M	-8.96M	-3.36M	-8.63M
	Financing Cash Flow
-16.13M	-15.32M	-13.18M	-7.94M	-18.05M	-12.17M

Macfarlane Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 119.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:MACF, the sentiment is Positive. The current price of 119.5 is above the 20-day moving average (MA) of 108.62, above the 50-day MA of 102.38, and above the 200-day MA of 105.42, indicating a bullish trend. The MACD of 4.78 indicates Negative momentum. The RSI at 71.06 is Negative, neither overbought nor oversold. The STOCH value of 69.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:MACF.

Macfarlane Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MACF	82 Outperform	£183.54M	11.78	13.06%	3.18%	-3.66%	3.28%
CRU	65 Neutral	£8.46M	―	-21.69%	5.26%	-14.90%	-329.10%
Sector *	62 Neutral	$6.90B	11.24	2.93%	3.89%	2.68%	-24.71%
ROAD	62 Neutral	£56.03M	―		―	―	―
PMP	58 Neutral	£21.03M	61.00	0.62%	2.30%	-11.22%	―
RBN	55 Neutral	£21.36M	36.38	-13.52%	4.31%	13.57%	-304.69%
SYM		£15.84M	―	-290.14%	―	―	―

Macfarlane Corporate Events

Macfarlane Group Advances Share Buyback Program with Recent Share Cancellation

Macfarlane Group PLC announced the purchase and cancellation of 11,650 ordinary shares as part of its ongoing share buyback program. This transaction adjusts the company’s issued share capital to 159,576,850 ordinary shares, impacting the total voting rights available to shareholders. The move is part of Macfarlane’s strategy to manage its capital structure and enhance shareholder value, reflecting its strong market position and commitment to operational efficiency.

The most recent analyst rating on (GB:MACF) stock is a Buy with a £145.00 price target. To see the full list of analyst forecasts on Macfarlane stock, see the GB:MACF Stock Forecast page.

Macfarlane Group Executes Share Buyback to Optimize Capital Structure

Macfarlane Group PLC has announced the purchase and cancellation of 11,500 ordinary shares as part of its share buyback program. This move reduces the company’s issued share capital to 159,588,500 ordinary shares, aligning with its strategy to manage capital efficiently and potentially enhance shareholder value. The transaction reflects Macfarlane’s commitment to optimizing its capital structure and may impact shareholder voting rights calculations under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:MACF) stock is a Buy with a £145.00 price target. To see the full list of analyst forecasts on Macfarlane stock, see the GB:MACF Stock Forecast page.

Macfarlane Group Launches £4 Million Share Buyback Program

Macfarlane Group PLC has announced a share buyback program valued at up to £4 million, to be executed over 12 months in four quarterly tranches. This strategic move aims to optimize the company’s capital allocation and potentially enhance shareholder value by reducing the number of outstanding shares, which could positively impact the company’s stock price and market perception.

The most recent analyst rating on (GB:MACF) stock is a Buy with a £145.00 price target. To see the full list of analyst forecasts on Macfarlane stock, see the GB:MACF Stock Forecast page.

Macfarlane Group PLC Successfully Passes All AGM Resolutions

Macfarlane Group PLC announced that all resolutions proposed at their Annual General Meeting were passed, with significant shareholder participation. This includes ordinary and special resolutions, such as the adoption of accounts, approval of remuneration policies, and authority to repurchase shares. The successful passing of these resolutions reflects strong shareholder support and positions the company to continue its strategic initiatives, potentially impacting its operational efficiency and market competitiveness.

The most recent analyst rating on (GB:MACF) stock is a Buy with a £145.00 price target. To see the full list of analyst forecasts on Macfarlane stock, see the GB:MACF Stock Forecast page.

Macfarlane Group Maintains Full-Year Outlook and Announces Share Buyback

Macfarlane Group PLC announced at its Annual General Meeting that its full-year expectations remain unchanged despite a challenging market environment. The company reported a 14.2% increase in Q1 2025 sales compared to the same period in 2024, driven by acquisitions and organic growth in its Distribution division. However, profits were down due to lower gross margins and increased costs. The acquisition of The Pitreavie Group Limited is expected to bring synergies that will benefit the Group. Macfarlane plans to improve performance in the second half of 2025 and will initiate a share buyback program of up to £4 million, reflecting its strategy of capital allocation and shareholder returns.

The most recent analyst rating on (GB:MACF) stock is a Buy with a £145.00 price target. To see the full list of analyst forecasts on Macfarlane stock, see the GB:MACF Stock Forecast page.

Macfarlane Group Announces In-Person AGM for May 2025

Macfarlane Group PLC has announced that its Annual General Meeting (AGM) will be held in person on 13 May 2025 at the DoubleTree by Hilton Hotel Glasgow Central. Shareholders have been invited to submit questions in advance, and the Notice of AGM has been made available on the company’s website and submitted to the National Storage Mechanism. This announcement underscores Macfarlane’s commitment to maintaining transparent communication with its stakeholders and may influence shareholder engagement and company operations.

Macfarlane Group Executives Acquire Shares Under Deferred Bonus Plan

Macfarlane Group PLC announced that its executives, Peter Atkinson and Ivor Gray, acquired shares under the company’s Deferred Bonus Share Plan, with some shares sold to cover tax liabilities. Additionally, the company’s employee benefit trust purchased shares to satisfy future share option exercises, reflecting a strategic move to manage executive compensation and shareholder interests effectively.