Midwich (MIDW) AI Stock Analysis

• Market Cap: £231.22M
• Dividend Yield: 5.65%
• Average Volume (3M): 121.81K
• Price to Earnings (P/E): 14.3
• Beta (1Y): 0.83
• Revenue Growth: 2.16%
• EPS Growth: -43.48%
• Country: UK
• Employees: 1,800
• Sector: Technology
• Sector Strength: 98
• Industry: Technology Distributors
• EPS (TTM): 0.09
• Shares Outstanding: 104,545,130
• 10 Day Avg. Volume: 59,841
• 30 Day Avg. Volume: 121,813
• 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: £304.00
• Price Target Upside: 32.17% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 65 Neutral
• Price Target: 258.00p ▲(12.17% Upside)

The stock score is primarily influenced by stable financial performance, despite decreased profitability margins. Technical analysis suggests positive momentum but warns of potential overbought conditions. Valuation is mixed with a reasonable P/E ratio, but questionable dividend yield figures. Corporate events indicate challenges in revenue which affects the outlook.

Midwich Business Overview & Revenue Model

Company Description

Midwich Group plc, together with its subsidiaries, engages in the distribution of audio visual (AV) solutions to the trade customers in the United Kingdom, Ireland, Europe, the Middle East, Africa, Asia Pacific, and North America. Its products support various AV categories, such as displays, projectors, broadcast, audio, video, and digital signage, as well as lighting and unified communications. The company also provides logistics services. It serves professional AV integrators and IT resellers in corporate, education, retail, residential, and hospitality sectors. The company was formerly known as Jade 320 Limited and changed its name to Midwich Group Plc in April 2016. Midwich Group plc was founded in 1976 and is based in Diss, the United Kingdom.

How the Company Makes Money

Midwich generates revenue primarily through the distribution of AV and UC equipment from a wide array of leading manufacturers. The company's revenue model is based on wholesale distribution, where it purchases products at a discounted rate and sells them to resellers and integrators, often adding a margin. Key revenue streams include product sales, which are bolstered by the company's extensive inventory and logistics capabilities, and service offerings such as installation, support, and training. Significant partnerships with top brands in the AV industry enhance Midwich's product portfolio, allowing it to remain competitive and responsive to market demand. Additionally, the company benefits from recurring revenue through ongoing service contracts and support agreements with clients.

Midwich Financial Statement Overview

Summary

Midwich demonstrates stable revenue growth and effective cost management, though profitability margins have declined. The balance sheet shows a healthy equity position and manageable leverage. Despite a reduction in free cash flow, cash generation relative to net income remains strong, indicating good cash flow management. Overall, Midwich maintains a stable financial position with some pressure on profitability and liquidity.

Income Statement

Midwich shows a stable revenue growth with a 2.16% increase from 2023 to 2024. However, profitability has declined, as indicated by a decrease in EBIT margin from 3.23% in 2023 to 1.83% in 2024 and a net profit margin drop from 2.08% to 1.22%. The gross profit margin is relatively healthy at 17.8% in 2024, demonstrating effective cost management despite the dip in net income.

Balance Sheet

The company has a moderate debt-to-equity ratio of 1.12 in 2024, indicating a balanced approach to leverage. The equity ratio is 27.85%, suggesting a sound equity position. Return on equity has reduced to 8.84% in 2024 from previous years, indicating a decrease in return efficiency. The overall balance sheet remains stable with manageable liabilities.

Cash Flow

Operating cash flow is strong at £35.28 million in 2024, although it decreased from the previous year. Free cash flow decreased significantly by 57.39% compared to 2023, which could indicate challenges in liquidity management. However, the operating cash flow to net income ratio is robust at 2.20, reflecting strong cash generation relative to net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.32B	1.29B	1.20B	855.97M	711.75M
Gross Profit	234.33M	216.47M	173.91M	123.76M	95.36M
EBITDA	43.55M	67.47M	47.08M	34.32M	13.81M
Net Income	16.03M	26.82M	15.29M	12.43M	-3.75M
Balance Sheet
Total Assets	650.66M	654.47M	559.77M	373.53M	306.26M
Cash, Cash Equivalents and Short-Term Investments	49.16M	56.13M	25.86M	15.48M	25.48M
Total Debt	202.59M	162.33M	145.28M	94.45M	64.76M
Total Liabilities	461.51M	458.32M	425.64M	259.13M	199.77M
Stockholders Equity	181.22M	173.25M	120.74M	105.12M	100.34M
Cash Flow
Free Cash Flow	20.38M	47.82M	9.98M	3.56M	34.27M
Operating Cash Flow	35.28M	63.79M	21.06M	9.52M	37.85M
Investing Cash Flow	-40.01M	-67.41M	-37.29M	-24.60M	-24.55M
Financing Cash Flow	-1.30M	35.68M	24.81M	4.48M	-2.76M

Midwich Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 230.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:MIDW, the sentiment is Positive. The current price of 230 is above the 20-day moving average (MA) of 221.25, above the 50-day MA of 213.29, and below the 200-day MA of 232.84, indicating a neutral trend. The MACD of 4.52 indicates Positive momentum. The RSI at 58.90 is Neutral, neither overbought nor oversold. The STOCH value of 47.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:MIDW.

Midwich Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NET	73 Outperform	£199.29M	38.30	12.87%	0.74%	15.40%	-6.59%
CNC	70 Outperform	£159.54M	33.61	12.72%	1.14%	27.38%	10.24%
ACSO	69 Neutral	£173.07M	25.37	4.56%	―	-0.90%	15.22%
MIDW	65 Neutral	£231.22M	14.34	9.04%	5.65%	2.16%	-43.48%
Sector *	61 Neutral	$35.87B	6.13	-9.33%	2.06%	7.63%	-6.38%
NAR	57 Neutral	£8.41M	―	-6.68%	1.94%	-6.09%	-161.61%
RCN	57 Neutral	£196.42M	316.67	1.06%	2.91%	3.57%	―

Midwich Corporate Events

Midwich Group Navigates Challenging Market with Strategic Growth Initiatives

Midwich Group reported a decrease in revenue for the first half of 2025, attributed to challenging global market conditions, particularly in the German corporate and education markets. Despite these challenges, the company saw growth in the UK and Ireland and maintained a strong gross margin by focusing on higher-margin technical products. The company remains optimistic about future growth, driven by new vendor relationships and operational efficiencies, and expects a stronger performance in the second half of the year.

The most recent analyst rating on (GB:MIDW) stock is a Buy with a £5.00 price target. To see the full list of analyst forecasts on Midwich stock, see the GB:MIDW Stock Forecast page.

Midwich Group PLC Announces Change in Voting Rights

Midwich Group PLC has announced a change in its voting rights structure, following an acquisition or disposal by Granular Capital Ltd. The transaction resulted in Granular Capital Ltd holding 7.94% of the voting rights in Midwich, down from a previous 8.32%. This adjustment in voting rights may influence the company’s governance and decision-making processes.

The most recent analyst rating on (GB:MIDW) stock is a Buy with a £5.00 price target. To see the full list of analyst forecasts on Midwich stock, see the GB:MIDW Stock Forecast page.

Midwich Group PLC Announces Change in Voting Rights

Midwich Group PLC has announced a change in the voting rights held by Octopus Investments Limited, which now holds 11.99% of the voting rights, down from a previous 12.99%. This change in holdings may affect the company’s shareholder dynamics and influence within the market, as voting rights are crucial for decision-making processes and strategic direction.

The most recent analyst rating on (GB:MIDW) stock is a Buy with a £5.00 price target. To see the full list of analyst forecasts on Midwich stock, see the GB:MIDW Stock Forecast page.

Midwich Group PLC Announces Change in Voting Rights

Midwich Group PLC has announced a change in the voting rights held by Liontrust Investment Partners LLP, which now holds 14.1576% of the company’s voting rights. This adjustment in holdings reflects a slight decrease from the previous position and may influence the company’s governance and decision-making processes.

The most recent analyst rating on (GB:MIDW) stock is a Buy with a £5.00 price target. To see the full list of analyst forecasts on Midwich stock, see the GB:MIDW Stock Forecast page.

Aberdeen Group Increases Stake in Midwich Group PLC

Midwich Group PLC has announced a significant change in its shareholder structure, with Aberdeen Group plc increasing its voting rights to 5.365333%. This acquisition of voting rights marks a notable shift, as Aberdeen Group’s holdings have crossed the 5% threshold, potentially impacting Midwich’s governance and strategic decisions. The change reflects Aberdeen’s growing influence within the company, which could have implications for Midwich’s future operations and stakeholder interests.

The most recent analyst rating on (GB:MIDW) stock is a Hold with a £4.25 price target. To see the full list of analyst forecasts on Midwich stock, see the GB:MIDW Stock Forecast page.

Midwich Group PLC Secures Shareholder Support at AGM

Midwich Group PLC announced that all resolutions were passed at its recent Annual General Meeting, reflecting strong shareholder support. The resolutions included re-electing directors, appointing auditors, and declaring a final dividend, which indicates stability and confidence in the company’s leadership and financial strategy. This outcome is likely to reinforce Midwich’s position in the audiovisual distribution industry and assure stakeholders of its continued growth and operational resilience.

The most recent analyst rating on (GB:MIDW) stock is a Hold with a £4.25 price target. To see the full list of analyst forecasts on Midwich stock, see the GB:MIDW Stock Forecast page.

Midwich Group Faces Revenue Decline Amid Challenging Market Conditions

Midwich Group, a leading global Pro AV distributor, reported resilience in 2024 with record revenue and strategic progress despite challenging market conditions. However, 2025 has seen a mid-single digit decline in organic revenue due to increased tariffs and macro-economic uncertainty. While the UK&I showed revenue growth, declines in EMEA and North America were noted. The company is focusing on increasing market share and reducing costs, but expects adjusted operating profit for the year to be below prior expectations. Midwich remains optimistic about long-term growth opportunities.

The most recent analyst rating on (GB:MIDW) stock is a Hold with a £4.25 price target. To see the full list of analyst forecasts on Midwich stock, see the GB:MIDW Stock Forecast page.