M.P. Evans (MPE) AI Stock Analysis

• Market Cap: £666.27M
• Dividend Yield: 3%
• Average Volume (3M): 43.97K
• Price to Earnings (P/E): 8.1
• Beta (1Y): 0.54
• Revenue Growth: 6.52%
• EPS Growth: 59.56%
• Country: UK
• Employees: 12,600
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): 0.69
• Shares Outstanding: 52,256,290
• 10 Day Avg. Volume: 46,658
• 30 Day Avg. Volume: 43,970
• PEG Ratio: 0.11
• Price to Book (P/B): 1.25
• Price to Sales (P/S): 1.87
• P/FCF Ratio: 5.77
• 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: £1,650.00
• Price Target Upside: 27.41% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: 1,470.00p ▲(13.51% Upside)

M.P. Evans scores well due to its robust financial performance and strategic corporate events, which enhance its market positioning. The valuation is attractive, with a low P/E ratio and solid dividend yield. Technical analysis shows a neutral trend, with potential bearish momentum. Overall, the stock is positioned for growth with a stable financial foundation.

Positive Factors

Revenue Growth

The company's robust revenue growth indicates a strong market position and effective business strategy, enhancing its ability to capture market demand and drive future expansion.

Cash Flow Management

Significant growth in free cash flow highlights the company's ability to generate cash efficiently, providing financial flexibility for reinvestment and growth opportunities.

Profitability Improvements

Improved profitability margins reflect enhanced cost efficiency and operational effectiveness, strengthening the company's competitive position and long-term financial health.

Negative Factors

Market Volatility

Trading below short-term averages suggests potential market volatility, which could impact investor confidence and stock performance in the near term, affecting capital raising ability.

Industry Challenges

Lack of recent corporate developments may indicate challenges in adapting to industry changes, potentially affecting the company's ability to innovate and maintain competitive advantages.

Sustainability Risks

While sustainability is a focus, the agricultural industry faces scrutiny over environmental impacts, posing risks to reputation and regulatory compliance, potentially affecting long-term operations.

M.P. Evans Business Overview & Revenue Model

Company Description

M.P. Evans Group PLC, through its subsidiaries, engages in the ownership, management, and development of oil palm plantations in Indonesia. It operates through Plantation Indonesia and Property Malaysia segments. The company produces crude palm oil and palm kernels. It is also involved in the property development; and oil-palm fresh fruit bunches production businesses, as well as provision of agronomic and management consultancy services. As of December 31, 2021, the company had interests in 39,800 hectares of oil palm plantations in Indonesia; and 12,800 hectares of associated smallholder oil palm. M.P. Evans Group PLC was incorporated in 1981 and is headquartered in Tunbridge Wells, the United Kingdom.

How the Company Makes Money

M.P. Evans generates revenue primarily through the sale of crude palm oil (CPO) and palm oil derivatives produced from its plantations. The company benefits from the growing global demand for palm oil, which is used in a variety of products including food, cosmetics, and biofuels. Key revenue streams include direct sales of CPO to processors and manufacturers, as well as partnerships with distributors in various markets. Additionally, MPE may earn income through the sale of by-products from the palm oil extraction process. The company’s commitment to sustainability attracts partnerships with organizations focused on ethical sourcing, which can enhance its market position and contribute to revenue growth.

M.P. Evans Financial Statement Overview

Summary

M.P. Evans demonstrated strong revenue growth and profitability improvements. The company has a solid financial position with low leverage and high equity. Cash flow management is robust, indicating strong liquidity and efficient cash generation.

Income Statement

M.P. Evans demonstrated strong revenue growth with 14.8% from 2023 to 2024 and a consistent increase in profitability. The gross profit margin improved to 33.1% in 2024 from 25.5% in 2023. Net profit margin also showed a significant rise from 17.1% to 24.9%, indicating enhanced cost efficiency and profitability. Both EBIT and EBITDA margins improved, showcasing operational efficiency. The consistent improvement in these metrics reflects robust financial health and growth potential.

Balance Sheet

The company maintains a solid financial position with a low debt-to-equity ratio of 0.06 in 2024, exhibiting strong financial leverage management. The equity ratio is high at 81.1%, indicating a strong equity base relative to total assets. Return on equity increased to 16.7%, reflecting effective use of equity to generate profits. The balance sheet shows a stable financial foundation with potential for sustainable growth.

Cash Flow

Cash flow management is a key strength, with free cash flow growing significantly by 151.7% from 2023 to 2024. The operating cash flow to net income ratio is robust at 1.55, highlighting efficient cash generation relative to net income. Free cash flow to net income ratio is also strong at 1.3, indicating solid cash availability after capital expenditures. These metrics suggest effective cash management and strong liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	368.55M	352.84M	307.37M	326.92M	276.59M	174.51M
Gross Profit	136.77M	116.59M	78.45M	109.21M	103.61M	34.76M
EBITDA	163.45M	143.61M	100.93M	125.08M	136.01M	49.79M
Net Income	106.42M	87.85M	52.49M	73.06M	86.41M	20.37M
Balance Sheet
Total Assets	652.51M	647.79M	625.15M	590.26M	583.82M	536.48M
Cash, Cash Equivalents and Short-Term Investments	91.33M	79.22M	39.32M	82.50M	65.61M	27.22M
Total Debt	20.86M	33.03M	54.42M	49.04M	71.05M	105.68M
Total Liabilities	95.90M	114.33M	120.08M	101.41M	138.77M	162.34M
Stockholders Equity	549.34M	525.75M	485.07M	471.18M	431.52M	364.41M
Cash Flow
Free Cash Flow	123.08M	114.15M	45.34M	68.46M	59.75M	-1.92M
Operating Cash Flow	145.69M	135.80M	83.64M	102.29M	92.27M	39.60M
Investing Cash Flow	-18.65M	-19.33M	-71.65M	-28.44M	887.00K	-35.97M
Financing Cash Flow	-71.85M	-75.25M	-55.43M	-55.38M	-54.72M	-2.28M

M.P. Evans Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1295.00
• 50DMA: Positive
• 100DMA: Negative
• 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:MPE, the sentiment is Positive. The current price of 1295 is below the 20-day moving average (MA) of 1301.00, above the 50-day MA of 1294.82, and above the 200-day MA of 1157.06, indicating a neutral trend. The MACD of -3.81 indicates Positive momentum. The RSI at 50.73 is Neutral, neither overbought nor oversold. The STOCH value of 71.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:MPE.

M.P. Evans Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MPE	77 Outperform	£666.27M	8.15	20.95%	3.00%	6.52%	59.56%
AEP	76 Outperform	£500.19M	7.43	16.51%	2.80%	16.42%	33.07%
RE	69 Neutral	£50.19M	4.61	10.87%	―	5.39%	―
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
DKL	50 Neutral	£5.71M	-1.13	-30.89%	―	-6.07%	50.59%
CAM	45 Neutral	£127.65M	―	―	5.18%	-0.79%	87.50%

M.P. Evans Corporate Events

M.P. Evans Reports Minimal Impact from Aceh Flooding

M.P. Evans Group PLC reported that recent severe flooding in Aceh, Indonesia, caused by a cyclone, has temporarily disrupted operations at its Simpang Kiri estate. Despite the flooding, there will be no material impact on the Group’s annual crop and production, and normal operations are expected to resume soon. The company is actively supporting the local community affected by the floods.

M.P. Evans Appoints Canaccord Genuity as Joint Broker

M.P. Evans has announced the appointment of Canaccord Genuity Limited as a joint broker, while Cavendish Capital Markets continues as the Company’s Nomad and joint broker. This strategic move is expected to enhance M.P. Evans’ market positioning and potentially improve its operational dynamics within the palm oil industry.

M.P. Evans Reports Strong Palm Oil Pricing and Financial Performance in 2025

M.P. Evans Group PLC has reported strong pricing for crude palm oil and palm kernels in the second half of 2025, which is expected to positively impact the company’s financial results for the year. The company has maintained a robust pricing environment, with average prices for its products remaining high, and has focused on cost control and sustainability by reducing crop purchases from independent suppliers. This strategy has allowed the company to repay all outstanding loans and anticipate higher-than-expected revenue and profitability.

M.P. Evans Releases Interim Report for H1 2025

M.P. Evans Group PLC has released its interim report for the six months ending 30 June 2025, which is now available to shareholders and on the company’s website. This announcement reflects the company’s ongoing commitment to transparency and provides stakeholders with insights into its financial performance and strategic direction.

M.P. Evans Reports Strong Interim Results with Strategic Crop Focus

M.P. Evans Group PLC reported a 50% increase in operating profit for the first half of 2025, driven by a strategic shift towards using more of its own harvested crops and benefiting from a strong commodity-price environment. The company saw a 13% rise in mill-gate CPO prices and a 10% increase in certified sustainable CPO production, while also achieving a strong net cash surplus. The acquisition of additional planted hectares and the appointment of new board members are expected to further strengthen the company’s operations and governance.