Norcros (NXR) AI Stock Analysis

• Market Cap: £258.15M
• Dividend Yield: 362.37%
• Average Volume (3M): 404.63K
• Price to Earnings (P/E): 73.4
• Beta (1Y): 1.14
• Revenue Growth: -6.12%
• EPS Growth: -86.98%
• Country: UK
• Employees: 2,100
• Sector: Industrials
• Sector Strength: 87
• Industry: Construction
• EPS (TTM): 0.18
• Shares Outstanding: 89,947,975
• 10 Day Avg. Volume: 204,342
• 30 Day Avg. Volume: 404,635
• PEG Ratio: -1.35
• Price to Book (P/B): 1.28
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 22.92
• 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: £350.00
• Price Target Upside: 21.95% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 70 Outperform
• Price Target: 319.00p ▲(11.15%Upside)

The overall stock score of 66 reflects a mixed outlook. Strong technical indicators and positive corporate events are significant strengths, providing confidence in growth prospects and market position. However, financial performance and valuation present challenges, with profitability and leverage concerns, alongside a high P/E ratio suggesting overvaluation.

Norcros Business Overview & Revenue Model

Company Description

Norcros plc, together with its subsidiaries, designs, manufactures, and distributes bathroom and kitchen products in the United Kingdom and South Africa. The company manufactures and distributes electric and mixer showers, and accessories under the Triton brand name; shower enclosures and trays to the residential, commercial, and hospitality sectors under the Merlyn brand; taps, mixer showers, bathroom accessories, and valves under the Vado brand name; and accessories and furniture for the bathroom, such as toilet seats, wall-mounted cupboards, vanity units, shower rods, rails, and curtains to retail and trade customers under the Croydex brand name. It also offers kitchen taps, sinks, and instant hot water taps under the Abode brand name; ceramic wall and floor tiles under the Johnson Tiles brand name; and adhesives, grouts, and surface preparation products under the Norcros Adhesives brand name for fixing ceramic and porcelain tiles, mosaics, natural stones, and marbles. In addition, the company provides tile adhesives, pourable floor coverings, and tiling tools for various types of ceramic, porcelain, or natural stone tiles; and various products for the preparation of floors before the installation of hard and soft floor coverings, including primers, additives, patching and repair compounds, and screeds and self-levelling screeds, as well as waterproofing systems under the TAL brand name, as well as specialist plumbing materials under the House of Plumbing brand name. Further, it manufactures waterproof decorative bathroom wall panels under the Home of Multipanel brand name; and retails wall and floor tiles, adhesives, showers, sanitaryware, and bathroom fittings under the Tile Africa brand name. The company serves consumers, architects, designers, developers, retailers, and wholesalers. Norcros plc was incorporated in 1999 and is headquartered in Wilmslow, the United Kingdom.

How the Company Makes Money

Norcros generates revenue through the design, manufacture, and distribution of bathroom and kitchen products. The company's key revenue streams include sales of its branded products to retailers, wholesalers, and direct to the consumer markets. Norcros benefits from long-term relationships with key retailers and distributors in its operating regions, which enhances its market reach. Additionally, the company has made strategic acquisitions to broaden its product portfolio and increase its market share, contributing to its revenue growth. Norcros also leverages its strong brand recognition and innovation in product design to maintain its competitive edge in the market.

Norcros Financial Statement Overview

Summary

Norcros faces challenges in revenue and profit growth, with narrowing margins affecting overall profitability. The balance sheet remains stable, though rising leverage could pose risks if profitability does not improve. Cash flow management is effective, but declining cash generation could impact future operations.

Income Statement

Norcros has shown inconsistent revenue growth over the past years, with a significant decline in the latest fiscal year. The gross profit margin stood at approximately 43.5%, reflecting solid cost management. However, the net profit margin decreased sharply to around 0.95%, indicating challenges in maintaining profitability. Additionally, EBIT and EBITDA margins have also narrowed considerably, signaling potential operational inefficiencies or cost pressures.

Balance Sheet

The balance sheet indicates a stable equity position with an equity ratio of approximately 53.6%, suggesting a healthy balance between assets and liabilities. However, the debt-to-equity ratio has increased to 0.39, indicating a rise in leverage. The return on equity has decreased, reflecting reduced profitability relative to equity.

Cash Flow

Cash flow analysis showed a decrease in operating cash flow and free cash flow. The free cash flow to net income ratio suggests a strong cash conversion from earnings. The operating cash flow to net income ratio remains positive, indicating efficient cash operations despite reduced profitability.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	368.10M	392.10M	441.00M	396.30M	324.20M
Gross Profit	160.10M	165.00M	169.30M	140.80M	118.40M
EBITDA	18.70M	55.30M	54.50M	48.80M	35.00M
Net Income	3.50M	26.80M	16.80M	25.70M	15.00M
Balance Sheet
Total Assets	388.00M	425.30M	446.20M	359.50M	312.20M
Cash, Cash Equivalents and Short-Term Investments	22.70M	30.80M	29.00M	27.40M	28.30M
Total Debt	80.10M	90.30M	103.60M	42.80M	42.00M
Total Liabilities	180.10M	202.90M	235.80M	159.20M	163.80M
Stockholders Equity	207.90M	222.40M	210.40M	200.30M	148.40M
Cash Flow
Free Cash Flow	11.60M	29.30M	18.50M	9.20M	50.50M
Operating Cash Flow	18.50M	36.60M	24.50M	14.60M	53.30M
Investing Cash Flow	-3.40M	-7.30M	-84.30M	-5.40M	-2.80M
Financing Cash Flow	-23.40M	-26.00M	64.30M	-11.70M	-70.00M

Norcros Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 287.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:NXR, the sentiment is Positive. The current price of 287 is above the 20-day moving average (MA) of 281.15, above the 50-day MA of 267.51, and above the 200-day MA of 243.32, indicating a bullish trend. The MACD of 8.28 indicates Negative momentum. The RSI at 62.13 is Neutral, neither overbought nor oversold. The STOCH value of 65.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:NXR.

Norcros Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SRAD	80 Outperform	£219.68M	13.30	29.29%	380.85%	-5.72%	7.10%
EPWN	74 Outperform	£136.28M	8.55	16.03%	507.46%	-6.20%	83.31%
ALU	71 Outperform	£123.42M	12.98	29.95%	313.04%	19.86%	19.09%
NXR	70 Outperform	£258.15M	73.40	1.63%	362.37%	-6.12%	-86.98%
Sector *	69 Neutral	¥174.63B	11.01	4.42%	2.97%	5.63%	-31.54%
ECEL	67 Neutral	£153.07M	15.37	9.56%	297.25%	-1.81%	15.19%
JHD	67 Neutral	£661.49M	15.47	24.63%	406.48%	-7.53%	-4.50%

Norcros Corporate Events

Norcros CFO Exercises Share Options, Increases Stake

Norcros plc announced that its Chief Financial Officer, James Eyre, has exercised options under the company’s Deferred Bonus Plan, resulting in a net retention of 21,143 shares after settling tax obligations. This transaction increases Eyre’s total shareholding, potentially strengthening his alignment with company performance and signaling confidence in Norcros’s future prospects.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Norcros Updates Share Capital and Voting Rights Information

Norcros plc has announced an update regarding its share capital and voting rights. As of 16 July 2025, the company has 89,947,975 ordinary shares in circulation, each granting one vote at general meetings. This update is crucial for shareholders and stakeholders to determine their notification obligations under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Norcros Acquires Fibo Holding AS to Expand European Market Presence

Norcros plc, a prominent bathroom products company, has announced the acquisition of Fibo Holding AS, a leading supplier of waterproof decorative wall panels, for approximately £45 million. This acquisition aligns with Norcros’ strategy to expand in high-growth product segments and will enhance its presence in the European market, particularly in Scandinavia and central Europe. The integration of Fibo Group is expected to create a leading European waterproof wall coverings division, leveraging Fibo’s established market routes and management expertise. The acquisition is anticipated to be earnings accretive in the first year and will be financed through Norcros’ existing credit facility, with the transaction subject to regulatory approval.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Norcros to Close Johnson Tiles South Africa Operations Following Strategic Review

Norcros has announced the closure of its Johnson Tiles South Africa manufacturing operations following a strategic review. The decision, driven by the need to focus on a capital-light and cash-generative business portfolio, will see the business cease manufacturing by the end of June 2025. Despite the closure, inventory will continue to be sold through Tile Africa, and the financial impact is expected to be cash neutral. The company emphasizes its commitment to fulfilling obligations to staff, customers, and suppliers, and will report the financial performance of Johnson Tiles SA as a discontinued operation. This move aligns with Norcros’s strategic priorities of portfolio development, organic growth, and operational excellence, as it aims to strengthen its remaining profitable businesses in South Africa.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Norcros Publishes 2025 Annual Report and AGM Notice

Norcros has released its Annual Report and Accounts for the year ended 31 March 2025, alongside the Notice of its 2025 Annual General Meeting. The company continues to focus on growth through acquisitions and organic development, aiming to expand its market share in the fragmented bathroom products market. The report highlights Norcros’s commitment to operational excellence and ESG capabilities, which are expected to drive further expansion.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Norcros Reports Strategic Gains Amid Revenue Decline

Norcros PLC reported its financial results for the year ended March 31, 2025, highlighting strategic execution that led to market share gains and margin growth despite a 6.1% decline in revenue. The company achieved a record underlying profit in the UK and Ireland and maintained a strong balance sheet, with strategic initiatives including the sale of Johnson Tiles UK and a focus on organic growth, operational excellence, and ESG goals. The company remains confident in achieving its medium-term strategic targets, with expectations for FY26 unchanged amid uncertain market conditions.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.

Norcros to Host Investor Webinar on Full-Year Results

Norcros plc has announced an investor webinar scheduled for June 18, 2025, to present its full-year results ending March 31, 2025. The event will be hosted by CEO Thomas Willcocks and CFO James Eyre, offering an opportunity for existing and potential shareholders to engage with the company’s leadership and gain insights into its financial performance and strategic direction.

The most recent analyst rating on (GB:NXR) stock is a Buy with a £375.00 price target. To see the full list of analyst forecasts on Norcros stock, see the GB:NXR Stock Forecast page.