Oxford Instruments (OXIG) AI Stock Analysis

• Market Cap: £1.41B
• Dividend Yield: 1.09%
• Average Volume (3M): 192.40K
• Price to Earnings (P/E): 104.8
• Beta (1Y): 1.51
• Revenue Growth: -5.39%
• EPS Growth: -73.52%
• Country: UK
• Employees: 2,000
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 0.39
• Shares Outstanding: 56,023,315
• 10 Day Avg. Volume: 292,922
• 30 Day Avg. Volume: 192,398
• PEG Ratio: -1.72
• Price to Book (P/B): 3.27
• Price to Sales (P/S): 2.54
• P/FCF Ratio: 81.34
• 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: £2,499.27
• Price Target Upside: -0.63% Downside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: 2,842.00p ▲(13.00% Upside)

Oxford Instruments demonstrates robust financial performance and positive corporate actions, supporting a strong position in the semiconductor industry. However, high valuation metrics and potential overbought technical indicators suggest caution. The company's strategic initiatives and positive earnings outlook are significant strengths, but liquidity and profitability challenges need to be addressed.

Positive Factors

Strong net cash and capital allocation flexibility

A GBP 45m net cash position plus pending proceeds strengthens liquidity and funds strategic actions such as the GBP 100m buyback. This durable balance sheet buffer supports investment, M&A optionality and downside protection over the next several quarters.

Sustained high gross margins and revenue scale-up

Consistent revenue expansion to ~£500m and stable ~50%+ gross margins indicate durable product pricing power and efficient manufacturing. High-margin capital equipment supports reinvestment and resilience to cyclical swings, underpinning multi-quarter profit sustainability.

Robust order momentum in Advanced Technologies

Strong order growth, especially a sixfold rise from commercial production customers, signals durable end-market adoption (e.g., compound semiconductors). A fuller order book reduces short-term revenue volatility and supports predictable H2 delivery and cash conversion.

Negative Factors

Material weakness in Imaging & Analysis demand

A ~25% decline in the U.S. academic segment reflects structural exposure to public funding cycles. If academic budgets remain constrained, this could meaningfully reduce high-margin instrument sales and recurring service revenue over multiple quarters.

Persistent currency headwinds eroding margins

FX volatility creating a ~100bp margin hit and ~£5.5m annual impact is a structural profitability risk. Ongoing currency swings complicate margin stability and forecasting, potentially requiring sustained hedging or pricing adjustments that press operating margins.

Historical liquidity variability despite equity strength

Prior declines in cash reserves and variable investing cash flow suggest sensitivity of liquidity to working capital and capex cycles. Even with improved 2025 cash, this variability could constrain discretionary spending or make the company more reliant on operational cash recovery.

Oxford Instruments Business Overview & Revenue Model

Company Description

Oxford Instruments plc, through its subsidiaries, researches, develops, manufactures, rents, sells, and services tools and systems in the United Kingdom, China, Japan, the United States, Germany, rest of Europe, rest of Asia, and internationally. It operates through e Materials & Characterisation, Research & Discovery, and Service & Healthcare. The company offers atomic force microscopy products; tools for use in research and development across a range of applications, including semiconductors, renewable energy, mining, metallurgy, and forensics; etch and deposition processing equipment and solutions for use in power and RF devices, VCSELs/lasers, 2D materials, augmented reality, biomems, failure analysis, HBLEDs, infrared sensors, MEMS and sensors, and quantum; and low temperature systems comprising wet systems, magnet systems, instrumentation products, and custom and specialty systems. It also provides optical imaging products; and nuclear magnetic resonance (NMR) instruments, including NMR spectrometers, QC/QA analyzers, and rock core analyzers for use in applications, such as agriculture and food, automotive and aviation, building and construction, chemicals, environment, illicit drugs testing, mining and minerals, pharma, polymers, rock core analysis, textiles, and education. In addition, the company offers MRI and CT serving products; scientific cameras spectroscopy solutions, microscopy systems, and software for applications comprising astronomy, bio imaging and life science, energy generation and storage, forensics and environment, photonics, quantum technology, semiconductors, microelectronics, and data storage; and manufacture of x-ray tubes, power supplies, and integrated x-ray sources for analytical, medical imaging, food quality and packaging inspection, and industrial NDT markets. Oxford Instruments plc was founded in 1959 and is headquartered in Abingdon, the United Kingdom.

How the Company Makes Money

Oxford Instruments generates revenue primarily through the sale of its advanced technology products and systems, which includes high-value capital equipment, consumables, and related services. Key revenue streams include the sale of superconducting magnets and cryogenic systems, which are critical in scientific research and industrial applications. Additionally, the company earns income from ongoing service contracts, maintenance agreements, and upgrades for their equipment. Strategic partnerships with universities, research institutions, and industrial clients also contribute significantly to their earnings, as these collaborations often lead to long-term contracts and repeat business.

Oxford Instruments Financial Statement Overview

Summary

Oxford Instruments shows strong revenue growth and healthy gross margins, indicating efficient operations. However, recent declines in net income and liquidity pressures are concerns that need addressing.

Income Statement

Oxford Instruments has demonstrated solid revenue growth over the years, with a revenue increase from £317.4 million in 2020 to £500.6 million in 2025. The gross profit margin remains healthy, consistently around 50% or higher, indicating efficient production and cost management. However, the decline in net income from 2024 to 2025 suggests some challenges in managing operating costs or other expenses, impacting profitability.

Balance Sheet

The company's balance sheet shows a strong equity position, with a steadily increasing stockholders' equity from £251.6 million in 2020 to £376.1 million in 2025. The debt-to-equity ratio remains low, reflecting prudent financial leverage, which mitigates risk. However, the declining cash and equivalents from 2021 to 2023 could indicate pressures on liquidity, which improved slightly in 2025.

Cash Flow

Cash flow from operations has been generally positive, supporting the company's operations and investments. The increase in free cash flow in 2025 compared to 2024 indicates improved cash efficiency. However, fluctuations in investing cash flow, particularly high capital expenditures in some years, suggest potential variability in investment strategies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	460.30M	500.60M	470.40M	444.70M	367.30M	318.50M
Gross Profit	233.60M	258.80M	242.40M	219.50M	176.40M	153.90M
EBITDA	51.10M	63.10M	93.10M	94.80M	67.40M	71.60M
Net Income	13.90M	26.00M	50.70M	58.60M	38.60M	41.80M
Balance Sheet
Total Assets	577.20M	604.80M	606.30M	572.00M	514.00M	450.70M
Cash, Cash Equivalents and Short-Term Investments	72.30M	94.10M	97.80M	112.70M	96.40M	128.00M
Total Debt	56.50M	40.90M	47.40M	43.90M	28.90M	37.90M
Total Liabilities	225.90M	228.70M	240.60M	228.00M	197.60M	184.50M
Stockholders Equity	351.30M	376.10M	365.70M	344.00M	316.40M	266.20M
Cash Flow
Free Cash Flow	49.50M	33.20M	14.70M	34.70M	34.50M	36.70M
Operating Cash Flow	58.90M	49.10M	42.40M	67.60M	49.20M	41.80M
Investing Cash Flow	-6.10M	-27.40M	-37.50M	-37.50M	-45.70M	-4.90M
Financing Cash Flow	-43.80M	-18.40M	-18.00M	-16.60M	-15.70M	-30.50M

Oxford Instruments Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2515.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:OXIG, the sentiment is Positive. The current price of 2515 is above the 20-day moving average (MA) of 2332.00, above the 50-day MA of 2151.62, and above the 200-day MA of 1923.79, indicating a bullish trend. The MACD of 117.65 indicates Negative momentum. The RSI at 71.25 is Negative, neither overbought nor oversold. The STOCH value of 81.29 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:OXIG.

Oxford Instruments Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OXIG	76 Outperform	£1.41B	104.79	4.64%	1.09%	-5.39%	-73.52%
RSW	74 Outperform	£2.77B	33.00	9.15%	2.12%	3.15%	-13.57%
JDG	69 Neutral	£339.20M	30.80	12.24%	1.89%	5.46%	-26.44%
GHH	67 Neutral	£191.60M	51.28	3.13%	2.19%	10.66%	21.19%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TTG	54 Neutral	£199.43M	-2.85	-31.42%	―	-16.33%	-448.12%

Oxford Instruments Corporate Events

Oxford Instruments on Track for Full-Year Targets as Advanced Technologies Orders Surge

Oxford Instruments said trading for the three months to 31 December 2025 keeps the group on course to meet full‑year market expectations for adjusted operating profit, supported by a year‑to‑date book‑to‑bill ratio of 1.2 and ongoing order growth across its divisions. Imaging and Analysis orders rose 2.4% on an organic constant currency basis versus the prior year’s third quarter, with earlier restructuring in its Belfast imaging operations now delivering expected second‑half benefits, while Advanced Technologies continued to post strong momentum, with year‑to‑date orders up 44.5% and an order book stretching well into fiscal 2027. The group completed the sale of its NanoScience business on 2 January 2026, generating £48.5m in net cash, has effectively de‑risked its defined benefit pension through a buy‑in that will end company contributions after FY26, and is progressing a £100m share buyback, of which £41.2m of the first £50m tranche was completed by year‑end, even as currency headwinds are still expected to trim about £5.5m from FY26 adjusted operating profit compared with the prior year.

The most recent analyst rating on (GB:OXIG) stock is a Buy with a £2430.00 price target. To see the full list of analyst forecasts on Oxford Instruments stock, see the GB:OXIG Stock Forecast page.

Oxford Instruments Confirms Total Voting Rights and Share Capital

Oxford Instruments has confirmed that as of 31 December 2026 its issued share capital with voting rights comprises 56,154,149 ordinary shares of 5 pence each, with no shares held in treasury. The updated share capital figure provides the official denominator for investors and other stakeholders to calculate and report their notifiable holdings or changes in ownership under the UK Financial Conduct Authority’s Disclosure Guidance and Transparency Rules, reinforcing transparency in the company’s shareholder base and compliance with regulatory reporting standards.

The most recent analyst rating on (GB:OXIG) stock is a Buy with a £2430.00 price target. To see the full list of analyst forecasts on Oxford Instruments stock, see the GB:OXIG Stock Forecast page.

Oxford Instruments CEO Richard Tyson Discloses LTIP Share Dealings

Oxford Instruments has disclosed share transactions by chief executive officer and person discharging managerial responsibilities (PDMR) Richard Tyson, following the exercise of a 2021 Long Term Incentive Plan (LTIP) award. Tyson exercised rights over 13,521 ordinary shares, sold 7,115 shares at £20.70 each to cover tax and fees, and transferred 14,594 shares to his spouse at nil cost, with transactions executed on 18 and 23 December 2025 on the London Stock Exchange. The disclosure, made under UK Market Abuse Regulation requirements, provides transparency around executive equity remuneration and resulting changes in the CEO’s beneficial interest, information of relevance to shareholders monitoring insider dealings and alignment of management incentives with investor interests.

The most recent analyst rating on (GB:OXIG) stock is a Buy with a £2430.00 price target. To see the full list of analyst forecasts on Oxford Instruments stock, see the GB:OXIG Stock Forecast page.

Oxford Instruments Executes Share Buyback to Enhance Shareholder Value

Oxford Instruments has executed a share buyback program, purchasing 13,195 of its ordinary shares at an average price of 2048.6976 pence per share for cancellation. This move reduces the total number of shares in issue to 56,169,937, potentially increasing the value of remaining shares and reflecting the company’s confidence in its market position.

The most recent analyst rating on (GB:OXIG) stock is a Buy with a £2430.00 price target. To see the full list of analyst forecasts on Oxford Instruments stock, see the GB:OXIG Stock Forecast page.

Oxford Instruments Executes Share Buyback Program

Oxford Instruments has executed a share buyback program, purchasing 15,000 of its own ordinary shares for cancellation at an average price of 1963.3761 pence per share. This transaction reduces the total number of shares in issue to 56,292,116, potentially impacting shareholder voting rights and reflecting the company’s strategic financial management.

The most recent analyst rating on (GB:OXIG) stock is a Buy with a £2300.00 price target. To see the full list of analyst forecasts on Oxford Instruments stock, see the GB:OXIG Stock Forecast page.

Oxford Instruments Sees Recovery in H2 Amid Strong Order Momentum

Oxford Instruments reported its half-year results for 2025/26, revealing a recovery after initial macroeconomic disruptions in Q1. The company saw improved order momentum in Q2, particularly in its Advanced Technologies division, which experienced strong demand from US and European commercial customers. Strategic actions in Imaging & Analysis, including cost restructuring and re-pricing efforts, are expected to enhance margins in the second half. The sale of the NanoScience business is anticipated to complete in Q3, and the company has increased its share buyback program by £50m. Despite a drop in revenue and operating profit, Oxford Instruments maintains a strong balance sheet and expects improved performance in the second half, supported by new product launches and strong order books.

The most recent analyst rating on (GB:OXIG) stock is a Hold with a £2039.00 price target. To see the full list of analyst forecasts on Oxford Instruments stock, see the GB:OXIG Stock Forecast page.

Oxford Instruments Updates Share Capital and Voting Rights

Oxford Instruments plc announced that as of 31 October 2025, its issued share capital with voting rights consists of 56,618,054 ordinary shares. This figure is significant for shareholders as it serves as the denominator for calculating their interests in accordance with the UK Financial Conduct Authority’s Disclosure Guidance and Transparency Rules. This update ensures transparency and compliance with regulatory requirements, impacting how stakeholders manage their shareholdings.

The most recent analyst rating on (GB:OXIG) stock is a Hold with a £2039.00 price target. To see the full list of analyst forecasts on Oxford Instruments stock, see the GB:OXIG Stock Forecast page.