Oxford Instruments (OXIG) AI Stock Analysis

• Market Cap: $1.04B
• Dividend Yield: 1.1%
• Average Volume (3M): 192.40K
• Price to Earnings (P/E): 40.8
• Beta (1Y): 1.50
• 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: 56,601,055
• 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: 0.92
• Enterprise Value/Revenue: 2.08
• Enterprise Value/Gross Profit: 4.09
• Enterprise Value/Ebitda: 18.72
• 1Y Price Target: $2,027.18
• Price Target Upside: -1.11% 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: 2,430.00p ▲(18.54% 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

Order Growth in Advanced Technologies

The significant order growth in the Advanced Technologies division indicates strong demand and positions Oxford Instruments for sustained revenue expansion.

Strong Balance Sheet

A robust balance sheet with a strong net cash position enhances financial stability and provides flexibility for strategic investments and growth initiatives.

Operational Improvements

Operational improvements, such as increased productivity, enhance efficiency and can lead to better margins and competitive positioning in the long term.

Negative Factors

Q1 Disruptions

Disruptions in Q1 from tariffs and funding cuts highlight vulnerabilities to external factors, potentially impacting revenue consistency and growth.

Currency Headwinds

Currency headwinds can erode profitability and create unpredictability in financial performance, challenging margin sustainability over time.

Imaging & Analysis Revenue Decline

A significant decline in the Imaging & Analysis division's revenue indicates potential structural challenges in this segment, affecting overall growth prospects.

Oxford Instruments Business Overview & Revenue Model

Company Description

Oxford Instruments (OXIG) is a leading provider of high-technology tools and systems for the research and industrial markets. The company operates primarily in the field of advanced materials, nanotechnology, and life sciences, offering a range of products and services that include superconducting magnets, cryogenic systems, and analytical equipment. With a strong focus on innovation, Oxford Instruments serves a diverse customer base, including academic institutions, research organizations, and industrial clients, enabling them to advance their research and development projects.

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: 2050.00
• 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:OXIG, the sentiment is Positive. The current price of 2050 is above the 20-day moving average (MA) of 2007.09, above the 50-day MA of 1945.39, and above the 200-day MA of 1848.06, indicating a bullish trend. The MACD of 37.12 indicates Negative momentum. The RSI at 56.46 is Neutral, neither overbought nor oversold. The STOCH value of 49.89 is Neutral, 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	$1.04B	40.82	4.64%	1.10%	-5.39%	-73.52%
RSW	74 Outperform	£2.53B	30.13	9.15%	2.12%	3.15%	-13.57%
JDG	69 Neutral	£371.13M	33.70	12.24%	1.87%	5.46%	-26.44%
GHH	67 Neutral	£155.04M	28.39	3.13%	2.20%	10.66%	21.19%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SXS	60 Neutral	£4.08B	70.23	4.26%	2.04%	0.07%	-78.33%
TTG	54 Neutral	£265.59M	-3.81	-31.42%	―	-16.33%	-448.12%

Oxford Instruments Corporate Events

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.

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.

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.

Oxford Instruments Navigates Economic Challenges with Strategic Growth in Advanced Technologies

Oxford Instruments has issued a trading update for the first half of 2025, revealing a mixed performance across its divisions due to global economic uncertainties and tariff disruptions. While the Imaging and Analysis division faced challenges with a decline in order intake, the Advanced Technologies division experienced strong growth driven by the compound semiconductor market. Despite a decrease in first-half revenues, the company anticipates a stronger second half, supported by cost-saving measures and a robust order book in its Advanced Technologies division. The sale of the NanoScience business is on track, and the company remains confident in its strategic actions to navigate the dynamic market landscape.

Oxford Instruments Navigates Tariff Challenges with Strong H2 Outlook

Oxford Instruments reported mixed results for the first half of 2025, with its Imaging and Analysis division facing challenges due to tariffs and economic uncertainty, while the Advanced Technologies division saw strong growth driven by the compound semiconductor market. Despite a decline in overall revenue, the company expects a stronger performance in the second half of the year, supported by cost-saving measures and strategic initiatives, with full-year results anticipated to be stable on an organic constant currency basis.

Oxford Instruments Updates Share Capital Voting Rights

Oxford Instruments plc has announced that as of September 30, 2025, its issued share capital with voting rights consists of 56,936,273 ordinary shares. This figure is significant for shareholders as it serves as the denominator for calculating their interests or changes in interests in compliance with the UK Financial Conduct Authority’s Disclosure Guidance and Transparency Rules. This update ensures transparency and aids stakeholders in maintaining compliance with regulatory requirements.

Oxford Instruments Executes Strategic Share Buyback

Oxford Instruments has executed a share buyback program, purchasing 12,000 of its own shares at an average price of 1906.4885 pence per share. This move is part of a strategic initiative to optimize the company’s capital structure, potentially enhancing shareholder value and reflecting confidence in its financial health.