Senior plc (SNR) AI Stock Analysis

• Market Cap: £706.47M
• Dividend Yield: 1.41%
• Average Volume (3M): 701.74K
• Price to Earnings (P/E): 27.2
• Beta (1Y): 1.00
• Revenue Growth: 1.41%
• EPS Growth: -16.76%
• Country: UK
• Employees: 6,779
• Sector: Industrials
• Sector Strength: 93
• Industry: Aerospace & Defense
• EPS (TTM): 0.04
• Shares Outstanding: 419,418,100
• 10 Day Avg. Volume: 579,085
• 30 Day Avg. Volume: 701,744
• PEG Ratio: -9.69
• Price to Book (P/B): 1.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 31.52
• 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: £190.00
• Price Target Upside: 10.21% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 69 Neutral
• Price Target: 176.00p ▲(2.09%Upside)

Senior plc has a solid financial foundation with stable revenue growth and improving profitability metrics. The company's strategic initiatives, including significant contract wins, bolster its growth potential. However, technical analysis indicates caution due to potential bearish momentum, and the valuation suggests the stock may be relatively expensive. Overall, while the company is on a positive trajectory, investors should be mindful of potential overvaluation and technical signals.

Positive Factors

Business Sale

The market could react positively to the £200m valuation of the Aerostructures business.

Contract Wins

Senior has announced 2 contract wins for the Flexonics division, worth approximately EUR200 million over a period of 8 years.

Financial Performance

Senior's FY24 Prelims are nicely ahead of JEFe/cons, there was a good book-to-bill of 1.12x (both divisions contributing), and the sale process of Aerostructures is 'at an advanced stage'.

Negative Factors

Market Expectations

Mgmt's FY25F guidance at the group level is unchanged, and we still expect FY25F consensus to move lower, towards us.

Senior plc Business Overview & Revenue Model

Company Description

Senior plc designs, manufactures, and markets high-technology components and systems for the principal original equipment producers in the aerospace, defense, land vehicle, and power and energy markets worldwide. The company operates in two divisions, Aerospace and Flexonics. The Aerospace division offers high-pressure and low-pressure engineered ducting systems, engineered control bellows, assemblies, and sensors; precision-machined and fabricated engine components; fluid systems ducting and control products; and precision-machined airframe components and assemblies. The Flexonics division provides exhaust gas recycling coolers, fuel mixing and distribution systems, and flexible couplings; and engineered expansion joints, dampers and diverters, flexible hose assemblies and control bellows, fuel cells and heat exchangers, and precision-machined components. The company was formerly known as Senior Engineering Group plc and changed its name to Senior plc in 1999. Senior plc was incorporated in 1933 and is based in Rickmansworth, the United Kingdom.

How the Company Makes Money

Senior plc generates revenue primarily through the sale of its engineered products and solutions across multiple sectors. In the aerospace sector, the company supplies components and systems to major aircraft manufacturers and their suppliers. In the defense sector, it provides similar solutions to defense contractors. For the land vehicle sector, Senior plc manufactures components used in trucks and other vehicles. Additionally, the power & energy sector contributes to revenue through the provision of equipment used in energy generation and distribution. The company's earnings are bolstered by long-term contracts, strategic partnerships with key OEMs, and a focus on operational efficiency and innovation to meet the evolving needs of its clients.

Senior plc Financial Statement Overview

Summary

Senior plc demonstrates a solid financial position with stable revenue growth and improving profitability metrics. The balance sheet is well-managed, maintaining a healthy equity base and reasonable leverage. Cash flow analysis reveals stable cash generation, enabling ongoing investment while maintaining financial flexibility. The company is on a positive trajectory, though it should continue to focus on enhancing profitability and cash flow efficiency.

Income Statement

Senior plc has shown consistent revenue growth over the years, with a significant increase from 2021 to 2022. The gross profit margin has remained stable, indicating good cost management. However, the net profit margin has seen some fluctuations, reflecting variability in net income. The EBIT and EBITDA margins have been recovering since 2020, showing improved operational efficiency.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, suggesting balanced leverage. The return on equity has been positive but modest, indicating room for improvement in generating returns on shareholders' equity. The equity ratio signifies a solid capital structure with a substantial portion of assets financed by equity.

Cash Flow

Operating cash flow has been stable, supporting the company's investment activities. Free cash flow growth has been positive, although there have been fluctuations. The operating cash flow to net income ratio indicates adequate cash generation relative to reported earnings, while the free cash flow to net income ratio shows a conservative cash position.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
982.60M	977.10M	963.50M	848.40M	658.70M	733.60M
	Gross Profit
176.50M	173.70M	170.30M	148.00M	101.50M	95.80M
	EBIT
37.30M	40.30M	42.70M	32.40M	8.90M	-145.00M
	EBITDA
88.00M	100.30M	94.00M	82.40M	79.80M	-119.40M
	Net Income Common Stockholders
30.40M	25.90M	31.10M	20.20M	24.20M	-158.50M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
17.20M	45.50M	47.60M	43.20M	51.10M	23.60M
	Total Assets
1.02B	1.02B	985.30M	976.90M	827.80M	814.70M
	Total Debt
170.20M	275.10M	251.40M	222.10M	204.20M	229.50M
	Net Debt
153.00M	229.60M	203.80M	178.90M	153.10M	205.90M
	Total Liabilities
452.90M	545.90M	528.20M	527.50M	402.70M	421.40M
	Stockholders Equity
571.80M	469.90M	457.10M	449.40M	425.10M	393.30M
Cash Flow		Free Cash Flow
21.40M	6.20M	5.50M	27.90M	5.80M	22.30M
	Operating Cash Flow
59.90M	49.40M	41.40M	58.40M	27.10M	49.10M
	Investing Cash Flow
-68.70M	-44.20M	-54.80M	-55.30M	30.60M	-25.90M
	Financing Cash Flow
9.90M	-4.80M	17.60M	-14.40M	-29.50M	-15.10M

Senior plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 172.40
• 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:SNR, the sentiment is Positive. The current price of 172.4 is above the 20-day moving average (MA) of 163.28, above the 50-day MA of 146.42, and above the 200-day MA of 150.91, indicating a bullish trend. The MACD of 7.31 indicates Negative momentum. The RSI at 72.44 is Negative, neither overbought nor oversold. The STOCH value of 88.84 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:SNR.

Senior plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SNR	69 Neutral	£706.47M	27.23	5.59%	1.41%	1.41%	-16.76%
Sector *	66 Neutral	$4.49B	12.28	5.32%	248.53%	4.08%	-12.00%
BAESF		$77.80B	31.97	17.85%	1.59%	―	―
RYCEF		$102.41B	30.90		0.64%	―	―
QQ	78 Outperform	£2.89B	17.97	-23.92%	1.58%	10.36%	32.77%
MGAM	76 Outperform	£601.43M	12.16	14.06%	5.67%	-1.26%	6.56%
CHG	74 Outperform	£1.40B	35.84	11.62%	1.41%	8.00%	674.47%

Senior plc Corporate Events

Senior plc Secures €200 Million Contracts for High-Tech Engine Components

Senior plc has secured two significant contracts valued at approximately €200 million over eight years for supplying high-technology components for internal combustion and hybrid engines, as well as exhaust gas recirculation systems for heavy-duty trucks. These contracts, involving production in facilities across the Czech Republic, China, South Africa, and Mexico, bolster Senior’s momentum in order intake and affirm its strong market position in fluid conveyance and thermal management solutions, supporting its growth trajectory.

The most recent analyst rating on (GB:SNR) stock is a Buy with a £215.00 price target. To see the full list of analyst forecasts on Senior plc stock, see the GB:SNR Stock Forecast page.

Senior plc Appoints Graham Oldroyd as Non-Executive Director

Senior plc has announced the appointment of Graham Oldroyd as a non-executive director, effective from 28 May 2025. With a strong engineering background and extensive private equity experience in industrial and manufacturing sectors, Oldroyd is expected to bring valuable insights to the board, enhancing Senior’s development and strategic positioning in the market.

The most recent analyst rating on (GB:SNR) stock is a Buy with a £215.00 price target. To see the full list of analyst forecasts on Senior plc stock, see the GB:SNR Stock Forecast page.

Senior plc Grants Share Options to Key Executives

Senior plc announced the granting of share options to several key executives under its 2006 Savings-Related Share Option Scheme. This move is part of the company’s strategy to align the interests of its management with those of its shareholders, potentially impacting the company’s operational focus and stakeholder engagement.

Senior plc’s AGM Sees All Resolutions Passed with Strong Shareholder Support

Senior plc successfully held its Annual General Meeting on April 25, 2025, where all proposed resolutions were passed. The meeting saw a significant participation rate, with electronic poll votes representing approximately 80.6% of the issued share capital. The approval of resolutions, including special resolutions, reflects strong shareholder support for the company’s strategic direction and governance practices.

Senior plc Reports Strong Q1 2025 Performance and Positive Outlook

Senior plc reported a strong start to 2025 with a 3% revenue growth in Q1, driven by a 4% increase in aerospace revenue, while Flexonics revenue remained stable. The company is progressing well with the sale of its Aerostructures business and expects good growth for the year, despite manageable impacts from tariffs. The outlook for 2025 remains positive, with anticipated growth in aerospace due to increasing aircraft build rates and improved contract pricing.

Senior plc Announces Share Transaction by HR Director

Senior plc, a company involved in the manufacturing sector, announced the release of a tranche of ordinary shares to Silvia Schwark, the Group HR Director, under its Restricted Share Award Plan. On April 15, 2025, Schwark sold a portion of these shares on the London Stock Exchange at a price of £1.2808 per share. This transaction reflects the company’s ongoing management of its share awards and the involvement of its directors in such financial activities.

Senior plc Announces Managerial Share Transaction

Senior plc announced a transaction involving Andrew Bodenham, the Group Company Secretary, who executed a Bed & ISA transaction and share purchase. The transaction involved selling 16,145 shares at £1.242 per share and purchasing 16,989 shares at £1.244 per share, resulting in a net purchase of 844 shares. This activity, conducted on the London Stock Exchange, reflects ongoing management engagement with the company’s equity, potentially signaling confidence in the company’s market position.

Senior plc Announces Share Awards to New Executives

Senior plc announced the granting of conditional rights to acquire shares to its Group Chief Financial Officer-designate, Alpna Amar, and Group HR Director, Silvia Schwark, as part of their recruitment packages. These awards are structured under the company’s Long Term Incentive Plan and Restricted Share Award Plan, respectively, and are intended to compensate for benefits lost from their previous employment. The awards are subject to specific performance criteria and vesting conditions, highlighting the company’s strategic approach to talent acquisition and retention.

Senior plc Releases 2024 Annual Report and Announces 2025 AGM

Senior plc has released its 2024 Annual Report, which is now accessible through the National Storage Mechanism and the company’s website. The company has also announced its 2025 Annual General Meeting, scheduled for April 25, 2025, emphasizing the importance of shareholder engagement and proxy voting.

Senior plc Grants Long-Term Incentive Awards to Key Executives

Senior plc has announced the granting of conditional awards of ordinary shares to its executive directors and other key managerial personnel under its 2024 Long-Term Incentive Plan and deferred bonus plan. These awards, which do not require any consideration upon vesting, are part of the company’s strategy to align management incentives with long-term performance goals. The awards are set to vest in three years, contingent on performance criteria and continued employment, reflecting Senior plc’s commitment to retaining and motivating its leadership team.

Senior plc Releases Shares to Key Executives Under Incentive Plans

Senior plc announced the release of ordinary shares to key managerial personnel under its 2014 Long-Term Incentive Plan and Deferred Bonus awards, following the fulfillment of performance conditions. Some of these shares were subsequently sold on the London Stock Exchange, impacting the shareholdings of several directors and executives, including David Squires and Bindi Foyle, who continue to hold significant stakes in the company.