Senior plc (SNR) AI Stock Analysis

• Market Cap: £811.90M
• Dividend Yield: 0.91%
• Average Volume (3M): 499.13K
• Price to Earnings (P/E): 23.3
• Beta (1Y): 1.19
• Revenue Growth: -13.81%
• EPS Growth: 13.86%
• Country: UK
• Employees: 6,779
• Sector: Industrials
• Sector Strength: 72
• Industry: Aerospace & Defense
• EPS (TTM): 0.05
• Shares Outstanding: 419,418,100
• 10 Day Avg. Volume: 489,985
• 30 Day Avg. Volume: 499,132
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: £223.00
• Price Target Upside: 14.48% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 77 Outperform
• Price Target: 220.00p ▲(12.94% Upside)

Senior plc is on a solid financial trajectory, backed by stable growth and strategic corporate moves, like divestments and contract wins, which bolster its operational focus and market position. While technical indicators are strong, the valuation appears stretched, suggesting caution. Overall, the stock shows promising prospects with room for profitability improvement.

Positive Factors

Strategic Divestment

The divestment allows Senior plc to concentrate on its core fluid conveyance and thermal management operations, enhancing operational focus and potentially improving financial performance and shareholder returns.

New Contracts

These contracts strengthen Senior's market position in fluid conveyance and thermal management solutions, supporting long-term revenue growth and affirming its competitive advantage in high-tech components.

Management Quality

The addition of a director with strong engineering and private equity experience enhances the board's strategic capabilities, potentially improving decision-making and long-term strategic positioning.

Negative Factors

Revenue Decline

A decline in revenue growth can indicate challenges in market demand or competitive pressures, potentially impacting long-term financial stability and growth prospects.

Net Profit Margin Variability

Fluctuating net profit margins suggest variability in cost control or pricing power, which could affect profitability and financial predictability over time.

Debt Levels

While leverage is balanced, maintaining moderate debt levels can limit financial flexibility, especially if revenue growth remains challenged, potentially impacting future investment capacity.

Senior plc Business Overview & Revenue Model

Company Description

Senior plc is a global engineering company that specializes in the design and manufacture of components and systems for the aerospace and defense, and medical markets. With a focus on advanced engineering solutions, Senior operates through various sectors including Aerospace, Flexonics, and Medical, delivering high-performance products such as lightweight structures, precision-engineered components, and innovative medical devices.

How the Company Makes Money

Senior plc generates revenue primarily through the sale of its engineering products and solutions across its key sectors. The Aerospace division contributes significantly to earnings by providing components for commercial and military aircraft, benefiting from contracts with major aerospace manufacturers. The Flexonics division focuses on the production of fluid and thermal management products, which cater to industrial and automotive markets, thus diversifying revenue streams. Additionally, the Medical division offers specialized products for the healthcare sector, including devices that meet stringent regulatory standards. Senior plc also enhances its revenue through long-term contracts and partnerships with leading companies in its sectors, ensuring a steady flow of income and potential for growth driven by ongoing demand for innovative engineering solutions.

Senior plc Financial Statement Overview

Summary

Senior plc exhibits stable revenue growth and improving profitability metrics. The balance sheet is well-managed with a healthy equity base and reasonable leverage. Cash flow generation is stable, supporting investment activities.

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	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	977.10M	963.50M	848.40M	658.70M	733.60M
Gross Profit	173.70M	170.30M	148.00M	101.50M	95.80M
EBITDA	99.00M	94.00M	82.40M	79.80M	-119.40M
Net Income	25.90M	31.10M	20.20M	24.20M	-158.50M
Balance Sheet
Total Assets	1.02B	985.30M	976.90M	827.80M	814.70M
Cash, Cash Equivalents and Short-Term Investments	45.50M	47.60M	43.20M	51.10M	23.60M
Total Debt	275.10M	251.40M	222.10M	204.20M	229.50M
Total Liabilities	545.90M	528.20M	527.50M	402.70M	421.40M
Stockholders Equity	469.90M	457.10M	449.40M	425.10M	393.30M
Cash Flow
Free Cash Flow	6.20M	5.50M	27.90M	5.80M	22.30M
Operating Cash Flow	49.40M	41.40M	58.40M	27.10M	49.10M
Investing Cash Flow	-44.20M	-54.80M	-55.30M	30.60M	-25.90M
Financing Cash Flow	-4.80M	17.60M	-14.40M	-29.50M	-15.10M

Senior plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 194.80
• 50DMA: Negative
• 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:SNR, the sentiment is Positive. The current price of 194.8 is above the 20-day moving average (MA) of 193.74, below the 50-day MA of 195.26, and above the 200-day MA of 168.08, indicating a neutral trend. The MACD of 0.17 indicates Negative momentum. The RSI at 51.05 is Neutral, neither overbought nor oversold. The STOCH value of 61.27 is Neutral, 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	77 Outperform	£811.90M	23.34	8.19%	0.91%	-13.81%	13.86%
RR	73 Outperform	99.62B	17.08	-276.43%	0.89%	9.62%	146.74%
CHG	71 Outperform	1.51B	38.26	11.09%	1.40%	8.00%	674.47%
BA	70 Outperform	58.80B	30.37	16.84%	1.64%	11.60%	8.03%
MGAM	66 Neutral	602.44M	21.87	14.22%	4.14%	-7.30%	-59.71%
QQ	56 Neutral	2.86B	-15.64	-29.64%	1.66%	1.02%	-240.44%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Senior plc Corporate Events

Senior plc Reports Strong H1 2025 Results and Strategic Divestment

Senior plc reported strong interim results for the first half of 2025, with a 5% increase in revenue and a 14% rise in adjusted operating profit from continuing operations, driven by improved performance in its Aerospace division. The company announced the sale of its Aerostructures business, expected to complete by the end of 2025, which will simplify the group and allow it to focus on its core fluid conveyance and thermal management operations. This strategic move is anticipated to improve financial performance, reduce net debt, and provide opportunities for growth and shareholder returns.

The most recent analyst rating on (GB:SNR) stock is a Buy with a £210.00 price target. To see the full list of analyst forecasts on Senior plc stock, see the GB:SNR Stock Forecast page.

Senior plc Sells Aerostructures Business to Focus on Core Operations

Senior plc has announced the sale of its Aerostructures business to Sullivan Street Partners for up to £200 million, aligning with its strategy to focus on its core fluid conveyance and thermal management operations. This transaction is expected to enhance Senior’s financial performance by improving operating margins and cash flow, reducing net debt, and supporting a £40 million share buyback program, ultimately benefiting shareholders and positioning the company for sustained growth in resilient markets.

The most recent analyst rating on (GB:SNR) stock is a Buy with a £210.00 price target. To see the full list of analyst forecasts on Senior plc stock, see the GB:SNR Stock Forecast page.

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.