Inspecs Group Plc (SPEC) AI Stock Analysis

• Market Cap: £70.15M
• Dividend Yield: N/A
• Average Volume (3M): 117.09K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.83
• Revenue Growth: -1.18%
• EPS Growth: -99.50%
• Country: UK
• Employees: 1,654
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 0.02
• Shares Outstanding: 101,671,524
• 10 Day Avg. Volume: 109,092
• 30 Day Avg. Volume: 117,088
• PEG Ratio: -0.03
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 0.29
• P/FCF Ratio: 13.53
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: 72.00p ▲(1.69% Upside)

Inspecs Group Plc's overall stock score is primarily influenced by its financial performance challenges, including declining revenues and negative profitability. Technical analysis provides a more positive outlook with bullish momentum, but valuation remains a concern due to the negative P/E ratio and lack of dividend yield. The absence of earnings call and corporate events data means these factors do not impact the score.

Positive Factors

Business Model Strength

The diversified revenue streams from proprietary and licensed eyewear products provide a stable foundation for long-term growth and resilience against market fluctuations.

Market Position

Strong partnerships with retailers and brands expand market reach and improve distribution efficiency, supporting sustained revenue growth and competitive positioning.

Margin Sustainability

A solid gross profit margin indicates efficient production processes, which can help maintain profitability even as the company faces broader revenue challenges.

Negative Factors

Revenue Decline

Declining revenue growth poses a risk to long-term financial health, potentially impacting investment in innovation and market expansion.

Profitability Challenges

Sustained profitability issues can erode shareholder value and limit the company's ability to reinvest in growth opportunities, affecting long-term viability.

Cash Flow Management

Decreasing free cash flow indicates potential liquidity issues, which could constrain operational flexibility and strategic investments needed for future growth.

Inspecs Group Plc Business Overview & Revenue Model

Company Description

Inspecs Group Plc is a global eyewear design, manufacturing, and distribution company headquartered in the United Kingdom. Operating primarily in the eyewear sector, Inspecs specializes in producing high-quality eyewear frames and sunglasses, along with providing licensing services for various brands. The company has a diverse portfolio that includes both proprietary brands and licensed products, catering to a wide range of consumer preferences in the optical market.

How the Company Makes Money

Inspecs Group Plc generates revenue through multiple key streams. Primarily, the company earns income from the design, manufacture, and sale of eyewear products, including optical frames and sunglasses, which are sold through various retail channels. Additionally, Inspecs engages in licensing agreements, allowing it to partner with established brands to produce and distribute eyewear under those labels, thus expanding its market reach and product offerings. The company also benefits from economies of scale in manufacturing, which helps to reduce costs and increase margins. Strategic partnerships with retailers and other brands further enhance its distribution capabilities, while ongoing investment in product innovation and design helps to attract and retain customers, contributing positively to its revenue growth.

Inspecs Group Plc Financial Statement Overview

Summary

Inspecs Group Plc is facing profitability challenges, with declining revenues and negative net income. The balance sheet reflects manageable leverage but shows a declining equity base. Cash flow generation needs improvement, as indicated by reduced free cash flow. Overall, the company needs to address its profitability and cash flow issues to enhance financial stability.

Income Statement

Inspecs Group Plc experienced a decline in revenue over the past year, with a negative revenue growth rate. The gross profit margin stands at approximately 52.2%, indicating decent production efficiency. However, the company is facing challenges in profitability, as reflected by a negative net profit margin and a declining EBIT margin. The EBITDA margin of 7.9% suggests some operational efficiency, but overall profitability remains under pressure.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.63, suggesting manageable leverage levels. However, the return on equity is negative, indicating a lack of profitability with respect to shareholder investments. The equity ratio of 44.8% reflects a reasonable proportion of equity financing, but the declining equity position over recent years raises concerns about financial stability.

Cash Flow

The company's free cash flow has decreased year-over-year, reflecting challenges in cash generation. The operating cash flow to net income ratio is positive, indicating that the company generates cash from operations despite reporting losses. However, the decline in free cash flow growth rate highlights the need for improved cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	192.83M	198.26M	203.29M	200.96M	182.62M	47.41M
Gross Profit	87.35M	103.45M	103.55M	122.29M	115.77M	20.52M
EBITDA	16.39M	15.75M	17.27M	8.28M	6.05M	-4.86M
Net Income	-8.19M	-4.61M	-997.00K	-6.32M	―	-6.54M
Balance Sheet
Total Assets	203.83M	220.25M	221.91M	292.68M	326.36M	310.45M
Cash, Cash Equivalents and Short-Term Investments	22.67M	23.96M	20.07M	26.80M	29.76M	32.67M
Total Debt	58.64M	62.47M	62.12M	69.78M	69.44M	63.31M
Total Liabilities	114.73M	121.56M	118.39M	162.59M	181.13M	164.64M
Stockholders Equity	89.10M	98.69M	103.52M	130.09M	145.22M	145.82M
Cash Flow
Free Cash Flow	3.12M	4.28M	6.92M	842.00K	12.37M	-3.37M
Operating Cash Flow	4.43M	7.20M	12.66M	5.08M	20.02M	-748.00K
Investing Cash Flow	-1.55M	-2.52M	-6.18M	-4.19M	-15.66M	-104.40M
Financing Cash Flow	-2.38M	-426.00K	-8.84M	-4.40M	1.70M	128.71M

Inspecs Group Plc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 70.80
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SPEC, the sentiment is Neutral. The current price of 70.8 is below the 20-day moving average (MA) of 74.45, below the 50-day MA of 71.61, and above the 200-day MA of 51.57, indicating a neutral trend. The MACD of -0.63 indicates Positive momentum. The RSI at 41.64 is Neutral, neither overbought nor oversold. The STOCH value of 25.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:SPEC.

Inspecs Group Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TSTL	77 Outperform	£203.00M	30.53	20.31%	3.48%	10.80%	1.75%
KOO	72 Outperform	£41.08M	14.67	10.86%	―	―	―
AMS	69 Neutral	£478.01M	52.00	3.66%	1.25%	68.03%	-18.27%
CTEC	68 Neutral	£4.80B	30.06	12.73%	2.11%	4.18%	37.65%
SPEC	54 Neutral	£70.15M	-8.56	-3.47%	―	-1.18%	-99.50%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SBTX	50 Neutral	£55.64M	-65.15	-11.24%	―	283.74%	78.57%

Inspecs Group Plc Corporate Events

Inspecs Appoints Grant Thornton as New External Auditor

Inspecs Group plc has appointed Grant Thornton UK LLP as its new external auditor following a review of its audit arrangements and a competitive tender process, with the firm to conduct the audit of the company’s financial statements for the year ending 31 December 2025. Ernst & Young LLP has resigned as auditor and has confirmed there are no circumstances related to its departure that need to be brought to shareholders’ attention, signalling a routine change in audit provider rather than one driven by disclosed governance or financial concerns.

The most recent analyst rating on (GB:SPEC) stock is a Hold with a £72.00 price target. To see the full list of analyst forecasts on Inspecs Group Plc stock, see the GB:SPEC Stock Forecast page.

Inspecs adjusts board plans amid proposed takeover by Bidco 1125

Inspecs Group plc has announced changes to its board and executive structure in response to the recommended takeover offer from Bidco 1125 Limited, a vehicle indirectly owned by Luke Johnson and Ian Livingstone. Executive Director Robin Totterman, who had been due to leave the board at year-end, will now remain a director until the offer period concludes, while Senior Independent Director Christopher Hancock will continue as interim chair rather than handing over to Andrea Davis, whose previously announced appointment as non-executive chair has been put on hold but who may join the board if the bid fails. The group also reiterated that Chief Financial Officer Chris Kay, who stepped down from the board at the June AGM, will leave the CFO role once a successor is appointed, underscoring a period of governance flux as Inspecs navigates the proposed acquisition and its potential implications for leadership stability and stakeholder confidence.

The most recent analyst rating on (GB:SPEC) stock is a Hold with a £72.00 price target. To see the full list of analyst forecasts on Inspecs Group Plc stock, see the GB:SPEC Stock Forecast page.

Inspecs Group PLC Considers Acquisition Proposals Amid Extended Deadline

Inspecs Group PLC has received multiple unsolicited proposals for acquisition, including offers from H2 Equity Partners and a consortium led by Risk Capital Partners and Ian Livingstone. The company has extended the deadline for these parties to make firm offers, with the highest current proposal being a cash offer of 84 pence per share from H2. Additionally, Safilo Group S.p.A has shown interest in acquiring parts of Inspecs, but their offers were rejected for undervaluing the company. The ongoing discussions and potential acquisitions could significantly impact Inspecs’ market positioning and shareholder value.

The most recent analyst rating on (GB:SPEC) stock is a Hold with a £72.00 price target. To see the full list of analyst forecasts on Inspecs Group Plc stock, see the GB:SPEC Stock Forecast page.

Inspecs Group plc Reports Improved October Sales Amid Ongoing Challenges

Inspecs Group plc reported a trading update for the ten months ending October 2025, noting an improvement in sales in October despite earlier setbacks. However, ongoing US tariff disruptions and a weak macroeconomic environment are expected to affect product shipment timings, leading the company to forecast a revenue of approximately £191 million and an underlying EBITDA of £17.7 million for the year. The company’s profit forecast remains consistent with its accounting policies and assumptions, with no major changes anticipated in market conditions or operational strategies.

The most recent analyst rating on (GB:SPEC) stock is a Hold with a £72.00 price target. To see the full list of analyst forecasts on Inspecs Group Plc stock, see the GB:SPEC Stock Forecast page.

Inspecs Group Evaluates Strategic Options Amid Proposals

Inspecs Group PLC has received a letter from First Seagull expressing various opinions, following unsolicited proposals from H2 Equity Partners Ltd., a consortium including Risk Capital Partners and Ian Livingstone, and Safilo Group S.p.A. In response, Inspecs has formed a Transaction Committee of independent non-executive directors to evaluate the company’s options, potentially impacting its strategic direction and stakeholder interests.

The most recent analyst rating on (GB:SPEC) stock is a Hold with a £48.00 price target. To see the full list of analyst forecasts on Inspecs Group Plc stock, see the GB:SPEC Stock Forecast page.

Inspecs Group PLC Receives Multiple Acquisition Proposals

Inspecs Group PLC has received unsolicited proposals from H2 Equity Partners Ltd. and a consortium including Risk Capital Partners and Ian Livingstone, indicating potential cash offers for the company’s entire share capital. Additionally, Safilo Group S.p.A. has proposed acquiring Inspecs’ Eschenbach Group and BoDe businesses. While these proposals are non-binding, they suggest strategic interest in Inspecs’ operations, potentially impacting its market position and shareholder value.

The most recent analyst rating on (GB:SPEC) stock is a Hold with a £39.00 price target. To see the full list of analyst forecasts on Inspecs Group Plc stock, see the GB:SPEC Stock Forecast page.