Inspecs Group Plc (SPEC) AI Stock Analysis

• Market Cap: £56.53M
• Dividend Yield: N/A
• Average Volume (3M): 117.09K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.24
• 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: £60.00
• Price Target Upside: -3.23% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 61 Neutral
• Price Target: 65.00p ▲(4.84% Upside)

The overall stock score is primarily influenced by strong technical analysis indicators, suggesting bullish momentum. However, financial performance issues, including declining revenues and negative profitability, weigh heavily on the score. The negative P/E ratio and lack of dividend yield further impact the valuation negatively.

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 experiencing profitability challenges with declining revenues and negative net income. The balance sheet shows manageable leverage but a declining equity base. Cash flow generation is weak, with reduced free cash flow, indicating a need for improved cash flow management.

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	84.92M	79.86M
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: Positive
• Last Price: 62.00
• 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:SPEC, the sentiment is Positive. The current price of 62 is above the 20-day moving average (MA) of 50.35, above the 50-day MA of 45.67, and above the 200-day MA of 45.60, indicating a bullish trend. The MACD of 4.77 indicates Negative momentum. The RSI at 76.94 is Negative, neither overbought nor oversold. The STOCH value of 92.36 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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	―	£171.89M	25.86	20.31%	3.77%	10.80%	1.75%
CTEC	―	£4.76B	29.16	12.73%	2.11%	4.18%	37.65%
AMS	―	£469.29M	51.06	3.66%	1.24%	68.03%	-18.27%
SPEC	―	£56.53M	-6.90	-3.47%	―	-1.18%	-99.50%
Sector *	―	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SBTX	―	£41.73M	-12.90	―	―	1557.07%	24.70%

Inspecs Group Plc Corporate Events

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.

Inspecs Group Appoints Andrea Davis as Non-Executive Chair

Inspecs Group plc has appointed Andrea Davis as the Non-Executive Chair, effective by the end of December 2025, following a comprehensive recruitment process. Andrea brings extensive experience from her roles in private equity and strategic business leadership, which is expected to support Inspecs’ growth strategy and governance. Her appointment is anticipated to enhance the company’s strategic direction and strengthen its position in the global eyewear market.

The most recent analyst rating on (GB:SPEC) stock is a Hold with a £44.00 price target. To see the full list of analyst forecasts on Inspecs Group Plc stock, see the GB:SPEC Stock Forecast page.

INSPECS Group Reports Interim Results Amid Market Challenges

INSPECS Group plc reported a slight decline in revenue and underlying EBITDA for the first half of 2025, attributed to macroeconomic challenges such as US tariffs and subdued consumer confidence. Despite these challenges, the company successfully launched the Tom Tailor eyewear brand and achieved operational efficiencies, including a reduction in operating expenses and a successful amalgamation of US frame businesses. The company remains optimistic about meeting its full-year guidance due to growth in order books and cost-saving measures, while continuing to focus on medium-term targets of revenue growth and operational strength.

The most recent analyst rating on (GB:SPEC) stock is a Hold with a £44.00 price target. To see the full list of analyst forecasts on Inspecs Group Plc stock, see the GB:SPEC Stock Forecast page.

Inspecs Group Reports Revenue Decline Amid Tariff Uncertainties, Eyes Growth in H2

Inspecs Group plc reported a 2.9% decrease in revenue for the first half of 2025 due to uncertainties surrounding US tariffs, but anticipates a return to growth in the second half with a strong order book and strategic market expansions. The company is also in discussions to sell its subsidiary, Norville, and is in the process of appointing a new Independent Non-Executive Chair, reflecting its ongoing strategic adjustments to enhance operational efficiency and market positioning.