Serco Group plc (GB:SRP)
LSE:SRP
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SRP Stock Chart & Stats
303.40 p
-2.20 p(-1.42%)
At close: 4:00 PM EST
303.40 p
-2.20 p(-1.42%)
Day’s Range― - ―
52-Week Range189.20 p - 325.80 p
Previous CloseN/A
Volume318.59K
Average Volume (3M)2.47M
Market Cap
£2.47B
Enterprise Value3.31B
Total Cash (Recent Filing)£199.30M
Total Debt (Recent Filing)£909.30M
Price to Earnings (P/E)17.2
Beta0.73
Next Earnings
Aug 06, 2026EPS EstimateN/A
Next Dividend Ex-DateN/A
Dividend Yield1.27%
Share Statistics
EPS (TTM)0.15
Shares Outstanding989,468,570
10 Day Avg. Volume1,983,017
30 Day Avg. Volume2,474,055
Financial Highlights & Ratios
PEG Ratio0.08
Price to Book (P/B)3.23
Price to Sales (P/S)0.57
P/FCF Ratio6.97
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£342.00Price Target Upside12.72% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)0.18
Revenue Forecast (FY)£5.05B
Bulls Say, Bears Say
Bulls Say
Strong Cash GenerationConsistently strong operating and free cash flow (112% cash conversion, ~£1bn generated over five years) underpins durable financial flexibility. This supports reinvestment in contract delivery, disciplined buybacks/dividends, and cushions timing-related working-capital swings inherent in multi-year public-sector contracts.
Improved Balance SheetA materially lower leverage profile versus earlier years reduces refinancing and covenant risk and increases capacity to bid for capital-intensive contracts. A stronger equity base and improving ratios provide structural resilience during contract mobilisations and acquisition integration cycles.
Defence Strength & Large PipelineA high-quality defence franchise (c.40% of revenue) plus a decade-high £12.1bn pipeline and book-to-bill >100% provide durable revenue visibility. Defence contract wins and scale create competitive barriers, recurring multi-year revenue and higher win momentum across geographies, stabilising medium-term growth.
Bears Say
Thin Margins And Earnings VolatilityPersistently thin operating margins make earnings highly sensitive to cost inflation, mobilization expenses and contract resets. Historical volatility (sharp 2024 profit fall) reduces visibility on sustainable returns and raises execution risk when integrating acquisitions or mobilising large contracts.
Immigration-related Revenue HeadwindsStructural declines in immigration-related volumes in key markets directly reduce a portion of service revenues and create uneven regional performance. Policy-driven demand swings lower medium-term organic growth visibility and force portfolio rebalancing or margin-recovery measures, stressing near-term operations.
Higher Net Debt And Finance Costs Post-acquisitionIncremental debt from the MT&S purchase and shareholder buybacks raises interest expense and reduces headroom for new bids or unexpected mobilisation costs. Elevated net finance costs and higher leverage can compress margins over time and reduce capital flexibility if cash conversion weakens.
Serco Group plc News
SRP FAQ
What was Serco Group plc’s price range in the past 12 months?
Serco Group plc lowest share price was 189.20 p and its highest was 325.80 p in the past 12 months.
What is Serco Group plc’s market cap?
Serco Group plc’s market cap is £2.47B.
When is Serco Group plc’s upcoming earnings report date?
Serco Group plc’s upcoming earnings report date is Aug 06, 2026 which is in 56 days.
How were Serco Group plc’s earnings last quarter?
Serco Group plc released its earnings results on Mar 05, 2026. The company reported 0.057 p earnings per share for the quarter, beating the consensus estimate of N/A by 0.057 p.
Is Serco Group plc overvalued?
According to Wall Street analysts Serco Group plc’s price is currently Undervalued.
Does Serco Group plc pay dividends?
Serco Group plc pays a Semiannually dividend of 3.05 p which represents an annual dividend yield of 1.27%. See more information on Serco Group plc dividends here
What is Serco Group plc’s EPS estimate?
Serco Group plc’s EPS estimate for its next earnings report is not yet available.
How many shares outstanding does Serco Group plc have?
Serco Group plc has 989,468,570 shares outstanding.
What happened to Serco Group plc’s price movement after its last earnings report?
Serco Group plc reported an EPS of 0.057 p in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 0.791%.
Which hedge fund is a major shareholder of Serco Group plc?
Currently, no hedge funds are holding shares in GB:SRP
What is the TipRanks Smart Score and how is it calculated?
Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology
Serco Group plc Stock Smart Score
Underperform
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Analyst Consensus
Moderate Buy
Average Price Target:
£342.00 (12.72% Upside)
£342.00 (12.72% Upside)
Insider Transactions
Sold Shares
Worth £1.5M over
the Last 3 Months
the Last 3 Months
News Sentiment
Very Bullish
Bullish news 100%
Bearish news 0%
Bearish news 0%
Technicals
SMA
Positive
20 days / 200 days
Momentum
39.09%
12-Months-Change
Fundamentals
Return on Equity
16.69%
Trailing 12-Months
Asset Growth
5.10%
Trailing 12-Months
Company Description
Serco Group plc
Serco Group plc is a global enterprise specializing in the provision of essential public services, operating across the United Kingdom, Europe, North America, the Asia Pacific region, and the Middle East. Its comprehensive portfolio supports various governmental sectors. Within the defense sector, Serco delivers foundational and operational engineering support, strategic management and information solutions, alongside specialized nuclear, space, and maritime capabilities. For the justice and immigration domains, the company manages custodial facilities, immigration detention centers, and provides secure transportation and monitoring services for individuals. The transportation sector benefits from Serco's expertise in operating rail, ferry, and cycle networks, managing road traffic, and providing crucial air traffic control services. Furthermore, its contributions to the health sector include comprehensive facilities management, pathology and non-clinical administrative support, as well as patient administration and communication services. Serco also offers a broad suite of citizen services, encompassing customer interaction centers, individual case management, administrative and IT back-office support, and programs focused on employment and skills development. The company's clientele primarily consists of various public sector entities, including the governments of the United Kingdom and Canada, regional devolved authorities, national federal and civilian agencies, and numerous state and municipal governments globally. Established in 1929, Serco Group plc maintains its corporate headquarters in Hook, United Kingdom.
SRP Stock 12 Month Forecast
Average Price Target
342.00 p
▲(12.72% Upside)
Technical Analysis
Options Prices
Currently, No data available
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