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Spectris PLC (GB:SXS)
LSE:SXS

Spectris (SXS) AI Stock Analysis

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GB

Spectris

(LSE:SXS)

Rating:69Neutral
Price Target:
4,203.00p
▲(9.74%Upside)
The stock score is driven primarily by solid corporate events and a fair valuation. However, financial performance is mixed, and technical analysis indicates potential short-term volatility due to overbought conditions.
Positive Factors
Acquisition Offer
Spectris has received a favorable approach from Advent, with the Board inclined to recommend the offer to shareholders.
Financial Performance
Spectris' FY24 Prelims are ahead of consensus forecasts, ending the year better than expected.
Market Demand
Order intake in the fourth quarter showed a 6% increase, indicating signs of end-market demand recovery.
Negative Factors
Debt Levels
Net Debt was higher than forecasted, with a Net Debt to EBITDA ratio of 2.3x considered unhelpfully high.
Sales Decline
The current year has started with an 8% year-over-year decline in organic constant currency sales.

Spectris (SXS) vs. iShares MSCI United Kingdom ETF (EWC)

Spectris Business Overview & Revenue Model

Company DescriptionSpectris plc manufactures and sells measuring instruments and controls worldwide. It operates through Malvern Panalytical, HBK, Omega and Industrial Solutions segments. The Malvern Panalytical segment provides measurement and materials characterization and efficiency in R&D and manufacturing sectors. The HBK segment offers differentiated sensing, testing, modelling and simulation solutions for product development. The Omega segment provides process improvement, specialist sensors, and omni-channel distribution services. The Industrial Solutions segment operates high-value precision in-line sensing and monitors businesses. It also provides particle measuring systems, a solution to measure and monitor contamination levels in clean and controlled environments. In addition, the company offers red lion controls, an industrial automation tool that provides solutions to connect, monitor, and control disparate assets, as well as provides servomex, a specialist in gas and moisture analysis solutions. Further, it provides data and insights, test equipment and software for industrial applications. Additionally, the company offers sensor, instrument, software, and services technology, as well as provides training, technical support, spare parts, calibration, and maintenance services. It serves pharmaceutical, automotive, electronics, semiconductors, technology-LED, and primary and advanced materials industries. Spectris plc was incorporated in 1986 and is based in London, the United Kingdom.
How the Company Makes MoneySpectris makes money primarily through the sale of its precision measurement instruments and control systems. The company's revenue model is centered on providing high-value solutions to industrial clients across diverse sectors. Key revenue streams include hardware sales, software licenses, and value-added services such as maintenance and consulting. Spectris also benefits from strategic partnerships and long-term contracts with major industrial players, enhancing its market presence and stability. By continuously investing in research and development, Spectris ensures a steady pipeline of innovative products that cater to evolving industry needs, thereby sustaining its revenue growth.

Spectris Financial Statement Overview

Summary
Spectris shows strong profit margins and prudent leverage management. However, recent declines in revenue, EBIT, and cash flow generation are concerning. Efforts are needed to stabilize revenue streams and enhance operational efficiency.
Income Statement
70
Positive
Spectris shows a stable gross profit margin averaging around 54% over recent years, with a notable decrease in revenue and net income from 2023 to 2024. The net profit margin for 2024 increased to 17.96% from 10.03% in 2023, indicating improved profitability despite lower revenues. EBIT margin has been positive but shows a declining trend, requiring attention for sustainable future performance.
Balance Sheet
60
Neutral
The debt-to-equity ratio remains low, indicating prudent leverage management. However, the equity ratio has shown slight instability, reflecting some fluctuations in asset and equity levels. The return on equity in 2024 is 16.89%, which is relatively healthy, but the decline from previous years suggests potential efficiency issues.
Cash Flow
65
Positive
The cash flow analysis reveals a significant decline in operating cash flow from 2023 to 2024, impacting free cash flow negatively. Despite this, the operating cash flow to net income ratio remains above 1, signaling that cash generation covers net income adequately. The free cash flow to net income ratio shows a downward trend, indicating reduced free cash flow relative to net income.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.30B1.45B1.33B1.16B1.34B
Gross Profit715.90M813.20M730.00M652.20M698.00M
EBITDA381.40M247.20M214.70M430.00M97.80M
Net Income233.20M145.40M125.00M346.90M-17.00M
Balance Sheet
Total Assets2.56B1.82B1.95B1.77B1.80B
Cash, Cash Equivalents and Short-Term Investments105.70M138.50M228.10M167.80M222.20M
Total Debt731.40M62.70M65.20M65.90M156.50M
Total Liabilities1.18B501.80M511.10M506.80M576.50M
Stockholders Equity1.38B1.32B1.44B1.26B1.22B
Cash Flow
Free Cash Flow41.50M170.50M75.60M121.20M178.40M
Operating Cash Flow93.20M195.20M120.50M156.50M221.50M
Investing Cash Flow-548.00M-70.20M216.30M201.30M-44.30M
Financing Cash Flow439.10M-210.70M-286.40M-394.60M-180.10M

Spectris Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3830.00
Price Trends
50DMA
2519.78
Positive
100DMA
2507.93
Positive
200DMA
2523.68
Positive
Market Momentum
MACD
416.95
Negative
RSI
82.53
Negative
STOCH
91.14
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SXS, the sentiment is Positive. The current price of 3830 is above the 20-day moving average (MA) of 3280.20, above the 50-day MA of 2519.78, and above the 200-day MA of 2523.68, indicating a bullish trend. The MACD of 416.95 indicates Negative momentum. The RSI at 82.53 is Negative, neither overbought nor oversold. The STOCH value of 91.14 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:SXS.

Spectris Peers Comparison

Overall Rating
UnderperformOutperform
Sector (69)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
GBRSW
74
Outperform
£2.15B22.0111.07%0.83%4.71%0.43%
GBJDG
71
Outperform
£583.65M56.0112.29%1.70%-1.84%9.56%
71
Outperform
£622.79M25.418.07%2.64%-5.56%-27.87%
GBSXS
69
Neutral
£3.80B16.4317.33%2.16%-11.09%65.87%
69
Neutral
¥229.55B14.587.64%2.69%9.13%8.48%
GBGHH
65
Neutral
£165.40M30.384.79%1.14%1.74%359.50%
GBTTG
54
Neutral
£190.95M-22.95%2.99%-15.12%-690.29%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:SXS
Spectris
3,830.00
1,080.96
39.32%
GB:GHH
Gooch & Housego
610.00
142.59
30.51%
GB:JDG
Judges Scientific
9,000.00
-1,369.06
-13.20%
GB:RSW
Renishaw
2,860.00
-770.67
-21.23%
GB:TTG
TT Electronics
107.60
-37.06
-25.62%
GB:DSCV
discoverIE Group plc
651.00
-28.32
-4.17%

Spectris Corporate Events

DividendsBusiness Operations and Strategy
Spectris Director Acquires Shares via Dividend Reinvestment
Neutral
Jul 2, 2025

Spectris plc, a company involved in the acquisition of shares, announced that its Non-Executive Director, Alison Henwood, acquired 14 ordinary shares through the company’s dividend reinvestment plan. This transaction, conducted on the London Stock Exchange, reflects the company’s ongoing commitment to shareholder engagement and financial management strategies.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £4435.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

Regulatory Filings and Compliance
Spectris Updates Market on Voting Rights and Capital Structure
Neutral
Jul 1, 2025

Spectris plc, a company involved in the manufacturing sector, has updated the market regarding its voting rights and capital structure as of June 30, 2025. The company announced that its issued share capital consists of 104,446,214 ordinary shares with voting rights, with 5,138,334 shares held in treasury, resulting in a total of 99,307,880 voting rights. This information is crucial for shareholders to determine their interest in the company under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £4435.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

DividendsBusiness Operations and Strategy
Spectris Enhances Stakeholder Alignment with Share Acquisition
Positive
Jun 30, 2025

Spectris plc announced the acquisition of dividend shares under its Share Incentive Plan (SIP) by key managerial personnel. This move, involving the reinvestment of dividends into ordinary shares, reflects the company’s commitment to aligning management interests with shareholder value, potentially strengthening its market position and stakeholder confidence.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £4435.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

Other
Wellington Management Reduces Stake in Spectris PLC
Neutral
Jun 17, 2025

Wellington Management International Ltd has reduced its voting rights in Spectris PLC to below the 5% threshold, as of June 16, 2025. This change in holdings may impact Spectris’s shareholder dynamics and influence its market positioning, as Wellington Management is a significant investment management entity.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £3135.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Wellington Management Reduces Stake in Spectris PLC
Neutral
Jun 17, 2025

Wellington Management Group LLP has reduced its voting rights in Spectris PLC from 5.07% to 4.3%, crossing below the 5% threshold. This change in holdings, reported on June 17, 2025, may impact Spectris’s shareholder dynamics and reflects a strategic decision by Wellington Management, a significant player in investment management.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £3135.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

Regulatory Filings and Compliance
Spectris PLC Announces Change in Voting Rights Structure
Neutral
Jun 17, 2025

Spectris PLC, a company involved in the acquisition and disposal of voting rights and financial instruments, has announced a change in its voting rights structure. Lancaster Investment Management LLP has adjusted its holdings in Spectris, resulting in a decrease in their total voting rights from 3.022% to 2.624%. This adjustment may impact Spectris’ shareholder dynamics and influence its decision-making processes.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £3135.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

M&A Transactions
Spectris Faces Acquisition Interest from KKR and Advent
Neutral
Jun 13, 2025

Spectris has received a preliminary and conditional proposal from KKR for a possible cash offer for its entire issued share capital, which the Board has rejected. The company is also in discussions with Advent International regarding a potential cash offer, highlighting ongoing interest in its acquisition, which could impact its market positioning and stakeholder interests.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £3135.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Spectris Announces Share Acquisition and Award for PDMRs
Neutral
Jun 10, 2025

Spectris plc announced the acquisition and award of shares under its Share Incentive Plan (SIP) for persons discharging managerial responsibilities. On June 6, 2025, a total of 21 ordinary shares were purchased as Partnership Shares, and 5 Matching Shares were awarded to the company’s PDMRs at no cost. This transaction, conducted on the London Stock Exchange, highlights Spectris’s commitment to employee investment and aligns with EU Market Abuse Regulations.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £3135.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

M&A TransactionsDividends
Spectris Considers Advent’s Conditional Cash Offer
Neutral
Jun 9, 2025

Spectris plc has received a conditional proposal from Advent International Limited for a possible cash offer for its entire issued and to be issued ordinary share capital at £37.63 per share. The proposal includes a cash consideration and a proposed interim dividend, subject to board approval. The Spectris board is considering the proposal and is in discussions with Advent, with a deadline set for Advent to announce a firm intention by July 7, 2025. The outcome of these discussions could significantly impact Spectris’ market positioning and shareholder value.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £4435.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

Regulatory Filings and Compliance
Spectris plc Updates Market on Voting Rights and Share Capital
Neutral
Jun 2, 2025

Spectris plc, a company involved in the engineering and technology sector, has announced an update on its total voting rights and share capital. As of May 31, 2025, Spectris plc’s issued share capital consists of 104,446,214 ordinary shares with voting rights, with 5,222,615 shares held in treasury, resulting in a total of 99,223,599 voting rights. This information is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £4435.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

Executive/Board ChangesShareholder MeetingsStock BuybackBusiness Operations and Strategy
Spectris plc Announces Unanimous Approval of AGM Resolutions
Positive
May 22, 2025

At the 2025 Annual General Meeting of Spectris plc, all proposed resolutions were approved by shareholders, including the election and re-election of several directors and the approval of the Directors’ Remuneration Report and Policy. The meeting also authorized the company to purchase its own shares and adopt new Articles of Association, reflecting a strong shareholder support for the company’s strategic decisions. These outcomes reinforce Spectris’s commitment to maintaining robust governance and operational strategies, which are crucial for its continued growth and industry leadership.

The most recent analyst rating on (GB:SXS) stock is a Buy with a £4435.00 price target. To see the full list of analyst forecasts on Spectris stock, see the GB:SXS Stock Forecast page.

M&A TransactionsBusiness Operations and Strategy
Spectris Announces Share Acquisition and Awards Under SIP
Neutral
May 9, 2025

Spectris plc has announced the acquisition and award of shares under its Share Incentive Plan (SIP) for individuals with managerial responsibilities. The transaction involved purchasing Partnership Shares and awarding Matching Shares to key personnel, including the Chief Executive, Chief Financial Officer, and President of Spectris Scientific. This move is part of an HMRC tax-advantaged all-employee share plan, aimed at aligning the interests of the company’s management with its shareholders.

Regulatory Filings and Compliance
Spectris Updates Total Voting Rights and Capital Structure
Neutral
May 1, 2025

Spectris plc has announced an update on its total voting rights and share capital as of April 30, 2025. The company reports an issued share capital of 104,446,214 ordinary shares with voting rights, and 5,227,023 shares held in treasury, resulting in a total of 99,219,191 voting rights. This update is crucial for shareholders to determine their notification requirements under FCA rules, impacting how they manage their interests in the company.

Business Operations and StrategyFinancial Disclosures
Spectris Reports Q1 2025 Trading Update Amid Market Uncertainties
Neutral
Apr 30, 2025

Spectris reported a 2% decline in group sales for the first quarter of 2025, with a 4% increase in the order book on a constant currency basis. Despite market uncertainties, the company expects strong growth in adjusted operating profit for 2025, driven by successful acquisitions and a Profit Improvement Programme. The company is prepared to mitigate the direct impact of tariffs and remains focused on cost control and strategic execution to navigate current market dynamics.

Regulatory Filings and Compliance
Spectris Updates Shareholders on Voting Rights and Share Capital
Neutral
Apr 10, 2025

Spectris plc, a company involved in the manufacturing and technology sector, has updated its shareholders on the total voting rights and share capital as of March 31, 2025. The company has corrected the number of ordinary shares held in treasury, which now stands at 5,253,725, while the total issued share capital with voting rights is 104,446,214. This update results in a total of 99,192,489 voting rights for shareholders to use as a denominator for calculating their interests in accordance with FCA rules.

Business Operations and Strategy
Spectris Enhances Employee Engagement with Share Incentive Plan
Positive
Apr 8, 2025

Spectris plc announced the acquisition and award of shares under its Share Incentive Plan (SIP) for individuals with managerial responsibilities. On April 7, 2025, a total of 21 ordinary shares were purchased as Partnership Shares, and 4 Matching Shares were awarded to the company’s PDMRs. This move is part of an HMRC tax-advantaged all-employee share plan, reflecting Spectris’ commitment to employee investment and engagement, potentially strengthening its market position and aligning managerial interests with company performance.

Other
Spectris Executive Acquires Significant Shareholding
Positive
Apr 4, 2025

Spectris plc announced that Derek Harding, President of Spectris Scientific, acquired 4,796 ordinary shares of the company at a total price of £99,986.05. This transaction, conducted on the London Stock Exchange, highlights a significant investment by a key executive, potentially signaling confidence in the company’s future prospects.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 01, 2025