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Spectris PLC (GB:SXS)
LSE:SXS
UK Market

Spectris (SXS) AI Stock Analysis

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GB:SXS

Spectris

(LSE:SXS)

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Neutral 60 (OpenAI - 4o)
Rating:60Neutral
Price Target:
4,347.00p
▲(5.00% Upside)
Spectris's stock score is primarily driven by its strong corporate events and financial performance, despite technical indicators suggesting overbought conditions and a high P/E ratio indicating overvaluation. The acquisition by KKR and strong sales growth are significant positives, but operational efficiency needs improvement.
Positive Factors
Profitability Margins
Stable gross profit margins indicate strong pricing power and cost management, supporting long-term profitability and competitive positioning.
Leverage Management
Low leverage enhances financial stability and flexibility, allowing Spectris to invest in growth opportunities without over-relying on debt.
Strategic Partnerships
Strategic partnerships expand market reach and customer base, facilitating revenue growth and strengthening Spectris' competitive edge.
Negative Factors
Revenue Decline
Declining revenue trends may indicate market challenges or competitive pressures, potentially impacting long-term growth and profitability.
Cash Flow Decline
Reduced cash flow generation limits reinvestment capacity and may strain financial resources, affecting long-term operational sustainability.
Efficiency Issues
Declining return on equity may reflect operational inefficiencies, necessitating strategic adjustments to enhance overall business performance.

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

Spectris Business Overview & Revenue Model

Company DescriptionSpectris plc is a global leader in precision instrumentation and controls, operating primarily in the sectors of Test and Measurement, Industrial Controls, and Environmental Monitoring. The company designs, manufactures, and sells a range of high-tech products and services that help customers optimize their processes and ensure product quality across various industries, including pharmaceuticals, automotive, aerospace, and electronics. Its portfolio includes advanced measurement technologies, software solutions, and systems that provide valuable insights for operational efficiency and compliance.
How the Company Makes MoneySpectris generates revenue through multiple key streams including the sale of high-precision instruments, software solutions, and services tailored to specific industrial applications. The company earns money primarily by selling products such as sensors, controllers, and monitoring systems that are essential for quality assurance and process optimization in manufacturing environments. Additionally, Spectris offers subscription-based software services that provide ongoing support and data analytics to its customers, creating a recurring revenue model. Strategic partnerships with industry leaders enhance its market reach and product offerings, while a focus on R&D allows the company to innovate and maintain a competitive edge. Furthermore, its presence in diverse sectors mitigates risk and ensures stable revenue generation across varying economic conditions.

Spectris Financial Statement Overview

Summary
Spectris demonstrates a mixed financial performance with strengths in profitability margins and leverage management. However, recent declines in revenue, EBIT, and cash flow generation pose concerns. The company should focus on stabilizing revenue streams and enhancing operational efficiency to support future growth.
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.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.34B1.30B1.45B1.33B1.16B1.34B
Gross Profit687.70M715.90M813.20M730.00M652.20M698.00M
EBITDA180.70M381.40M247.20M214.70M430.00M98.30M
Net Income57.80M233.20M145.40M125.00M346.90M-17.00M
Balance Sheet
Total Assets2.44B2.56B1.82B1.95B1.77B1.80B
Cash, Cash Equivalents and Short-Term Investments87.40M105.70M138.50M228.10M167.80M222.20M
Total Debt709.60M731.40M62.70M65.20M65.90M156.50M
Total Liabilities1.14B1.18B501.80M511.10M506.80M576.50M
Stockholders Equity1.31B1.38B1.32B1.44B1.26B1.22B
Cash Flow
Free Cash Flow57.20M41.50M170.50M75.60M121.20M178.40M
Operating Cash Flow114.20M93.20M195.20M120.50M156.50M221.50M
Investing Cash Flow-808.70M-548.00M-70.20M216.30M201.30M-44.30M
Financing Cash Flow504.40M439.10M-210.70M-286.40M-394.60M-180.10M

Spectris Technical Analysis

Technical Analysis Sentiment
Positive
Last Price4140.00
Price Trends
50DMA
4115.76
Positive
100DMA
4080.09
Positive
200DMA
3390.79
Positive
Market Momentum
MACD
8.57
Positive
RSI
73.25
Negative
STOCH
6.67
Positive
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 4140 is above the 20-day moving average (MA) of 4132.20, above the 50-day MA of 4115.76, and above the 200-day MA of 3390.79, indicating a bullish trend. The MACD of 8.57 indicates Positive momentum. The RSI at 73.25 is Negative, neither overbought nor oversold. The STOCH value of 6.67 is Positive, 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 (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
£572.09M22.188.49%2.12%0.49%61.73%
74
Outperform
£2.49B29.669.15%2.16%3.15%-13.57%
69
Neutral
£379.11M34.4312.24%1.89%5.46%-26.44%
67
Neutral
£170.27M45.863.13%2.11%10.66%21.19%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
60
Neutral
£4.11B70.784.26%2.04%0.07%-78.33%
54
Neutral
£202.39M-2.84-31.42%-16.33%-448.12%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:SXS
Spectris
4,140.00
1,725.19
71.44%
GB:GHH
Gooch & Housego
618.00
107.74
21.11%
GB:JDG
Judges Scientific
5,680.00
-2,952.27
-34.20%
GB:RSW
Renishaw
3,380.00
42.37
1.27%
GB:TTG
TT Electronics
111.80
5.80
5.47%
GB:DSCV
discoverIE Group plc
596.00
-101.94
-14.61%

Spectris Corporate Events

Other
Spectris Executives Engage in Significant Share Transactions
Neutral
Dec 2, 2025

Spectris plc, a company involved in precision instrumentation and controls, announced several share transactions involving its executives. Chief Executive Andrew Heath sold 70,000 shares and, along with Rachel Heath, transferred 7,900 shares each to The Heath Family 2025 Trust. Additionally, Derek Harding, President of Spectris Scientific, gifted 2,433 shares to a charity and sold a total of 12,567 shares. These transactions reflect internal financial maneuvers and charitable contributions, potentially impacting stakeholder perceptions and the company’s market positioning.

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

Spectris plc, a company involved in the issuance of ordinary shares, has announced an update regarding its total voting rights and capital as of November 30, 2025. The company has 104,446,214 ordinary shares with voting rights and 5,034,079 shares held in treasury, resulting in a total of 99,412,135 voting rights. This information is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure Guidance and Transparency Rules.

Delistings and Listing ChangesM&A TransactionsRegulatory Filings and Compliance
Spectris Acquisition by KKR’s Bidco Advances with Regulatory Approvals
Neutral
Nov 24, 2025

Spectris PLC has announced an update regarding its acquisition by Project Aurora Bidco Limited, a special purpose vehicle owned by investment funds advised by Kohlberg Kravis Roberts & Co. L.P. (KKR). The acquisition, valued at £41.75 per share, is being executed through a court-sanctioned scheme of arrangement and has received necessary antitrust and regulatory approvals from authorities in France, the Netherlands, and Spain. The scheme is expected to become effective on 4 December 2025, with trading of Spectris shares on the London Stock Exchange to be suspended from 7.30 a.m. on that date. The acquisition marks a significant development in Spectris’ corporate trajectory, potentially impacting its market positioning and shareholder value.

Executive/Board ChangesBusiness Operations and Strategy
Spectris Announces Board Member’s New Role at Hill & Smith
Neutral
Nov 19, 2025

Spectris plc has announced a change in its board, with Nick Anderson, a Non-executive Director at Spectris, being appointed as a Non-executive Director and future Chair of Hill & Smith PLC, a company listed on the London Stock Exchange. This appointment signifies a strategic move for Spectris, potentially enhancing its influence and connections within the industry, which may impact its market positioning and stakeholder relations.

Dividends
Spectris Director Acquires Shares via Dividend Reinvestment
Neutral
Nov 11, 2025

Spectris plc announced that Alison Henwood, a Non-executive Director, acquired 13 ordinary shares through a dividend reinvestment plan. This transaction, conducted on the London Stock Exchange, reflects the company’s ongoing commitment to shareholder engagement and may influence investor confidence in the company’s governance practices.

Business Operations and Strategy
Spectris Enhances Employee Investment with Share Incentive Plan
Positive
Nov 11, 2025

Spectris plc has announced the acquisition of shares under its Share Incentive Plan (SIP) by individuals with managerial responsibilities. On November 7, 2025, a total of nine ordinary shares were purchased for these individuals, with one additional matching share awarded for every five shares purchased. This initiative is part of an HMRC tax-advantaged all-employee share plan, reflecting Spectris’s commitment to employee investment and engagement. The transactions were conducted on the London Stock Exchange, and the move is expected to further align the interests of the company’s management with those of its shareholders.

M&A TransactionsBusiness Operations and Strategy
Spectris plc Announces Share Acquisition Under SIP
Positive
Nov 10, 2025

Spectris plc announced the acquisition of shares under its Share Incentive Plan (SIP) by key managerial personnel following the reinvestment of dividends. This transaction, involving the purchase of a total of 9 ordinary shares, reflects the company’s commitment to aligning management interests with shareholder value, potentially strengthening its market position and stakeholder confidence.

Executive/Board ChangesBusiness Operations and Strategy
Spectris Director Joins Neuland Laboratories Board
Positive
Nov 6, 2025

Spectris plc has announced that Dr. Ravi Gopinath, an Independent Non-Executive Director of the company, has been appointed as an independent director of Neuland Laboratories, which is listed on the National Stock Exchange of India and the Bombay Stock Exchange. This appointment may enhance Spectris’s strategic connections and influence within the global market, potentially impacting its operations and industry positioning positively.

Regulatory Filings and Compliance
Spectris Updates Total Voting Rights and Share Capital
Neutral
Nov 3, 2025

Spectris plc, a company involved in the manufacturing sector, has announced an update regarding its total voting rights and share capital as of October 31, 2025. The company has issued 104,446,214 ordinary shares with voting rights, with 5,036,896 shares held in treasury, resulting in a total of 99,409,318 voting rights. This update is crucial for shareholders to determine their interest in the company under the FCA’s Disclosure Guidance and Transparency Rules.

M&A TransactionsFinancial Disclosures
Spectris Reports Strong Q3 Sales Growth and Advances in KKR Acquisition
Positive
Oct 30, 2025

In the third quarter of 2025, Spectris reported a significant increase in sales, with group sales rising by 11% on a reported basis and 4% on a like-for-like basis compared to the previous year. The company remains optimistic about meeting its full-year adjusted operating profit expectations and is progressing with the acquisition by KKR, which is in advanced stages of preparation.

Regulatory Filings and Compliance
Spectris Executives Report Share Transfers
Neutral
Oct 28, 2025

Spectris plc, a company involved in precision instrumentation and controls, has reported share transactions involving its executive directors. Andrew Heath and Derek Harding, both Executive Directors at Spectris, have transferred 10,000 and 15,000 shares respectively to closely associated persons for nil consideration. These transactions, conducted outside a trading venue, are part of routine disclosures under the Market Abuse Regulation.

Business Operations and StrategyRegulatory Filings and Compliance
Spectris plc Announces Share Incentive Plan for Key Executives
Positive
Oct 8, 2025

Spectris plc has announced the acquisition of Partnership Shares and the award of Matching Shares under its Share Incentive Plan (SIP) for persons discharging managerial responsibilities (PDMRs). This move, compliant with EU Market Abuse Regulation, involved purchasing 12 ordinary shares and awarding 2 matching shares to PDMRs at no cost. This initiative reflects Spectris’s commitment to employee investment and aligns with its strategy to incentivize management, potentially impacting stakeholder confidence positively.

Regulatory Filings and Compliance
Spectris Updates Total Voting Rights and Share Capital
Neutral
Oct 1, 2025

Spectris plc, a company listed on the stock market, has announced an update on its total voting rights and share capital as of September 30, 2025. The company has 104,446,214 ordinary shares with voting rights and 5,037,091 shares held in treasury, resulting in a total of 99,409,123 voting rights. This information is crucial for shareholders to determine their notification obligations under the FCA’s Disclosure Guidance and Transparency Rules.

M&A Transactions
Spectris PLC to be Acquired by KKR-Backed Bidco
Positive
Sep 29, 2025

Spectris PLC, a leader in precision instrumentation and controls, is set to be acquired by Project Aurora Bidco Limited, a special purpose vehicle owned by investment funds advised by Kohlberg Kravis Roberts & Co. L.P. The acquisition has received necessary clearances from the European Commission and FDI authorities in Austria and Belgium, with the transaction expected to complete by Q1 2026, subject to remaining conditions. This acquisition is anticipated to enhance Spectris’ market positioning and operational capabilities.

M&A TransactionsRegulatory Filings and Compliance
Spectris Acquisition Progresses with Regulatory Approvals
Neutral
Sep 15, 2025

Spectris PLC, a company involved in a recommended cash acquisition by Project Aurora Bidco Limited, has announced the expiration of the waiting period under the U.S. Hart-Scott-Rodino Antitrust Improvements Act of 1976 for the acquisition. Additionally, foreign direct investment authorities in Denmark and Germany have granted clearance under applicable FDI laws, indicating progress in the acquisition process. The scheme is expected to become effective by Q1 2026, pending satisfaction of remaining conditions.

Business Operations and StrategyRegulatory Filings and Compliance
Spectris Enhances Employee Investment with Share Incentive Plan
Positive
Sep 8, 2025

Spectris plc announced the acquisition and award of shares under its Share Incentive Plan (SIP) for its managerial staff, in compliance with the EU Market Abuse Regulation. This move, involving the purchase of Partnership Shares and the award of Matching Shares, reflects the company’s commitment to employee investment and aligns with its strategic goals, potentially enhancing stakeholder confidence and employee engagement.

M&A TransactionsRegulatory Filings and Compliance
Spectris Acquisition Clears Key Regulatory Hurdles
Neutral
Sep 8, 2025

Spectris PLC, a company involved in a recommended cash acquisition by Project Aurora Bidco Limited, has announced regulatory clearance for the acquisition from both the State Administration for Market Regulation of China and the Italian foreign direct investment authority. The acquisition process is progressing as expected, with the scheme anticipated to become effective by the first quarter of 2026, pending the satisfaction of remaining conditions.

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: Dec 07, 2025