Tate & Lyle (TATE) AI Stock Analysis

• Market Cap: £1.45B
• Dividend Yield: 5.27%
• Average Volume (3M): 2.61M
• Price to Earnings (P/E): 8.9
• Beta (1Y): 0.77
• Revenue Growth: 26.84%
• EPS Growth: -81.73%
• Country: UK
• Employees: 3,318
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 0.21
• Shares Outstanding: 445,446,780
• 10 Day Avg. Volume: 2,809,626
• 30 Day Avg. Volume: 2,611,880
• PEG Ratio: -0.61
• Price to Book (P/B): 4.01
• Price to Sales (P/S): 3.67
• P/FCF Ratio: 148.36
• 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: £433.33
• Price Target Upside: 18.07% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 0.41
• Revenue Forecast (FY): £2.02B

• Rating: 65 Neutral
• Price Target: 353.00 p ▼(-3.81% Downside)
• Action: Reiterated Date: 12/07/25
• Date: Action: Reiterated 12/07/25

Tate & Lyle's overall stock score reflects stable financial performance and positive corporate events, such as insider share purchases. However, technical indicators and valuation suggest caution, with high P/E ratios and neutral momentum. Earnings call insights highlight current market challenges, balancing the positive aspects.

Positive Factors

High sucralose demand

Sustained capacity-constrained demand for sucralose indicates durable end-market trends toward sugar reduction. Persistent high offtake supports stable revenue mix tilt to higher-value sweeteners, helping margins and cash conversion as long as supply/demand balance persists.

CP Kelco strategic combination

Rapid pipeline expansion from the CP Kelco combination points to meaningful commercial synergies and a broader ingredient portfolio. Cross-selling increases customer wallet share and diversification, supporting sustainable organic growth and margin improvement over multiple quarters.

Prudent leverage and stable margins

Moderate leverage and a strong equity ratio provide financial flexibility to fund integration, capex, and dividends. Coupled with historically healthy gross and net margins, this balance sheet profile supports resilience through cyclical softness and ability to invest in productivity.

Negative Factors

Guided revenue & EBITDA decline

Management guidance for lower revenue and notably weaker EBITDA signals structural near-term earnings pressure. Prolonged top-line softness can delay reinvestment and synergy realization, reducing available funds for innovation and capacity expansion over several quarters.

Tariff and trade exposure

Ongoing tariff impacts create durable margin and revenue uncertainty across regions with exposed supply chains. Persistent trade barriers can force cost absorption, complex routing, or price pass-through limits, weakening competitiveness and long-run profit stability in affected markets.

Cash flow volatility & ROE pressure

Fluctuating operating cash flows and a slightly declining return on equity constrain financing flexibility. Inconsistent free cash generation makes funding acquisitions, productivity programs, and shareholder returns harder without increasing leverage or cutting investment over multiple quarters.

Tate & Lyle Business Overview & Revenue Model

Company Description

Tate & Lyle PLC, together with its subsidiaries, provides ingredients and solutions to the food, beverage, and other industries in the United States, the United Kingdom, other European countries, and internationally. It operates through three segments: Food & Beverage Solutions, Sucralose, and Primary Products. The company offers texturants; nutritive sweeteners, such as high fructose corn syrup and dextrose; health and wellness ingredients; and stabilizers. It also provides industrial starches for paper, packaging, and industrial adhesives; acidulants, such as citric acid; and commodities comprising corn gluten feed and meal for animal nutrition, as well as corn oil and ethanol. In addition, the company engages in the treasury and insurance businesses; and provision of research and development services. Tate & Lyle PLC was incorporated in 1903 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Tate & Lyle makes money by selling specialty ingredient products and solutions to business customers (primarily food and beverage manufacturers) and recognizing revenue when control of those goods transfers under supply agreements and purchase orders. Its key revenue streams come from: (1) Sweetening solutions: sales of specialty sweeteners (for example, sucralose and other high-intensity sweeteners) and sweetener systems used to deliver sweetness with reduced sugar and calories. (2) Texturants: sales of modified food starches and other starch-based systems that provide thickening, viscosity, stability, mouthfeel, and shelf-life performance in processed foods and beverages. (3) Health & wellness ingredients: sales of fibers (e.g., soluble fibers) and proteins used for sugar reduction, calorie reduction, digestive health claims where applicable, and overall nutritional fortification. Beyond standard product sales, earnings are supported by value-added formulation and application support (helping customers reformulate products to meet taste, texture, and labeling targets), which can deepen customer relationships and increase inclusion rates of Tate & Lyle ingredients in customers’ recipes. Profitability is influenced by mix (higher-value specialty ingredients vs. lower-value commodities), the ability to pass through or manage input-cost volatility (notably agricultural/feedstock and energy costs), manufacturing efficiency, and demand trends toward reformulation (reduced sugar, added fiber/protein, and clean-label texture solutions). Specific material partnerships contributing to earnings: null.

Tate & Lyle Financial Statement Overview

Summary

Tate & Lyle demonstrates stable financial performance with consistent revenue growth and solid profitability margins. The balance sheet shows prudent leverage management, though there are areas for improvement in cash flow consistency and return on equity.

Income Statement

Tate & Lyle has shown a consistent revenue growth with a slight dip in the latest year. The gross profit margin and net profit margin are healthy, although the net profit margin has seen some volatility. EBIT and EBITDA margins indicate stable operational efficiency.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, indicating balanced leverage. The return on equity has been reasonable but slightly declined, suggesting room for improvement in utilizing shareholder funds. The equity ratio is strong, reflecting a solid asset base relative to liabilities.

Cash Flow

Operating cash flow is positive, yet shows fluctuations, affecting free cash flow growth. The company has a stable operating cash flow to net income ratio, demonstrating its ability to convert earnings into cash efficiently.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	1.99B	1.74B	1.65B	1.75B	1.38B	1.21B
Gross Profit	-69.00M	706.00M	851.00M	733.00M	514.00M	481.00M
EBITDA	254.00M	254.00M	345.00M	279.00M	168.00M	292.00M
Net Income	34.00M	143.00M	188.00M	190.00M	236.00M	253.00M
Balance Sheet
Total Assets	3.60B	3.73B	2.28B	2.51B	3.25B	2.97B
Cash, Cash Equivalents and Short-Term Investments	325.00M	334.00M	437.00M	475.00M	112.00M	371.00M
Total Debt	1.29B	1.31B	590.00M	713.00M	679.00M	786.00M
Total Liabilities	2.05B	2.14B	1.04B	1.32B	1.63B	1.51B
Stockholders Equity	1.55B	1.59B	1.24B	1.19B	1.62B	1.45B
Cash Flow
Free Cash Flow	71.00M	43.00M	98.00M	-12.00M	-45.00M	217.00M
Operating Cash Flow	188.00M	164.00M	208.00M	66.00M	103.00M	369.00M
Investing Cash Flow	-931.00M	-630.00M	-20.00M	835.00M	-113.00M	-205.00M
Financing Cash Flow	452.00M	367.00M	-215.00M	-598.00M	-247.00M	-29.00M

Tate & Lyle Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 367.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TATE, the sentiment is Negative. The current price of 367 is above the 20-day moving average (MA) of 361.62, below the 50-day MA of 375.44, and below the 200-day MA of 429.63, indicating a bearish trend. The MACD of -12.15 indicates Positive momentum. The RSI at 26.94 is Positive, neither overbought nor oversold. The STOCH value of 1.23 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:TATE.

Tate & Lyle Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANP	78 Outperform	£74.20M	6.77	13.66%	2.42%	34.26%	71.40%
ABF	69 Neutral	£12.46B	15.47	9.22%	2.98%	-3.06%	-26.93%
TATE	65 Neutral	£1.45B	8.87	2.17%	5.27%	26.84%	-81.73%
FVA	64 Neutral	£65.25M	5.65	28.53%	3.14%	―	―
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
SALT	53 Neutral	£29.48M	-15.56	520.55%	―	147.18%	3.11%

Tate & Lyle Corporate Events

Tate & Lyle Holds Outlook as CP Kelco Synergies Offset Muted Demand

Tate & Lyle reported third-quarter trading in line with expectations, with group revenue up 15% on a reported basis for the three months to 31 December 2025, driven largely by its combination with CP Kelco. On a pro forma basis, revenue declined 2% amid muted market demand, with the Americas and EMEA down and Asia Pacific slightly higher, while the company kept its full-year outlook unchanged, still expecting low single-digit declines in revenue and EBITDA.

Management highlighted good progress on previously announced actions to restore top-line growth, including targeted investments in capabilities and technology and a sharp increase in cross-selling opportunities from its expanded portfolio. The CP Kelco integration is delivering cost and revenue synergies in line with plan, and Tate & Lyle is selectively investing in 2026 customer framework agreements to drive volume and revenue growth, positioning the business to capitalise over time on rising consumer demand for healthier, more nutritious food and drink.

The most recent analyst rating on (GB:TATE) stock is a Hold with a £4.10 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Tate & Lyle Reshapes Board as Major Shareholder Huber Appoints New Non-Executive Director

Tate & Lyle has announced that Glenn M. Fish, originally appointed to its board in 2024 as a nominee of major shareholder J.M. Huber Corporation, has resigned as a director following his promotion to President and CEO of Huber. In line with Huber’s right to nominate two non-executive directors while it maintains at least a 15% stake, Huber has selected experienced industrial finance executive Heather Harding to join the Tate & Lyle board from 27 January 2026, reinforcing the influence of its largest shareholder on the company’s governance and adding further financial and industrial expertise to support the group’s expanded growth ambitions after its CP Kelco acquisition.

The most recent analyst rating on (GB:TATE) stock is a Hold with a £401.00 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Tate & Lyle Director Increases Stake With ADR Purchase

Tate & Lyle has disclosed that non-executive director Claudia Vaz de Lestapis and a person closely associated with her, Alexandre Samuel Pierre Marie de Lestapis, purchased 5,000 American Depositary Receipts in the company on 6 January 2026 at a price of $19.79 per ADR on the OTCQX exchange. Following this transaction, they now hold 5,000 ADRs, representing 20,000 ordinary shares, a move formally notified under market abuse regulations that signals increased personal investment by a board member in the company’s equity.

The most recent analyst rating on (GB:TATE) stock is a Hold with a £401.00 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.