FW Thorpe Plc (TFW) AI Stock Analysis

• Market Cap: £389.48M
• Dividend Yield: 52.54%
• Average Volume (3M): 58.33K
• Price to Earnings (P/E): 15.9
• Beta (1Y): 0.04
• Revenue Growth: -0.29%
• EPS Growth: 11.71%
• Country: UK
• Employees: 900
• Sector: Industrials
• Sector Strength: 89
• Industry: Electrical Equipment & Parts
• EPS (TTM): 0.21
• Shares Outstanding: 116,261,910
• 10 Day Avg. Volume: 50,719
• 30 Day Avg. Volume: 58,333
• PEG Ratio: 1.70
• Price to Book (P/B): 2.73
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 19.46
• 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: £342.00
• Price Target Upside: 2.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 78 Outperform
• Price Target: 377.00p ▲(13.21%Upside)

FW Thorpe Plc's overall stock score is driven primarily by its strong financial performance, characterized by robust profitability and a healthy balance sheet. Technical analysis shows bullish trends, though caution is advised due to overbought signals. Valuation is fair but not overly attractive due to a modest dividend yield.

FW Thorpe Plc Business Overview & Revenue Model

Company Description

FW Thorpe Plc, together with its subsidiaries, designs, manufactures, and supplies professional lighting equipment in the United Kingdom, the Netherlands, rest of Europe, and internationally. The company offers professional lighting and control systems, including recessed, surface, and suspended luminaires; emergency lighting systems; hazardous area lighting; high and low bay luminaires; lighting controls; and exterior lighting products for commercial, industrial, education, healthcare, manufacturing, retail, display, and hospitality markets. It also provides emergency exit signage and lighting systems for commercial, hospitality, and healthcare markets; and clean room lighting equipment and luminaires for laboratories, pharmaceutical, and semi-conductor manufacturing areas, including hospitals, kitchens, and food preparation applications. In addition, the company offers lighting products to the advertising, brewery, retail, and sign lighting industries; and street lighting, outdoor wall and ceiling luminaires, amenity lighting products, and LED road and tunnel luminaires for infrastructure, housing, and car parking areas. The company offers its lighting products under the Thorlux Lighting, Philip Payne, Solite, Portland Lighting, TRT Lighting, Lightronics, Famostar, and Luxintec brands. FW Thorpe Plc was founded in 1936 and is headquartered in Redditch, the United Kingdom.

How the Company Makes Money

FW Thorpe Plc generates revenue through the sale of its lighting products and solutions. The company designs and manufactures a wide array of lighting systems, which it sells to a diverse customer base across different sectors such as commercial, industrial, and public sector entities. Revenue is primarily driven by product sales, which are often enhanced by the company's ability to offer customized lighting solutions. In addition to direct sales, FW Thorpe may also engage in partnerships with distributors and other industry players to expand its market reach. The company's focus on energy-efficient LED technology and innovation in lighting design also plays a crucial role in maintaining its competitive advantage and driving sales growth.

FW Thorpe Plc Financial Statement Overview

Summary

FW Thorpe Plc presents a solid financial profile characterized by strong profitability, a robust balance sheet with minimal leverage, and excellent cash flow generation. Despite a slight revenue decline recently, the company's financial health remains strong, supported by effective cost management and strategic investment in capital expenditures.

Income Statement

FW Thorpe Plc demonstrates robust profitability with a consistent gross profit margin around 48.6% in the latest year and a notable net profit margin of 13.8%. Revenue growth has been steady, with a 22.3% increase from 2022 to 2023, although there was a slight decline of 0.5% from 2023 to 2024. EBIT and EBITDA margins also reflect strong operational efficiency, indicating a stable financial performance.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio significantly below 0.1, highlighting minimal leverage. The equity ratio is solid at 73.9%, indicating a strong capital structure. Return on equity stands at 13.8%, showcasing efficient utilization of equity capital. The financial position is strong, with ample liquidity and low financial risk.

Cash Flow

FW Thorpe Plc exhibits healthy cash flow metrics, with operating cash flow substantially exceeding net income, reflected in a strong operating cash flow to net income ratio. Free cash flow growth is impressive at 51.3% from 2023 to 2024, with a robust free cash flow to net income ratio, indicating effective cash generation and operational efficiency.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	176.97M	175.80M	176.75M	143.72M	117.88M	113.34M
Gross Profit	86.61M	85.44M	73.40M	60.06M	53.06M	47.41M
EBITDA	38.24M	37.86M	35.36M	30.60M	25.82M	21.29M
Net Income	24.72M	24.31M	21.93M	20.07M	15.81M	13.31M
Balance Sheet
Total Assets	233.07M	238.90M	228.02M	206.65M	181.80M	169.34M
Cash, Cash Equivalents and Short-Term Investments	54.63M	56.34M	36.28M	42.38M	77.67M	63.63M
Total Debt	9.23M	4.16M	7.53M	5.18M	661.00K	637.00K
Total Liabilities	56.62M	62.13M	67.68M	61.30M	44.81M	41.04M
Stockholders Equity	176.45M	176.76M	160.34M	145.35M	136.99M	128.30M
Cash Flow
Free Cash Flow	44.55M	34.08M	22.52M	12.33M	17.48M	11.19M
Operating Cash Flow	48.72M	41.37M	32.52M	20.20M	22.16M	19.89M
Investing Cash Flow	-18.45M	-28.32M	-23.29M	-24.19M	-6.06M	982.00K
Financing Cash Flow	-17.33M	-13.81M	-9.57M	-12.92M	-7.14M	-7.53M

FW Thorpe Plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 333.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TFW, the sentiment is Positive. The current price of 333 is above the 20-day moving average (MA) of 3.15, above the 50-day MA of 3.03, and above the 200-day MA of 3.08, indicating a bullish trend. The MACD of 0.10 indicates Negative momentum. The RSI at 62.47 is Neutral, neither overbought nor oversold. The STOCH value of 72.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:TFW.

FW Thorpe Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TFW	78 Outperform	£389.48M	15.89	14.53%	52.54%	-0.29%	11.71%
Sector *	61 Neutral	C$6.57B	7.37	3.42%	2.84%	6.71%	-16.74%
DIA		£74.02M	―	-21.17%	―	―	―
VLX	78 Outperform	£680.12M	18.24	13.95%	1.16%	31.15%	5.55%
LUCE	71 Outperform	£225.33M	15.34	15.40%	451.44%	16.03%	-11.84%
XPP	61 Neutral	£246.74M	―	-6.40%	―	-21.84%	10.56%
LPA	58 Neutral	£7.07M	7.61	-1.39%	1.74%	-10.88%	-122.05%

FW Thorpe Plc Corporate Events

FW Thorpe Plc Acquires 250,000 Ordinary Shares

FW Thorpe Plc announced the purchase of 250,000 of its ordinary shares at a price of 292.0 pence per share, which will be held in treasury. This transaction affects the company’s total voting rights, now amounting to 116,261,908, which shareholders can use to determine their interest in the company under the DTRs.

FW Thorpe Plc Acquires Own Shares, Adjusts Voting Rights

FW Thorpe Plc has announced the purchase of 25,000 of its ordinary shares at a price of 290.0 pence per share, which will be held in treasury. This transaction affects the company’s total voting rights, now consisting of 116,511,908 shares, impacting shareholder calculations regarding their interests in the company’s share capital.

FW Thorpe Plc Acquires 280,000 Ordinary Shares

FW Thorpe Plc announced the purchase of 280,000 of its ordinary shares at a price of 290.0 pence per share, which will be held in treasury. This transaction affects the company’s total voting rights, now consisting of 116,536,908, which shareholders can use to determine their share capital interests under the DTRs.