Vesuvius (VSVS) AI Stock Analysis

• Market Cap: £957.24M
• Dividend Yield: 5.97%
• Average Volume (3M): 286.17K
• Price to Earnings (P/E): 18.8
• Beta (1Y): 1.71
• Revenue Growth: -4.27%
• EPS Growth: -28.32%
• Country: UK
• Employees: 11,071
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): 0.17
• Shares Outstanding: 248,171,720
• 10 Day Avg. Volume: 241,049
• 30 Day Avg. Volume: 286,174
• PEG Ratio: -0.49
• Price to Book (P/B): 0.87
• Price to Sales (P/S): 0.54
• P/FCF Ratio: 24.89
• 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: £507.00
• Price Target Upside: 29.40% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 0.38
• Revenue Forecast (FY): £1.88B

• Rating: 54 Neutral
• Price Target: 447.00 p ▲(14.09% Upside)
• Action: Reiterated Date: 03/13/26
• Date: Action: Reiterated 03/13/26

The score is held back primarily by cooling fundamentals (margin/ROE compression, rising leverage, and weakening free cash flow/cash conversion) and weak near-term technical momentum (below key short-term averages with negative MACD). A high dividend yield and moderate P/E provide partial support but do not fully offset the profitability and cash-flow headwinds.

Positive Factors

Recurring Consumables Revenue

Vesuvius derives a meaningful portion of sales from consumables that require regular replacement in steel and foundry processes. This creates a durable, repeatable revenue stream with predictable replacement cycles, supporting baseline cash flow and customer stickiness across cycles.

Stable Gross Margins

Despite top-line pressure, gross margins have remained in the mid-20% range, indicating structural pricing ability or product mix that protects core profitability. Stable gross margins give the company a buffer to absorb input swings and sustain unit economics over the medium term.

Engineered Solutions & Services

Higher-value engineered components and on-site technical services create differentiated offerings and long-term customer relationships. These integrated solutions increase switching costs, enable upsell into service contracts, and support margin resilience over multiple reporting cycles.

Negative Factors

Revenue Trend Weakness

A multi-year flat-to-declining revenue trend reduces operating leverage and constrains growth optionality. Without renewed end-market demand or share gains, stagnant top line limits the company's ability to expand margins, invest in R&D, or fund strategic initiatives over the medium term.

Margin Compression and Lower Returns

Material compression in net margins and a sharp drop in ROE indicate the business is facing structural pressure on pricing, mix, or cost control. Persistently lower profitability reduces reinvestment capacity and shareholder returns, making it harder to rebuild competitive strength without operational fixes.

Weakened Cash Generation and Rising Leverage

Declining free cash flow and poor cash conversion (FCF well below net income) coupled with rising leverage reduce financial flexibility. This constrains capital investments, heightens refinancing risk in downturns, and limits buffer for dividends or acquisitions over the coming 2–6 months.

Vesuvius Business Overview & Revenue Model

Company Description

Vesuvius plc provides engineering services and solutions principally to steel and foundry industries worldwide. It operates in two divisions, Steel and Foundry. The company offers foundry consumables and equipment, including binders, coatings, feeding systems, filtration and gating systems, melt shop refractories, metallurgical and pouring control systems, die dressings and coatings, melt treatment products, crucibles, and ceramics for the iron, steel, and nonferrous foundries. It also provides nonferrous metals, such as primary and secondary aluminum, copper, and other metals and alloys; cement and lime solutions, iron ore pelletizing and calcination products, and grains and powders; and process heaters, FCC units, hydrogen reformers, boilers, coke calciners, and thermal oxidizers, as well as sulphur, ethylene, and ammonia plants. In addition, the company offers solutions for power generation and incineration; glass products comprising artistic, display, float, hollow, and optical glass; glass tempering, and reheat and forming products; and solutions for solar multicrystal silicon ingots, thin film and cell processing, and feedstock. Further, it provides solutions for blast furnace stack repair; taphole clay, iron and slang runner, sampler and temperature, tilting runner, and torpedo ladle solutions; iron ladle solutions; lining, taphole system, bath agitation and tuyere system, electric arc furnace and BOF maintenance, and metallurgical sensor solutions; and ladle, ladle to tundish, and tundish solutions, as well as tundish to mold solutions for conventional slab, thin and slim slab, beam blank, flow control valve bloom or billet, and calibrated nozzle billet casters. Additionally, the company offers ingot casting solutions; and reheat furnace, steel hot forming, galvanized steel, and electrical and stainless-steel solutions. Vesuvius plc was founded in 1916 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Vesuvius makes money primarily by selling consumable and engineered products used in customers’ molten-metal processes, along with related services. A significant portion of revenue comes from recurring demand for consumables (items that wear out and must be replaced regularly due to extreme heat and chemical exposure), which are supplied to steel mills and foundries to support ongoing production and maintenance cycles. In addition, the company earns revenue from higher-value engineered solutions (customized or application-specific components and systems that integrate into a customer’s casting or metal-flow set-up). Vesuvius also generates revenue from technical services and support tied to its products, such as process optimization, on-site assistance, and application engineering that help customers improve yield, quality, and throughput. The company’s earnings are influenced by customer production volumes in steel and foundry end markets, the mix between consumables and engineered solutions, pricing and input-cost dynamics for refractory and related materials, and the strength/duration of customer relationships that drive repeat purchasing and embedded use of its products in production lines. Specific partnership details: null.

Vesuvius Financial Statement Overview

Summary

Financials remain profitable with gross margins holding in the mid-20%s, but performance has deteriorated since 2022: revenue has been flat-to-down, net margin compressed materially (to ~2.9% in 2025), ROE fell sharply, leverage increased (debt-to-equity rising to ~0.57), and free cash flow has trended down with weak cash conversion versus net income.

Income Statement

Revenue has been broadly flat to down since 2022 (2025 slightly up at ~1% after declines in 2023–2024). Profitability has also stepped down meaningfully: net margin fell from ~8.8% (2022) to ~2.9% (2025) with similar pressure in operating and EBITDA margins, pointing to weaker pricing/mix, costs, or end-market softness. The positive is that the business remains profitable and gross margins have held in the mid‑20%s, but the overall trajectory since 2022 is negative.

Balance Sheet

Leverage is moderate, but has been trending worse: debt-to-equity increased from ~0.32 (2023) to ~0.57 (2025) as total debt rose. Equity remains substantial versus the asset base, which provides some balance-sheet resilience, but returns on equity have declined notably (from ~14.4% in 2022 to ~4.6% in 2025), consistent with the earnings slowdown and reducing the balance sheet’s quality from a shareholder-return perspective.

Cash Flow

Cash generation has weakened versus earlier years. Operating cash flow has declined from 2022–2023 levels and free cash flow dropped to ~£39m in 2025, with negative growth in 2024–2025. Cash conversion also looks soft: free cash flow is well below net income in 2025 (about one-third), suggesting working-capital drag, higher capex, or less favorable cash timing. Positively, free cash flow remains solidly positive (unlike 2021), but the recent downtrend raises caution.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.81B	1.82B	1.93B	2.05B	1.64B
Gross Profit	450.10M	503.70M	537.90M	561.10M	410.40M
EBITDA	216.90M	233.00M	270.10M	289.60M	198.80M
Net Income	52.20M	87.20M	118.50M	181.10M	102.10M
Balance Sheet
Total Assets	2.41B	2.29B	2.28B	2.33B	2.13B
Cash, Cash Equivalents and Short-Term Investments	190.60M	186.40M	164.20M	184.20M	169.10M
Total Debt	641.90M	520.20M	402.20M	441.90M	443.70M
Total Liabilities	1.17B	1.05B	962.00M	1.01B	1.03B
Stockholders Equity	1.12B	1.17B	1.25B	1.26B	1.04B
Cash Flow
Free Cash Flow	39.40M	70.60M	123.90M	123.20M	700.00K
Operating Cash Flow	117.50M	158.70M	216.50M	212.40M	46.20M
Investing Cash Flow	-118.70M	-95.40M	-86.20M	-88.30M	-87.00M
Financing Cash Flow	20.20M	-40.50M	-128.30M	-105.20M	-800.00K

Vesuvius Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 391.80
• 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:VSVS, the sentiment is Negative. The current price of 391.8 is below the 20-day moving average (MA) of 447.88, below the 50-day MA of 455.25, and below the 200-day MA of 395.35, indicating a bearish trend. The MACD of -16.84 indicates Positive momentum. The RSI at 27.24 is Positive, neither overbought nor oversold. The STOCH value of 8.83 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:VSVS.

Vesuvius Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VCT	70 Outperform	£469.17M	22.53	6.40%	9.48%	0.58%	61.58%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
ELM	58 Neutral	£816.15M	-28.06	-6.85%	1.34%	-11.78%	-92.61%
VSVS	54 Neutral	£957.24M	18.78	6.26%	5.97%	-4.27%	-28.32%
BA05	47 Neutral	£517.62M	―	6.66%	608.88%	―	―

Vesuvius Corporate Events

Vesuvius Holds Line on Revenue as Profits Fall in Tough Steel and Foundry Markets

Vesuvius reported full-year 2025 results broadly in line with expectations, as like-for-like revenue edged up 0.7% to £1.81bn but trading profit fell 17% and return on sales slipped to 8.4% amid weak steel and foundry demand, especially in Europe, the U.K. and non-Asian foundry markets. Cost savings of £17.8m, market share gains – notably in Asia – and an early achievement of its 20% new product sales target helped cushion the downturn, while acquisitions in Turkey and non-ferrous foundry, a modest dividend increase and higher leverage at 2.0x EBITDA underline a strategy geared toward benefiting from an expected sector recovery and improved cash generation.

The Steel division faced lower global output and pricing pressure but restored positive net pricing in the second half, whereas the Foundry division contended with weak demand, slightly negative pricing and temporary production inefficiencies from site rationalisations. Management highlighted successful integration of the MMS and PiroMET acquisitions and completion of a capacity expansion programme, positioning the company for anticipated market improvement and reinforcing its competitive position despite ongoing geopolitical uncertainty and still-subdued end markets.

The most recent analyst rating on (GB:VSVS) stock is a Hold with a £491.00 price target. To see the full list of analyst forecasts on Vesuvius stock, see the GB:VSVS Stock Forecast page.

Vesuvius CFO Discloses Share Award Vesting and Partial Sale for Tax

Vesuvius plc has disclosed a transaction by its chief financial officer, Mark Collis, involving the vesting of a 2023 Buy-out Award under the company’s share plan and the associated award of dividend entitlement shares. Collis received a total of 668 ordinary shares at a nil acquisition price, valued for disclosure purposes at an aggregated market price of £4.344953 per share, equivalent to approximately £2,902.

In a separate step linked to the vesting, Collis sold 320 Vesuvius ordinary shares on 10 March 2026 on the London Stock Exchange at £4.344953 per share to fund tax withholdings arising from the award. The notification underscores routine executive equity compensation practices at the company and provides transparency on senior management’s shareholdings for investors and other stakeholders.

The most recent analyst rating on (GB:VSVS) stock is a Hold with a £491.00 price target. To see the full list of analyst forecasts on Vesuvius stock, see the GB:VSVS Stock Forecast page.

Vesuvius Updates Total Voting Rights and Share Capital

Vesuvius plc has reported that its issued share capital stands at 255,442,891 ordinary shares of 10 pence each, of which 7,271,174 are held in treasury, leaving 248,171,717 shares carrying voting rights. The company highlighted that this total number of voting shares should be used by shareholders as the reference figure when assessing whether they must disclose holdings or changes in holdings under UK Disclosure Guidance and Transparency Rules, clarifying the basis for regulatory reporting and investor notification obligations.

The most recent analyst rating on (GB:VSVS) stock is a Buy with a £541.00 price target. To see the full list of analyst forecasts on Vesuvius stock, see the GB:VSVS Stock Forecast page.