Relx (RELX) AI Stock Analysis

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Relx

(NYSE:RELX)

Rating:77Outperform

Price Target:

$61.00

▲(13.57%Upside)

Relx's overall stock score of 77 reflects its solid financial performance and positive earnings call highlights, which indicate strong growth across divisions. The slightly high valuation and mixed technical indicators suggest cautious optimism. The company's strategic transition towards digital and data-driven services positions it well for continued success, despite some challenges in print revenue and currency impacts.

Relx (RELX) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$96.80B

Dividend Yield0.03%

Average Volume (3M)866.64K

Price to Earnings (P/E)40.1

Beta (1Y)0.52

Revenue Growth5.32%

EPS Growth6.07%

CountryUS

Employees34,580

SectorIndustrials

Sector Strength94

IndustryPublishing

Share Statistics

EPS (TTM)0.86

Shares Outstanding1,834,880,000

10 Day Avg. Volume1,033,278

30 Day Avg. Volume866,637

Financial Highlights & Ratios

PEG Ratio12.64

Price to Book (P/B)21.07

Price to Sales (P/S)0.00

P/FCF Ratio27.63

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

$60.90

Price Target Upside13.39% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering1

Relx Business Overview & Revenue Model

Company DescriptionRELX Group is a global provider of information-based analytics and decision tools for professional and business customers across various industries. The company operates in four major market segments: Scientific, Technical & Medical; Risk & Business Analytics; Legal; and Exhibitions. Through its various platforms and services, RELX delivers critical information and insights that help businesses and professionals make informed decisions, enhance productivity, and improve outcomes.

How the Company Makes MoneyRELX generates revenue primarily through subscriptions, licensing, and transactional sales of its information and analytics services. In the Scientific, Technical & Medical segment, the company earns money by providing access to scientific research and medical journals through platforms like ScienceDirect and ClinicalKey. The Risk & Business Analytics segment offers data analytics and decision tools to manage risk, which are monetized through subscriptions and transactional models. The Legal segment provides legal research and workflow solutions to law firms and legal professionals, primarily through subscriptions to services like LexisNexis. Finally, the Exhibitions segment generates revenue from organizing trade shows and conferences, earning money through exhibitor fees and attendee ticket sales. Key partnerships with academic institutions, government entities, and businesses further bolster RELX’s revenue streams.

Relx Key Performance Indicators (KPIs)

Any

Revenue by Segment

Revenue by Segment
Analyzes income from different business units, highlighting which segments are driving growth and which may need strategic adjustments.

Chart InsightsRelx's Risk segment shows consistent growth, reflecting strong demand for data analytics and risk management solutions. The Scientific, Technical and Medical segment experiences fluctuations but maintains an upward trend, likely driven by increased digital content consumption. Legal revenues are steadily rising, indicating resilience in legal information services. The Exhibitions segment is recovering post-pandemic, with a notable rebound as in-person events resume. Overall, Relx is capitalizing on digital transformation across its segments, positioning itself well for sustained growth despite economic uncertainties.

Data provided by:

Main Street Data

Relx Earnings Call Summary

Earnings Call Date:Jul 24, 2025

(Q2-2025)

% Change Since: 1.17%|

Next Earnings Date:Feb 12, 2026

Earnings Call Sentiment Positive

The earnings call presented a largely positive outlook with strong growth in revenue and operating profit across all business segments, successful strategic transitions, and robust cash flow management. However, there were challenges with declining print revenues and unfavorable currency impacts.

Q2-2025 Updates

Positive Updates

Strong Financial Performance

Underlying revenue growth was 7%, with underlying adjusted operating profit growth at 9%. Adjusted earnings per share grew by 10% at constant currency. The interim dividend increased by 7% to 19.5p per share.

Growth in Business Segments

Risk segment saw an 8% increase in underlying revenue growth, STM grew by 5%, Legal improved to 9%, and Exhibitions delivered an 8% growth. Each segment showed positive trends with strong product rollouts and market factors.

Successful Strategic Transition

The company successfully transitioned from print to electronic formats, with print revenues now only 4% of total revenue, down from 64% over 25 years.

Strong Cash Conversion

Cash conversion was robust at 100%, and leverage was at 2.2x, reflecting strong cash flow management.

Negative Updates

Print Revenue Decline

Print and print-related revenues decreased by 21%, indicating a significant fall due to strategic reduction and portfolio changes.

Currency Impact

Total group revenue growth in sterling was only 2%, affected by the comparative strength of sterling against the U.S. dollar.

Company Guidance

In the recent call, the company provided detailed guidance on its financial performance and strategic initiatives. The first half of the fiscal year 2025 showed strong results, with an underlying revenue growth of 7% and an underlying adjusted operating profit growth of 9%. Adjusted earnings per share increased by 10% at constant currency, and the interim dividend was raised by 7% to 19.5p per share. The company's Risk division experienced an 8% increase in underlying revenue, with 9% growth in underlying adjusted operating profit. STM's underlying revenue grew by 5%, with adjusted operating profit up 7%, driven by new product introductions and increased article submissions. Legal saw a 9% increase in underlying revenue, with an 11% rise in adjusted operating profit growth. Exhibitions reported an 8% growth in underlying revenue and a 9% increase in adjusted operating profit, with margins significantly above pre-pandemic levels. Overall, the company maintains a strong growth trajectory across its divisions, driven by operational efficiencies and strategic focus on analytics and decision tools.

Relx Financial Statement Overview

Summary

Relx demonstrates robust financial health with consistent revenue growth and high profitability metrics, including a net profit margin of 20.5% and a strong EBIT margin. The balance sheet shows a solid equity base with manageable leverage. Cash flow generation is strong, with significant free cash flow growth and efficient capital management.

Income Statement

Very Positive

Relx has shown consistent revenue growth over the years, with a revenue growth rate of 3.0% from 2023 to 2024. The company maintains strong profitability metrics, with a gross profit margin of 65.0% and a net profit margin of 20.5% in 2024. The EBIT margin stands at 30.3%, and the EBITDA margin is 33.0%, indicating efficient operations and cost management. Overall, the income statement reflects a robust financial performance with strong growth and profitability.

Balance Sheet

Positive

The balance sheet shows a moderate debt-to-equity ratio of 1.88, indicating a balanced approach to leveraging. The return on equity (ROE) is strong at 55.5%, reflecting effective use of equity to generate profits. The equity ratio is 23.0%, suggesting a solid equity base relative to total assets. While the company has a healthy equity position, the relatively high leverage could pose risks if not managed carefully.

Cash Flow

Positive

Relx demonstrates strong cash flow generation, with a free cash flow growth rate of 30.7% from 2023 to 2024. The operating cash flow to net income ratio is 1.35, indicating efficient conversion of income to cash. The free cash flow to net income ratio is 1.34, highlighting strong cash flow relative to earnings. The cash flow statement reflects a healthy cash position and efficient capital management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.43B	9.16B	8.55B	7.24B	7.11B
Gross Profit	6.13B	5.95B	5.51B	4.68B	4.62B
EBITDA	3.11B	3.31B	3.06B	2.62B	2.46B
Net Income	1.93B	1.78B	1.63B	1.47B	1.22B
Balance Sheet
Total Assets	15.13B	14.92B	15.83B	13.86B	14.14B
Cash, Cash Equivalents and Short-Term Investments	119.00M	155.00M	334.00M	113.00M	88.00M
Total Debt	6.54B	6.50B	6.73B	6.17B	7.12B
Total Liabilities	11.63B	11.48B	12.07B	10.63B	12.04B
Stockholders Equity	3.48B	3.46B	3.78B	3.23B	2.10B
Cash Flow
Free Cash Flow	2.59B	1.98B	1.97B	1.68B	1.23B
Operating Cash Flow	2.61B	2.46B	2.40B	2.02B	1.60B
Investing Cash Flow	-575.00M	-569.00M	-859.00M	-384.00M	-1.17B
Financing Cash Flow	-2.06B	-2.06B	-1.33B	-1.61B	-474.00M

Relx Technical Analysis

Technical Analysis Sentiment

Positive

Last Price53.71

Price Trends

50DMA

53.64

Positive

100DMA

51.90

Positive

200DMA

49.52

Positive

Market Momentum

MACD

-0.06

Positive

RSI

53.32

Neutral

STOCH

45.65

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RELX, the sentiment is Positive. The current price of 53.71 is above the 20-day moving average (MA) of 53.44, above the 50-day MA of 53.64, and above the 200-day MA of 49.52, indicating a bullish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 53.32 is Neutral, neither overbought nor oversold. The STOCH value of 45.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RELX.

Relx Risk Analysis

Relx disclosed 17 risk factors in its most recent earnings report. Relx reported the most risks in the "Legal & Regulatory" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Relx Peers Comparison

Overall Rating

UnderperformOutperform

Sector (58)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RELX	77 Outperform	$96.80B	40.08	56.34%	0.03%	5.32%	6.07%
WM	76 Outperform	$92.80B	34.41	34.01%	1.37%	10.77%	8.38%
NYT	75 Outperform	$8.61B	28.80	16.68%	1.17%	6.85%	21.26%
PSO	72 Outperform	$9.22B	17.51	10.99%	2.11%	-0.59%	24.06%
WLY	68 Neutral	$2.14B	26.03	11.28%	4.42%	-10.43%	―
SCHL	66 Neutral	$574.49M	37.85	-0.19%	3.71%	-3.10%	-58.47%
Sector *	58 Neutral	HK$14.94B	4.62	-2.78%	5.07%	3.80%	-54.55%

* Industrials Sector Average

Performance Comparison

RELX

Relx

53.71

7.89

17.22%

WLY

John Wiley Sons Cl A

39.43

-6.47

-14.10%

NYT

New York Times

52.85

-0.39

-0.73%

PSO

Pearson

14.26

1.09

8.28%

SCHL

Scholastic

21.55

-8.93

-29.30%

Waste Management

230.61

36.41

18.75%

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 25, 2025