SPX (SPXC) AI Stock Analysis

• Market Cap: $10.33B
• Dividend Yield: N/A
• Average Volume (3M): 352.41K
• Price to Earnings (P/E): 44.9
• Beta (1Y): 1.44
• Revenue Growth: 12.60%
• EPS Growth: 24.02%
• Country: US
• Employees: 4,300
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 1.84
• Shares Outstanding: 49,835,570
• 10 Day Avg. Volume: 418,209
• 30 Day Avg. Volume: 352,410
• PEG Ratio: 0.28
• Price to Book (P/B): 4.85
• Price to Sales (P/S): 3.39
• P/FCF Ratio: 27.11
• Enterprise Value/Market Cap: 0.89
• Enterprise Value/Revenue: 4.27
• Enterprise Value/Gross Profit: 10.75
• Enterprise Value/Ebitda: 20.33
• 1Y Price Target: $226.88
• Price Target Upside: 7.86% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: $237.00 ▲(12.67% Upside)

SPX Technologies demonstrates strong financial performance and a positive outlook from recent earnings, supported by robust growth and strategic initiatives. However, the high valuation and mixed technical indicators temper the overall score. The company's enhanced liquidity and financial flexibility from recent corporate events further bolster its position.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust market demand and effective sales strategies, supporting long-term financial stability and expansion.

Strategic Acquisition

The acquisition of Crawford United enhances SPX's product offerings and market position, aligning with its strategy to deliver differentiated solutions.

Financial Flexibility

Enhanced liquidity through capital raise and credit facility expansion provides SPX with the financial flexibility to pursue growth opportunities.

Negative Factors

Industrial Market Challenges

Limited growth in industrial markets may constrain SPX's revenue potential in this segment, impacting overall growth prospects.

Project Sales Shift

Shifting project sales into 2025 creates a temporary boost but poses a potential revenue gap for 2026, affecting future financial planning.

S&P 600 Removal

Removal from the S&P 600 may affect investor perception and visibility, potentially impacting stock liquidity and institutional interest.

SPX Business Overview & Revenue Model

Company Description

SPX Corporation (SPXC) is a diversified, multi-industry company that operates primarily in the sectors of flow technology, thermal equipment, and industrial products. The company designs, manufactures, and markets a wide range of products including pumps, valves, and heat exchangers, which are utilized in various applications, including HVAC, food and beverage, power generation, and industrial processes. SPX is known for its innovative solutions and customer-driven approach, serving clients across multiple industries globally.

How the Company Makes Money

SPX generates revenue through the sale of its core products across its various segments. The company operates primarily in two major divisions: the HVAC segment, which includes heating and cooling equipment and solutions, and the Industrial segment, which focuses on products such as pumps and valves. Key revenue streams include direct sales of these products to end-users, as well as through distribution channels. SPX also benefits from service agreements and aftermarket sales, providing maintenance and support for its products. Additionally, the company may engage in strategic partnerships and collaborations with other firms to enhance its product offerings and expand market reach, which can contribute significantly to its earnings.

SPX Financial Statement Overview

Summary

SPX exhibits a strong financial position with consistent revenue and profit growth, efficient operational management, and a stable balance sheet. The company's focus on reducing debt and improving cash flow generation further strengthens its financial health. While there are minor fluctuations in margins, the overall trajectory is positive, positioning SPX well within the Industrial - Machinery sector.

Income Statement

SPX has demonstrated strong revenue growth with a 5.3% increase in the TTM period, supported by a healthy gross profit margin of 40.8%. The net profit margin stands at 10.3%, indicating solid profitability. The EBIT and EBITDA margins are robust at 11.3% and 19.7%, respectively, reflecting efficient operational management. Overall, the income statement shows a positive growth trajectory and profitability.

Balance Sheet

The company's balance sheet is stable with a low debt-to-equity ratio of 0.23, suggesting prudent financial leverage. The return on equity is strong at 13.7%, indicating effective use of shareholder funds. The equity ratio of 62.3% reflects a solid capital structure. However, the decrease in total debt from the previous year highlights a focus on reducing leverage, which is a positive sign.

Cash Flow

SPX's cash flow performance is commendable, with a 10.5% growth in free cash flow, indicating strong cash generation capabilities. The operating cash flow to net income ratio of 0.71 and free cash flow to net income ratio of 0.89 suggest efficient cash conversion. The company has improved its cash flow position significantly over the years, enhancing its financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.16B	1.98B	1.74B	1.46B	1.22B	1.13B
Gross Profit	857.80M	799.40M	670.00M	523.90M	431.80M	395.50M
EBITDA	453.70M	392.70M	276.70M	82.80M	125.30M	128.90M
Net Income	223.60M	200.50M	89.90M	200.00K	425.40M	99.00M
Balance Sheet
Total Assets	3.45B	2.71B	2.44B	1.93B	2.63B	2.33B
Cash, Cash Equivalents and Short-Term Investments	229.40M	156.90M	99.40M	147.80M	388.20M	64.00M
Total Debt	501.20M	670.30M	558.30M	246.80M	246.00M	412.40M
Total Liabilities	1.30B	1.33B	1.25B	851.70M	1.53B	1.69B
Stockholders Equity	2.15B	1.38B	1.19B	1.08B	1.10B	640.10M
Cash Flow
Free Cash Flow	271.50M	247.90M	184.60M	-152.70M	165.00M	111.00M
Operating Cash Flow	304.90M	285.90M	208.50M	-136.80M	174.60M	126.30M
Investing Cash Flow	-506.40M	-284.50M	-570.20M	―	314.10M	-126.10M
Financing Cash Flow	300.80M	53.10M	309.60M	-38.90M	-167.60M	15.90M

SPX Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 210.34
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SPXC, the sentiment is Positive. The current price of 210.34 is below the 20-day moving average (MA) of 211.86, above the 50-day MA of 205.75, and above the 200-day MA of 173.77, indicating a neutral trend. The MACD of 1.90 indicates Positive momentum. The RSI at 49.21 is Neutral, neither overbought nor oversold. The STOCH value of 38.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SPXC.

SPX Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DCI	79 Outperform	$10.44B	28.25	24.96%	1.27%	2.37%	-6.93%
SPXC	77 Outperform	$10.33B	44.87	12.76%	―	12.60%	24.02%
WTS	77 Outperform	$9.26B	28.65	17.81%	0.72%	4.18%	16.05%
RRX	69 Neutral	$9.40B	36.63	3.89%	0.99%	-4.99%	22.16%
PSN	67 Neutral	$6.41B	17.24	15.89%	―	-0.24%	389.03%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GTLS	58 Neutral	$9.83B	247.89	2.25%	―	5.47%	-75.40%

SPX Corporate Events

SPX Secures $2.025 Billion Financing Package

On September 9, 2025, SPX Enterprises, LLC, a subsidiary of SPX Technologies, Inc., amended its existing credit agreement with Bank of America and other lenders to secure a $2.025 billion senior secured financing package. This amendment aims to enhance SPX’s financial flexibility, allowing for additional commitments and adjustments in credit facilities, while maintaining specific leverage and interest coverage ratios. The move is expected to impact the company’s operations by providing a robust financial structure to support its growth and investment strategies.