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Standex International (SXI)
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Standex International (SXI) AI Stock Analysis

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SXI

Standex International

(NYSE:SXI)

Rating:66Neutral
Price Target:
$196.00
▲(1.11% Upside)
Standex International's overall stock score is driven by strong financial performance and positive earnings call insights, despite high valuation concerns and mixed technical indicators. The company's strategic investments and growth in fast markets offer potential, but investor caution is advised due to leverage and valuation risks.
Positive Factors
Financial Performance
Standex International's Q4 financial results exceeded expectations with a significant sales increase and adjusted EBITDA growth.
Market Expansion
Sales to fast growth markets accounted for 28% of total sales and are projected to continue increasing, indicating strong market potential.
New Product Development
The introduction of new products contributed to incremental sales growth, with expectations for further revenue increase from upcoming product launches.
Negative Factors
Revenue Slide
Standex is nearing the end of an organic revenue slide, with a strategy that includes accretive acquisitions and emerging R&D initiatives enhancing earnings power.
Tariff Disruptions
Tariff mitigation efforts on margins came in better than expected, but the anticipation of weaker fiscal quarters suggests ongoing challenges.

Standex International (SXI) vs. SPDR S&P 500 ETF (SPY)

Standex International Business Overview & Revenue Model

Company DescriptionStandex International Corporation, together with subsidiaries, manufactures and sells various products and services for commercial and industrial markets in the United States and internationally. It operates through five segments: Electronics, Engraving, Scientific, Engineering Technologies, and Specialty Solutions. The Electronics segment offers reed relays, fluid level, proximity, motion, flow, HVAC condensate, and custom electronics sensors; and current sense and advanced planar transformer technologies, value added assemblies, and mechanical packaging, as well as custom wound transformers and inductors for low and high frequency applications. The Engraving segment provides mold texturizing, slush molding tools, roll engraving, hygiene product tooling, and low observation vents, as well as project management and design services for stealth aircraft; and process machinery for various industries. The Scientific segment offers temperature controlled equipment for the medical, scientific, pharmaceutical, biotech, and industrial markets. The Engineering Technologies segment offers net and near net formed single-source customized solutions that are used in the manufacture of engineered components for the aviation, aerospace, defense, energy, industrial, medical, marine, oil and gas, and manned and unmanned space markets. The Specialty Solutions segment manufactures and sells refrigerated, heated and dry merchandizing display cases, custom fluid pump solutions, single and double acting telescopic, and piston rod hydraulic cylinders. Standex International Corporation was founded in 1955 and is headquartered in Salem, New Hampshire.
How the Company Makes MoneyStandex International makes money through the sale of its products and services across its diverse business segments. In the Food Service Equipment segment, revenue is generated from the sale of commercial food service equipment to restaurants, hotels, and institutions. The Engraving segment earns revenue through providing mold texturizing services, roll engraving, and other related services primarily to the automotive industry. The Engineering Technologies segment generates revenue by offering metal forming solutions, including spun and hydroformed products, to the aerospace, defense, and energy sectors. The Electronics segment contributes to earnings through the sale of electronic components, such as sensors and switches, to industrial, automotive, and medical markets. Lastly, the Hydraulics segment makes money by selling hydraulic cylinders and systems to the industrial and mobile equipment markets. Standex's revenue streams are supported by strategic partnerships, long-term contracts, and a focus on innovation and customer service, enabling the company to maintain competitive advantages in its various markets.

Standex International Earnings Call Summary

Earnings Call Date:Jul 31, 2025
(Q4-2025)
|
% Change Since: 17.67%|
Next Earnings Date:Oct 30, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant achievements in profit generation, segment growth, and new product development, setting a positive outlook for fiscal 2026. However, challenges such as organic revenue decline, difficulties in the Scientific segment, and debt pressure were noted, slightly balancing the optimistic tone.
Q4-2025 Updates
Positive Updates
Record Profit Generation in Fiscal 2025
Standex achieved record profit generation, with a 23.2% increase in sales during the fourth quarter, driven by acquisitions and new product sales. Operating performance was strong, with a record adjusted operating margin of 20.6%, up 120 basis points sequentially and 350 basis points year-on-year.
Strong Growth in Electronics Segment
The Electronics segment saw a 43.2% year-on-year revenue increase to $115.2 million, driven by a 41% benefit from acquisitions and organic growth of 0.3%. The adjusted operating margin increased by 640 basis points year-on-year.
Expansion into Fast Growth Markets
Sales into fast growth markets increased to 28% of total company sales, with expectations to grow by approximately 45% year-on-year in fiscal 2026, exceeding $265 million.
Successful New Product Development
Standex released 16 new products in fiscal 2025, with new product sales contributing approximately 2.8% to sales, ahead of the 2% goal. This is expected to add about 3% to sales in 2026.
Negative Updates
Organic Revenue Decline
Despite overall sales growth, Standex experienced a slight organic revenue decline of 1.4% in the fourth quarter of 2025.
Challenges in Scientific Segment
The Scientific segment faced a 13.9% organic decline due to lower demand from academic and research institutions impacted by NIH funding cuts. This resulted in a decrease in adjusted operating margin by 530 basis points year-on-year.
Pressure from Debt and Interest Expenses
Standex's net debt increased to $448 million, with an interest expense projection of approximately $9 million for the first quarter of fiscal 2026, indicating a continued focus on debt paydown.
Company Guidance
During the Standex International Fiscal Fourth Quarter 2025 Financial Results Conference Call, the company reported a 23.2% increase in sales, driven by acquisitions and slight organic decline, with a book-to-bill ratio above 1 and organic orders up 16% year-on-year. Fast growth markets accounted for 28% of total sales, and new product sales contributed 2.8%, surpassing the goal of 2%. Operating margin reached a record 20.6%, up 120 basis points sequentially and 350 basis points year-on-year, aided by cash generation and repatriation, reducing the net leverage ratio to 2.6x. Looking ahead to fiscal 2026, Standex expects over $100 million in revenue growth, driven by mid- to high single-digit organic growth in Electronics, double-digit growth in Engineering Technologies, and acquisition contributions. Sales from fast growth markets are projected to grow approximately 45%, exceeding $265 million. The company plans to release more than 15 new products, contributing approximately 300 basis points to sales growth. Standex is also expanding its Amran/Narayan capacity and establishing a new site in Croatia to support European demand, anticipating significant revenue and operating margin growth in fiscal first quarter 2026, despite slight sequential revenue decline due to project timing and seasonality.

Standex International Financial Statement Overview

Summary
Standex International demonstrates robust revenue growth and improved operational margins, yet faces challenges with net income reduction and higher leverage. While cash flow has decreased, the company's investment activities may position it well for future opportunities. Overall, the financials show strong performance with some areas needing attention.
Income Statement
75
Positive
The income statement shows strong growth, with a notable revenue increase from $720.6M to $790.1M (9.6% growth). Gross profit margin improved to 38.0%, and EBIT margin increased to 15.4%, indicating enhanced profitability. However, net income decreased to $55.8M, lowering the net profit margin to 7.1%. Despite this, the company maintains solid operational efficiency.
Balance Sheet
70
Positive
The balance sheet reflects a stable financial position with an equity ratio of 45.4%, indicating solid equity backing. The debt-to-equity ratio increased to 0.83, suggesting higher leverage, which could pose a risk if not managed well. However, return on equity remains healthy at 7.8%, showing effective use of equity.
Cash Flow
65
Positive
Cash flow analysis reveals a decrease in free cash flow from $72.4M to $41.3M, indicating a decline in cash generation capacity. The operating cash flow to net income ratio is 1.25, suggesting decent cash conversion. While free cash flow decreased, the company made substantial investments that could drive future growth.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue790.11M790.11M720.63M741.05M735.34M656.23M
Gross Profit310.60M300.64M282.00M285.10M269.95M241.26M
EBITDA118.75M128.18M121.92M191.45M116.63M91.98M
Net Income55.76M55.76M73.07M138.99M61.39M36.47M
Balance Sheet
Total Assets1.57B1.57B1.01B1.02B934.44M962.22M
Cash, Cash Equivalents and Short-Term Investments104.54M104.54M154.20M195.71M104.84M136.37M
Total Debt592.57M592.57M187.89M199.22M214.08M228.53M
Total Liabilities827.29M827.29M383.55M417.48M435.10M455.80M
Stockholders Equity711.68M711.68M621.50M607.45M499.34M506.43M
Cash Flow
Free Cash Flow61.06M41.25M72.36M66.53M53.83M61.83M
Operating Cash Flow69.64M69.60M92.66M90.80M77.72M83.58M
Investing Cash Flow-503.43M-503.43M-61.63M41.56M-31.04M-39.09M
Financing Cash Flow380.49M380.49M-69.20M-40.04M-69.43M-31.73M

Standex International Technical Analysis

Technical Analysis Sentiment
Positive
Last Price193.85
Price Trends
50DMA
159.78
Positive
100DMA
156.09
Positive
200DMA
173.63
Positive
Market Momentum
MACD
6.23
Negative
RSI
80.21
Negative
STOCH
94.60
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SXI, the sentiment is Positive. The current price of 193.85 is above the 20-day moving average (MA) of 165.49, above the 50-day MA of 159.78, and above the 200-day MA of 173.63, indicating a bullish trend. The MACD of 6.23 indicates Negative momentum. The RSI at 80.21 is Negative, neither overbought nor oversold. The STOCH value of 94.60 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SXI.

Standex International Risk Analysis

Standex International disclosed 26 risk factors in its most recent earnings report. Standex International reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Standex International Peers Comparison

Overall Rating
UnderperformOutperform
Sector (59)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
$1.56B23.1211.04%1.44%1.35%-40.63%
68
Neutral
$1.18B31.803.93%1.02%-5.39%12.14%
66
Neutral
$0.0040.318.37%0.70%9.64%-24.68%
64
Neutral
$2.15B23.5721.91%0.11%2.82%7.50%
59
Neutral
AU$1.62B9.942.84%3.53%9.79%5.94%
54
Neutral
$1.39B-18.22%4.56%0.31%-423.59%
44
Neutral
$1.51B-27.40%18.32%-712.12%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SXI
Standex International
193.85
28.67
17.36%
EPAC
Enerpac Tool Group
39.79
0.61
1.56%
ENOV
Enovis
26.46
-14.11
-34.78%
HI
Hillenbrand
20.41
-16.28
-44.37%
HLIO
Helios Technologies
48.12
5.64
13.28%
TNC
Tennant Co
83.61
-11.11
-11.73%

Standex International Corporate Events

M&A TransactionsBusiness Operations and Strategy
Standex International Expands in Electrical Grid Market
Positive
Oct 29, 2024

Standex International Corporation has made significant strides in the electrical grid market by acquiring Amran Instrument Transformers and Narayan Powertech Pvt. Ltd., valued at $462 million. These strategic acquisitions are anticipated to boost Standex’s revenue growth, EBITDA margin, and presence in fast-growing markets, with expected revenues of $100 million in 2024. The integration of Amran/Narayan Group enhances Standex’s technology platform and geographic reach, contributing to its portfolio strategy of focusing on high-margin business segments. The consolidation aims to leverage cross-selling opportunities and maintain a strong market position.

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: Aug 02, 2025