Standex International (SXI) AI Stock Analysis

• Market Cap: $1.98B
• Dividend Yield: 0.76%
• Average Volume (3M): 111.60K
• Price to Earnings (P/E): 32.4
• Beta (1Y): 1.06
• Revenue Growth: 2.67%
• EPS Growth: -18.41%
• Country: US
• Employees: 3,700
• Sector: Industrials
• Sector Strength: 89
• Industry: Industrial - Machinery
• EPS (TTM): 1.95
• Shares Outstanding: 12,071,608
• 10 Day Avg. Volume: 118,673
• 30 Day Avg. Volume: 111,604
• PEG Ratio: 0.09
• Price to Book (P/B): 2.75
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 25.11
• Enterprise Value/Market Cap: 0.84
• Enterprise Value/Revenue: 0.58
• Enterprise Value/Gross Profit: 5.71
• Enterprise Value/Ebitda: 3.34
• 1Y Price Target: $191.75
• Price Target Upside: 15.07% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 69 Neutral
• Price Target: $176.00 ▲(5.62%Upside)

Standex International's strong earnings performance and growth potential, driven by acquisitions and strategic market expansions, are key strengths. However, challenges with organic revenue decline, high leverage, and potential overvaluation present risks that slightly temper the overall score.

Positive Factors

Financial Performance

Standex International achieved record sales and margins in Q3/25, driven by solid performance from core businesses and recent acquisitions.

Product Development

Standex International launched 13 new products year-to-date, surpassing its target for new product releases and driving top-line sales growth.

Strategic Acquisitions

The acquisition of Amran/Narayan enhanced SXI’s presence in the fast-growing high-margin electrical grid market driven by infrastructure upgrades, capacity expansion, and rising data center demand.

Negative Factors

Market Complexity

The portfolio transformation is expected to shift toward a more focused set of growing businesses, addressing investor concerns about complexity.

Organic Revenue Challenges

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

The timely acquisition of Amran/Narayan helped support an anticipated weaker fiscal third quarter, contributing significantly to revenue and offsetting tariff disruptions.

Standex International Business Overview & Revenue Model

Company Description

Standex International Corporation (SXI) is a diversified global manufacturer that operates in several business segments, including Food Service Equipment, Engraving, Engineering Technologies, Electronics, and Hydraulics. The company focuses on providing innovative solutions and high-quality products to a diverse client base across various industries, leveraging its expertise in engineering and manufacturing to meet specific customer needs.

How the Company Makes Money

Standex 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 Financial Statement Overview

Summary

Standex International demonstrates robust revenue growth, but profitability margins have faced downward pressure. Leverage has increased, which could be a concern if not managed properly. Cash flow generation is adequate but declining, impacting financial flexibility.

Income Statement

Standex International has shown consistent revenue growth over the years, with a significant increase from $604.5M in 2020 to $748.3M in the TTM period. The gross profit margin is healthy at 39.2% for TTM, though it has seen some fluctuations. The net profit margin decreased to 8.1% in the TTM period from 10.2% in 2023, indicating some pressure on net profitability. The EBIT and EBITDA margins are solid, though slightly down from the previous year, reflecting stable operational efficiency but slightly reduced profitability.

Balance Sheet

The balance sheet of Standex International is relatively strong, with a healthy equity ratio of 44.2% in the TTM period. The debt-to-equity ratio increased to 0.9, indicating higher leverage, which may pose a risk if not managed properly. The return on equity has decreased to 8.8% in the TTM period from 22.9% in 2023, suggesting reduced profitability for shareholders.

Cash Flow

Standex International's cash flow position shows a decline in operating cash flow in the TTM period compared to 2023, with a free cash flow of $58.2M. The operating cash flow to net income ratio is reasonable at 1.07, indicating that earnings are being effectively converted to cash. However, the free cash flow growth rate has turned negative compared to the previous year, highlighting potential cash management challenges.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	748.25M	720.63M	741.05M	735.34M	656.23M	604.53M
Gross Profit	293.36M	282.00M	285.10M	269.95M	241.26M	215.46M
EBITDA	108.95M	121.92M	191.45M	116.63M	91.98M	99.25M
Net Income	60.52M	73.07M	138.99M	61.39M	36.47M	41.01M
Balance Sheet
Total Assets	1.55B	1.01B	1.02B	934.44M	962.22M	930.88M
Cash, Cash Equivalents and Short-Term Investments	109.81M	154.20M	195.71M	104.84M	136.37M	118.81M
Total Debt	616.02M	187.89M	199.22M	214.08M	228.53M	235.44M
Total Liabilities	867.63M	383.55M	417.48M	435.10M	455.80M	469.25M
Stockholders Equity	686.93M	621.50M	607.45M	499.34M	506.43M	461.63M
Cash Flow
Free Cash Flow	58.22M	72.36M	66.53M	53.83M	61.83M	25.72M
Operating Cash Flow	64.76M	92.66M	90.80M	77.72M	83.58M	47.24M
Investing Cash Flow	-501.01M	-61.63M	41.56M	-31.04M	-39.09M	-617.00K
Financing Cash Flow	408.07M	-69.20M	-40.04M	-69.43M	-31.73M	-18.98M

Standex International Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 166.64
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

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 166.64 is above the 20-day moving average (MA) of 159.59, above the 50-day MA of 155.35, and below the 200-day MA of 174.82, indicating a neutral trend. The MACD of 3.43 indicates Negative momentum. The RSI at 61.31 is Neutral, neither overbought nor oversold. The STOCH value of 79.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SXI.

Standex International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TNC	71 Outperform	$1.52B	22.74	11.04%	1.43%	1.35%	-40.63%
SXI	69 Neutral	$1.98B	32.45	9.29%	0.76%	2.67%	-18.41%
HLIO	67 Neutral	$1.19B	32.91	4.27%	1.01%	-5.39%	12.14%
Sector *	65 Neutral	$10.82B	15.59	5.20%	1.89%	3.09%	-26.84%
EPAC	64 Neutral	$2.05B	23.42	21.91%	0.10%	2.82%	7.50%
HI	50 Neutral	$1.61B	―	-18.22%	3.94%	0.31%	-423.59%
ENOV	45 Neutral	$2.03B	―	-27.40%	―	18.32%	-712.12%

Standex International Corporate Events

Standex International Expands in Electrical Grid Market

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.