Capital Goods U.K. Community

Update as of 13 May: Amidst the tariff chaos and thus increased uncertainty about underlying growth trends, and after Balfour's recent quarterly report, I lowered exp. revenue growth to 12 per cent p.a., increased profit margins just a notch to 3.5 per cent and reduced the discount rate slightly to 9 per cent, still resulting in a fair value close to 600p.Read more

Key Takeaways Strategic expansions and partnerships in emerging and high-growth sectors like EVs position Volex for robust future revenue growth. Vertical integration and cost optimization are key to maintaining strong margins, supporting consistent earnings growth amid inflationary pressures.Read more

Key Takeaways Industry trends toward automation, energy efficiency, and smart products are driving IMI's margin expansion and recurring revenue growth. Disciplined capital allocation, targeted acquisitions, and operational efficiencies are supporting sustained earnings growth and future capital returns.Read more

Key Takeaways Continued investment in advanced manufacturing and materials strengthens Melrose's position in sustainable aerospace, driving revenue and future margin improvements. Streamlined operations, rising aftermarket activity, and global supply chain initiatives support resilient earnings growth and long-term margin stability.Read more

Key Takeaways Expanding decarbonization, energy optimization, and digital solutions are fueling sustained revenue growth, market share gains, and strengthening recurring earnings through higher-margin services. Strategic restructuring, a pivot to more stable MRO sales in Asia, and sector recovery enable margin expansion, innovation, and increased financial flexibility.Read more

Key Takeaways The acquisition of Fantech strengthens Volution's market position in Australia and New Zealand, offering opportunities for revenue and margin enhancements. Emphasis on sustainability and management development aims to boost operational efficiency and capture customer demand, supporting potential earnings growth.Read more

Key Takeaways Norcros's sustainable product development and strong market position aim to capture growing demand, potentially boosting revenue amidst shifting market preferences. Streamlined logistics and a robust balance sheet enhance operational efficiency and strategic flexibility, positioning the company for earnings growth and market expansion.Read more

Key Takeaways Strong demand and increased order book enhance revenue visibility, supporting growth and stability in various market segments. Transformative investments aim to improve productivity and margins, signaling potential for improved returns and competitive advantage.Read more

Key Takeaways Surge in global defense spending and modernization drives strong, visible growth for BAE, with expanded opportunities in advanced, high-value defense technologies and systems. Broad international presence and increased investment in R&D, production, and local partnerships diversify revenue streams and reduce reliance on limited government customers.Read more