Update shared on07 Aug 2025
Fair value Increased 3.16%IMI’s fair value was slightly raised as its Future P/E multiple increased, indicating marginally higher near-term earnings expectations, while revenue growth forecasts remained steady, resulting in a modest price target increase from £23.54 to £23.72.
What's in the News
- IMI plc is recommending a 2025 interim dividend of 11.0 pence per share, up from 10.0 pence in 2024.
- The company plans to seek bolt-on acquisitions, prioritizing attractive, long-term growth markets that meet strict financial criteria, while maintaining a disciplined capital allocation approach.
- IMI expects to deliver GBP 1 billion of free cash flow over the next three years, supporting organic growth, investments in operations, and continued returns to shareholders, including maintaining a progressive dividend and potential capital returns if leverage remains low.
- IMI's partnership with RS enhances the distribution of its pneumatic actuators, expanding its reach across diverse sectors such as industrial automation, transportation, and life sciences, and reinforcing its leadership in fluid and motion control solutions.
Valuation Changes
Summary of Valuation Changes for IMI
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from £23.54 to £23.72.
- The Future P/E for IMI has risen slightly from 17.59x to 18.32x.
- The Consensus Revenue Growth forecasts for IMI remained effectively unchanged, moving only marginally from 4.8% per annum to 4.7% per annum.
Disclaimer
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