Spectris plc

BATS-CHIXE:SXSL Stock Report

Market Cap: UK£2.5b

Spectris Valuation

Is SXSL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of SXSL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SXSL (£25.2) is trading below our estimate of fair value (£40.89)

Significantly Below Fair Value: SXSL is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SXSL?

Key metric: As SXSL is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SXSL. This is calculated by dividing SXSL's market cap by their current earnings.
What is SXSL's PE Ratio?
PE Ratio9.1x
EarningsUK£274.20m
Market CapUK£2.49b

Price to Earnings Ratio vs Peers

How does SXSL's PE Ratio compare to its peers?

The above table shows the PE ratio for SXSL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.5x
RSW Renishaw
23.5x12.6%UK£2.3b
OXIG Oxford Instruments
23.1x10.2%UK£1.2b
HLMA Halma
35.5x8.4%UK£10.2b
BIG Big Technologies
31.9x26.9%UK£399.6m
SXSL Spectris
9.1x-22.7%UK£2.5b

Price-To-Earnings vs Peers: SXSL is good value based on its Price-To-Earnings Ratio (9.1x) compared to the peer average (28.5x).

Price to Earnings Ratio vs Industry

How does SXSL's PE Ratio compare vs other companies in the European Electronic Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No. of Companies18PE01224364860+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SXSL is good value based on its Price-To-Earnings Ratio (9.1x) compared to the European Electronic industry average (17.9x).

Price to Earnings Ratio vs Fair Ratio

What is SXSL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SXSL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.1x
Fair PE Ratio12.7x

Price-To-Earnings vs Fair Ratio: SXSL is good value based on its Price-To-Earnings Ratio (9.1x) compared to the estimated Fair Price-To-Earnings Ratio (12.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst SXSL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£25.20
UK£30.23
+19.9%
9.1%UK£34.60UK£26.50n/a14
Nov ’25UK£25.28
UK£31.18
+23.3%
7.8%UK£35.00UK£27.25n/a14
Oct ’25UK£27.13
UK£34.93
+28.7%
12.3%UK£41.90UK£27.75n/a13
Sep ’25UK£29.72
UK£36.41
+22.5%
9.3%UK£41.90UK£29.50n/a12
Aug ’25UK£29.67
UK£36.45
+22.9%
9.3%UK£41.90UK£29.50n/a12
Jul ’25UK£28.08
UK£36.50
+30.0%
10.9%UK£44.35UK£27.50n/a12
Jun ’25UK£32.54
UK£37.52
+15.3%
9.8%UK£44.35UK£29.50n/a12
May ’25UK£32.80
UK£37.51
+14.4%
10.3%UK£44.35UK£29.50n/a12
Apr ’25UK£33.17
UK£37.71
+13.7%
10.6%UK£45.00UK£29.50n/a12
Mar ’25UK£33.78
UK£38.31
+13.4%
10.9%UK£45.00UK£29.00n/a12
Feb ’25UK£37.12
UK£39.18
+5.5%
10.8%UK£45.00UK£29.00n/a13
Jan ’25UK£37.82
UK£38.95
+3.0%
10.8%UK£44.00UK£29.00n/a13
Dec ’24UK£33.85
UK£38.91
+15.0%
11.0%UK£44.00UK£28.50n/a13
Nov ’24UK£31.22
UK£38.91
+24.6%
11.0%UK£44.00UK£28.50UK£25.2813
Oct ’24UK£34.16
UK£40.11
+17.4%
9.0%UK£44.00UK£31.00UK£27.1312
Sep ’24UK£33.14
UK£40.21
+21.3%
8.6%UK£44.00UK£31.00UK£29.7213
Aug ’24UK£34.50
UK£40.25
+16.7%
9.4%UK£44.00UK£31.00UK£29.6713
Jul ’24UK£36.00
UK£40.33
+12.0%
8.3%UK£44.00UK£33.00UK£28.0813
Jun ’24UK£36.90
UK£39.84
+8.0%
8.6%UK£44.00UK£33.00UK£32.5413
May ’24UK£37.50
UK£39.56
+5.5%
9.4%UK£44.00UK£32.30UK£32.8013
Apr ’24UK£36.74
UK£36.75
+0.03%
9.1%UK£42.00UK£29.50UK£33.1712
Mar ’24UK£35.47
UK£36.25
+2.2%
8.5%UK£40.00UK£29.50UK£33.7812
Feb ’24UK£32.28
UK£35.72
+10.7%
8.6%UK£39.20UK£29.50UK£37.1212
Jan ’24UK£30.14
UK£35.70
+18.5%
7.6%UK£39.20UK£30.50UK£37.8212
Dec ’23UK£31.84
UK£35.19
+10.5%
7.3%UK£38.35UK£30.50UK£33.8512
Nov ’23UK£29.86
UK£34.61
+15.9%
9.7%UK£38.35UK£25.96UK£31.2212

Analyst Forecast: Target price is less than 20% higher than the current share price.

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