LSE:SXS

Stock Analysis Report

Executive Summary

Spectris plc manufactures and sells measuring instruments and controls worldwide.

Snowflake

Fundamentals

Excellent balance sheet average dividend payer.


Similar Companies

Share Price & News

How has Spectris's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.0%

LSE:SXS

-0.4%

GB Electronic

0.05%

GB Market


1 Year Return

3.0%

LSE:SXS

1.8%

GB Electronic

-0.7%

GB Market

SXS outperformed the Electronic industry which returned 1.8% over the past year.

SXS outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -0.7% over the past year.


Share holder returns

SXSIndustryMarket
7 Day2.0%-0.4%0.05%
30 Day9.7%4.7%3.5%
90 Day-9.5%-2.0%-0.1%
1 Year5.7%3.0%3.5%1.8%4.1%-0.7%
3 Year34.9%26.0%61.2%54.1%21.2%6.7%
5 Year52.5%35.3%119.4%101.0%31.5%3.8%

Price Volatility Vs. Market

How volatile is Spectris's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Spectris undervalued based on future cash flows and its price relative to the stock market?

0.851%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Spectris's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Spectris's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Spectris is overvalued based on earnings compared to the GB Electronic industry average.

Spectris is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.


Price Based on Expected Growth

Spectris is poor value based on expected growth next year.


Price Based on Value of Assets

Spectris is overvalued based on assets compared to the GB Electronic industry average.


Next Steps

Future Growth

How is Spectris expected to perform in the next 1 to 3 years based on estimates from 14 analysts?

41.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Spectris's revenue is expected to grow by 2.3% yearly, however this is not considered high growth (20% yearly).

Spectris's earnings are expected to grow significantly at over 20% yearly.

Spectris's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.

Spectris's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.

Spectris's earnings growth is expected to exceed the low risk savings rate of 1.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Spectris is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Spectris performed over the past 5 years?

8.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Spectris's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

Spectris's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Spectris's 1-year earnings growth is negative, it can't be compared to the GB Electronic industry average.


Return on Equity

Spectris has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Spectris used its assets less efficiently than the GB Electronic industry average last year based on Return on Assets.


Return on Capital Employed

Spectris's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Spectris's financial position?


Financial Position Analysis

Spectris is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Spectris's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Spectris's level of debt (33.8%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (16.1% vs 33.8% today).

Debt is well covered by operating cash flow (50.8%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 26.2x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.7x debt.


Next Steps

Dividend

What is Spectris's current dividend yield, its reliability and sustainability?

2.76%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Spectris before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Spectris's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.02%).

Spectris's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.49%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (0.7x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.5x coverage).


Next Steps

Management

What is the CEO of Spectris's salary, the management and board of directors tenure and is there insider trading?

0.8yrs

Average management tenure


CEO

Andrew Heath (55yo)

1yrs

Tenure

UK£848,353

Compensation

Mr. Andrew Heath has been the Director of Spectris plc since September 3, 2018 and has been its Chief Executive Officer since September 28, 2018. He served as the Chief Executive Officer of Imagination Tec ...


CEO Compensation Analysis

Andrew's remuneration is lower than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.

Insufficient data for Andrew to compare compensation growth.


Management Age and Tenure

0.8yrs

Average Tenure

53yo

Average Age

The average tenure for the Spectris management team is less than 2 years, this suggests a new team.


Board Age and Tenure

2.5yrs

Average Tenure

56yo

Average Age

The average tenure for the Spectris board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUK£15018 Dec 18
Karim Bitar
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares680
Max PriceUK£0.22

Ownership Breakdown


Management Team

  • Siobhán Andrews

    Head of Corporate Affairs

    • Tenure: 0yrs
  • Joe Vorih (51yo)

    President of HBK

    • Tenure: 0yrs
  • Paolo Carmassi

    President of Malvern Panalytical

    • Tenure: 0.7yrs
  • Derek Harding (46yo)

    Chief Financial Officer

    • Tenure: 0.7yrs
  • Andrew Heath (55yo)

    CEO & Executive Director

    • Tenure: 1yrs
    • Compensation: UK£848.35k
  • Andrew Harvey (55yo)

    Group Human Resources Director

    • Tenure: 2.7yrs
  • Rebecca Dunn

    Deputy Company Secretary

    • Tenure: 0yrs
  • Robert Martin

    Deputy Company Secretary

    • Tenure: 0yrs
  • Mark Serfözo

    Company Secretary & General Counsel

    • Tenure: 1.9yrs
  • Greg Wright

    President of Omega

    • Tenure: 0.7yrs

Board Members

  • Kjersti Wiklund (56yo)

    Non Executive Director

    • Tenure: 2.7yrs
    • Compensation: UK£55.00k
  • Martha Wyrsch (61yo)

    Non-Executive Director

    • Tenure: 7.3yrs
    • Compensation: UK£70.00k
  • Mark Williamson (61yo)

    Non-Executive Chairman

    • Tenure: 2.3yrs
    • Compensation: UK£220.00k
  • Cathy Turner (56yo)

    Non-Executive Director

    • Tenure: 0yrs
  • Russell King (62yo)

    Senior Independent Director

    • Tenure: 0yrs
    • Compensation: UK£75.00k
  • Bill Seeger (67yo)

    Non-Executive Director

    • Tenure: 4.7yrs
    • Compensation: UK£80.00k
  • Derek Harding (46yo)

    Chief Financial Officer

    • Tenure: 0.7yrs
  • Karim Bitar (54yo)

    Non-Executive Director

    • Tenure: 2.2yrs
    • Compensation: UK£55.00k
  • Andrew Heath (55yo)

    CEO & Executive Director

    • Tenure: 1yrs
    • Compensation: UK£848.35k
  • Ulf Quellmann (53yo)

    Non-Executive Director

    • Tenure: 4.7yrs
    • Compensation: UK£61.00k

Company Information

Spectris plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Spectris plc
  • Ticker: SXS
  • Exchange: LSE
  • Founded: 1915
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: UK£2.920b
  • Shares outstanding: 115.94m
  • Website: https://www.spectris.com

Number of Employees


Location

  • Spectris plc
  • Heritage House
  • Church Road
  • Egham
  • Surrey
  • TW20 9QD
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SEPJ.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
SXSLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992
SXSLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1992
FA9DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
SXS NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNJan 1992
SEPJ.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDMay 2011

Biography

Spectris plc manufactures and sells measuring instruments and controls worldwide. It operates through four segments: Materials Analysis, Test and Measurement, In-line Instrumentation, and Industrial Contro ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/19 20:37
End of Day Share Price2019/09/19 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.