Victrex plc
Victrex plc Fundamental Analysis
Victrex plc (VTXPF) shows weak financial fundamentals with a PE ratio of 20.11, profit margin of 9.38%, and ROE of 6.40%. The company generates $0.3B in annual revenue with weak year-over-year growth of -3.52%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 39.6/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze VTXPF's fundamental strength across five key dimensions:
Efficiency Score
WeakVTXPF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentVTXPF trades at attractive valuation levels.
Growth Score
WeakVTXPF faces weak or negative growth trends.
Financial Health Score
ExcellentVTXPF maintains a strong and stable balance sheet.
Profitability Score
WeakVTXPF struggles to sustain strong margins.
Key Financial Metrics
Is VTXPF Expensive or Cheap?
P/E Ratio
VTXPF trades at 20.11 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, VTXPF's PEG of -3.02 indicates potential undervaluation.
Price to Book
The market values Victrex plc at 1.29 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.75 times EBITDA. This is generally considered low.
How Well Does VTXPF Make Money?
Net Profit Margin
For every $100 in sales, Victrex plc keeps $9.38 as profit after all expenses.
Operating Margin
Core operations generate 13.43 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.40 in profit for every $100 of shareholder equity.
ROA
Victrex plc generates $4.90 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Victrex plc produces operating cash flow of $70.74M, showing steady but balanced cash generation.
Free Cash Flow
Victrex plc generates strong free cash flow of $48.93M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.56 in free cash annually.
FCF Yield
VTXPF converts 8.73% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
20.11
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-3.02
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.29
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.89
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.010
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How VTXPF Stacks Against Its Sector Peers
| Metric | VTXPF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 20.11 | 24.91 | Better (Cheaper) |
| ROE | 6.40% | 840.00% | Weak |
| Net Margin | 9.38% | -105381.00% (disorted) | Weak |
| Debt/Equity | 0.11 | 0.55 | Strong (Low Leverage) |
| Current Ratio | 3.01 | 4.94 | Strong Liquidity |
| ROA | 4.90% | -4176.00% (disorted) | Weak |
VTXPF outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Victrex plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-0.19%
Industry Style: Cyclical, Commodity, Value
DecliningEPS CAGR
-81.56%
Industry Style: Cyclical, Commodity, Value
DecliningFCF CAGR
3.89%
Industry Style: Cyclical, Commodity, Value
Growing