Luxfer Holdings PLC (LXFR)
Valuation Overview•Is Luxfer Holdings PLC Overvalued or Undervalued?
Trading at a relative discount to industry peers, suggesting a specific risk premium is applied.
Moderate quality score of 54/100, reflecting stable operating margins and manageable leverage.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: Average quality business weighed down by significant profitability concerns.
Wall Street sentiment is generally neutral with steady expected earnings growth. This is paired with healthy capital returns, anchored by a strong, well-covered dividend yield.
LXFR struggles with subpar profitability and pressured margins. This is supported by a highly conservative balance sheet featuring strong liquidity and pristine Altman Z safety.
The company is facing top-line contraction (-3.2% 3Y CAGR) paired with stable bottom-line earnings. Operating efficiency remains adequate with margins around 6.1%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $83.9M | -1.9% | -3.2% | +3.4% | -1.8% | |
| EBITDA | $6.2M | — | -18.6% | — | — | |
| Net Income | $3.6M | +70.1% | +5.2% | — | +6.9% | |
| EPS (Diluted) | $0.13 | +66.7% | +5.5% | +9.8% | +6.9% | |
| Free Cash Flow | -$6.1M | -35.8% | +51.1% | -8.8% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 24.1% | 21.3% | 22.4% | 24.2% |
| Operating Margin | 6.1% | 5.0% | 7.0% | 7.0% |
| Net Margin | 7.9% | 4.1% | 5.3% | 4.8% |
| FCF Margin | 4.3% | 7.1% | 5.5% | 6.1% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.20 | $0.27 | +35.0% | ||
| Q1'26 | $0.24 | $0.28 | +16.7% | ||
| Q4'25 | $0.25 | $0.30 | +20.0% | ||
| Q3'25 | $0.23 | $0.30 | +30.4% | ||
| Q2'25 | $0.17 | $0.23 | +35.3% | ||
| Q1'25 | $0.22 | $0.29 | +31.8% | ||
| Q4'24 | $0.18 | $0.28 | +55.6% | ||
| Q3'24 | $0.24 | $0.24 | +0.0% |
Total return is +69.6% (1Y), outperforming the benchmark by +44.6%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +42.2% | +32.9% | — |
| 1Y | +69.6% | +44.6% | +4.5% |
| 3YCAGR | +8.8% | -12.1% | +9.7% |
| 5YCAGR | +0.9% | -12.9% | +12.5% |
| 10YCAGR | +7.3% | -6.7% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Luxfer Holdings PLC (LXFR) valuation, health, and returns.
Based on peer relative multiples, Luxfer Holdings PLC appears Cheap versus peers compared to industry peers.
Luxfer Holdings PLC has multiple valuation anchors: Peer Relative Fair Value: $29.61. A convergence of these signals offers higher conviction.
Luxfer Holdings PLC displays fair financial health with a composite quality score of 54/100, supported by a Altman Z-Score of 3.8 (safe zone), Piotroski F-Score of 7/9, Return on Invested Capital (ROIC) of 6.8%.
Luxfer Holdings PLC pays a 2.7% dividend yield, covered by a 44% payout ratio with 0 years of growth, supplemented by a 0.6% buyback yield.
Luxfer Holdings PLC's current growth trajectory is Stable. The company achieved -1.9% 1Y revenue growth and +66.7% 1Y EPS growth, compared to its 3Y revenue CAGR of -3.2%.
Wall Street consensus is Buy based on 9 analysts, beating EPS expectations in 75% of recent quarters with a 7-quarter streak. The consensus price target represents a N/A change from current levels.
Investment risks for Luxfer Holdings PLC include: -27.0% 1-year max drawdown. Volatility risk is characterized by a beta of 1.30x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.