Relx (RDED) AI Stock Analysis

Relx

(Frankfurt:RDED)

Rating:―N/A

Action:N/A

Date:―

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Positive Factors

Recurring Revenue ModelRecurring subscriptions, enterprise licenses and usage-based access embed RELX products in customer workflows. This supports retention, visibility and pricing power, while proprietary data and analytics create opportunities to cross-sell additional modules over the next several quarters.

Negative Factors

Elevated LeverageDebt at 2.3 times EBITDA leaves less financial buffer if demand weakens or operating performance disappoints. Capital returns may remain attractive, but elevated leverage can constrain flexibility for acquisitions, investment or resilience during a prolonged downturn.

Relx (RDED) vs. iShares MSCI Germany ETF (EWG)

Market Cap: EUR 69.58B
Dividend Yield: 2.18%
Average Volume (3M): 43
Price to Earnings (P/E): 23.7
Beta (1Y): 0.46
Revenue Growth: -1.40%
EPS Growth: 16.61%
Country: Germany
Employees: 37,000
Sector: Industrials
Sector Strength: 63
Industry: Specialty Business Services

Relx Business Overview & Revenue Model

Company Description

RELX Plc is a global enterprise that delivers data-driven analytical solutions and strategic decision-making instruments to professional and corporate clients across North America, Europe, and other international markets. Its operations are structure...

Relx Earnings Call Summary

Earnings Call Date:Jul 22, 2026(Q2-2026)|% Change Since:29.81%|Next Earnings Date:Nov 28, 2019

Earnings Call SentimentPositive

The call presented a clear bias of positive operating and financial momentum: double-digit EPS growth at constant currency, margin expansion, strong cash generation and continued AI-driven product adoption across key divisions (Risk, STM, Legal). Most divisions delivered revenue and profit growth ahead of revenue, and management reiterated guidance for continued strong underlying revenue growth and profit growth exceeding revenue for the full year. The principal negatives are timing and scheduling effects in Exhibitions, currency and print headwinds, modestly higher leverage due to buybacks/dividends, and some regulatory/legal uncertainties — none of which outweighed the breadth and magnitude of the operational progress and financial strength reported.

Positive Updates

Strong Group Financial Performance

Underlying revenue +7%; underlying adjusted operating profit +9%; group adjusted operating margin improved 70 basis points to 35.5%. Adjusted earnings per share +11% at constant currency (68.6p) and net profit +7% at constant currency (over GBP 1.2bn).

Negative Updates

Exhibitions Profitability & Event Timing Risks

First half underlying adjusted operating profit for Exhibitions only +2% due to event cycling, timing and rescheduling. Remaining uncertainty around events in the Middle East (those events represent ~3% of divisional revenue and <0.5% of group revenue) and travel disruption moderated growth.

Company Guidance

Management guided to "another year of strong underlying revenue growth" with underlying adjusted operating profit growth expected to exceed revenue growth, and continued strong adjusted EPS growth on a constant‑currency basis; in the first half underlying revenue was +7% and underlying adjusted operating profit +9% (group margin up 70bps to 35.5%), with segment H1 performance of Risk revenue +8%/op. profit +10%, STM revenue +6%/op. profit +8%, Legal revenue +10%/op. profit +13%, and Exhibitions revenue +6% (H1 op. profit +2%). They reiterated the objective of keeping cost growth below revenue growth (driving profit growth ~2–3pp ahead of revenue in Risk/STM/Legal), and flagged strong cash and capital metrics: cash conversion 98%, EBITDA ~£2.0bn, CapEx £292m (6% of revenue), free cash flow >£1.1bn, net debt £8.7bn (net debt/EBITDA 2.3x), interim dividend up 7% to 20.9p, £103m of acquisitions, £62m disposals and £1.75bn of share buybacks executed of a £2.25bn plan.

Relx Risk Analysis

Relx disclosed 17 risk factors in its most recent earnings report. Relx reported the most risks in the "Tech & Innovation" category.

Tech & Innovation - Risks related to the company’s reliance on technology and ability to make innovative products

Latest Risks Added

0 New Risks

Relx Peers Comparison

Overall Rating

UnderperformOutperform

Sector (63)

Financial Indicators

DE:RDED against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MMS	74Outperform	$3.34B	9.34	21.72%	2.02%	-3.32%	24.98%
III	73Outperform	$295.32M	25.20	12.32%	2.95%	4.18%	50.80%
ULS	71Outperform	$15.09B	29.78	37.55%	0.76%	6.61%	53.23%
CBZ	70Outperform	$3.01B	21.99	7.96%	―	3.74%	48.86%
FA	66Neutral	$3.71B	146.47	1.93%	―	32.89%	―
Sector *	63Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

* Industrials Sector Average

Performance Comparison

DE:RDED and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
DE:RDED	Relx PLC (ADR)	35.80	-1.21	-3.27%
CBZ	CBIZ Inc	54.98	-0.08	-0.15%
III	Information Services Group	6.28	0.60	10.49%
MMS	Maximus	66.55	-15.67	-19.06%
FA	First Advantage Corporation	22.06	9.21	71.67%
ULS	UL Solutions Inc. Class A	75.14	-11.25	-13.02%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Relx AI Stock Analysis