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Halma plc (HLMA) AI Stock Analysis
Halma plc
(LSE:HLMA)
The score is primarily supported by strong financial performance (consistent growth, healthy profitability, and solid free cash flow with moderate leverage). This is tempered by weaker technicals (below key longer-term moving averages and negative MACD) and a demanding valuation (P/E of 36 with a low dividend yield).
Halma plc (HLMA) vs. iShares MSCI United Kingdom ETF (EWC)
- Market Cap
- GBP 13.02B
- Dividend Yield
- 0.72%
- Average Volume (3M)
- 996.25K
- Price to Earnings (P/E)
- 35.2
- Beta (1Y)
- 0.95
- Revenue Growth
- 14.87%
- EPS Growth
- 25.57%
- Country
- UK
- Employees
- 9,000
- Sector
- Industrials
- Sector Strength
- 63
- Industry
- Conglomerates
Halma plc Business Overview & Revenue Model
Company Description
Halma plc, a company established in 1894 and headquartered in Amersham, United Kingdom, specializes in delivering innovative technological solutions across critical safety, health, and environmental sectors. Its operations are organized into three di...
How the Company Makes Money
Halma makes money primarily by selling specialized safety, health, and environmental technology products through its portfolio of operating companies (subsidiaries). Its main revenue stream is product sales to business and institutional customers (B2...
Halma plc Earnings Call Summary
The earnings call presented a strong performance by Halma, with record half-year results, robust growth across sectors, significant investments, and a strong balance sheet. However, challenges such as cash conversion being below KPI and currency headwinds were noted. The strong positive aspects significantly outweighed the lowlights.
Q2-2026 Updates
Positive Updates
Negative Updates
Company Guidance
During the call, Halma reported strong financial results for the first half of the fiscal year 2026, driven by a diverse range of performance metrics across its sectors. The company achieved 15% headline revenue growth and a 27% increase in EBIT, with an organic revenue growth rate of 16.7%. Photonics significantly contributed to this growth, accounting for half of the organic increase. Halma maintained a robust margin of 22.3%, up by 160 basis points, and achieved a 16.2% return on capital, an increase of 190 basis points. Strategic investments totaled GBP 300 million, including GBP 60 million in R&D and GBP 130 million in acquisitions, supporting future growth. Despite a lower cash conversion rate of 79%, the company expects to align with its 90% KPI by year-end. Notably, Safety sector margins reached a historic high of 27%, with a 280 basis point increase. The Environmental & Analysis sector, excluding a one-off benefit, saw organic revenue and profit growth of 36% and 38%, respectively. Halma also upgraded its full-year guidance, anticipating mid-teens percentage organic constant currency revenue growth and an adjusted EBIT margin of around 22%.
Halma plc Financial Statement Overview
Summary
Strong fundamentals overall: consistent revenue growth, healthy operating and net margins, moderate leverage, and solid free-cash-flow generation. Offsetting factors are volatility in operating cash flow versus profit and an apparent data gap (latest-year gross profit/margin reported as zero), which reduces confidence in the most recent cost/margin assessment.
Income Statement
86Very PositiveBalance Sheet
78PositiveCash Flow
82Very Positive| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.58B | 2.58B | 2.25B | 2.03B | 1.85B | 1.53B |
| Gross Profit | 52.70M | 1.29B | 1.13B | 1.01B | 877.90M | 724.30M |
| EBITDA | 665.20M | 656.80M | 537.30M | 475.50M | 410.60M | 373.40M |
| Net Income | 372.30M | 372.30M | 296.40M | 268.80M | 234.50M | 244.40M |
Balance Sheet | ||||||
| Total Assets | 3.71B | 3.71B | 3.26B | 3.00B | 2.79B | 2.20B |
| Cash, Cash Equivalents and Short-Term Investments | 143.40M | 143.40M | 313.20M | 142.70M | 169.50M | 157.40M |
| Total Debt | 913.40M | 913.40M | 849.00M | 795.90M | 766.20M | 432.20M |
| Total Liabilities | 1.54B | 1.54B | 1.36B | 1.26B | 1.19B | 792.80M |
| Stockholders Equity | 2.17B | 2.17B | 1.90B | 1.74B | 1.60B | 1.40B |
Cash Flow | ||||||
| Free Cash Flow | 398.90M | 398.90M | 433.00M | 333.40M | 195.30M | 189.40M |
| Operating Cash Flow | 453.80M | 453.80M | 492.40M | 385.00M | 241.20M | 229.40M |
| Investing Cash Flow | -504.70M | -504.70M | -163.90M | -286.30M | -369.60M | -134.90M |
| Financing Cash Flow | -121.10M | -121.10M | -155.10M | -119.70M | 138.50M | -73.70M |
Halma plc Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:HLMA, the sentiment is Neutral. The current price of 3448.00 is above the 20-day moving average (MA) of 3431.30, below the 50-day MA of 3508.32, and below the 200-day MA of 3855.35, indicating a neutral trend. The MACD of -32.38 indicates Negative momentum. The RSI at 50.13 is Neutral, neither overbought nor oversold. The STOCH value of 93.07 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:HLMA.
Halma plc Peers Comparison
Overall Rating
GB:DPLM79Outperform
GB:IMI76Outperform
GB:ITRK73Outperform- GB:HLMA67Neutral
GB:RS165Neutral
GB:SMIN61Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| GB:DPLM | 79Outperform | GBP 9.65B | 51.03 | 18.55% | 0.88% | 13.31% | 13.05% |
| GB:IMI | 76Outperform | GBP 6.75B | 21.01 | 32.41% | 1.23% | 7.67% | 45.97% |
| GB:ITRK | 73Outperform | GBP 9.10B | 28.51 | 29.86% | 2.78% | 3.94% | -8.14% |
| GB:HLMA | 67Neutral | GBP 13.02B | 35.18 | 17.92% | 0.72% | 14.87% | 25.57% |
| GB:RS1 | 65Neutral | GBP 3.59B | 22.43 | 11.55% | 2.92% | -0.77% | 6.65% |
| Sector * | 63Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% |
| GB:SMIN | 61Neutral | GBP 7.39B | 4.29 | 92.97% | 1.80% | -33.55% | 4.29% |
* Industrials Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| GB:HLMA | Halma plc | 3448.00 | -107.07 | -3.01% | |
| GB:DPLM | Diploma plc | 7195.00 | 1654.71 | 29.87% | |
| GB:RS1 | Rs Group Plc | 785.00 | 247.93 | 46.16% | |
| GB:IMI | IMI plc | 2878.00 | 526.10 | 22.37% | |
| GB:ITRK | Intertek Group plc | 5930.00 | 988.42 | 20.00% | |
| GB:SMIN | Smiths Group plc | 2697.00 | 209.93 | 8.44% |
Halma plc Corporate Events
Halma awards free shares to senior executives under incentive plan
PositiveHalma plc has granted awards of free ordinary shares to several members of its senior management under the Halma Group Share Incentive Plan, reinforcing equity participation among the company’s top decision-makers. Recipients include Chief Exec...
Halma lifts margin guidance as record dealmaking fuels growth
PositiveHalma reported strong first-half trading, with broad-based growth despite economic and geopolitical uncertainty and reaffirmed its position as a compounding growth business underpinned by its decentralised Sustainable Growth Model. The group continue...
Halma buys U.S. water-quality specialist Pyxis in $170m deal
PositiveHalma has agreed to acquire Pyxis, a specialist in real-time water quality monitoring and analysis, in a deal valuing the three Pyxis companies at an initial $170m, with up to $30m of additional earn-outs tied to performance through March 2029. Pyxis...
Halma CEO Marc Ronchetti Discloses £1.8m Share Sale Under Market Rules
NeutralHalma plc, a U.K.-based specialist in safety, health and environmental technologies, develops products and services that protect life and support critical industrial, medical and environmental applications. Its shares are listed on the London Stock E...
Halma Executive Jennifer Ward Sells Over £779,000 in Company Shares
NeutralHalma has disclosed that its Chief Talent, Culture and Communications Executive, Jennifer Ward, sold a total of 21,393 ordinary shares in two transactions on 22 and 23 July 2026 on the London Stock Exchange. The sale, conducted at an aggregated price...
Halma shareholders back all resolutions at 2026 AGM, reinforcing board mandate
PositiveHalma plc reported that all 21 resolutions at its 2026 Annual General Meeting were approved by shareholders, including adoption of the annual report, declaration of a final dividend and strong support for the board’s remuneration report. The me...
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.
Date of analysis: Oct 11, 2026