Haleon PLC (HLN) AI Stock Analysis

• Market Cap: £30.23B
• Dividend Yield: 1.66%
• Average Volume (3M): 17.77M
• Price to Earnings (P/E): 20.1
• Beta (1Y): 0.31
• Revenue Growth: -2.12%
• EPS Growth: 42.10%
• Country: UK
• Employees: 24,561
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 0.09
• Shares Outstanding: 8,933,466,000
• 10 Day Avg. Volume: 22,789,352
• 30 Day Avg. Volume: 17,770,121
• PEG Ratio: 0.53
• Price to Book (P/B): 2.13
• Price to Sales (P/S): 3.07
• P/FCF Ratio: 17.37
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £421.00
• Price Target Upside: 24.41% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9

• Rating: 70 Outperform
• Price Target: 398.00p ▲(17.61% Upside)

Haleon PLC's overall stock score reflects a strong financial foundation with robust profitability and cash flow management. However, technical indicators and valuation suggest a more cautious outlook. The earnings call highlighted regional strengths but also significant challenges in North America, impacting the overall sentiment. The absence of notable corporate events leaves the focus on financial and operational performance.

Positive Factors

Cash Flow Management

Strong cash flow management indicates Haleon's ability to efficiently convert earnings into cash, supporting reinvestment and debt servicing, which is crucial for long-term financial health.

Market Position in EMEA, LatAm, and APAC

Haleon's robust growth in these regions highlights its competitive advantage and market penetration, ensuring sustained revenue streams and market share expansion in diverse geographies.

Gross Margin Improvement

Improved gross margins reflect effective cost management and supply chain productivity, enhancing profitability and providing a buffer against market fluctuations.

Negative Factors

Challenges in North America

Declining sales in North America due to low consumer confidence and inventory pressures could hinder overall growth, requiring strategic adjustments to regain momentum.

Decline in Smokers' Health Segment

The decline in the Smokers' Health segment indicates potential vulnerabilities in product offerings, necessitating innovation or diversification to mitigate impact on overall performance.

Struggles in Pain Relief and VMS Categories

Loss of market share in key categories like Pain Relief and VMS suggests competitive pressures and consumer preference shifts, challenging Haleon to innovate and recapture market position.

Haleon PLC Business Overview & Revenue Model

Company Description

Haleon plc engages in the research and development, manufacture, and sale of various consumer healthcare products in North America, Europe, the Middle East, Africa, Latin America, and the Asia Pacific. The company provides therapeutic oral health, pain relief, respiratory health, digestive health, and other products, as well as vitamins, minerals, and supplements. Its portfolio of brands include Panadol, Voltaren, Advil, Otrivin, Theraflu, Sensodyne, Polident, parodontax, and Centrum. The company was formerly known as DRVW 2022 plc and changed its name to Haleon plc in February 2022. Haleon plc was incorporated in 2021 and is headquartered in Brentford, the United Kingdom.

How the Company Makes Money

Haleon PLC generates revenue primarily through the sale of its consumer healthcare products across various global markets. The company’s revenue streams are diversified across its core product categories, with significant contributions from brands that hold leading market positions in their respective segments. Haleon benefits from strong distribution channels, both through direct sales to retailers and partnerships with healthcare professionals and pharmacies. Additionally, the company invests in research and development to innovate and enhance its product offerings, thereby driving consumer demand and market share growth. Strategic partnerships and marketing initiatives further strengthen its revenue generation capabilities by expanding its reach and enhancing brand recognition.

Haleon PLC Financial Statement Overview

Summary

Haleon PLC demonstrates strong financial performance with solid profitability and cash flow management. The income statement shows resilience with consistent gross profit margins and a significant increase in net income. The balance sheet is stable, though there is a need for cautious debt management. Cash flow is robust, with operating cash flow consistently exceeding net income, indicating healthy cash generation.

Income Statement

Haleon PLC demonstrates solid profitability with gross profit margins consistently around 60% over the years. Net income has shown resilience with a significant increase from 2022 to 2024. The company has also managed steady revenue growth, although there was a slight decline in revenue from 2023 to 2024. EBIT and EBITDA margins remain strong, indicating effective cost management.

Balance Sheet

The balance sheet of Haleon PLC shows a balanced equity position with a stable stockholders' equity. The debt-to-equity ratio is moderate, reflecting a manageable level of debt compared to equity. The equity ratio indicates a solid capital structure, though the total liabilities have increased over the years, suggesting a need for cautious debt management.

Cash Flow

The company has demonstrated strong cash flow management, with operating cash flow consistently exceeding net income, indicating healthy cash generation from operations. Free cash flow has been growing steadily, showing robust capability for reinvestment and debt servicing. The free cash flow to net income ratio highlights efficient conversion of earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.02B	11.23B	11.30B	10.86B	9.54B	9.89B
Gross Profit	6.81B	6.82B	6.75B	6.73B	5.95B	5.91B
EBITDA	2.79B	2.68B	2.67B	2.68B	2.21B	2.19B
Net Income	1.52B	1.44B	1.05B	1.06B	1.39B	1.15B
Balance Sheet
Total Assets	31.83B	34.31B	34.05B	34.81B	34.45B	34.13B
Cash, Cash Equivalents and Short-Term Investments	676.00M	2.19B	1.04B	684.00M	414.00M	334.00M
Total Debt	8.54B	10.10B	9.46B	10.44B	991.00M	487.00M
Total Liabilities	15.83B	18.09B	17.33B	18.36B	7.97B	7.91B
Stockholders Equity	15.94B	16.17B	16.61B	16.33B	26.36B	26.11B
Cash Flow
Free Cash Flow	931.00M	1.98B	1.76B	1.74B	1.06B	1.09B
Operating Cash Flow	1.03B	2.30B	2.10B	2.06B	1.36B	1.41B
Investing Cash Flow	-76.00M	528.00M	-134.00M	-8.78B	-33.00M	1.03B
Financing Cash Flow	-2.52B	-1.54B	-1.57B	6.91B	-1.24B	-2.44B

Haleon PLC Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 338.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:HLN, the sentiment is Negative. The current price of 338.4 is below the 20-day moving average (MA) of 358.10, below the 50-day MA of 358.06, and below the 200-day MA of 375.15, indicating a bearish trend. The MACD of -4.87 indicates Positive momentum. The RSI at 32.40 is Neutral, neither overbought nor oversold. The STOCH value of 13.83 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:HLN.

Haleon PLC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HLN	70 Outperform	£30.23B	20.13	9.35%	1.66%	-2.12%	42.10%
HIK	70 Outperform	3.56B	12.46	15.54%	3.94%	3.73%	27.13%
ANCR	65 Neutral	172.47M	32.01	28.43%	2.00%	-0.17%	592.46%
AGY	56 Neutral	395.61M	-11.07	0.00%	―	4.50%	74.32%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Haleon PLC Corporate Events

Haleon PLC Updates on Total Voting Rights and Capital

Haleon PLC announced that as of August 31, 2025, it has issued a total of 8,959,221,411 ordinary shares, with 3,880,205 held as treasury shares. This leaves 8,955,341,206 shares with voting rights, a figure crucial for shareholders and others with notification obligations under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:HLN) stock is a Buy with a £400.00 price target. To see the full list of analyst forecasts on Haleon PLC stock, see the GB:HLN Stock Forecast page.

Haleon PLC Advances Share Buyback Program with Recent Share Purchase

Haleon PLC announced the purchase of 2,062,463 ordinary shares for cancellation as part of its ongoing share buyback program. This transaction is part of the second tranche of the program, initially announced in July 2025, and reflects the company’s strategic efforts to manage its capital structure. Following this purchase, the company’s registered share capital consists of 8,959,221,411 ordinary shares, with 8,955,341,206 shares having voting rights. This move is likely to impact Haleon’s market positioning by potentially increasing shareholder value and reflects a commitment to returning capital to shareholders.

The most recent analyst rating on (GB:HLN) stock is a Buy with a £400.00 price target. To see the full list of analyst forecasts on Haleon PLC stock, see the GB:HLN Stock Forecast page.

Haleon PLC Advances Share Buyback Program with New Purchase

Haleon PLC has announced the purchase of 1,504,400 ordinary shares for cancellation as part of the second tranche of its share buyback program. This move is expected to impact the company’s share capital and voting rights, with implications for shareholders under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:HLN) stock is a Hold with a £350.00 price target. To see the full list of analyst forecasts on Haleon PLC stock, see the GB:HLN Stock Forecast page.

Haleon PLC Advances Share Buyback Program with New Purchase

Haleon PLC announced the purchase of 1,600,000 ordinary shares for cancellation as part of its ongoing share buyback program. This transaction, which took place on August 15, 2025, is part of the second tranche of the program and reflects the company’s commitment to enhancing shareholder value. Following this purchase, the company’s registered share capital stands at 8,973,306,495 ordinary shares, with 8,969,426,290 shares carrying voting rights, which may impact shareholder notifications under the FCA’s rules.

The most recent analyst rating on (GB:HLN) stock is a Hold with a £350.00 price target. To see the full list of analyst forecasts on Haleon PLC stock, see the GB:HLN Stock Forecast page.