Intertek (ITRK) AI Stock Analysis

• Market Cap: £7.20B
• Dividend Yield: 3.45%
• Average Volume (3M): 330.64K
• Price to Earnings (P/E): 20.6
• Beta (1Y): 1.12
• Revenue Growth: 1.14%
• EPS Growth: 17.74%
• Country: UK
• Employees: 45,000
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): 1.11
• Shares Outstanding: 155,128,680
• 10 Day Avg. Volume: 412,887
• 30 Day Avg. Volume: 330,640
• PEG Ratio: 1.35
• Price to Book (P/B): 5.43
• Price to Sales (P/S): 2.24
• P/FCF Ratio: 16.48
• 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: £5,536.67
• Price Target Upside: 19.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9

• Rating: 73 Outperform
• Price Target: 5,196.00p ▲(12.08% Upside)

Intertek's strong financial performance is the most significant factor, with robust revenue growth, profitability, and cash flow management. The technical analysis presents mixed signals, with the stock trading below key moving averages. The valuation is fair, supported by a reasonable P/E ratio and an attractive dividend yield. Overall, the stock is positioned well for growth, but technical indicators suggest caution.

Intertek Business Overview & Revenue Model

Company Description

Intertek Group plc provides quality assurance solutions to various industries in the United Kingdom, the United States, and internationally. It operates in three segments: Products, Trade, and Resources. The Products segment offers assurance, testing, inspection, and certification services (ATIC), including laboratory safety, quality and performance testing, second-party supplier auditing, sustainability analysis, products assurance, vendor compliance, process performance analysis, facility plant and equipment verification, and third party certification. This segment serves a range of industries, including textiles, footwear, toys, hardlines, home appliances, consumer electronics, information and communication technology, automotive, aerospace, lighting, building products, industrial and renewable energy products, food and hospitality, healthcare and beauty, and pharmaceuticals. The Trade segment provides cargo inspection, analytical assessment, calibration, and related research and technical services to the petroleum and biofuels industries; inspection services to governments and regulatory bodies to support trade activities; and analytical and testing services to agricultural trading companies and growers. The Resources segment offers technical inspection, asset integrity management, analytical testing, and ongoing training services for the oil, gas, nuclear, and power industries. This segment also provides a range of ATIC service solutions to the mining and minerals exploration industries covering the resource supply chain from exploration and resource development, through to production, shipping, and commercial settlement. The company also offers cyber security services. Intertek Group plc was founded in 1885 and is based in London, the United Kingdom.

How the Company Makes Money

Intertek generates revenue primarily through its extensive portfolio of services that include testing, inspection, certification, and consulting. The company's revenue model is diversified across several sectors, allowing it to tap into multiple revenue streams. Key revenue streams include fees from testing and inspection services for consumer goods, certification services for products and systems, and consulting for compliance and regulatory requirements. Intertek has established significant partnerships with various industries, enabling it to provide tailored services that meet specific regulatory and quality standards. Additionally, the increasing global focus on sustainability and safety has led to heightened demand for Intertek's services, further contributing to its earnings.

Intertek Financial Statement Overview

Summary

Intertek presents a strong financial profile with growing revenues, healthy profitability margins, and effective cash flow management. The company balances its leverage well, although there is a moderate reliance on debt. The overall financial health is strong, positioning Intertek well for future growth and resilience against industry fluctuations.

Income Statement

Intertek shows strong financial performance with consistent revenue growth, reflected by a 1.93% increase from 2023 to 2024. The company also maintains robust profitability margins, with a gross profit margin of 100% due to the equal reporting of gross profit and total revenue, a net profit margin of 10.18% in 2024, and steady EBIT and EBITDA margins at 15.79% and 21.38% respectively. These indicators highlight Intertek's efficiency in generating profits from its revenues, despite industry challenges.

Balance Sheet

Intertek's balance sheet reveals a balanced financial structure with a debt-to-equity ratio of 0.81 in 2024, indicating manageable leverage. The return on equity (ROE) is healthy at 24.64%, showcasing effective use of shareholder funds to generate earnings. However, the equity ratio stands at 38.94%, suggesting a moderate reliance on debt financing. Overall, the balance sheet reflects a stable financial position with room for improvement in equity financing.

Cash Flow

The cash flow statement demonstrates solid cash management with a free cash flow growth rate of 10.53% from 2023 to 2024. The operating cash flow to net income ratio is 1.73, indicating strong cash generation relative to earnings. Additionally, the free cash flow to net income ratio of 1.34 highlights the company's ability to convert earnings into free cash flow effectively. These metrics suggest robust cash flow health, supporting ongoing operations and potential growth initiatives.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.40B	3.39B	3.33B	3.19B	2.79B	2.74B
Gross Profit	585.40M	553.90M	1.91B	484.90M	445.40M	399.40M
EBITDA	751.40M	725.30M	678.00M	677.90M	626.90M	601.50M
Net Income	362.00M	345.40M	297.40M	288.80M	288.10M	247.30M
Balance Sheet
Total Assets	3.51B	3.60B	3.54B	3.66B	3.25B	2.62B
Cash, Cash Equivalents and Short-Term Investments	365.30M	343.00M	299.30M	321.60M	265.90M	203.90M
Total Debt	1.45B	1.14B	1.22B	1.38B	1.29B	848.00M
Total Liabilities	2.34B	2.15B	2.18B	2.34B	2.14B	1.61B
Stockholders Equity	1.13B	1.40B	1.32B	1.28B	1.08B	975.00M
Cash Flow
Free Cash Flow	427.70M	462.10M	418.10M	445.60M	454.60M	480.10M
Operating Cash Flow	568.90M	597.10M	535.00M	562.10M	551.70M	559.90M
Investing Cash Flow	-143.80M	-142.20M	-145.10M	-175.50M	-587.90M	-72.70M
Financing Cash Flow	-395.20M	-402.40M	-376.20M	-334.90M	122.80M	-508.90M

Intertek Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4636.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ITRK, the sentiment is Negative. The current price of 4636 is above the 20-day moving average (MA) of 4633.00, below the 50-day MA of 4688.78, and below the 200-day MA of 4704.97, indicating a neutral trend. The MACD of -4.74 indicates Negative momentum. The RSI at 48.37 is Neutral, neither overbought nor oversold. The STOCH value of 26.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:ITRK.

Intertek Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JSG	79 Outperform	564.71M	16.68	11.60%	2.79%	6.55%	18.44%
SRP	77 Outperform	2.21B	46.50	5.25%	1.60%	0.84%	-62.73%
ITRK	73 Outperform	£7.20B	20.62	29.71%	3.45%	1.14%	17.74%
MTO	70 Outperform	1.81B	17.17	24.71%	3.11%	14.34%	-16.43%
RTO	66 Neutral	9.11B	36.17	7.26%	2.06%	-1.58%	-34.64%
RST	64 Neutral	368.33M	38.63	5.30%	2.23%	6.90%	0.00%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Intertek Corporate Events

Intertek Executes Share Buyback as Part of £350 Million Programme

Intertek Group PLC has executed a share buyback, purchasing 443 ordinary shares at a price of 4,644 pence each as part of its ongoing Share Buyback Programme. This transaction, conducted through J.P. Morgan Securities plc, is part of a larger initiative to repurchase up to £350 million worth of shares, with the company having already acquired over 5.5 million shares. The purchased shares will be canceled, impacting the total voting rights and share count, which now stands at 155,851,705 shares. This move is likely to influence shareholder value and market perception, as it reflects the company’s strategic financial management and commitment to returning value to shareholders.

The most recent analyst rating on (GB:ITRK) stock is a Buy with a £5281.00 price target. To see the full list of analyst forecasts on Intertek stock, see the GB:ITRK Stock Forecast page.

Intertek Advances Share Buyback Programme with Recent Purchase

Intertek Group PLC announced the purchase of 35,824 ordinary shares as part of its ongoing Share Buyback Programme, which was initiated in March 2025 to repurchase up to £350 million of shares. This transaction, executed through J.P. Morgan Securities plc, reflects the company’s strategy to enhance shareholder value by reducing the number of shares in circulation, thereby potentially increasing earnings per share and strengthening its market position.

The most recent analyst rating on (GB:ITRK) stock is a Buy with a £6250.00 price target. To see the full list of analyst forecasts on Intertek stock, see the GB:ITRK Stock Forecast page.

Intertek Executes Share Buyback Program to Enhance Shareholder Value

Intertek Group PLC has executed a share buyback program, purchasing 151,986 of its ordinary shares at prices ranging from 4,598.0000 to 4,636.0000 pence per share. This move is part of a larger initiative to repurchase up to £350 million worth of shares, with the company having already acquired 5,505,155 shares for a total of £259,097,591.10. The repurchased shares will be canceled, which impacts the total voting rights and share capital structure, potentially enhancing shareholder value.

The most recent analyst rating on (GB:ITRK) stock is a Buy with a £6250.00 price target. To see the full list of analyst forecasts on Intertek stock, see the GB:ITRK Stock Forecast page.

Intertek Advances Share Buyback Programme with Latest Purchase

Intertek Group PLC has announced the purchase of 149,854 of its ordinary shares as part of its ongoing Share Buyback Programme, which aims to repurchase up to £350 million of shares. This transaction, executed through J.P. Morgan Securities plc, reflects the company’s strategy to enhance shareholder value by reducing the number of shares in circulation, thereby potentially increasing earnings per share and improving market confidence.

The most recent analyst rating on (GB:ITRK) stock is a Buy with a £6250.00 price target. To see the full list of analyst forecasts on Intertek stock, see the GB:ITRK Stock Forecast page.

Intertek Expands Environmental Testing Capabilities with Envirolab Acquisition

Intertek has acquired Envirolab, a prominent environmental testing and analysis provider in Australia, to strengthen its presence in the rapidly growing environmental testing market. This acquisition positions Intertek as a market leader in Australia, unlocking commercial synergies through its broad client base and industry-leading sustainability solutions, while benefiting from increased regulatory requirements and public awareness driving demand for environmental testing.

The most recent analyst rating on (GB:ITRK) stock is a Hold with a £5138.00 price target. To see the full list of analyst forecasts on Intertek stock, see the GB:ITRK Stock Forecast page.

Intertek Advances Share Buyback Programme with Recent Purchase

Intertek Group PLC, a leading provider of quality assurance services, announced the purchase of 64,860 of its ordinary shares as part of its ongoing Share Buyback Programme. The shares were bought at a volume-weighted average price of 4,726.1592 pence per share, with the company planning to cancel the purchased shares. This move, following the authority granted at the 2025 Annual General Meeting, leaves Intertek with 156,189,812 ordinary shares in issue, impacting the total voting rights and potentially affecting shareholder interests.

The most recent analyst rating on (GB:ITRK) stock is a Buy with a £5418.00 price target. To see the full list of analyst forecasts on Intertek stock, see the GB:ITRK Stock Forecast page.

Intertek Executes Share Buyback Program

Intertek Group PLC, a company involved in quality assurance services, has executed a share buyback program, purchasing 113,450 of its ordinary shares at a volume-weighted average price of 4,651.4003 pence per share. This transaction is part of a larger initiative to repurchase up to £350 million of ordinary shares, with the company having already acquired 5,138,455 shares for £242,008,421.85. The purchased shares are intended to be canceled, affecting the total voting rights in the company, which now stand at 156,254,672.

The most recent analyst rating on (GB:ITRK) stock is a Hold with a £51.00 price target. To see the full list of analyst forecasts on Intertek stock, see the GB:ITRK Stock Forecast page.

Intertek Group PLC Advances Share Buyback Programme

Intertek Group PLC, a company engaged in quality assurance services, has announced the purchase of 51,076 of its ordinary shares as part of its ongoing Share Buyback Programme. The shares were bought at prices ranging from 4,629.0000 to 4,650.0000 pence per share, with a volume-weighted average price of 4,644.7674 pence. This transaction aligns with the authority granted by shareholders and results in the company having 156,368,122 ordinary shares in issue, which will impact shareholder voting rights and transparency obligations.

The most recent analyst rating on (GB:ITRK) stock is a Hold with a £51.00 price target. To see the full list of analyst forecasts on Intertek stock, see the GB:ITRK Stock Forecast page.