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Tate & Lyle (GB:TATE)
LSE:TATE
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Tate & Lyle (TATE) AI Stock Analysis

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GB:TATE

Tate & Lyle

(LSE:TATE)

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Neutral 65 (OpenAI - 4o)
Rating:65Neutral
Price Target:
409.00p
▲(7.46% Upside)
Tate & Lyle's overall stock score reflects a stable financial performance and positive earnings call insights, offset by bearish technical indicators and a high valuation. The company's strategic initiatives and strong dividend yield are positive factors, but current market momentum suggests caution.
Positive Factors
Innovation and New Products
The growth in revenue from new products indicates successful innovation efforts, which can drive long-term growth and competitive advantage by meeting evolving consumer demands.
CP Kelco Integration
The successful integration of CP Kelco is expected to deliver significant cost and revenue synergies, enhancing operational efficiency and expanding market reach.
Sucralose Segment Success
Strong performance in the Sucralose segment shows robust demand for zero-calorie sweeteners, supporting revenue growth and margin expansion in a key product line.
Negative Factors
Revenue Decline
The decline in revenue, particularly in the Food & Beverage Solutions segment, could indicate challenges in maintaining market share or pricing power, affecting long-term growth.
Impact of Trade Tariffs
Trade tariffs, especially between the U.S. and China, can increase operational costs and create market uncertainties, potentially impacting profitability and strategic planning.
Higher Tax Rates
An increase in the effective tax rate due to operations in higher tax jurisdictions can reduce net income and limit financial flexibility, affecting long-term profitability.

Tate & Lyle (TATE) vs. iShares MSCI United Kingdom ETF (EWC)

Tate & Lyle Business Overview & Revenue Model

Company DescriptionTate & Lyle is a global provider of food and beverage ingredients and solutions, specializing in the development and production of sweeteners, starches, and health and wellness ingredients. The company operates primarily in two segments: Food & Beverage Solutions, which focuses on sweetening and texturizing solutions, and Sucralose, which includes the production of the zero-calorie artificial sweetener. With a commitment to innovation and sustainability, Tate & Lyle serves a diverse range of industries, including food, beverage, and pharmaceuticals.
How the Company Makes MoneyTate & Lyle generates revenue through the sale of its ingredients and solutions to food and beverage manufacturers, as well as other sectors such as pharmaceuticals. Key revenue streams include the sale of sweeteners like sucralose and other high-intensity sweeteners, starches, and specialty ingredients aimed at improving the texture, flavor, and health benefits of food products. The company also benefits from partnerships with food manufacturers and beverage companies, providing tailored solutions that enhance product offerings. Additionally, Tate & Lyle invests in innovation and sustainability initiatives, which not only help in reducing costs but also attract customers seeking healthier and more sustainable ingredients. The company's focus on research and development allows it to stay competitive and meet the evolving needs of its clients.

Tate & Lyle Earnings Call Summary

Earnings Call Date:May 22, 2025
(Q2-2026)
|
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Neutral
The earnings call reflects progress with the CP Kelco merger and strong sucralose demand, but it is overshadowed by a revenue and EBITDA decline, tough market conditions, and tariff impacts. The company is taking steps to accelerate growth, but current challenges are significant.
Q2-2026 Updates
Positive Updates
CP Kelco Combination Success
The combination with CP Kelco has led to early cross-selling successes, doubling the value of the pipeline in the last two months. This demonstrates the strategic logic of the merger and reinforces growth potential.
Strong Sucralose Demand
The demand for sucralose remains strong, with the company selling as much as it can produce.
Margin Improvement in CP Kelco Portfolio
There is an expected improvement in the margin of the CP Kelco portfolio for the first half.
Productivity Program on Track
The planned revenue and cost synergies, along with savings from the productivity program, are on track.
Negative Updates
Revenue and EBITDA Decline
First half Group revenue is expected to be 3% to 4% lower in constant currency compared to pro forma comparatives, with EBITDA expected to be high single-digit percent lower.
Challenging Market Conditions
The market environment is tough with a slowdown in demand, particularly pronounced in North America. Revenue in the Americas is expected to be slightly lower, and in Europe, the Middle East, and Africa, revenue is expected to be mid-single-digit lower.
Impact of Tariffs
Tariffs have impacted about 3% to 5% of revenue, with significant tariffs imposed on Brazil affecting revenue flow into North America.
Company Guidance
During the call, Nick Hampton, CEO of Tate & Lyle, provided guidance indicating that for the first half of fiscal year 2026, in constant currency, group revenue is expected to be 3% to 4% lower compared to pro forma comparatives, while EBITDA is anticipated to decline by high single-digit percent due to top-line softness and planned cost synergies being weighted into the second half. The Americas are expected to see slightly lower revenue, Europe, Middle East, and Africa a mid-single-digit decline, and Asia Pacific's revenue should remain stable despite tariff impacts. For the full year ending March 31, 2026, revenue and EBITDA are expected to decline by low single-digit percent, driven by challenging market conditions. The company remains focused on leveraging the strategic benefits of its CP Kelco combination, which has already seen the cross-selling pipeline double in value over the past two months, and plans to accelerate growth through customer segmentation, innovation, and productivity optimization.

Tate & Lyle Financial Statement Overview

Summary
Tate & Lyle demonstrates a stable financial position with consistent revenue growth and solid profitability margins. The balance sheet shows prudent leverage management, though there are areas for improvement in cash flow consistency and return on equity.
Income Statement
75
Positive
Tate & Lyle has shown a consistent revenue growth with a slight dip in the latest year. The gross profit margin and net profit margin are healthy, although the net profit margin has seen some volatility. EBIT and EBITDA margins indicate stable operational efficiency.
Balance Sheet
70
Positive
The company maintains a moderate debt-to-equity ratio, indicating balanced leverage. The return on equity has been reasonable but slightly declined, suggesting room for improvement in utilizing shareholder funds. The equity ratio is strong, reflecting a solid asset base relative to liabilities.
Cash Flow
65
Positive
Operating cash flow is positive, yet shows fluctuations, affecting free cash flow growth. The company has a stable operating cash flow to net income ratio, demonstrating its ability to convert earnings into cash efficiently.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.56B1.74B1.65B1.75B1.38B1.21B
Gross Profit1.56B706.00M851.00M733.00M514.00M481.00M
EBITDA338.00M254.00M345.00M279.00M168.00M292.00M
Net Income251.00M143.00M188.00M190.00M236.00M253.00M
Balance Sheet
Total Assets2.21B3.73B2.28B2.51B3.25B2.97B
Cash, Cash Equivalents and Short-Term Investments594.00M334.00M437.00M475.00M112.00M371.00M
Total Debt555.00M1.31B590.00M713.00M679.00M786.00M
Total Liabilities1.02B2.14B1.04B1.32B1.63B1.51B
Stockholders Equity1.19B1.59B1.24B1.19B1.62B1.45B
Cash Flow
Free Cash Flow171.00M43.00M98.00M-12.00M-45.00M217.00M
Operating Cash Flow282.00M164.00M208.00M66.00M103.00M369.00M
Investing Cash Flow176.00M-630.00M-20.00M835.00M-113.00M-205.00M
Financing Cash Flow-154.00M367.00M-215.00M-598.00M-247.00M-29.00M

Tate & Lyle Technical Analysis

Technical Analysis Sentiment
Negative
Last Price380.60
Price Trends
50DMA
443.19
Negative
100DMA
487.54
Negative
200DMA
518.20
Negative
Market Momentum
MACD
-13.91
Negative
RSI
35.78
Neutral
STOCH
46.60
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TATE, the sentiment is Negative. The current price of 380.6 is below the 20-day moving average (MA) of 381.27, below the 50-day MA of 443.19, and below the 200-day MA of 518.20, indicating a bearish trend. The MACD of -13.91 indicates Negative momentum. The RSI at 35.78 is Neutral, neither overbought nor oversold. The STOCH value of 46.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:TATE.

Tate & Lyle Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
£16.22B12.8611.89%2.75%-0.38%14.68%
£2.64B19.7114.14%2.05%4.77%18.94%
£1.57B12.739.02%1.54%1.01%11.12%
£1.02B19.3712.12%0.85%0.49%14.18%
£574.45M14.6812.72%5.43%8.58%-15.81%
£1.71B27.253.39%5.13%5.40%-67.46%
$20.33B14.63-3.31%3.23%1.93%-12.26%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:TATE
Tate & Lyle
380.60
-353.74
-48.17%
GB:ABF
Associated British Foods
2,280.00
85.34
3.89%
GB:CWK
Cranswick
4,940.00
-21.87
-0.44%
GB:HFG
Hilton Food
640.00
-260.62
-28.94%
GB:PFD
Premier Foods
181.80
-4.35
-2.34%
GB:GNC
Greencore
235.50
29.23
14.17%

Tate & Lyle Corporate Events

Business Operations and StrategyRegulatory Filings and Compliance
Tate & Lyle’s Management Shows Confidence with Share Acquisition
Positive
Oct 6, 2025

Tate & Lyle PLC announced a transaction involving the acquisition of 16,000 ordinary shares by Steve Foots, a Person Discharging Managerial Responsibilities, and Alison Foots, a person closely associated. This transaction, conducted on the London Stock Exchange at a price of £3.699547 per share, aligns with the company’s compliance with the Market Abuse Regulation and reflects the confidence of its management in the company’s future prospects.

The most recent analyst rating on (GB:TATE) stock is a Buy with a £4.60 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Regulatory Filings and Compliance
Tate & Lyle Director Increases Stake with ADR Purchase
Positive
Oct 6, 2025

Tate & Lyle PLC announced a transaction involving Claudia Vaz de Lestapis, a non-executive director, and Alexandre Samuel Pierre Marie de Lestapis, who acquired 2,500 American Depositary Receipts (ADRs) at a price of US$20.16 each. This acquisition increases their total holding to 5,000 ADRs, equivalent to 20,000 ordinary shares, and was conducted on the OTCQX exchange. This transaction reflects the confidence of key stakeholders in the company’s future prospects and complies with the Market Abuse Regulation.

The most recent analyst rating on (GB:TATE) stock is a Buy with a £4.60 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Other
Tate & Lyle CEO Increases Stake with Share Purchase
Positive
Oct 3, 2025

Tate & Lyle PLC announced a significant transaction involving its CEO, Nick Hampton, who acquired 25,000 ordinary shares at a price of £3.688 each, increasing his total shareholding to 951,816 shares. This transaction, conducted on the London Stock Exchange, highlights a vote of confidence in the company’s future prospects by its leadership, potentially impacting investor perceptions and market positioning.

The most recent analyst rating on (GB:TATE) stock is a Hold with a £4.30 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Business Operations and Strategy
Tate & Lyle Director Increases Stake with ADR Purchase
Positive
Oct 3, 2025

Tate & Lyle PLC announced that Glenn Fish, a non-executive director and person discharging managerial responsibilities, acquired 1,000 American Depositary Receipts (ADRs) at a price of US$20.50 each. This transaction, conducted on the OTCQX exchange, increases Mr. Fish’s total interest to 5,049.828 ADRs, representing 20,199.3 shares in the company. The acquisition reflects a strategic move by a key company figure, potentially signaling confidence in the company’s future performance and stability.

The most recent analyst rating on (GB:TATE) stock is a Hold with a £4.30 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Tate & Lyle Reports Progress Amid Market Challenges
Neutral
Oct 1, 2025

Tate & Lyle PLC has issued a pre-close statement ahead of its six-month results announcement, highlighting strong customer engagement and early cross-selling successes following its combination with CP Kelco. Despite a slowdown in market demand impacting short-term financial performance, the company is accelerating efforts to drive top-line growth through enhanced customer segmentation and innovation. The integration with CP Kelco is expected to deliver revenue and cost synergies, positioning Tate & Lyle for improved performance in the future, despite current economic volatility.

The most recent analyst rating on (GB:TATE) stock is a Buy with a £6.50 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Regulatory Filings and Compliance
Tate & Lyle Updates Share Capital and Voting Rights
Neutral
Sep 2, 2025

Tate & Lyle PLC has announced its current issued share capital as of August 29, 2025, which consists of 476,741,354 ordinary shares, with 31,294,579 held in Treasury. This results in a total of 445,446,775 voting rights, which shareholders can use to assess their interests in the company under the Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:TATE) stock is a Hold with a £577.00 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Tate & Lyle Director Acquires ADRs, Signaling Confidence
Positive
Aug 11, 2025

Tate & Lyle PLC announced a transaction involving Glenn Fish, a Non-executive Director, who acquired 89.424 American Depositary Receipts (ADRs) at a price of US$29.31 each, representing an interest in 16,199.3 shares of the company. This transaction, conducted on the OTCQX exchange, reflects managerial confidence in the company’s prospects and complies with the Market Abuse Regulation, potentially impacting stakeholder perceptions positively.

The most recent analyst rating on (GB:TATE) stock is a Hold with a £7.25 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Other
Tate & Lyle Director Acquires 2,500 ADRs, Signaling Confidence
Positive
Aug 5, 2025

Tate & Lyle PLC announced a transaction involving Claudia Vaz de Lestapis, a non-executive director, and Alexandre Samuel Pierre Marie de Lestapis, who acquired 2,500 American Depositary Receipts (ADRs) at a price of $28.84 each, representing an interest in 10,000 ordinary shares of the company. This transaction, conducted on the OTCQX exchange, reflects the ongoing engagement of key company figures in its financial instruments, potentially signaling confidence in the company’s market position and future prospects.

The most recent analyst rating on (GB:TATE) stock is a Hold with a £7.25 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Regulatory Filings and Compliance
Tate & Lyle Announces Share Capital and Voting Rights Update
Neutral
Aug 1, 2025

Tate & Lyle PLC has announced its issued share capital as of July 31, 2025, consisting of 476,739,802 ordinary shares, with 31,294,579 held in Treasury and not carrying voting rights. The total number of voting rights available is 445,445,223, which shareholders can use to determine their interest in the company under the Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:TATE) stock is a Buy with a £1000.00 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

Shareholder Meetings
Tate & Lyle PLC Passes All Resolutions at 2025 AGM Amid Shareholder Concerns
Neutral
Jul 24, 2025

At the 2025 Annual General Meeting, Tate & Lyle PLC announced that all proposed resolutions were passed, including the approval of the Directors’ Remuneration Policy and Report. Notably, 24.19% of shareholders voted against the Directors’ Remuneration Report, prompting the Board to engage further with shareholders to address concerns. The company will provide an update within six months, aligning with the UK Corporate Governance Code.

The most recent analyst rating on (GB:TATE) stock is a Hold with a £7.25 price target. To see the full list of analyst forecasts on Tate & Lyle stock, see the GB:TATE Stock Forecast page.

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.Date of analysis: Oct 23, 2025