Want to see GB:XAR full AI Analyst Report?
Top Page
Xaar plc
(LSE:XAR)
Select Model
Select Model
Rating:54Neutral
Price Target:
130.00 p
▲(15.04% Upside)
Action:Reiterated
Date:09/08/26
The score is driven primarily by a relatively resilient balance sheet but offset by continued losses and uneven cash generation. Technicals are broadly neutral with limited momentum, while valuation is pressured by negative earnings and no dividend support. Earnings-call commentary is moderately positive on growth and margin progress, but near-term cash and product-launch execution risks remain key.
Positive Factors
Revenue and margin improvement
Recent growth across applications and divisions, together with meaningful gross-margin expansion, indicates improving commercial traction and operating leverage. If sustained, this combination can strengthen earnings quality and provide more internal funding for product development and market expansion over the next several quarters.
Negative Factors
Persistent unprofitability
Despite improved performance, the company remains loss-making and gross margins in the high-30% range have not yet covered operating costs. Continued losses limit internally generated capital, make results more sensitive to execution setbacks, and leave the durability of the recent profit improvement unproven.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and margin improvement
Recent growth across applications and divisions, together with meaningful gross-margin expansion, indicates improving commercial traction and operating leverage. If sustained, this combination can strengthen earnings quality and provide more internal funding for product development and market expansion over the next several quarters.
Read all positive factors
Xaar plc (XAR) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£91.24M
Dividend Yield4.56%
Average Volume (3M)162.24K
Price to Earnings (P/E)―
Beta (1Y)0.61
Revenue Growth4.27%
EPS Growth81.19%
CountryUK
Employees300
SectorTechnology
Sector Strength88
IndustryComputer Hardware
Share Statistics
EPS (TTM)-0.03
Shares Outstanding79,822,970
10 Day Avg. Volume113,370
30 Day Avg. Volume162,237
Financial Highlights & Ratios
PEG Ratio0.36
Price to Book (P/B)1.49
Price to Sales (P/S)1.39
P/FCF Ratio-536.89
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£140.00Price Target Upside23.89% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)0.02
Revenue Forecast (FY)£71.35M
Xaar plc Business Overview & Revenue Model
Company Description
Xaar plc is a globally active enterprise involved in the design, development, manufacturing, and commercialization of innovative printheads and associated products, with operations spanning Europe, the Middle East, Africa, Asia, and the Americas. ...
How the Company Makes Money
Xaar primarily makes money by selling industrial inkjet printheads and associated components/systems to original equipment manufacturers (OEMs) and integrators who build complete printing or fluid-deposition equipment for end customers. Revenue is...
Xaar plc Earnings Call Summary
Earnings Call Date:Aug 04, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Mar 23, 2027
Earnings Call Sentiment Positive
The call presents a broadly positive operational and strategic picture: double-digit group revenue growth (9.2% YoY), printhead revenue growth (5.5%), margin expansion (c.220bps), return to adjusted profit before tax (GBP 0.2m), an expanded product/application pipeline across 21 markets, and strengthened manufacturing and liquidity positions. Key near-term negatives are a GBP 4.3m cash outflow from deliberate inventory build, a several-month delay to the Flashforge Desktop 3D launch (now being supported on-site), and working-capital/timing issues in specific segments. Management has made defensive moves (China manufacturing, larger credit facilities) and continues to invest in R&D and go-to-market capability. On balance, the positives around revenue, margins, product pipeline and structural positioning outweigh the short-term operational and timing headwinds.Positive Updates
Group revenue growth
Group like-for-like revenue increased 9.2% year-on-year, driven by new applications and growth across divisions.
Negative Updates
Cash outflow and inventory build
Adjusted free cash flow was an outflow of GBP 4.3m in H1, primarily driven by the deliberate inventory build to support the delayed Flashforge Desktop 3D launch.
Read all updates
Q2-2026 Updates
Positive
Negative
Group revenue growth
Group like-for-like revenue increased 9.2% year-on-year, driven by new applications and growth across divisions.
Read all positive updates
Company Guidance
Guidance focused on a stronger second half driven by the expected Flashforge Desktop 3D launch in the next couple of months (company has ~27,000–30,000 printheads in stock and inventory was built materially — c. GBP3m since January to ~GBP30m) and management expects that shipping will sharply reverse the H1 adjusted free cash outflow of GBP4.3m and help the group achieve consensus profit; H1 metrics to note are group revenue +9.2% like‑for‑like, printheads +5.5%, gross margin +220bps, Megnajet revenue +27% with gross margin +120bps, adjusted profit before tax GBP0.2m (vs loss GBP0.7m), net debt ~GBP0.1m, capex increased to support Dongguan manufacturing, and liquidity headroom of GBP20m total facilities (RCF GBP10m with 3x EBITDA covenant, uncommitted accordion GBP5m, invoice discounting GBP5m); management also flagged EPS recovery into next year and the large Desktop 3D addressable market (8.8m printers last year, a 10% switch ≈880k heads × ~GBP500/head → c. GBP400m, with 1% ≈ GBP40m) as a potentially transformative driver.Xaar plc Financial Statement Overview
Summary
Income Statement
46
Neutral
Balance Sheet
72
Positive
Cash Flow
41
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 62.54M | 60.05M | 61.41M | 70.61M | 72.78M | 59.25M |
| Gross Profit | 24.28M | 22.96M | 22.22M | 26.89M | 28.64M | 20.19M |
| EBITDA | 4.13M | 896.00K | -4.42M | 3.45M | 6.03M | 5.90M |
| Net Income | -2.10M | -3.39M | -10.69M | -2.17M | 1.63M | 16.22M |
Balance Sheet | ||||||
| Total Assets | 78.13M | 78.26M | 80.69M | 97.26M | 102.44M | 103.94M |
| Cash, Cash Equivalents and Short-Term Investments | 3.48M | 7.21M | 10.56M | 9.46M | 9.06M | 25.05M |
| Total Debt | 8.02M | 5.37M | 6.49M | 10.10M | 9.21M | 9.19M |
| Total Liabilities | 23.84M | 21.98M | 18.50M | 25.43M | 30.67M | 35.14M |
| Stockholders Equity | 54.29M | 56.28M | 62.18M | 71.83M | 71.77M | 68.80M |
Cash Flow | ||||||
| Free Cash Flow | -3.38M | -156.00K | 5.58M | -2.39M | -10.89M | -3.97M |
| Operating Cash Flow | -541.00K | 1.79M | 6.60M | -449.00K | -5.50M | -2.05M |
| Investing Cash Flow | -2.23M | -2.74M | -768.00K | 570.00K | -8.63M | 7.81M |
| Financing Cash Flow | 937.00K | -2.58M | -4.29M | -1.35M | -2.92M | -674.00K |
Xaar plc Technical Analysis
Positive
113.00
Price Trends
118.63
Positive
127.85
Negative
120.02
Positive
Market Momentum
-0.08
Negative
63.35
Neutral
72.04
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:XAR, the sentiment is Positive. The current price of 113 is below the 20-day moving average (MA) of 116.67, below the 50-day MA of 118.63, and below the 200-day MA of 120.02, indicating a bullish trend. The MACD of -0.08 indicates Negative momentum. The RSI at 63.35 is Neutral, neither overbought nor oversold. The STOCH value of 72.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:XAR.
Xaar plc Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | £3.76B | 50.69 | 8.06% | 1.53% | 4.99% | -24.08% | |
66 Neutral | £329.82M | 81.69 | 3.33% | 0.81% | 12.73% | -26.74% | |
65 Neutral | £91.50M | 18.62 | 9.24% | ― | 12.56% | 23.36% | |
64 Neutral | £762.24M | 26.43 | 9.04% | 1.64% | 4.82% | 17.80% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
54 Neutral | £91.24M | -43.80 | -3.80% | 4.56% | 4.27% | 81.19% | |
39 Underperform | £11.88M | -3.51 | -21.49% | ― | 26.04% | -101.19% |
* Technology Sector Average
GB:XAR
Xaar plc
135.00
-6.25
-4.42%
GB:GHH
Gooch & Housego
1,205.00
673.98
126.92%
GB:RSW
Renishaw
5,095.00
1,937.37
61.36%
GB:SDI
SDI Group
87.00
-16.00
-15.53%
GB:WPHO
Windar Photonics
5.50
-57.50
-91.27%
GB:DSCV
discoverIE Group plc
792.00
210.64
36.23%
Xaar plc Corporate Events
Delistings and Listing ChangesRegulatory Filings and Compliance
Xaar Confirms Sharesave Option Exercise and Voting Rights
Neutral
Sep 4, 2026
Xaar plc has confirmed that a total of 3,041 options have been exercised under its Sharesave Plan, resulting in the issuance of 3,041 new ordinary shares. Application has been made for these shares to be admitted to trading on the London Stock Exc...
Regulatory Filings and Compliance
Xaar Confirms 79.8 Million Voting Rights in Regulatory Capital Update
Positive
Aug 11, 2026
Xaar plc has confirmed its total issued share capital at 79,822,969 ordinary shares of 10 pence each, with no shares held in treasury, establishing the same figure as the total number of voting rights as of 10 August 2026. The disclosure, made und...
Business Operations and StrategyFinancial Disclosures
Xaar Plans Live Interim Results Briefing for Investors
Neutral
Jul 31, 2026
Xaar plc has scheduled a live investor presentation to discuss its interim results via the Investor Meet Company platform on 7 August 2026 at 14:30 BST. The event is designed for both existing and prospective shareholders, reinforcing the company&...
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.