Volex plc (VLXGF) AI Stock Analysis
Volex plc
(Other OTC:VLXGF)
No summary available
Volex plc (VLXGF) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $1.02B
- Dividend Yield
- 0.86%
- Average Volume (3M)
- 8,958
- Price to Earnings (P/E)
- 21.5
- Beta (1Y)
- 1.59
- Revenue Growth
- 14.37%
- EPS Growth
- 36.31%
- Country
- US
- Employees
- 12,500
- Sector
- Industrials
- Sector Strength
- 63
- Industry
- Electrical Equipment & Parts
Volex plc Business Overview & Revenue Model
Company Description
Volex plc manufactures and sells power and connectivity in North America, Europe, and Asia. It provides integrated manufacturing services, such as PCB assembly, box build, and complex cable assemblies; electric vehicle charging solutions; consumer ca...
Volex plc Earnings Call Summary
The call presents a strongly positive operational and financial performance: record revenue, substantial organic growth, margin expansion above guidance, doubled data center revenues, improved returns (ROCE 21%) and reduced leverage (0.8x). Management set an ambitious, clearly articulated medium-term plan to reach $2 billion revenue and 12% operating margin. Key risks were acknowledged—customer concentration in data centers, declines in Consumer Electricals and Medical (destocking), higher working capital, and some macro pressures (freight, inflation, FX), as well as residual selling related to the AIM-to-Main move and elevated acquisition valuations. Overall, the positives (robust growth, margin and cash/return metrics, strategic clarity and momentum) materially outweigh the identifiable challenges.
Q4-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Volex's guidance set a clear medium‑term target to reach $2.0bn of revenue at a 12% underlying operating margin (implying roughly $240m of underlying operating profit), driven by about $500m of organic growth plus ~$300m from disciplined capability‑led acquisitions; this implies ~200bps of margin expansion from FY26's 10.2% (FY26 revenue $1.243bn, organic growth 14.2%, underlying operating profit $127.3m, underlying EBITDA $164m up 22%, ROCE 21%, underlying basic EPS $0.435 up 20%). Capital allocation priorities remain organic first, then selective M&A (post‑acquisition ROCE target ≥15% within two years and ~15% operating margin threshold), with typical capex of 3–4% of revenue (FY26 capex $35m, 2.8% of revenue; projects target <2‑year payback), cash conversion 63.9% (pre‑capex >90%), free cash flow $42m, and covenant leverage 0.8x. Near‑term guidance: trading into FY27 is “strong and in line” with expectations, data‑center demand was sustained into Q1 FY27, Medical should stabilise in FY27, and the company expects further margin improvement from site rationalisation and centres of excellence.
Volex plc Peers Comparison
Overall Rating
GB:TFW76Outperform
GB:LUCE74Outperform
GB:XPP55Neutral
GB:DIA49Neutral
GB:LPA48Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| GB:TFW | 76Outperform | GBP 279.03M | 10.44 | 14.19% | 2.88% | -1.30% | 10.28% |
| GB:LUCE | 74Outperform | GBP 305.94M | 15.07 | 19.62% | 3.17% | 11.48% | 46.33% |
| Sector * | 63Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% |
| GB:XPP | 55Neutral | GBP 484.60M | -55.06 | -4.89% | ― | -1.21% | 46.27% |
| GB:DIA | 49Neutral | GBP 222.06M | 741.63 | 0.86% | ― | -13.43% | ― |
| GB:LPA | 48Neutral | GBP 10.83M | 47.13 | 1.42% | ― | 19.87% | ― |
* Industrials Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| VLXGF | Volex plc | 7.54 | 2.61 | 53.12% | |
| GB:DIA | Dialight plc | 554.00 | 296.00 | 114.73% | |
| GB:LPA | LPA Group plc | 82.00 | 39.50 | 92.94% | |
| GB:LUCE | Luceco plc | 198.50 | 67.90 | 52.00% | |
| GB:TFW | FW Thorpe Plc | 249.00 | -41.09 | -14.16% | |
| GB:XPP | XP Power | 1730.00 | 702.00 | 68.29% |
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.