Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
/
Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
Bodycote plc is a leading provider of heat treatment, metal joining, hot isostatic pressing, and coatings services worldwide. Headquartered in Macclesfield, United Kingdom, the company specializes in thermal processing solutions that enhance material properties for demanding applications across key industries. It operates through two primary divisions: Aerospace, Defence & Energy (ADE), which supports aerospace, defence, power generation, and oil and gas sectors with advanced treatments for high-performance components; and Automotive & General Industrial (AGI), serving automotive, construction, machine building, medical, and transportation industries. Founded in 1923 as a textile business and evolving through strategic acquisitions like HIP Ltd in 1991 and Lindberg Corporation in 2000, Bodycote plc has established itself as a global leader in metallurgical services. With approximately 4,439 employees and a focus on innovation in specialist thermal technologies, it plays a critical role in improving durability, performance, and reliability of engineered materials in industrial manufacturing. Bodycote plc maintains a strong presence in the FTSE 250 Index, underscoring its significance in the specialty industrial machinery sector.
£6.66
+£0.06 (+0.83%)
EOD Jul 3, 2026
14.56% operating margin is respectable but not wide. ROIC at 9.53%. Suggests the business covers its cost of capital, but doesn't point to a wide moat.
Revenue declined 4.0% YoY. The question is whether this is cyclical or a structural shift.
Free cash flow declined 17% versus the prior year, cash generation momentum has weakened.
21.5x earnings, 18.1x FCF. Valuation is in a reasonable range. The main question is whether the business can re-accelerate or if current trajectory is already priced in.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
£727M
▼ -4.0% YoY
Net Income (TTM)
£55M
▲ +167.6% YoY
Op. Margin
14.56%
▼ -1.1pp YoY
ROIC
9.53%
▼ -0.6pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
£65M
▼ -17.1% YoY
Op. Cash Flow (TTM)
£137M
▲ +1.2% YoY
Net Debt
£166M
Cash & Equiv.
£25M
3Y CAGR: -0.7%
3Y CAGR: -5.0%
Continue Research
At a P/E of 21.5 and a price-to-free-cash-flow of 18.1, Bodycote (BOY.XLON) trades above a two-stage DCF intrinsic value of about £5.43 per share, so at £6.66 the stock looks overvalued (18.3% above estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Bodycote scores 46/100 on Intrinsiqq's quality scorecard (a mixed business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 3.5%; see dividend safety for coverage and history. All figures are computed from SEC filings; read the full methodology. This is analysis, not investment advice.
Intrinsiqq's two-stage DCF estimates an intrinsic value of about £5.43 per share for BOY.XLON, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around £4.08. At today's £6.66, that puts the stock about 18.3% above estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
Bodycote scores 46 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a mixed business on these measures. Recent fundamentals include a 14.6% operating margin and a 9.5% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Yes, Bodycote pays a regular dividend of about £0.23 per share per year (typically in quarterly installments), a yield of roughly 3.5% at the current price. That is a payout ratio of about 73.8% of earnings, so the dividend is covered, with less cushion. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For BOY.XLON's full payout history, growth streak and dividend-safety score, see the dividends tab.
That depends on valuation and quality together, not either alone. BOY.XLON currently trades above its estimated intrinsic value and scores 46/100 on quality (mixed). It also yields about 3.5%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.