# Elementis plc (ELM.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Basic Materials / Chemicals. Price 176p, market value 999 millionp.

## Valuation
- **P/E (trailing): 19.6×**. Elementis plc trades at 19.6× trailing earnings. The Basic Materials median in the September 2026 study was 19.0×. Forward P/E is 14.3×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 8.93**. A PEG of 8.93 means the P/E is high relative to expected earnings growth; the price already assumes a lot.
- **Price / sales: 1.0×**. Each dollar of revenue is priced at 1.0×.
- **Price / book: 2.0×**. The shares trade at 2.0× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 4.9×**. Enterprise value is 4.9× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 8.4%** (5-yr avg 0.0%). Free cash flow equals 8.4% of the market value, above its five-year average of 0.0%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 5.1%**. The inverse of the P/E: 5.1% of the price is earned each year.

## Profitability
- **Gross margin: 46.2%**. Elementis plc keeps 46.2% of revenue after the direct cost of what it sells.
- **Operating margin: 6.2%**. 6.2% of revenue is left after running the business.
- **Net margin: 10.4%**. 10.4% of each dollar of sales reaches the bottom line.
- **Return on equity: 9.7%**. 9.7% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 4.9%**. Return on all capital, debt included, is 4.9%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: -8.4%**. Each dollar of assets produces -8.4% of profit.

## Growth
- **Revenue growth (1 yr): -19.1%** (3-yr -6.7%/yr, 5-yr -4.5%/yr). Revenue fell 19.1% over the last year, against -4.5% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 1.6%**. Earnings per share rose 1.6%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 21.8%/yr**. Free cash flow has compounded at 21.8% a year over three years.

## Financial health
- **Debt to equity: 0.40**. Debt is 0.40 times equity: a conservative balance sheet.
- **Net debt / EBITDA: 0.6×**. It would take 0.6 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 4.9×**. Operating profit covers interest 4.9× over, a safe margin.
- **Current ratio: 1.90** (quick 1.03). Current assets cover the next year's liabilities 1.90 times.
- **Altman Z-score: 3.10**. A Z-score of 3.10 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 1.88%** (0p per share, trailing). Elementis plc yields 1.88%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 41%** (38% of free cash flow). 41% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 2**. 2 straight years of increases.
- **Shareholder yield: 5.9%**. Dividends plus net buybacks return 5.9% of the market value a year.

## Price and momentum
- **Total return (1 yr): 7.7%** (YTD 6.2%, 3-mo 18.7%). The shares are up 7.7% over twelve months including dividends.
- **From 52-week high: -9.8%** (29.5% above the low). Trading 10% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 51**. An RSI of 51 is neutral.
- **Beta (1 yr): 1.05** (volatility 25%). Beta of 1.05 against the FTSE All-Share: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=ELM.L · Page: https://foliofundamentals.com/stocks/elm.l

Not investment advice.