# IMI plc (IMI.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Industrials / Machinery. Price 3086p, market value 7.3 billionp.

## Valuation
- **P/E (trailing): 22.7×** (5-yr avg 1921.7×, 3-yr avg 1917.5×). IMI plc trades at 22.7× trailing earnings, well below its own five-year average of 1921.7×: cheap by its own standards. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 20.0×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.69**. A PEG of 0.69 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 1.8×**. Each dollar of revenue is priced at 1.8×.
- **Price / book: 7.9×**. The shares trade at 7.9× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 8.8×**. Enterprise value is 8.8× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 7.7%** (5-yr avg 0.1%). Free cash flow equals 7.7% of the market value, above its five-year average of 0.1%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 4.4%**. The inverse of the P/E: 4.4% of the price is earned each year.

## Profitability
- **Gross margin: 47.1%**. IMI plc keeps 47.1% of revenue after the direct cost of what it sells.
- **Operating margin: 17.3%**. 17.3% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 13.5%**. 13.5% of each dollar of sales reaches the bottom line.
- **Return on equity: 27.9%**. 27.9% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 31.5%**. Return on all capital, debt included, is 31.5%: comfortably above what that capital costs.
- **Return on assets: 20.2%**. Each dollar of assets produces 20.2% of profit.

## Growth
- **Revenue growth (1 yr): 4.3%** (3-yr 4.0%/yr, 5-yr 4.8%/yr). Revenue grew 4.3% over the last year, against 4.8% a year compounded over five years.
- **EPS growth (1 yr): 29.2%** (3-yr 12.5%/yr, 5-yr 14.5%/yr). Earnings per share rose 29.2%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 15.9%/yr**. Free cash flow has compounded at 15.9% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.58**. Debt is 0.58 times equity, moderate leverage.
- **Net debt / EBITDA: 0.6×**. It would take 0.6 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 13.1×**. Operating profit covers interest 13.1× over, a safe margin.
- **Current ratio: 1.50** (quick 0.99). Current assets cover the next year's liabilities 1.50 times.
- **Altman Z-score: 5.45**. A Z-score of 5.45 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: 1.16%** (0p per share, trailing). IMI plc yields 1.16%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 26%** (23% of free cash flow). 26% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 4**. 4 straight years of increases.
- **Dividend growth (5 yr): -1.0%/yr** (1-yr 9.9%). The dividend has not grown over five years.
- **Shareholder yield: 4.1%**. Dividends plus net buybacks return 4.1% of the market value a year.

## Analyst view
- **Analyst consensus: buy** (16 analysts). 16 analysts cover IMI plc; the consensus is buy, with an average price target of 3194p (+4% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 35.2%** (YTD 22.8%, 3-mo 7.3%). The shares are up 35.2% over twelve months including dividends.
- **From 52-week high: -2.5%** (38.8% above the low). Trading within 5% of 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): 1.00** (volatility 23%). Beta of 1.00 against the FTSE All-Share: the shares move roughly with the market.

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

Not investment advice.