Obermatt

Flags

Earnings warning

Melrose

LSE:MRO · GB00BNGDN821
Aerospace & DefenseLarge

360

89
EV / EBIT100
Price / Owner Earnings79
Owner Earnings Yield100
Dividend Yield55
Price/Sales57
EV / Gross Profit92
Price/Book71
Return on Capital63
Cash Return on Capital78
Return on Equity58
EBIT Margin84
Gross Profitability39
Cash Conversion25
Accruals45
Owner Earnings Margin94
Sales growth44
Profit Growth67
Long-Term EPS Growth74
Owner Earnings Growth56
Reinvestment93
Price momentum39
Debt load31
Refinancing26
Debt Payback65
Liquidity27
Analyst ratings32
Opinion Changes44
Price Target Upside91
Market mood31
Value Creation18/20strong value creator
  • Creates more value than its capital costs
  • Owner earnings growing
  • Owner earnings per share growing
  • Reinvests at strong returns
  • Solid earnings base

What this means

Melrose generates returns well above its cost of capital, the foundation of durable shareholder value.

Profile

CountryUK
IndustryAerospace & Defense
SizeLarge
TypePublic Company
ExchangeLSE
Founded2015
Employees53
ISINGB00BNGDN821
Last UpdateApr 2, 2026
Themes
DefenseTechPassenger Aircraft ManufacturingManufacturing

Description

Melrose Industries PLC is a UK-based holding company that specializes in acquiring and improving manufacturing-based businesses. The company operates in various sectors including automotive components, aerospace, and general industrial markets. Its b…

Analysis

Bargain bin

Melrose Industries PLC is priced cheaply, and that invites the natural question of why, since the underlying business scores below average.

On valuation, the picture is attractive. The owner-earnings multiple stands at 8.9×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around -5% a year, against analyst forecasts of 22%. The price, in other words, assumes less than the experts do.

Growth is moderate; the safety picture is adequate. The company scores 18/20 on our value-creation score: strong value creator.

Flags to be aware of: The financial cushion is thinner than comfortable. Reported profits have run ahead of actual cash for several periods. As always: this describes the company's numbers; it is not a recommendation.

360° rank · history

1007550250
36
2023202420252026

All-time high

96

Jan 2024

All-time low

14

Sep 2025

Average rank

62

across all years

Detailed & Historical Ranks

Deep dive into 15 detailed ranks and 3 years of history.

Current202520242023
Price/Sales
57
25
30
64
Price/Earnings
81
27
33
41
Price/Book
71
34
57
92
Dividend Yield
55
44
50
71
Value (overall)
87
31
41
90

Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.

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Make Sense of the Ranks

Every rank runs 1–100 against true peers. Higher is always better.

360° View
1 · Watch OutGood· 100
Value
1 · ExpensiveGood Value· 100
Quality
1 · Weak FundamentalsHigh Quality· 100
Growth
1 · Tough TimesHigh Growth· 100
Safety
1 · High LeverageWell-Financed· 100
Sentiment
1 · SkepticismPositive· 100
Learn More →