RELX PLC - SPON ADR (RELX) Stock Fundamental Analysis
NYSE:RELX - US7595301083 - ADR
47.165 USD
+0.12 (+0.24%)
Overall RELX gets a fundamental rating of 6 out of 10. We evaluated RELX against 82 industry peers in the Professional Services industry. RELX has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, RELX is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year RELX was profitable.
RELX had a positive operating cash flow in the past year.
Each year in the past 5 years RELX has been profitable.
In the past 5 years RELX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of RELX (13.44%) is better than 90.24% of its industry peers.
The Return On Equity of RELX (88.30%) is better than 95.12% of its industry peers.
With an excellent Return On Invested Capital value of 25.89%, RELX belongs to the best of the industry, outperforming 97.56% of the companies in the same industry.
RELX had an Average Return On Invested Capital over the past 3 years of 19.62%. This is significantly above the industry average of 12.76%.
The 3 year average ROIC (19.62%) for RELX is below the current ROIC(25.89%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.44% | ||
| ROE | 88.3% | ||
| ROIC | 25.89% |
ROA(3y)11.68%
ROA(5y)10.86%
ROE(3y)50.1%
ROE(5y)50.83%
ROIC(3y)19.62%
ROIC(5y)17.26%
1.3 Margins
RELX has a better Profit Margin (20.19%) than 91.46% of its industry peers.
In the last couple of years the Profit Margin of RELX has remained more or less at the same level.
RELX has a Operating Margin of 30.17%. This is amongst the best in the industry. RELX outperforms 96.34% of its industry peers.
RELX's Operating Margin has improved in the last couple of years.
RELX has a Gross Margin of 65.48%. This is in the better half of the industry: RELX outperforms 75.61% of its industry peers.
RELX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.17% | ||
| PM (TTM) | 20.19% | ||
| GM | 65.48% |
OM growth 3Y5.02%
OM growth 5Y2.69%
PM growth 3Y0.32%
PM growth 5Y1.41%
GM growth 3Y0.2%
GM growth 5Y0%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so RELX is creating value.
RELX has less shares outstanding than it did 1 year ago.
The number of shares outstanding for RELX has been reduced compared to 5 years ago.
Compared to 1 year ago, RELX has an improved debt to assets ratio.
2.2 Solvency
RELX has an Altman-Z score of 4.41. This indicates that RELX is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.41, RELX is doing good in the industry, outperforming 74.39% of the companies in the same industry.
The Debt to FCF ratio of RELX is 3.34, which is a good value as it means it would take RELX, 3.34 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of RELX (3.34) is better than 60.98% of its industry peers.
A Debt/Equity ratio of 2.57 is on the high side and indicates that RELX has dependencies on debt financing.
With a Debt to Equity ratio value of 2.57, RELX is not doing good in the industry: 84.15% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.57 | ||
| Debt/FCF | 3.34 | ||
| Altman-Z | 4.41 |
ROIC/WACC2.94
WACC8.8%
2.3 Liquidity
RELX has a Current Ratio of 0.47. This is a bad value and indicates that RELX is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.47, RELX is doing worse than 91.46% of the companies in the same industry.
RELX has a Quick Ratio of 0.47. This is a bad value and indicates that RELX is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.42, RELX is not doing good in the industry: 92.68% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
RELX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.27%.
The Earnings Per Share has been growing slightly by 5.94% on average over the past years.
The Revenue has been growing slightly by 2.48% in the past year.
RELX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.68% yearly.
EPS 1Y (TTM)3.27%
EPS 3Y10.76%
EPS 5Y5.94%
EPS Q2Q%6.72%
Revenue 1Y (TTM)2.48%
Revenue growth 3Y9.2%
Revenue growth 5Y3.68%
Sales Q2Q%2.15%
3.2 Future
Based on estimates for the next years, RELX will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.56% on average per year.
The Revenue is expected to grow by 6.16% on average over the next years.
EPS Next Y6.8%
EPS Next 2Y8.31%
EPS Next 3Y8.62%
EPS Next 5Y8.56%
Revenue Next Year2.12%
Revenue Next 2Y4.28%
Revenue Next 3Y4.97%
Revenue Next 5Y6.16%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 33.21 indicates a quite expensive valuation of RELX.
RELX's Price/Earnings ratio is in line with the industry average.
RELX is valuated rather expensively when we compare the Price/Earnings ratio to 27.02, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 23.67, RELX is valued on the expensive side.
RELX's Price/Forward Earnings ratio is in line with the industry average.
RELX's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.66.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.21 | ||
| Fwd PE | 23.67 |
4.2 Price Multiples
RELX's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as RELX.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.23 | ||
| EV/EBITDA | 19.47 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RELX does not grow enough to justify the current Price/Earnings ratio.
RELX has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.88
PEG (5Y)5.6
EPS Next 2Y8.31%
EPS Next 3Y8.62%
5. Dividend
5.1 Amount
RELX has a Yearly Dividend Yield of 1.84%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.18, RELX pays a better dividend. On top of this RELX pays more dividend than 82.93% of the companies listed in the same industry.
RELX's Dividend Yield is slightly below the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.84% |
5.2 History
The dividend of RELX is nicely growing with an annual growth rate of 6.76%!
RELX has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of RELX decreased in the last 3 years.
Dividend Growth(5Y)6.76%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
60.42% of the earnings are spent on dividend by RELX. This is not a sustainable payout ratio.
RELX's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP60.42%
EPS Next 2Y8.31%
EPS Next 3Y8.62%
NYSE:RELX (9/8/2025, 12:21:16 PM)
47.165
+0.12 (+0.24%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners55.82%
Inst Owner Change1.2%
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap86.19B
Analysts80.87
Price Target61.45 (30.29%)
Short Float %0.1%
Short Ratio1.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.84% |
Yearly Dividend0.82
Dividend Growth(5Y)6.76%
DP60.42%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.47%
PT rev (3m)-0.9%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-3.1%
EPS NY rev (3m)-3.5%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.43%
Revenue NY rev (3m)-2.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.21 | ||
| Fwd PE | 23.67 | ||
| P/S | 6.68 | ||
| P/FCF | 28.23 | ||
| P/OCF | 23.06 | ||
| P/B | 29.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.47 |
EPS(TTM)1.42
EY3.01%
EPS(NY)1.99
Fwd EY4.22%
FCF(TTM)1.67
FCFY3.54%
OCF(TTM)2.05
OCFY4.34%
SpS7.06
BVpS1.61
TBVpS-6.4
PEG (NY)4.88
PEG (5Y)5.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.44% | ||
| ROE | 88.3% | ||
| ROCE | 33.63% | ||
| ROIC | 25.89% | ||
| ROICexc | 26.54% | ||
| ROICexgc | N/A | ||
| OM | 30.17% | ||
| PM (TTM) | 20.19% | ||
| GM | 65.48% | ||
| FCFM | 23.67% |
ROA(3y)11.68%
ROA(5y)10.86%
ROE(3y)50.1%
ROE(5y)50.83%
ROIC(3y)19.62%
ROIC(5y)17.26%
ROICexc(3y)19.99%
ROICexc(5y)17.54%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)26.52%
ROCE(5y)23.2%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y14.95%
ROICexc growth 5Y2.9%
OM growth 3Y5.02%
OM growth 5Y2.69%
PM growth 3Y0.32%
PM growth 5Y1.41%
GM growth 3Y0.2%
GM growth 5Y0%
F-Score7
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.57 | ||
| Debt/FCF | 3.34 | ||
| Debt/EBITDA | 1.53 | ||
| Cap/Depr | 65.46% | ||
| Cap/Sales | 5.31% | ||
| Interest Coverage | 10.46 | ||
| Cash Conversion | 75.72% | ||
| Profit Quality | 117.25% | ||
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 4.41 |
F-Score7
WACC8.8%
ROIC/WACC2.94
Cap/Depr(3y)59.17%
Cap/Depr(5y)53.4%
Cap/Sales(3y)5.14%
Cap/Sales(5y)5.04%
Profit Quality(3y)113.75%
Profit Quality(5y)111.24%
High Growth Momentum
Growth
EPS 1Y (TTM)3.27%
EPS 3Y10.76%
EPS 5Y5.94%
EPS Q2Q%6.72%
EPS Next Y6.8%
EPS Next 2Y8.31%
EPS Next 3Y8.62%
EPS Next 5Y8.56%
Revenue 1Y (TTM)2.48%
Revenue growth 3Y9.2%
Revenue growth 5Y3.68%
Sales Q2Q%2.15%
Revenue Next Year2.12%
Revenue Next 2Y4.28%
Revenue Next 3Y4.97%
Revenue Next 5Y6.16%
EBIT growth 1Y4.2%
EBIT growth 3Y14.69%
EBIT growth 5Y6.47%
EBIT Next Year26.45%
EBIT Next 3Y13.05%
EBIT Next 5Y11.07%
FCF growth 1Y13.08%
FCF growth 3Y8.15%
FCF growth 5Y4.44%
OCF growth 1Y12%
OCF growth 3Y8.96%
OCF growth 5Y4.54%