RELX PLC - SPON ADR (RELX) Stock Fundamental Analysis
USA - NYSE:RELX - US7595301083 - ADR
47.24 USD
+0.41 (+0.88%)
Overall RELX gets a fundamental rating of 6 out of 10. We evaluated RELX against 82 industry peers in the Professional Services industry. While RELX belongs to the best of the industry regarding profitability, 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.
In the past year RELX had a positive cash flow from operations.
RELX had positive earnings in each of the past 5 years.
In the past 5 years RELX always reported a positive cash flow from operatings.
1.2 Ratios
RELX has a Return On Assets of 13.44%. This is amongst the best in the industry. RELX outperforms 90.24% of its industry peers.
The Return On Equity of RELX (88.30%) is better than 95.12% of its industry peers.
Looking at the Return On Invested Capital, with a value of 25.89%, RELX belongs to the top 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 last Return On Invested Capital (25.89%) for RELX is above the 3 year average (19.62%), which is a sign of increasing profitability.
| 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's Profit Margin of 20.19% is amongst the best of the industry. RELX outperforms 91.46% of its industry peers.
RELX's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 30.17%, RELX belongs to the top of the industry, outperforming 96.34% of the companies in the same industry.
RELX's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 65.48%, RELX is doing good in the industry, outperforming 75.61% of the companies in the same industry.
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
RELX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for RELX has been reduced compared to 1 year ago.
The number of shares outstanding for RELX has been reduced compared to 5 years ago.
RELX has a better debt/assets ratio than last year.
2.2 Solvency
RELX has an Altman-Z score of 4.42. This indicates that RELX is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of RELX (4.42) is better than 75.61% of its industry peers.
RELX has a debt to FCF ratio of 3.34. This is a good value and a sign of high solvency as RELX would need 3.34 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 3.34, RELX is doing good in the industry, outperforming 60.98% of the companies in the same industry.
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: 82.93% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.57 | ||
| Debt/FCF | 3.34 | ||
| Altman-Z | 4.42 |
ROIC/WACC2.93
WACC8.83%
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.
The Current ratio of RELX (0.47) is worse than 90.24% of its industry peers.
A Quick Ratio of 0.42 indicates that RELX may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.42, RELX is doing worse than 91.46% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.27% over the past year.
RELX shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.94% yearly.
Looking at the last year, RELX shows a small growth in Revenue. The Revenue has grown by 2.48% in the last year.
Measured over the past years, RELX shows a small growth in Revenue. The Revenue has been growing by 3.68% on average per year.
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
RELX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.56% yearly.
Based on estimates for the next years, RELX will show a small growth in Revenue. The Revenue will grow by 6.16% on average per year.
EPS Next Y6.82%
EPS Next 2Y8.41%
EPS Next 3Y8.71%
EPS Next 5Y8.56%
Revenue Next Year2.14%
Revenue Next 2Y4.3%
Revenue Next 3Y4.98%
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
The Price/Earnings ratio is 33.74, which means the current valuation is very expensive for RELX.
RELX's Price/Earnings is on the same level as the industry average.
RELX is valuated rather expensively when we compare the Price/Earnings ratio to 27.54, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 23.97, the valuation of RELX can be described as rather expensive.
RELX's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of RELX to the average of the S&P500 Index (23.05), we can say RELX is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.74 | ||
| Fwd PE | 23.97 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as RELX.
RELX's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.64 | ||
| EV/EBITDA | 19.57 |
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)4.95
PEG (5Y)5.69
EPS Next 2Y8.41%
EPS Next 3Y8.71%
5. Dividend
5.1 Amount
RELX has a Yearly Dividend Yield of 1.86%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.16, RELX pays a better dividend. On top of this RELX pays more dividend than 81.71% of the companies listed in the same industry.
RELX's Dividend Yield is slightly below the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.86% |
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
RELX pays out 60.42% of its income as dividend. 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 2Y8.41%
EPS Next 3Y8.71%
NYSE:RELX (9/29/2025, 2:40:27 PM)
47.24
+0.41 (+0.88%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners59.82%
Inst Owner Change1.21%
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap86.33B
Analysts80.87
Price Target61.13 (29.4%)
Short Float %0.12%
Short Ratio1.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.86% |
Yearly Dividend0.81
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)-0.53%
PT rev (3m)-0.41%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.02%
EPS NY rev (3m)-3.48%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-2.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.74 | ||
| Fwd PE | 23.97 | ||
| P/S | 6.78 | ||
| P/FCF | 28.64 | ||
| P/OCF | 23.4 | ||
| P/B | 29.65 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.57 |
EPS(TTM)1.4
EY2.96%
EPS(NY)1.97
Fwd EY4.17%
FCF(TTM)1.65
FCFY3.49%
OCF(TTM)2.02
OCFY4.27%
SpS6.97
BVpS1.59
TBVpS-6.32
PEG (NY)4.95
PEG (5Y)5.69
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 | 4.42 |
F-Score7
WACC8.83%
ROIC/WACC2.93
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 Y6.82%
EPS Next 2Y8.41%
EPS Next 3Y8.71%
EPS Next 5Y8.56%
Revenue 1Y (TTM)2.48%
Revenue growth 3Y9.2%
Revenue growth 5Y3.68%
Sales Q2Q%2.15%
Revenue Next Year2.14%
Revenue Next 2Y4.3%
Revenue Next 3Y4.98%
Revenue Next 5Y6.16%
EBIT growth 1Y4.2%
EBIT growth 3Y14.69%
EBIT growth 5Y6.47%
EBIT Next Year23.62%
EBIT Next 3Y12.21%
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%