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1. Company Snapshot

1.a. Company Description

Oxford Instruments plc, through its subsidiaries, researches, develops, manufactures, rents, sells, and services tools and systems in the United Kingdom, China, Japan, the United States, Germany, rest of Europe, rest of Asia, and internationally.It operates through e Materials & Characterisation, Research & Discovery, and Service & Healthcare.The company offers atomic force microscopy products; tools for use in research and development across a range of applications, including semiconductors, renewable energy, mining, metallurgy, and forensics; etch and deposition processing equipment and solutions for use in power and RF devices, VCSELs/lasers, 2D materials, augmented reality, biomems, failure analysis, HBLEDs, infrared sensors, MEMS and sensors, and quantum; and low temperature systems comprising wet systems, magnet systems, instrumentation products, and custom and specialty systems.


It also provides optical imaging products; and nuclear magnetic resonance (NMR) instruments, including NMR spectrometers, QC/QA analyzers, and rock core analyzers for use in applications, such as agriculture and food, automotive and aviation, building and construction, chemicals, environment, illicit drugs testing, mining and minerals, pharma, polymers, rock core analysis, textiles, and education.In addition, the company offers MRI and CT serving products; scientific cameras spectroscopy solutions, microscopy systems, and software for applications comprising astronomy, bio imaging and life science, energy generation and storage, forensics and environment, photonics, quantum technology, semiconductors, microelectronics, and data storage; and manufacture of x-ray tubes, power supplies, and integrated x-ray sources for analytical, medical imaging, food quality and packaging inspection, and industrial NDT markets.Oxford Instruments plc was founded in 1959 and is headquartered in Abingdon, the United Kingdom.

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1.b. Last Insights on OXIG

Oxford Instruments' recent performance was driven by robust growth in advanced technologies and strategic product launches. The company's half-year 2026 earnings call highlighted strong order growth, despite revenue declines and global trade challenges. Additionally, the launch of the witec360 Raman Microscope with Hexalight Spectrometer is expected to advance research in Singapore and Southeast Asia. These developments demonstrate the company's commitment to innovation and expansion in key markets.

1.c. Company Highlights

2. Oxford Instruments' H1 2026 Earnings: A Strong Performance Amidst Challenges

Oxford Instruments reported revenue for the first half of 2026, with the company's gross margin steady at 55% and overheads slightly lower. The adjusted operating profit was impacted by the revenue gap, but the company expects a strong operational leverage effect in H2. The actual EPS came out at 0.289, slightly lower than the estimated 0.3287. The company's financial performance was impacted by the order profile, with the Imaging & Analysis division being the most affected.

Publication Date: Nov -30

📋 Highlights
  • Advanced Technologies Order Growth: 25% order growth in compound semiconductor business, driven by larger systems and higher ASPs.
  • Share Buyback Expansion: GBP 50 million added to buyback program, totaling GBP 100 million, with GBP 30 million returned to shareholders so far.
  • Andor Turnaround Measures: 20% workforce reduction in Belfast expected to yield GBP 4 million cost savings in H2.
  • US Market Performance: 11% order growth in the US, fueled by semiconductor commercial customers, alongside 9% service revenue growth.
  • Margin and Cost Targets: Gross margin stable at 55%, with stranded costs projected at 3.5% for 2026, aiming for 20%+ operating margin in medium term.

Segmental Performance

The Advanced Technologies division showed strong order growth, particularly in the compound semiconductor business with 25% order growth. The Imaging & Analysis division is expected to trade in line with H2 last year, while Advanced Technologies is expected to see early teen revenue growth in H2. The company's product line restructure announced in June is complete, enabling the company to focus on regaining market share and improving margins.

Balance Sheet and Shareholder Returns

The company has a strong balance sheet with net cash at GBP 45 million and around GBP 57 million from the sale of NanoScience to come. The share buyback program is well advanced with just over GBP 30 million returned to shareholders, and will be extended by a further GBP 50 million to a total of GBP 100 million.

Outlook and Valuation

The company expects to deliver a strong H2, broadly in line with last year, with demand improving in Imaging & Analysis and a full order book to support growth in Advanced Technologies. With a P/E Ratio of 43.99 and an EV/EBITDA of 18.78, the market is pricing in a certain level of growth. The company's ROIC is 11.39%, indicating a good return on invested capital. The ROE is 6.91%, which is relatively modest. The Net Debt / EBITDA is -0.94, indicating a strong balance sheet.

Growth Prospects

The company remains confident in its medium-term targets, including a 20% plus operating margin goal. The AT business saw 25% order growth in the first half, driven by larger systems with higher ASPs, but also longer lead times. The company still expects to deliver double-digit growth in the second half. Analysts estimate next year's revenue growth at -14.5%, but the company's visibility in the order book and the outlook for the second half are in line with expectations.

3. NewsRoom

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Oxford Instruments launches Imaris 11: boosting research productivity with clear, workflow-driven image analysis

Dec -01

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Oxford Instruments PLC (OXINF) (Half Year 2026) Earnings Call Highlights: Strong Order Growth ...

Nov -13

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Oxford Instruments introduces the witec360 Raman Microscope with Hexalight Spectrometer to advance research in Singapore and across Southeast Asia

Nov -03

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Three Undervalued European Small Caps With Insider Action

Oct -21

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European Undervalued Small Caps With Insider Activity In October 2025

Oct -20

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3 European Undervalued Small Caps With Recent Insider Activity

Oct -17

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Oct -16

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Oct -15

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.71%)

6. Segments

Materials & Characterisation

Expected Growth: 4.5%

Oxford Instruments' Materials & Characterisation segment growth is driven by increasing demand for advanced materials in industries such as aerospace, automotive, and electronics. Rising adoption of nanotechnology, energy storage, and semiconductor manufacturing also contribute to growth. Additionally, the segment benefits from Oxford Instruments' strong brand reputation, innovative product offerings, and strategic acquisitions.

Research & Discovery

Expected Growth: 4.8%

Oxford Instruments' Research & Discovery segment growth of 4.8% is driven by increasing demand for advanced materials and nanotechnology research, government investments in scientific infrastructure, and the company's strategic expansion into emerging markets, such as Asia, where research and development activities are accelerating.

Service & Healthcare

Expected Growth: 5.2%

Oxford Instruments plc's Service & Healthcare segment growth of 5.2% is driven by increasing demand for healthcare technology, rising healthcare expenditure, and growing need for medical research. Additionally, the segment benefits from the company's strong brand reputation, innovative product offerings, and strategic partnerships, enabling it to capitalize on emerging trends in healthcare and life sciences.

7. Detailed Products

Nanoscience Tools

Oxford Instruments' nanoscience tools provide researchers with the ability to manipulate and analyze materials at the nanoscale, enabling advancements in fields such as materials science, biomedicine, and energy storage.

Electron Microscopy

Oxford Instruments' electron microscopy solutions provide high-resolution imaging and analysis capabilities for materials science, life sciences, and industrial applications.

X-Ray Technology

Oxford Instruments' X-ray technology provides non-destructive testing and analysis capabilities for a wide range of industries, including aerospace, automotive, and electronics.

Cryogenic Equipment

Oxford Instruments' cryogenic equipment provides ultra-low temperature solutions for a variety of applications, including superconducting materials, quantum computing, and cryogenic storage.

Industrial Products

Oxford Instruments' industrial products provide solutions for a wide range of industrial applications, including plasma etching, thin film deposition, and surface analysis.

Asylum Research AFM

Oxford Instruments' Asylum Research AFM provides high-resolution imaging and analysis capabilities for a wide range of materials and applications.

8. Oxford Instruments plc's Porter Forces

Forces Ranking

Threat Of Substitutes

Oxford Instruments plc operates in a niche market with specialized products, reducing the threat of substitutes. However, the company's products are not entirely unique, and some customers may find alternative solutions.

Bargaining Power Of Customers

Oxford Instruments plc's customers are primarily research institutions and industrial companies, which have limited bargaining power due to the specialized nature of the company's products.

Bargaining Power Of Suppliers

Oxford Instruments plc relies on a diverse supplier base, reducing the bargaining power of individual suppliers. However, some suppliers may have significant negotiating power due to their specialized products or services.

Threat Of New Entrants

The market for Oxford Instruments plc's products is characterized by high barriers to entry, including significant research and development investments and regulatory hurdles, making it difficult for new entrants to join the market.

Intensity Of Rivalry

The market for Oxford Instruments plc's products is moderately competitive, with a few established players. However, the company's specialized products and strong brand reputation help to mitigate the intensity of rivalry.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 4.89%
Debt Cost 3.95%
Equity Weight 95.11%
Equity Cost 8.67%
WACC 8.44%
Leverage 5.15%

11. Quality Control: Oxford Instruments plc passed 7 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
SÜSS MicroTec

A-Score: 4.3/10

Value: 8.2

Growth: 8.9

Quality: 7.9

Yield: 0.6

Momentum: 0.5

Volatility: 0.0

1-Year Total Return ->

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Navitas Semi

A-Score: 4.3/10

Value: 6.2

Growth: 6.4

Quality: 3.8

Yield: 0.0

Momentum: 9.5

Volatility: 0.0

1-Year Total Return ->

Stock-Card
Oxford Instruments

A-Score: 4.0/10

Value: 2.3

Growth: 4.7

Quality: 6.2

Yield: 1.2

Momentum: 4.0

Volatility: 5.3

1-Year Total Return ->

Stock-Card
Seco

A-Score: 3.9/10

Value: 4.3

Growth: 4.9

Quality: 2.8

Yield: 0.0

Momentum: 9.5

Volatility: 2.0

1-Year Total Return ->

Stock-Card
Alphawave IP

A-Score: 3.6/10

Value: 4.6

Growth: 5.1

Quality: 1.6

Yield: 0.0

Momentum: 9.5

Volatility: 1.0

1-Year Total Return ->

Stock-Card
Valens Semi

A-Score: 2.9/10

Value: 7.8

Growth: 4.3

Quality: 4.3

Yield: 0.0

Momentum: 1.0

Volatility: 0.0

1-Year Total Return ->

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

21.5$

Current Price

21.5$

Potential

-0.00%

Expected Cash-Flows