Bodycote (LON:BOY) Lowered to “Sector perform” Rating by Royal Bank Of Canada

Royal Bank Of Canada cut shares of Bodycote (LON:BOY) to a sector perform rating in a research report report published on Thursday, MarketBeat.com reports. The firm currently has GBX 775 price target on the stock.

Several other equities research analysts have also recently commented on the company. Deutsche Bank Aktiengesellschaft lowered their target price on Bodycote from GBX 860 to GBX 835 and set a “buy” rating for the company in a research note on Tuesday, November 18th. JPMorgan Chase & Co. reiterated a “neutral” rating on shares of Bodycote in a report on Tuesday, January 6th. Peel Hunt reiterated a “buy” rating and issued a GBX 845 price objective on shares of Bodycote in a research report on Tuesday, November 18th. Berenberg Bank reissued a “buy” rating and set a GBX 900 price objective on shares of Bodycote in a report on Thursday. Finally, Jefferies Financial Group boosted their price objective on Bodycote from GBX 915 to GBX 925 and gave the stock a “buy” rating in a report on Monday, January 26th. Four investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of GBX 825.

Bodycote Stock Performance

Shares of Bodycote stock opened at GBX 706.50 on Thursday. The company has a debt-to-equity ratio of 29.80, a current ratio of 1.15 and a quick ratio of 0.74. The firm has a market cap of £1.21 billion, a P/E ratio of 44.16, a P/E/G ratio of 1.44 and a beta of 1.22. The firm has a 50 day simple moving average of GBX 753.34 and a 200 day simple moving average of GBX 685.57. Bodycote has a fifty-two week low of GBX 449.40 and a fifty-two week high of GBX 800.

Bodycote (LON:BOY) last posted its quarterly earnings data on Wednesday, March 11th. The company reported GBX 44.40 earnings per share for the quarter. Bodycote had a net margin of 7.55% and a return on equity of 8.58%. Sell-side analysts predict that Bodycote will post 54.0540541 earnings per share for the current fiscal year.

Bodycote News Roundup

Here are the key news stories impacting Bodycote this week:

• Positive Sentiment: Profit jump and £80m buyback announced — management published stronger H2/2025 results and unveiled an £80 million share buyback, which is a clear capital-return action that typically supports the stock. Bodycote profit jumps in 2025; launches GBP80 million buyback
• Positive Sentiment: Earnings beat and confirmation in coverage — reports note Bodycote beat estimates for the period and reiterated the buyback, which helps justify upside vs. peers. Bodycote beats estimates as new buyback announced
• Positive Sentiment: Berenberg reaffirms “buy” with a GBX 900 target — an upgraded/affirming analyst view at a significantly higher target can support investor sentiment and act as a counterweight to lower-rated brokers. Broker ratings (Berenberg reaffirmation)
• Neutral Sentiment: Quarterly results detail — Bodycote reported GBX 44.40 EPS for the quarter and hosted an earnings call / slide deck (useful for details on margins, segment trends and buyback timing). Earnings release and materials
• Negative Sentiment: Royal Bank of Canada downgraded to “sector perform” with a GBX 775 target — the cut reduces upside from a large broker and can pressure sentiment, especially given mixed fundamentals. RBC downgrade
• Negative Sentiment: Weak margin/return metrics and liquidity signals — reported net margin (~3.9%), ROE (~4.3%), elevated P/E (~44) and current/quick ratios (~0.74) highlight modest profitability and tight short-term liquidity, which may limit multiple expansion absent stronger margin recovery.

About Bodycote

The leading provider of heat treatment and specialist thermal processing services worldwide.

Heat treatment encompasses a variety of techniques and specialist engineering processes which improve the properties of metals and alloys and extend the life of components and is a vital part of any manufacturing process.

Bodycote is uniquely placed via our global network and the experience and knowledge of our people to offer high quality, reliable and cost-effective services to manufacturers whatever their size or market sector.