26 May 2026

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Babcock International Group PLC (BAB)

Rank #52 of 100 - Industrials - UK Equities

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Babcock International Group PLC

BAB.L·Industrials·Market Cap £5.1b

Rank #52 of 100

Data from Excel Model · 100 Stocks Analysed

£10.63

-16.37% YTD

Target: £13.85(+30.2%)

52W: £8.63 - £15.27

Score Analysis

Babcock International Group PLC is ranked #52 out of 100 UK stocks. Lower factor scores indicate better performance in that category.

Factor Breakdown

53/100

Average Score

Liquidity

Fair57/100

Valuation

Weak81/100

Profitability

Fair55/100

Solvency

Good36/100

Asset Efficiency

Excellent11/100

Mkt Trading

Fair59/100

Technical

Weak75/100

1. Valuation

Score: 81/100

Is BAB undervalued compared to its peers and fair value metrics?

1/5

valuation criteria met

✗

FY26e P/E Ratio

21.3xRank 82/100

✗

FY27e P/E Ratio

16.3xRank 76/100

✗

Price-to-Book

6.06xRank 83/100

✗

Price-to-Tangible Book

N/ARank 101/100

✓

EV/EBITDA

8.8xRank 35/100

Key Valuation Metrics

Current P/E

18.8x

Price-to-Earnings

FY26e P/E

21.3x

Forward estimate

FY27e P/E

16.3x

Forward estimate

P/B Ratio

6.06x

Price-to-Book

P/TBV

N/A

Price-to-Tangible Book

EV/EBITDA

8.8x

Enterprise Value

FY26e EV/EBITDA

9.1x

Forward estimate

FY27e EV/EBITDA

9.1x

Forward estimate

Analyst Consensus Target

Current Price

£10.63

Consensus Target

£13.85

Potential

+30.2%

Target

Bloomberg Median Target: £14.00

2. Profitability

Score: 55/100

How profitable is BAB relative to its peers?

2/6

profitability criteria met

✓

TTM Profit Margin

5.8%Rank 29/100

–

Current ROE

49.8%

–

Current ROA

N/A

✓

FY26e EPS

0.65Rank 33/100

–

TTM EPS

0.66

–

Net Income Growth

N/A

Profit Margin

5.8%

ROE

49.8%

FY27e ROE

49.8%

ROA

N/A

Earnings Per Share

3. Financial Health

Score: 36/100

How strong is BAB's balance sheet and financial position?

0/4

solvency criteria met

–

Debt-to-Equity

165.0%

–

Interest Coverage

N/A

✗

Debt/EBITDA

Rank 48Rank 48/100

–

Altman Z-Score

2.10

Key Health Metrics

Quick Ratio

0.81

Below 1.0

Cash Ratio

0.90

Debt/Equity

165%

FCF Margin

0.4%

Altman Z-Score

2.10

Grey Zone

01.812.995+

4. Asset Efficiency

Score: 11/100

How efficiently does BAB deploy its assets and intellectual capital?

0/2

asset efficiency criteria met

–

Intangible/Asset

Intangible assets as a proportion of total assets — lower indicates more tangible, capital-efficient operations

N/A

–

R&D/Sales

Research & development spend relative to revenue — balanced R&D investment signals sustainable growth

N/A

Overall Asset Efficiency Rank

Rank within sector peers#11/100

Best (1)Worst (100)

What This Measures

Intangible/Asset — a lower ratio suggests the company's value is backed by tangible assets rather than goodwill or intangibles, reducing balance sheet risk.

R&D/Sales — captures the proportion of revenue reinvested into research and development, indicating innovation intensity and future growth investment.