DAVY VIEW

Stelrad’s resilient H1 performance maintains a positive pattern of delivering solid results as a plc. A slight increase in adjusted operating profit thanks to further margin progress represents a commendable achievement in current circumstances. The stock has enjoyed a very decent run since its last trading update in May, rising from 136p to 170p, leaving Stelrad near two-year highs. It has clearly re-rated but still is not extravagantly valued, trading on a 2025 P/E of around 12x.