Halma plc (LON: HLMA) is finishing 3 December 2025 trading near record territory, powered by booming demand from AI data centres, record half‑year results and a cluster of fresh analyst target upgrades. The stock now trades as a classic “quality at a price” growth compounder: operationally strong, but with expectations baked in.
This article pulls together the key news, forecasts and analyses available as of 3 December 2025, for investors tracking Halma’s share price, fundamentals and outlook.
Halma share price today: near the top of its 52‑week range
On 3 December 2025, Halma shares closed around 3,604p on the London Stock Exchange, according to FT and UK broker data. [1]
Intraday, the stock traded in a range roughly between 3,560p and 3,642p, with data providers reporting a last trade near 3,622p earlier in the session. [2]
Key price context:
- 52‑week range: about 2,316p to 3,764p, with the high set on 20 November 2025 immediately after the half‑year results. [3]
- One‑year performance: Halma has delivered roughly 31–32% share price growth over the past 12 months, comfortably ahead of broad equity indices. [4]
- Valuation snapshot: recent analyst pieces put the trailing price/earnings (P/E) multiple in the mid‑40s on current prices, with a price/earnings‑to‑growth (PEG) ratio around 2.9 and a beta near 0.5, underlining both the premium valuation and relatively low volatility. [5]
For investors using US tickers, Halma also trades over the counter as HLMAF and via the ADR HALMY; recent pricing shows HLMAF in the mid‑$40s range. [6]
The November 2025 earnings surge: record half‑year 2025/26
The turning point for Halma’s share price this quarter was the 2025/26 half‑year results, released on 20 November 2025. The company reported another set of record numbers and upgraded full‑year guidance. [7]
From Halma’s official release for the six months to 30 September 2025: [8]
- Revenue: up 15.2% to £1,237.4m (from £1,074.3m).
- Organic constant‑currency revenue growth:+16.7%, with around 8 percentage points coming from photonics products in the Environmental & Analysis sector.
- Adjusted EBIT: up 26.7% to £282.0m.
- Adjusted EBIT margin: improved from 20.7% to 22.8% (a 210 bps increase).
- Adjusted profit before tax: up 29.3% to £270.5m.
- Adjusted EPS: up 28.6% to 55.32p.
- Statutory profit before tax: up 39.0% to £241.8m.
- Statutory EPS: up 37.0% to 49.44p.
- Interim dividend: raised 7% to 9.63p per share.
- Return on Total Invested Capital: up to 16.2% (from 14.3%).
- Net debt/EBITDA: a conservative 1.03x, within the group’s comfort range.
All three of Halma’s sectors — Safety, Environmental & Analysis, and Healthcare — delivered both revenue and profit growth with improving margins, underlining that this was not a one‑segment wonder. [9]
AI data centres and photonics: the hottest part of the story
A big part of the recent excitement is Halma’s photonics exposure to US data centres, which has effectively plugged the group into the global AI infrastructure boom.
Coverage of the results highlighted that: TS2 Tech+2TS2 Tech+2
- Photonics products within the Environmental & Analysis division contributed a substantial chunk of organic growth (around eight percentage points).
- Demand from US data centres has been particularly strong, pushing some photonics subsidiaries to become outsized contributors to group revenue.
- Investors reacted accordingly: on 20 November 2025, Halma’s share price jumped roughly 12% in a single session, closing around 3,700p and setting a new all‑time high near 3,720p.
The market’s message was simple: Halma is no longer “just” a defensive safety‑equipment name — it now has a genuine AI‑infra angle layered on top of its long‑standing compounding story.
Upgraded guidance: mid‑teens growth targeted for the full year
Alongside the half‑year numbers, management upgraded guidance for the 2025/26 financial year. Halma now expects: [10]
- Mid‑teens percentage organic constant‑currency revenue growth for the full year,
- An adjusted EBIT margin around 22% (excluding a one‑off profit in the first half),
- Order intake running ahead of revenue year‑to‑date and ahead of the comparable period last year.
That combination — double‑digit organic growth, rising margins, and strong order cover — goes a long way to justifying the stock’s premium rating in the eyes of many analysts.
Consensus forecasts: what the market is modelling from 2026 onwards
Halma’s own website publishes a compilation of consensus forecasts from 11–14 covering analysts, updated through mid‑October 2025. [11]
Headline numbers from that consensus:
FY 2025/26 (current year)
- Revenue: ~£2,457.5m
- Adjusted EBIT: ~£534.9m
- Adjusted PBT: ~£512.2m
- Adjusted EPS: ~104.9p
- Dividend per share: ~25.8p
FY 2026/27
- Revenue: ~£2,644.1m
- Adjusted EBIT: ~£580.9m
- Adjusted EPS: ~114.5p
- Dividend per share: ~27.8p
FY 2027/28
- Revenue: ~£2,834.2m
- Adjusted EBIT: ~£625.4m
- Adjusted EPS: ~124.6p
- Dividend per share: ~29.9p
Independent platform Simply Wall St distils this into growth rates, projecting that Halma’s: [12]
- Earnings will grow at about 8.7% per year,
- Revenue will grow around 6.6% per year,
- Return on equity will remain robust, near 17% over three years.
Those figures paint a picture of steadier, mid‑single to high‑single‑digit growth rather than hyper‑growth — but with high returns on capital and consistent dividend progression.
Given that first‑half revenue has already reached £1.24bn, the consensus full‑year numbers imply continued strength in H2, but not an unrealistic acceleration.
Analyst ratings and price targets: “Moderate Buy” with modest upside
On the LSE‑listed HLMA shares, MarketBeat tracks eight analysts who currently assign Halma a consensus rating of “Moderate Buy”. The split is: [13]
- 4 Buy ratings
- 4 Hold ratings
The average 12‑month price target sits around 3,643.75p, with a range from 3,200p (low) to 3,820p (high). Based on recent prices near 3,600–3,620p, that implies only around 1% upside to the mean target, and a few percent to the most optimistic broker calls. [14]
Recent analyst moves:
- JPMorgan Chase & Co. raised its target from 3,200p to 3,500p, maintaining a “neutral” rating and noting that the new target actually implied slight downside from the then‑current price. [15]
- Citigroup boosted its target from 3,150p to 3,700p, also with a “neutral” stance, flagging a low‑single‑digit percentage upside. [16]
- Other brokers such as Peel Hunt, Berenberg, Panmure Gordon and Goldman Sachs have set more bullish targets in the 3,700–3,820p range, generally pairing these with Buy ratings. [17]
Stockopedia’s aggregation puts the consensus target at about 3,692.5p, which it notes is roughly 3–4% above a recent closing price of 3,560p, and it cites a next‑year EPS forecast of about £1.10. [18]
Meanwhile, over the counter in the US:
- Nasdaq reports that J.P. Morgan Cazenove’s coverage of HLMAF (the OTC line) implies an average one‑year target around $47.30, representing large percentage upside versus an earlier quoted price in the high‑$20s, though that base price is now out of date relative to current mid‑$40s trading. [19]
- MarketBeat’s analysis of HLMAF still characterises overall coverage as a “Moderate Buy”, with a mix of Strong Buy, Buy, Hold and Sell ratings. [20]
One outlier is algorithm‑driven site StockScan, which pushes a highly pessimistic model for HLMAF, projecting large percentage downside over the next few years from today’s price. [21] That stands in sharp contrast to the more measured forecasts from mainstream brokers and should be treated as just one speculative model among many.
Finally, a new article on 3 December 2025 from Yahoo Finance notes that fair‑value estimates for Halma have recently been nudged up, with one model moving from around £34.30 to £36.67 per share, broadly in line with where the market is trading. [22]
Business quality and strategic positioning
Under the hood, Halma remains a decentralised group of more than 50 technology businesses, operating across three main segments — Safety, Environmental & Analysis, and Healthcare — with global operations centred in the US, Europe, UK and Asia Pacific. [23]
Finimize’s recent deep‑dive on Halma highlights several structural strengths: [24]
- Long track record: over 20 consecutive years of profit growth and more than four decades of rising dividends.
- Geographic diversity: roughly half of sales from the US, with meaningful contributions from Europe, the UK and Asia Pacific.
- Strong returns: double‑digit return on equity and return on invested capital above industry averages.
- Cash generation: free cash flow running in the hundreds of millions of pounds, funding both dividends and ongoing acquisitions.
- M&A model: Halma regularly acquires smaller niche technology firms, especially in regulated markets like safety and healthcare, where switching costs and regulation help protect margins.
The half‑year figures back this up: ROTI C at 16.2%, conservative leverage, and elevated R&D spending (about 4.8% of revenue) all point toward a business prepared to invest for long‑term growth while keeping returns high. [25]
Dividend profile: a low yield, high‑reliability payer
Halma is often talked about in UK income circles, showing up in lists of resilient FTSE 100 dividend payers thanks to its consistent increases rather than a fat starting yield. [26]
From consensus and the half‑year release: [27]
- Interim dividend for 2025/26: 9.63p, up 7%.
- Consensus full‑year dividend: around 25.8p per share.
Against a share price near 3,600p, that translates into a forward yield of well under 1% — closer to 0.7–0.8% on current numbers. In other words, Halma is much more of a dividend‑growth compounder than a traditional high‑yield income stock.
Key risks flagged by recent analysis
While the operational story is strong, recent research and commentary also point out several risks and constraints:
- Valuation sensitivity: Multiple sources highlight that Halma trades at a premium P/E and EV/Sales compared with peers like Allegion and broader industrial tech names. That leaves limited room for disappointment; any earnings miss or margin squeeze could trigger a de‑rating. [28]
- Currency headwinds: With nearly half of revenues generated in the US, a stronger pound has already been a drag on reported numbers and is expected to shave several percentage points off top‑line growth in 2026. [29]
- Healthcare lag: Some healthcare businesses, especially in ophthalmology and certain medical devices, are recovering more slowly than the rest of the group, which could cap margin expansion if they don’t catch up. [30]
- M&A execution: The “many small deals” strategy only works if integration and local leadership continue to deliver; any mis‑steps in buying or managing niche companies could erode returns over time. [31]
- Macro and capex cycles: Despite its safety‑and‑health tilt, Halma still relies on corporate and public sector capital spending. A broad slowdown in industrial or infrastructure investment could impact order intake. [32]
- Over‑enthusiasm for AI exposure: Recent share price gains have been turbocharged by the photonics/data‑centre angle. If AI‑related orders normalise or investors cool on the theme, the multiple could contract even if the underlying business remains healthy. TS2 Tech+1
What to watch next
Officially, Halma’s financial calendar flags the following upcoming events: [33]
- 12 March 2026: provisional trading update.
- 31 March 2026: financial year‑end (2025/26).
- 11 June 2026: full‑year results for 2025/26.
Investors are likely to focus on:
- Whether mid‑teens organic growth can be sustained after the very strong first half,
- How quickly any FX headwinds subside (or intensify),
- The trajectory of photonics and AI‑related demand,
- Progress in improving the slower Healthcare businesses, and
- The balance between acquisitions, dividends and potential buybacks, given the group’s cash‑flow profile.
Bottom line: Halma on 3 December 2025
As of 3 December 2025, Halma plc sits in an interesting position:
- The core business is delivering record results, with rising margins, high returns on capital and a long history of consistent execution. [34]
- The market has rewarded that performance — and the new AI data‑centre angle — by pushing the share price close to its all‑time high. TS2 Tech+1
- Analysts broadly classify the stock as a “Moderate Buy”, but with only modest upside to their 12‑month price targets from today’s levels. [35]
- The dividend story is about reliability and growth, not high yield, and the valuation leaves little margin for error. [36]
For long‑term investors who prioritise quality, resilience and structural growth over headline yield or bargain valuations, Halma remains one of the more distinctive names in the FTSE 100. But at current prices, the share price already reflects a lot of that optimism, so future returns are likely to depend on whether the company can keep compounding at something close to its historic pace.
References
1. markets.ft.com, 2. www.investing.com, 3. markets.ft.com, 4. www.investing.com, 5. www.marketbeat.com, 6. stockscan.io, 7. www.halma.com, 8. www.halma.com, 9. www.halma.com, 10. www.halma.com, 11. www.halma.com, 12. simplywall.st, 13. www.marketbeat.com, 14. www.marketbeat.com, 15. www.marketbeat.com, 16. www.marketbeat.com, 17. www.marketbeat.com, 18. www.stockopedia.com, 19. www.nasdaq.com, 20. www.marketbeat.com, 21. stockscan.io, 22. finance.yahoo.com, 23. www.google.com, 24. finimize.com, 25. www.halma.com, 26. global.morningstar.com, 27. www.halma.com, 28. finimize.com, 29. finimize.com, 30. finimize.com, 31. finimize.com, 32. finimize.com, 33. www.halma.com, 34. www.halma.com, 35. www.marketbeat.com, 36. www.halma.com
