The company's active pivot toward higher-value, specialty polymers—evidenced by ongoing divestment of noncore, lower-margin businesses, portfolio simplification, and site rationalization—positions Synthomer to capitalize on long-term demand for sustainable and innovative chemicals, which should enhance revenue quality, boost EBITDA margins, and support earnings growth. The company expects progress in Group earnings in 2026, linked to its internal improvement efforts and ongoing product investments, with cash generation in 2026 expected to benefit from a full year of self-help actions.
Cyborg Score Rationale
Analysts are not forecasting that Synthomer will become profitable in the next 3 years. The company confirmed it is considering raising capital and refinancing existing debt facilities due in the second half of 2026. Stock performance has been severely impacted, with significant losses since 2021.
Top Insights
The 91% decline in the Synthomer share price since 2021 makes it the worst-performing FTSE 250 stock.
Specialization in higher-margin products, site reduction, and broader divestments are accelerating deleveraging and capital efficiency, with shift to high-margin specialty chemicals expected to enhance profitability.
Analysts are assuming Synthomer's revenue will grow by 2.9% annually over the next 3 years.
Capital raise being considered as the company works to refinance debt facilities due in H2 2026.
Named Competitors
Specialty Polymers & Adhesives — Integrated chemical company with broad portfolio
Specialty Polymers — Global specialty chemicals manufacturer
Advanced Materials — Specialty chemicals and materials
Recent Developments
(Feb 2026) Company confirming consideration of capital raise to refinance debt due H2 2026
(Jan 2026) JPMorgan reduced price target to £1.02 from £1.12 while maintaining Neutral rating