- Senior
- 26 November 2025 10:41:08
Source: Sharecast
The broker lifts its target from 185p to 230p, reiterating a 'buy' call on the stock.
Senior, which makes high technology components and systems, said last Thursday that its full-year performance was set to be "comfortably above" its previous expectations.
Constant-currency revenues rose 5.9% year-on-year over the first 10 months of 2025, with Aerospace sales increasing 9.4% and Flexonics growing by 1.5%.
Growth in the aerospace segment was put down to increasing production rates of commercial aircraft, higher defence spending and improved pricing, which Senior expects to continue for the full year and beyond. However, while Flexonics' full-year results are now tipped to be slightly ahead of 2024, the land vehicle end-market has softened in the second half and is expected to remain weak in 2026, leading to a sharp fall in the shares over recent days.
The stock fell over 10% on Thursday and Friday combined to settle at a six-month low of 164.6p, before rebounding slightly since the start of the week.
"Senior's equity story continues to appeal, in our view, and while FY25F consensus moved higher post the 10m update, FY26F consensus moved lower on Flexonics weakness," Jefferies said.
"Importantly, the Aerospace division is performing better-than-expected, and there continues to be a positive outlook and significant improvement potential, in our view. There is still plenty to come from Senior."
Shares were up 1.1% at 173.04p by 1035 GMT.