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London Security plc (LSC) Fair Value & Analysis

Industrials · GB · Market cap 429M GBX

LS London Security plc LSC · LSE
Price£35.00
Fair Value£40.73
Upside+16.4%
Quality74/100
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Mixed Growth
Thin margins · 9.7% net margin
Low debt · generates free cash flow
2.77% dividend yield
Ranks above peers (10/14)
Moderate moat 58/100
Evidence: High Range £30.55 – £50.92 Share as image

Fair value as of: Jul 13, 2026

From 26 valuation models · updated 28 days ago

Share price +2.9% over the past month.

A solid business, screening 16% undervalued on our models.

What matters now

  • Our model range runs from £30.55 (bear) to £50.92 (bull), base £40.73. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 74/100 (solid quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

£37.89 £21.55 Fair Value £40.73 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 13, 2026.

How to read this chart

60‑month range £21.55 – £37.89 · fair‑value band £30.55 – £50.92 · the £35.00 price screens below the £40.73 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 13, 2026.

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Analysis

London Security plc (LSC) currently trades at £35.00, while our model-based Fair Value estimate is £40.73, implying the stock looks roughly 16.4% undervalued today. The Quality Score stands at 74/100 (solid quality), in the Industrials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, London Security plc generated revenue of £244M at a net margin of 9.7%. Revenue grew 16.0% year over year. It earns a return on equity of 14.6%. The balance sheet holds a net cash position of £37.6M. Fundamentals as of Jul 13, 2026

Our scenario range runs from £30.55 (bear case) to £50.92 (bull case); at £35.00, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Industrials peers we cover trades at 10% fair-value upside, at 16%, LSC screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF £34.38 £58.27 £98.15 80
Residual Income £12.82 £15.01 £26.38 76
Rev-Margin DCF £30.97 £54.79 £89.70 74
All 26 models by family
DCF Models
FCF DCF £35.88 £54.94 £103.14 38
Owner Earnings £32.40 £61.68 £114.87 31
5Y Revenue Exit £30.97 £53.20 £92.25 39
5Y EBITDA Exit £37.04 £66.52 £115.23 41
5Y P/E Exit £33.87 £62.69 £98.87 38
10Y Revenue Exit £31.48 £55.85 £87.50 36
10Y EBITDA Exit £36.17 £66.04 £118.53 37
10Y P/E Exit £34.14 £60.72 £104.39 35
Earnings-Based
Graham-Dodd £13.19 £88.46 £123.93 54
Lynch FV £25.89 £36.99 £48.09 50
PEG = 1.0 £25.89 £36.99 £48.09 46
EPV £19.36 £21.49 £23.27 59
Dividend Discount
Gordon GGM £7.54 £13.58 £18.69 70
DDM Multi-Stage £7.54 £12.40 £14.51 61
Multiples
P/E Multiple £30.55 £40.73 £50.92 63
P/S Multiple £24.73 £32.98 £41.22 58
P/B Multiple £24.73 £32.98 £41.22 55
EV/EBIT £37.71 £49.03 £60.35 53
EV/EBITDA £39.27 £51.11 £62.96 54
EV/Revenue £27.98 £38.37 £48.76 43
Asset-Based
NCAV (Graham) £7.00 £9.38 £14.00 50
Growth DCF
Growth DCF £34.38 £58.27 £98.15 80
Rev-Margin DCF £30.97 £54.79 £89.70 74
Economic Profit
Residual Income £12.82 £15.01 £26.38 76
ROIC Compounder £21.97 £28.65 £36.10 72
Growth Earnings
Growth-Adj P/E £35.95 £51.36 £66.77 68

Widest divergence: DCF Models (£60.72) versus Asset-Based (£9.38). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 244M GBX
Revenue growth (YoY) +16.0%
Net margin 9.7%
Return on equity 14.6%
Free cash flow 31.6M GBX FY2025
P/E ratio 18.0
More key figures
Operating margin 15.9%
EPS (TTM) £1.94
Dividend yield 2.8%
EPS growth (YoY) +25.0%
Net cash 37.6M GBX FY2025

Figures from reported company fundamentals · as of Jul 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 74/100

Of which business quality 73 · Market factors (momentum, volatility) 68

Profitability 70
Margins and returns on capital today
Quality Growth 41
Are margins and returns improving?
Cashflow 68
Earnings quality: real cash, not paper profit
Fin. Strength 94
Balance sheet, leverage, solvency risk
Investment 81
Disciplined investing over empire-building
Low Volatility 88
Calm price path (market factor)
Momentum 58
Price trend over the last 3–12 months (market factor)
52W Momentum 61
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

London Security plc, an investment holding company, manufactures, sells, and rents fire protection equipment in the United Kingdom, Belgium, the Netherlands, Austria, France, Germany, Denmark, and Luxembourg. The company provides intruder alarms products, and fire protection equipment installation and maintenance services.

Full company description

London Security plc, an investment holding company, manufactures, sells, and rents fire protection equipment in the United Kingdom, Belgium, the Netherlands, Austria, France, Germany, Denmark, and Luxembourg. The company provides intruder alarms products, and fire protection equipment installation and maintenance services. It offers its products under the Nu-Swift, Ansul, Total, Premier, and Master brands to companies, governments, and private individuals. The company was formerly known as London Securities plc and changed its name to London Security plc in 2003. The company was incorporated in 1897 and is based in Elland, the United Kingdom. London Security plc is a subsidiary of EOI Fire SARL.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

London Security plc reported revenue of £244M in FY2025 versus £167M in FY2021, a compound +10.0%/yr. Reported net income was £23.8M in FY2025, compounding +4.5%/yr from FY2021.

Growth Quality 78/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
£244M
Latest YoY
+10.7%
Avg. growth/yr (3Y)
+9.0%
Avg. growth/yr (5Y)
+9.9%
Avg. growth/yr (39Y)
+10.1%
Revenue +10.0%/yr
FY21 £167M
FY22 £189M
FY23 £220M
FY24 £221M
FY25 £244M
Net income +4.5%/yr
FY21 £19.9M
FY22 £20.2M
FY23 £23.3M
FY24 £21.7M
FY25 £23.8M

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Cite: Fair Value Calculator (2026). "London Security plc Fair Value". https://www.fairvalue-calculator.com/stock/LSC

Peer Group

Security & Protection Services · 113 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 74 · Top 25%
Fair Value upside +16% · Above median
Return on equity (TTM) 15% · Top 25%
Return on assets 9% · Top 25%
Net margin (TTM) 10% · Above median
Operating margin (TTM) 16% · Top 25%
Revenue growth 16% · Above median
Dividend yield (TTM) 2.8% · Above median
Debt / equity 0.00× · Lower than median

Valuation Multiples vs Security & Protection Services median · lower = cheaper

P/E (TTM) 18.0× · Cheaper than median
P/B 3.37× · Pricier than 75% of peers
P/S (TTM) 2.37× · Pricier than median
P/FCF 18.3× · Pricier than 75% of peers
EV/EBITDA 12.9× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 55 · sector 17
FUTURE 80 · sector 38
PAST 58 · sector 21
HEALTH 100 · sector 99
DIVIDEND 55 · sector 49

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Security & Protection Services stocks, each showing price versus our Fair Value estimate (as of Jul 13, 2026).

Stock Price Fair Value vs Fair Value
ASSA ABLOY AB ASSAB kr 348.40 kr 269.97 -23%
Verisure plc VSURE €10.26 €12.40 +21%
Allegion plc ALLE $137.24 $127.80 -7%
Securitas AB SECUB kr 162.10 kr 186.34 +15%
Zhejiang Dahua Technology Co 002236 ¥16.57 ¥23.58 +42%
MSA Safety Incorporated MSA $169.00 $118.51 -30%
ADT Inc ADT $7.06 $17.10 +142%
The Brink's Company BCO $104.24 $101.84 -2%
Brady Corporation BRC $90.16 $73.43 -19%
The GEO Group GEO $29.46 $32.36 +10%

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Frequently asked questions

Is London Security plc (LSC) overvalued or undervalued?
As of Jul 13, 2026, our model estimates a fair value of £40.73 versus a price of £35.00, about +16% (undervalued).
What is the fair value of LSC?
Our model-based fair value for London Security plc is £40.73 (as of Jul 13, 2026), built from audited fundamentals. The current price is £35.00.
What is the quality score of LSC?
London Security plc has a Quality Score of 74/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of London Security plc (LSC)?
London Security plc reported trailing-twelve-month revenue of about £244M (latest available figure, as of Jul 13, 2026).
What is the net profit margin of LSC?
The net profit margin of London Security plc is about 9.7%, meaning it keeps roughly 9.7% of revenue as net income. Based on the latest reported figures.
Does London Security plc pay a dividend?
London Security plc currently shows a dividend yield of about 2.85% relative to its recent price (as of Jul 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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