Should I buy IMI stock in 2025?

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At HelloSafe, our expert has been tracking IMI's performance for over three years. Every month, hundreds of thousands of users in the UK trust us to analyse market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by IMI.

What is IMI?

The price of IMI stock

The price of IMI stock is rising this week. The current share price stands at 2,096.00 GBp, showing a 0.77% increase over the past 24 hours and a 0.62% gain for the week. IMI’s market capitalisation is £5.28 billion, with an average trading volume of 851,344 shares over the last three months. The P/E ratio is 21.83, and the dividend yield is 1.49%. The stock’s beta of 0.93 points to moderate volatility. These figures highlight both resilience and steady opportunity for long-term investors in the UK market.

Our full analysis of the IMI stock

After an extensive review of IMI’s latest financial results and the stock’s notable performance over the past three years, we have combined financial indicators, technical signals, market data, and peer analysis using our proprietary analytical frameworks. This comprehensive, multi-source approach allows us to uncover unique insights into the company’s current standing and future prospects. So, why might IMI stock once again become a strategic entry point into the specialist engineering sector in 2025?

Recent performance and market context

IMI has delivered a powerful year by advancing 18.49% on the LSE over the past twelve months, outperforming its UK industrial peers and confirming renewed investor appetite for quality engineering names. The share is trading at 2,096.00 GBp, with a 0.77% increase in the last 24 hours and a steady +0.62% gain over the most recent week. This upward trend highlights remarkable resilience, especially within a macro backdrop marked by persistent inflationary pressures and slower global industrial growth. IMI’s recently announced £200 million share buyback—following the completion of a £100 million programme—not only underpins shareholder value but also demonstrates management’s strong conviction. The 10% rise in its dividend, despite volatile market conditions, is further evidence of robust free cashflow and prudent financial stewardship. The acquisition of TWTG, a leader in IoT sensor solutions, illustrates IMI’s ongoing strategy to capture growth opportunities tied to digitalisation and automation—key secular trends shaping the UK and global engineering landscape.

Sector sentiment for industrial technology and automation stocks remains constructive in GB: government infrastructure commitments, energy transition priorities, and a push for industrial modernisation offer natural tailwinds for IMI’s specialist business. These factors collectively provide the ideal environment for a nimble, tech-enabled manufacturer with a strong British base to excel.

Technical analysis

The technical configuration for IMI appears decisively positive. The 14-day RSI stands at 54.146, suggesting the share is neither overbought nor oversold and leaves room for upward movement. MACD readings have shifted into bullish territory (+2.86), and the price sits comfortably above its 20-day (2,088.64 GBp), 50-day (2,085.99 GBp), 100-day (2,075.49 GBp), and 200-day (2,051.26 GBp) moving averages—all key buy signals. Strong underlying support is visible at 2,078.00 GBp, while the stock has begun challenging resistance around 2,100.00 GBp. Chart patterns indicate steady accumulation and constructive bases, meaning that technical traders and mid-term investors are likely positioning for further upside. The "Strong Buy" configuration across all major moving averages reinforces the interpretation that IMI may be entering a new bullish phase, particularly if it can break conclusively above near-term resistance.

Fundamental analysis

IMI’s 2024 results reflect a company in operational and strategic ascent. Revenues reached £2,210 million, growing 4% organically, while adjusted EBITDA surged to £436 million, accompanied by an impressive margin uplift to 19.7%. Free cash flow, often seen as the best measure of management discipline, climbed 12% to £263 million. Despite macroeconomic uncertainty, IMI has now delivered five consecutive years of rising profits and margins, showcasing a model built for resilience and sustainable value creation.

Valuation remains reasonable for such a quality engineering group: the trailing P/E stands at 21.83, with the forward multiple dropping to an attractive 15.70 as consensus upgrades earnings expectations. With a dividend yield at 1.49% and continuing growth, total shareholder return remains compelling against sector averages. IMI’s enduring strengths—recurring aftermarket revenues (45% of turnover), dominant positions in specialist fluid and motion control, and a blue-chip client roster—are further buttressed by its commitment to innovation via initiatives like the Growth Hub, which secured £149 million of new orders in the last period.

The group’s recent acquisition of TWTG will greatly enhance its capabilities in digital sensor technologies and help scale exposure to IoT-enabled solutions. These investments not only future-proof the business but also boost its leadership in key British and European industrial niches, strengthening the long-term investment case.

Volume and liquidity

IMI continues to display excellent liquidity, with an average three-month daily trading volume of 851,344 shares. This robust activity supports effective price discovery and empowers investors of all sizes to enter or exit positions efficiently. With a market capitalisation of £5.28 billion and a free float of 99.5%, the share’s valuation remains dynamic and transparent—essential attributes for a modern, investable UK-listed company. Clear liquidity facilitates institutional accumulation and underscores market confidence in the stock’s outlook.

Catalysts and positive outlook

Several tangible and potential catalysts enhance the positive narrative for IMI:

• Digital transformation: The integration of TWTG’s IoT technology solidifies IMI’s standing at the forefront of smart industrial control, an area of rapid investment across the sector.
• Aftermarket growth: Recurring aftermarket sales (45% of revenue) provide underlying stability and a platform for margin enhancement—particularly valuable in cyclical or uncertain market conditions.
• Strong order pipeline: The Growth Hub continues to secure high-value contracts, evidencing commercial momentum from innovative product lines and value-added services.
• ESG and energy transition: IMI’s established offerings in efficiency and control position it favourably amid the relentless drive for sustainability, emissions reduction, and energy optimization in UK and EU industrial policy.
• Shareholder-friendly actions: Significantly increased buybacks and progressive dividends signal confidence from the board, supporting capital returns while sustaining reinvestment in growth initiatives.
• Sector and macro trends: The specialist engineering sector continues to benefit from industrial policy and digitisation. IMI’s ability to innovate and capture share in high-value niches leaves it well-placed versus domestic and international competitors.

Bullish sentiment among analysts is compelling, with 13 "Buy" recommendations to just 2 "Hold". The consensus price target of 2,233.57 GBp, alongside the ongoing upgrade cycle among brokers, suggests more headroom for capital appreciation.

Investment strategies

For investors seeking different horizons, IMI provides a compelling case:

• Short-term: Technical signals and price action near key resistance offer potential tactical opportunities, especially with high volume and positive news flow. Trading around breakout levels such as 2,100.00 GBp, with a tight stop-loss at 2,078.00 GBp, can suit active operators.
• Medium-term: The ongoing realignment of sector multiples, improvements in operational leverage, and integration of strategic acquisitions support a "Buy the dip" or "Hold for momentum" strategy. Investors may look to accumulate when the share retraces towards support, anticipating mean reversion to above-consensus targets.
• Long-term: IMI’s strategic pillars—innovation, recurring revenue, exposure to high-growth digital control, and a solid British brand—combine for an attractive compounding profile. Participation in global megatrends, robust free cash flow outlook (£1 billion+ in the next three years), and consistent execution all underpin confidence for multi-year portfolio positioning.

For investors considering entry, the current trajectory, technical support, and upcoming catalysts suggest that IMI offers an ideal combination of timely value and transformative longer-term growth prospects.

Is it the right time to buy IMI?

In summary, IMI combines a robust technical buy profile, strong growth in revenues, significant advances in digital technologies, and a compelling record of shareholder returns. Its improving margins, resilient business model, and sector leadership create a framework where risk-adjusted returns appear particularly favourable. The consensus among analysts and technical evidence both indicate a bullish outlook, while strategic moves—especially in industrial IoT—could unlock the next phase of value creation for investors.

For those seeking exposure to the leading edge of specialist engineering, IMI seems to represent an excellent opportunity. With resilient fundamentals, a supportive technical backdrop, and clear catalysts on the horizon, IMI may be entering a new bullish phase in 2025. Investors with a medium- to long-term perspective are especially well-positioned to benefit from the company’s continued transformation and value creation. There is little doubt that IMI currently stands as a high-conviction opportunity for those with a keen eye on the UK’s industrial technology landscape.

How to buy IMI stock in the UK

Buying IMI stock online has never been simpler or more secure thanks to regulated, FCA-authorised brokers in the UK. Investors can choose between direct spot purchasing (where you own the shares outright) and using contracts for difference (CFDs), which allow speculation on price movements with leverage. Both methods offer instant, transparent transactions and reliable order execution. If you want to compare available brokers, you’ll find a useful comparison table further down the page.

Cash buying

When you buy IMI shares for cash, you become a shareholder in the company and benefit from dividends and potential capital gains. UK brokers typically charge a fixed commission per trade, often around £5–£10, payable in pounds sterling.

Gain Scenario: IMI Shares

If the IMI share price is £21.00, you can buy around 47 shares with a $1,000 stake, including a brokerage fee of around $5.

If the share price rises by 10%, your shares are now worth $1,100.

Result: +$100 gross gain, i.e. +10% on your investment.

Trading via CFD

CFDs (Contracts for Difference) allow you to trade on the price movements of IMI shares without owning them. In this case, fees typically include the spread (difference between buy/sell price) and overnight financing if you keep positions open longer than one day.

CFD Gain Scenario

You open a CFD position on IMI shares, with 5x leverage.

This gives you a market exposure of $5,000.

✔️ Gain scenario:

If the stock rises by 8%, your position gains 8% × 5 = 40%.

Result: +$400 gain, on a bet of $1,000 (excluding fees).

Final advice

Before buying IMI shares, it’s important to compare the fees, market access, and trading conditions of different brokers. Your best choice will depend on your investment objectives and preferred style—whether focusing on long-term ownership or seeking to take advantage of short-term price swings. For a complete overview, refer to the broker comparison section further down the page.

Our 7 tips for buying IMI stock

The latest news about IMI

IMI stock recorded a weekly gain of +0.62% and remains in a strong upward trend. This positive movement reflects continued investor optimism about the group’s fundamentals and its positioning as a UK industrial leader, reinforced by a broader rally in FTSE 100 engineering names over the period.

IMI’s technical indicators show a “Strong Buy” configuration and positive trading momentum. The share price has consistently remained above key moving averages—20, 50, 100, and 200 days—while the MACD is positive (+2.86), and the RSI is neutral at 54.1, confirming sustained buying interest and absence of overbought signals.

Analyst consensus has raised the 12-month target price to 2,233.57 GBp, 6.6% above current levels. Recent published research by major UK brokers underlines confidence in IMI’s growth drivers, benefiting from increased industrial automation and the expansion into the industrial IoT (Internet of Things) sector.

IMI announced the successful completion of its £100 million share buyback and the initiation of a new £200 million programme. This accelerated capital return demonstrates management’s confidence in the company’s cash generation and supports share price resilience, offering a direct benefit to UK shareholders through enhanced returns.

IMI continues to attract positive attention following the acquisition of TWTG and robust financial guidance. The company’s strategic focus on growth markets, modernisation via new sensor technologies, and a projected free cash flow above £1 billion over the next three years are seen as clear positives by the City and institutional investors focused on UK-listed industrial innovation.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.