RELX Plc is a global provider of information-based analytics and decision tools for professional and business customers.

Overview

RELX Plc is a global provider of information-based analytics and decision tools for professional and business customers. The company’s purpose is to develop products that help its customers make better decisions, get better results and be more productive. Their headquarters office is based in the UK, in London, but they do also have an office based in the US, in New York.

Financials

Looking at RELX’s financials for 2021 compared to 2020, revenue grew by +2% but the company believes it has an underlying revenue growth of +7%. Adjusted operating profit saw a positive change of +6% from £2,076bn to £2,210bn, it also reported a constant currency adjusted profit before tax growth of +15%. Additionally, adjusted earnings per share came in at 87.6p in 2021 versus 80.1p in 2020. Regarding net debt/EBIDTA, its adjusted cash conversion was 101% as the leverage ratio was reduced to 2.4x.

Technicals

From a technical perspective, RELX’s shares are currently trading at £23.01 a share. Towards the upside, resistance sits at £23.25 then at £23.40 then at £23.83. A break above these resistance levels could see the stock head up towards the tough resistance point at £24.74 (red oval). Towards the downside, support levels sit at £22.79 then at £22.23 then at £21.56. A break below these support levels could see the stock fall towards the major support level at £20.56 (green oval). Looking at the indicators, MACD is currently neutral but RSI is positive as it reads 51.

Summary

The financials of the company highlight improvements year-on-year as there is positive growth in revenue and profit. The firm managed to reduce its leveraged ratio and increase its cash conversion as net debt fell from £6,898bn in 2020 to £6,017bn in 2021. Hence, financially strong positivity remains, and operations are clearly running healthy. If the analytics provider keeps its solid performance levels, then the stock could continue its bullish gains into the near future. Up 16% since January 2021 and another strong final-year report could provide the boost to edge higher.