Solid State Share Price (SOLI)

Solid State plc (SOLI.L) is well positioned within the UK’s growing semiconductor and defence electronics sector, operating in the specialist hardware layer that supports mission-critical technology. The company supplies rugged electronic components, embedded systems, power solutions and communications equipment for demanding environments, giving it exposure to areas such as aerospace, defence, security, industrial automation and high-reliability electronics.

As demand grows for resilient communications, sovereign technology capability, advanced electronic systems and hardware built for extreme conditions, SOLI offers a compelling UK-listed way to follow this broader next-generation technology trend.

Cavendish have raised their forecast by 8% to 10.3p EPS for the year just gone.

They retain their 253p target price as follows:

"Positive FY26 trading update – EPS upgrade of 8.0%

The Group has announced a positive FY26 trading update, highlighting strong 4Q trading, continuing the positive momentum seen throughout the year. This means the Group is now expected to slightly exceed revenue expectations and also exceed adjusted PBT expectations. It also highlights robust order intake in the period increasing the order book to £106.5m. We therefore upgrade our FY26E EPS by 8.0% to 10.3p, with FY27E seeing strong momentum in the order book, but unchanged profit expectations given the uncertain geopolitical and supply chain outlook.

We maintain our 253p target price offering significant upside to current levels and we see this update as providing greater confidence in the shares, which have slipped recently to compelling levels, with a FY27E P/E of just 13.2x, which underwrites our Buy rating.

— Trading update: The Group has experienced a strong end to the year with robust Q4 trading building on the positive momentum seen in the prior three quarters. As such management expects revenue to exceed expectations slightly and also adjusted PBT to exceed expectations. Growth has been seen across all divisions.

— Divisional trading: The Components division delivered a strong YoY increase, with new design wins in the UK and US underpinned by improving market conditions. The Power division has seen a significant improvement following the management reorganisation and investment in capabilities. A significant driver of this increase has been in the defence sector, with drone and other autonomous technologies in high demand. It also comments that significant opportunities continue to arise in the defence sector. The Systems division reflects ongoing strong demand in communications, with robust momentum in antenna and integrated systems capabilities. Order book momentum continues to underwrite the anticipated sales mix.

— Order book: The order book has also seen strong growth rising from £97.0m on 30 November 2025 to £106.5m currently, largely reflecting the strong order intake in the Power division of close to $20m. It also includes the initial order from the new Communications customer previously announced in 3Q with shipments expected for 1Q 26/27. Most of the order book is expected to be delivered in the next 18 months. Over recent weeks lead times for certain components such as DRAMs have extended reflecting geopolitical uncertainty and AI demand growth."

"Valuation:

We maintain our TP at 253p, based on a FY27E P/E of 24.0x, which seems reasonable given the high momentum and rerating seen among defence-related stocks. The shares have drifted in the past month, due to the Iranian conflict, and trade on a FY27E P/E of just 13.2x, which looks much too low in our opinion, offering strong upside reinforced by this positive update, with a

Lse indicator charts functionality restored.

RSI(relative strength index), bullish RSI failure swing where RSI has crossed above all previous RSI swing highs on the one year chart. Bullish double bottom price pattern in place, spanning 5 months, which provides a base for a subsequent uptrend. Recent price tops, show a gentle downtrend, with value being 174.5 for current week, suggesting sp requires to break above that value for a confirmed trend.

My previous comment regarding required volume and the two day close above 172.5 is an additional interim requirement. DYOR.

Bearish March 2026 monthly outside price bar reversal, when sp today crossed above outside bar high of 172.5. Validity of breakout depends on volume and whether sp can remain above 172.5 for 2 days close. Future sp forecast is 232.5, calculated as outside bar range X 2, added to outside bar high of 172.5.

SOLI is top sector riser today and sector chart shows bullish major higher high, so relative strength to rest of equity market.

Lse indicator charts no longer working so viewed site at live charts instead.

Empirical sp projection from preceding congestion pattern suggests current week value of 188.05, with weekly increase of 1.94. DYOR.

And on decent early volumes too. Perhaps the time for re-rating has arrived.