Harworth leans into industrial and logistics growth as housing headwinds delay £1bn value goal

Harworth ( (GB:HWG) ) has shared an update.

Harworth Group reported a strong 2025 trading performance in its industrial and logistics (I&L) operations, with continued outperformance across its land and property portfolio, positive value uplifts on development-ready sites, and a growing pipeline of consented Grade A space that is attracting solid occupier and investor interest. New lettings, higher headline rents, and improved portfolio quality and occupancy underline the success of its strategic pivot toward I&L, even as residential land sales have been pressured by ongoing weakness in the UK housing market, leading to plot disposals at discounts to book value and tempering group-level value gains and EPRA NDV growth. The company has recycled £343m of capital since 2020 by accelerating residential plot sales and cutting consented residential volumes by two-thirds, redeploying funds into higher-returning I&L opportunities and building its largest ever pipeline of development-ready I&L land targeting structurally undersupplied sectors including advanced manufacturing, defence, energy and data centres. While Harworth still aims to reach £1bn in EPRA NDV, macroeconomic headwinds and investor uncertainty mean that milestone is now expected between the end of 2028 and 2029 rather than by December 2027, though management points to rising post-Budget deal activity, a robust land bank and strong interest in key strategic sites such as Northern Gateway, Wingates and Gateway 45 as reasons for confidence in delivering attractive long-term shareholder returns.

The most recent analyst rating on (GB:HWG) stock is a Hold with a £178.00 price target. To see the full list of analyst forecasts on Harworth stock, see the GB:HWG Stock Forecast page.

Spark’s Take on GB:HWG Stock

According to Spark, TipRanks’ AI Analyst, GB:HWG is a Neutral.

Harworth’s strong financial performance, particularly in revenue growth and profitability, is a key strength. The company’s valuation is attractive, supported by a reasonable P/E ratio and dividend yield. Positive corporate events further bolster confidence in its strategic direction. However, technical indicators suggest neutral momentum, and cash flow challenges present areas for improvement.

To see Spark’s full report on GB:HWG stock, click here.

More about Harworth

Harworth Group plc is a UK-listed regeneration, strategic land and development business focused on the industrial & logistics and residential sectors. The company owns, develops and manages more than 15,000 acres across over 100 sites in the North of England and the Midlands, specialising in transforming large, complex sites into new industrial and logistics developments and serviced, remediated land for sale, with a long-term, through-the-cycle model aimed at creating sustainable places, homes, jobs and communities.

Average Trading Volume: 215,524

Technical Sentiment Signal: Hold

Current Market Cap: £535.5M

Learn more about HWG stock on TipRanks’ Stock Analysis page.