Holcim (HOLN) AI Stock Analysis

• Market Cap: CHF34.05B
• Dividend Yield: 4.91%
• Average Volume (3M): 1.58M
• Price to Earnings (P/E): 12.1
• Beta (1Y): 1.06
• Revenue Growth: -2.23%
• EPS Growth: -2.50%
• Country: CH
• Employees: 62,391
• Sector: Basic Materials
• Sector Strength: 69
• Industry: Construction Materials
• EPS (TTM): 3.08
• Shares Outstanding: 566,875,500
• 10 Day Avg. Volume: 1,452,305
• 30 Day Avg. Volume: 1,579,112
• PEG Ratio: -90.35
• Price to Book (P/B): 1.31
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.39
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: CHF74.48
• Price Target Upside: 17.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 71 Outperform
• Price Target: CHF60.00 ▼(-5.06%Downside)

Holcim's strong financial performance is the most significant factor driving its overall stock score, supported by effective cash management and profitability. Technical indicators suggest positive momentum, although the RSI indicates caution. The valuation is reasonable, with a supportive dividend yield.

Positive Factors

Cash Flow

Strong cash flow should drive scope for M&A to supplement organic growth as well as underpin an attractive dividend yield for Swiss investors.

Decarbonisation

Holcim's approach to decarbonisation drives margin expansion and above-market growth.

Financial Performance

Holcim delivered a good set of consensus-beating results, with recurring EBIT and FCF exceeding targets and supporting a substantial dividend increase.

Negative Factors

Market Perception

The market may prove more wary of larger deals, where investors will likely keep a close eye on the price and credibility of synergies.

Stock Valuation

The stock prices in the full recovery of volumes lost since the beginning of Russia's invasion of Ukraine, suggesting potential downside.

Holcim Business Overview & Revenue Model

Company Description

Holcim (HOLN) is a leading global supplier of building materials and solutions, headquartered in Switzerland. The company operates in the construction materials industry, focusing primarily on the production and distribution of cement, aggregates, ready-mix concrete, and other related products. Holcim serves a broad range of clients including construction companies, infrastructure developers, and governments, contributing to the development of sustainable building practices worldwide.

How the Company Makes Money

Holcim makes money through the sale of its core products, including cement, aggregates, and ready-mix concrete. These products are essential components in the construction industry, used in building residential, commercial, and infrastructure projects. The company's revenue model is largely based on large-scale production and distribution, allowing it to leverage economies of scale. Holcim also generates income through value-added services and solutions, such as waste management and recycling services, which enhance its sustainability initiatives. Strategic partnerships and joint ventures with other industry players enable Holcim to expand its market reach and optimize its supply chain, contributing to its overall earnings.

Holcim Financial Statement Overview

Summary

Holcim exhibits overall financial stability with strong profitability and effective cash management, despite minor revenue growth challenges. Its balance sheet strength and cash flow generation support its robust financial health, positioning it well within the construction materials industry.

Income Statement

Holcim's income statement reveals strong gross and net profit margins, indicative of robust cost management and profitability. Despite a decline in revenue growth from 2022 to 2023, the company maintained healthy EBIT and EBITDA margins, showcasing operational efficiency.

Balance Sheet

The balance sheet demonstrates a stable financial position with a manageable debt-to-equity ratio, reflecting prudent leverage. The equity ratio is healthy, indicating good asset backing. However, slight fluctuations in equity levels and liabilities should be monitored.

Cash Flow

Holcim's cash flow statement is strong, with consistent free cash flow generation and a solid operating cash flow to net income ratio, suggesting effective cash management. The company shows a positive trajectory in free cash flow growth, enhancing financial flexibility.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	26.41B	27.01B	29.19B	26.83B	23.14B
Gross Profit	11.68B	11.50B	11.61B	11.54B	9.69B
EBITDA	6.83B	6.45B	6.98B	6.04B	5.14B
Net Income	2.93B	3.06B	3.31B	2.30B	1.70B
Balance Sheet
Total Assets	54.28B	52.69B	57.60B	59.88B	53.22B
Cash, Cash Equivalents and Short-Term Investments	5.35B	6.09B	9.83B	6.69B	5.19B
Total Debt	12.92B	13.12B	14.91B	16.61B	13.76B
Total Liabilities	26.33B	25.90B	27.99B	29.41B	24.60B
Stockholders Equity	27.24B	26.00B	28.67B	27.68B	26.07B
Cash Flow
Free Cash Flow	4.02B	3.96B	3.01B	3.51B	3.50B
Operating Cash Flow	5.67B	5.47B	4.56B	5.04B	4.62B
Investing Cash Flow	-2.04B	-3.47B	2.08B	-4.71B	-1.23B
Financing Cash Flow	-4.37B	-5.22B	-3.25B	1.11B	-1.89B

Holcim Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 63.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:HOLN, the sentiment is Positive. The current price of 63.2 is above the 20-day moving average (MA) of 56.64, above the 50-day MA of 51.12, and above the 200-day MA of 46.06, indicating a bullish trend. The MACD of 3.71 indicates Negative momentum. The RSI at 78.50 is Negative, neither overbought nor oversold. The STOCH value of 94.38 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:HOLN.

Holcim Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HOLN	71 Outperform	CHF34.05B	12.06	10.98%	4.91%	-2.23%	-2.50%
Sector *	68 Neutral	CHF17.23B	17.93	14.97%	4.04%	-4.34%	24.23%
CLN	67 Neutral	CHF2.82B	11.55	11.11%	4.90%	-5.14%	82.31%
EMSN	65 Neutral	CHF15.05B	32.66	25.54%	1.98%	-5.40%	0.70%

Holcim Corporate Events

Holcim Completes Spin-off of North American Business to Focus on Growth Strategy

Holcim has completed the spin-off of its North American business, Amrize, as part of its ‘NextGen Growth 2030’ strategy. This move allows Holcim and Amrize to focus strategically and operationally on their respective markets, enhancing their positions in the sustainable building solutions sector. The spin-off is expected to unlock growth potential and increase shareholder value through targeted investments and M&A transactions in attractive markets.

The most recent analyst rating on (CH:HOLN) stock is a Buy with a CHF108.00 price target. To see the full list of analyst forecasts on Holcim stock, see the CH:HOLN Stock Forecast page.

Holcim Expands into Canadian Precast Concrete Market with Langley Acquisition

Holcim has acquired Langley Concrete Group Inc., marking its entry into the precast concrete market in British Columbia. This acquisition enhances Holcim’s capabilities in the infrastructure sector, adding two production facilities and expanding its product portfolio to include essential components for municipal, commercial, and industrial projects. The move is expected to provide long-term opportunities for both Langley’s employees and customers, aligning with Holcim’s growth strategy and commitment to quality and service.

The most recent analyst rating on (CH:HOLN) stock is a Buy with a CHF108.00 price target. To see the full list of analyst forecasts on Holcim stock, see the CH:HOLN Stock Forecast page.

Holcim Announces Spin-Off of North American Business Amrize

Holcim is spinning off its North American business, Amrize, with trading set to begin on June 23, 2025, on the NYSE and SIX under the ticker ‘AMRZ’. The spin-off, approved by shareholders, will be tax-neutral for Swiss and tax-free for US federal income tax purposes. Amrize, rated ‘Investment Grade’ by S&P and Moody’s, has secured $3.4 billion in external financing and will focus on growth in the North American construction market. Holcim will continue to focus on sustainable construction and growth in its other markets.

The most recent analyst rating on (CH:HOLN) stock is a Buy with a CHF108.00 price target. To see the full list of analyst forecasts on Holcim stock, see the CH:HOLN Stock Forecast page.

Holcim Launches OLYMPUS Project for Near-Zero Cement in Greece

Holcim has initiated the OLYMPUS project in Greece, a EUR 400 million investment aimed at producing 2 million tons of near-zero cement annually by 2029. This project, supported by the EU Innovation Fund, is part of Holcim’s efforts to advance Europe’s Clean Industrial Deal and is expected to create over 1,000 jobs during construction and 100 during operation. The project employs innovative carbon capture technologies and is a significant step in Holcim’s strategy to offer 8 million tons of near-zero cement across Europe by 2030.

The most recent analyst rating on (CH:HOLN) stock is a Buy with a CHF108.00 price target. To see the full list of analyst forecasts on Holcim stock, see the CH:HOLN Stock Forecast page.

Holcim’s Strategic Moves: Amrize Spin-off and Leadership Changes

Holcim’s shareholders have approved all proposals at the 2025 General Meeting, including the spin-off of its North American business, Amrize, which will be listed on the NYSE and SIX Swiss Exchange. The meeting also saw the election of Kim Fausing as Chairman, an 11% increase in dividends, and the approval of various reports and compensations, indicating a strategic shift and strengthening of Holcim’s market position.

The most recent analyst rating on (CH:HOLN) stock is a Buy with a CHF108.00 price target. To see the full list of analyst forecasts on Holcim stock, see the CH:HOLN Stock Forecast page.

Holcim and ELEMENTAL Unveil Carbon Sink Technology at 2025 Architecture Biennale

Holcim, in collaboration with architect Alejandro Aravena and his firm ELEMENTAL, has unveiled a new biochar technology that transforms buildings into carbon sinks, showcased at the 2025 Architecture Biennale in Venice. This innovation, applied in a full-scale Basic Services Unit housing prototype, uses recycled aggregates and aims to address the housing crisis while reducing environmental impact, enhancing Holcim’s portfolio of sustainable solutions and strengthening its position as a leader in sustainable construction.

Holcim Advances Amrize Spin-Off with Updated Financials

Holcim announced that its subsidiary, Amrize, has updated its ‘Form 10’ registration statement with the U.S. SEC, detailing its financial results for Q1 2025 as part of its planned spin-off. The spin-off, expected to be completed in June 2025, will position Amrize as the largest provider of construction solutions in North America, focusing on a comprehensive range of advanced construction solutions.

Holcim Reports Stable Sales and Strategic Progress in Q1 2025

Holcim reported stable sales of CHF 5,544 million in the first quarter of 2025, despite challenging weather conditions in North America. The company achieved a 1.7% increase in Recurring EBIT in local currency and continued its M&A momentum with five acquisitions. The spin-off of Amrize is on track, with a listing expected in June 2025. Holcim’s focus on sustainable building solutions has led to increased sales shares of ECOPact and ECOPlanet products. The company confirmed its annual forecast for 2025, highlighting its resilience and strategic positioning in the market.