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CRH plc (CRH)
NYSE:CRH

CRH plc (CRH) AI Stock Analysis

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CRH

CRH plc

(NYSE:CRH)

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Outperform 76 (OpenAI - 4o)
Rating:76Outperform
Price Target:
$128.00
▲(2.69% Upside)
CRH plc's overall stock score reflects its strong financial performance and positive earnings call, which highlight robust growth and strategic positioning in infrastructure megatrends. However, technical analysis and valuation indicate potential short-term challenges and overvaluation concerns, which moderate the overall score.
Positive Factors
Revenue Growth
Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term financial stability.
Strategic M&A Activity
Active M&A enhances CRH's competitive position and market reach, providing growth opportunities and diversification benefits.
Infrastructure Megatrends
Alignment with infrastructure megatrends ensures sustained demand for CRH's products, bolstering long-term growth prospects.
Negative Factors
Subdued Residential Sector
Weakness in the residential sector could limit revenue growth and impact profitability, requiring strategic adjustments.
EPS Dilution from Acquisition
EPS dilution from acquisitions may affect shareholder returns and require careful management to realize long-term benefits.
Debt Management
Prudent debt management is crucial to maintain financial flexibility and support ongoing investment and growth initiatives.

CRH plc (CRH) vs. SPDR S&P 500 ETF (SPY)

CRH plc Business Overview & Revenue Model

Company DescriptionCRH plc, together with its subsidiaries, provides building materials solutions in Ireland, the United States, the United Kingdom, rest of Europe, and internationally. It operates through three segments: Americas Materials Solutions, Americas Building Solutions, and International Solutions. The company offers building materials for the construction and maintenance of public infrastructure, and commercial and residential buildings, as well as construction and renovation of public infrastructure, critical networks, commercial and residential buildings, and outdoor living spaces; paving and construction services; and produces and sells aggregates, cement, ready mixed concrete and mortars, and asphalt. It also manufactures, supplies, and delivers value-added solutions for the built environment in communities in North America; and provides building and infrastructure solutions for complex critical utility infrastructure, such as water, energy, transportation, and telecommunications projects, and outdoor living solutions for private and public spaces. In addition, the company produces and supplies precast and pre-stressed concrete products comprising floor and wall elements, beams and vaults, pipes, and manholes; and concrete and polymer-based products, such as underground vaults, drainage systems, enclosures, and modular precast structures for applications in water, energy, telecommunications, and railroad markets. Further, it provides crushed stone, sand, and gravel; a range of engineered steel and polymer-based anchoring, fixing, and connecting solutions for various new-build construction applications; concrete masonry, hardscape, and related products, including pavers, blocks and curbs, retaining walls and slabs; and fencing and railing systems, composite decking, lawn and garden products and packaged concrete mixes. CRH plc was founded in 1936 and is based in Dublin, Ireland.
How the Company Makes MoneyCRH generates revenue through multiple key streams, primarily from the sale of building materials and products. The company's revenue model is built on the production and distribution of aggregates, cement, and various construction products, serving a diverse customer base that includes contractors, builders, and municipalities. Significant partnerships with contractors and government agencies enhance CRH's ability to secure large-scale projects, contributing to steady revenue growth. Additionally, the company's regional operations in North America and Europe allow it to capitalize on local market demands and infrastructure investments, further bolstering its earnings.

CRH plc Earnings Call Summary

Earnings Call Date:Nov 05, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Feb 26, 2026
Earnings Call Sentiment Positive
CRH reported strong financial performance in Q3 2025 with record revenues, EBITDA, and margin expansion. The company is executing well on its growth strategy through active M&A and investment in infrastructure megatrends. Despite some challenges in the residential sector and expected EPS dilution from acquisitions, the overall outlook for CRH remains positive.
Q3-2025 Updates
Positive Updates
Record Third Quarter Performance
CRH reported a record third quarter performance with revenues of $11.1 billion, a 5% increase over the prior year. Adjusted EBITDA reached $2.7 billion, a 10% increase from the previous year. Margins expanded by 100 basis points, and diluted EPS was up 12% year-on-year.
Strong M&A Activity
CRH invested $3.5 billion in 27 value-accretive acquisitions, with a strong pipeline of growth opportunities. The Eco Material acquisition strengthens CRH's position in North American cementitious materials.
Positive Outlook for Infrastructure Megatrends
CRH is well-positioned to benefit from infrastructure megatrends in North America, with continued investment expected in transportation, water, and reindustrialization sectors.
Margin Expansion and Guidance Increase
CRH achieved 100 basis points of margin expansion in Q3 and raised the midpoint of its adjusted EBITDA guidance for 2025 to between $7.6 billion and $7.7 billion, reflecting 10% growth at the midpoint.
Americas Building Solutions Growth
Americas Building Solutions delivered a 22% increase in adjusted EBITDA and 380 basis points of margin expansion, driven by robust data center demand and resilient underlying demand in residential repair and remodel activity.
Negative Updates
Subdued Residential Sector
CRH expects residential new build activity to remain subdued in the U.S. due to ongoing affordability challenges, with interest rate cuts not expected to impact until late 2026.
EPS Dilution from Eco Material Acquisition
The size and timing of the Eco Material transaction, along with transaction and financing costs, are expected to lead to EPS dilution in Q4 of 2025.
Year-to-Date Land Sales Decline
Despite some land sales benefiting Q3 results, overall year-to-date land sales were down compared to the previous year.
Company Guidance
In the recent CRH third-quarter earnings call, the company reported a record performance and raised the midpoint of its adjusted EBITDA guidance for 2025. CRH expects full-year adjusted EBITDA to be between $7.6 billion and $7.7 billion, representing a 10% growth at the midpoint. This guidance assumes normal seasonal weather patterns and no major political or macroeconomic disruptions. The company highlighted a 5% increase in total revenues to $11.1 billion, driven by positive underlying demand, pricing momentum, and contributions from acquisitions. Adjusted EBITDA for the quarter was $2.7 billion, marking a 10% year-over-year increase, with a 100 basis point margin expansion. Notably, diluted earnings per share grew by 12% year-over-year. CRH also invested $3.5 billion in 27 acquisitions year-to-date and returned over $700 million in dividends. Looking ahead to 2026, the company expressed optimism about the outlook based on visibility across its key markets, particularly in infrastructure, water, and reindustrialization segments.

CRH plc Financial Statement Overview

Summary
CRH plc exhibits a strong financial position with consistent revenue growth, healthy profitability margins, and effective cash flow management. The company maintains a stable balance sheet, but careful monitoring of debt levels and cost management will be essential to sustain its financial health.
Income Statement
CRH plc demonstrates strong revenue growth with a 5.03% increase in TTM, supported by solid gross and net profit margins of 35.89% and 8.85% respectively. The EBIT and EBITDA margins are healthy at 14.13% and 19.60%, indicating efficient operations. However, the slight decline in net profit margin from the previous year suggests room for improvement in cost management.
Balance Sheet
The company's balance sheet is stable with a manageable debt-to-equity ratio of 0.77, reflecting prudent leverage. The return on equity (ROE) is strong at 13.41%, showcasing effective use of equity to generate profits. However, the equity ratio of 39.83% indicates a moderate reliance on debt financing, which could pose risks if not managed carefully.
Cash Flow
CRH plc's cash flow performance is robust, with a 26.13% growth in free cash flow, indicating strong cash generation capabilities. The operating cash flow to net income ratio of 0.52 and free cash flow to net income ratio of 0.44 suggest efficient cash conversion. However, maintaining this growth trajectory will be crucial to support future investments and debt obligations.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue34.59B34.35B31.76B30.41B25.76B22.52B
Gross Profit12.49B12.27B10.87B10.05B8.45B7.41B
EBITDA7.04B6.88B5.47B5.00B4.50B3.21B
Net Income3.21B3.34B2.87B3.63B2.26B915.86M
Balance Sheet
Total Assets49.97B48.88B43.14B42.11B39.40B36.69B
Cash, Cash Equivalents and Short-Term Investments3.58B3.75B5.76B5.51B5.10B6.30B
Total Debt17.63B14.78B11.83B10.10B10.72B11.31B
Total Liabilities28.94B26.81B23.49B20.70B20.95B20.08B
Stockholders Equity19.90B20.87B18.95B20.59B17.84B16.04B
Cash Flow
Free Cash Flow2.53B2.37B2.95B2.15B2.37B2.43B
Operating Cash Flow5.28B4.86B4.60B3.56B3.74B3.24B
Investing Cash Flow-6.59B-6.12B-2.21B-856.39M-2.27B-893.82M
Financing Cash Flow-13.14M-1.15B-2.16B-2.32B-2.91B234.27M

CRH plc Technical Analysis

Technical Analysis Sentiment
Positive
Last Price124.65
Price Trends
50DMA
119.98
Positive
100DMA
117.25
Positive
200DMA
105.12
Positive
Market Momentum
MACD
1.53
Positive
RSI
50.88
Neutral
STOCH
43.75
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CRH, the sentiment is Positive. The current price of 124.65 is below the 20-day moving average (MA) of 126.29, above the 50-day MA of 119.98, and above the 200-day MA of 105.12, indicating a neutral trend. The MACD of 1.53 indicates Positive momentum. The RSI at 50.88 is Neutral, neither overbought nor oversold. The STOCH value of 43.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CRH.

CRH plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$17.46B13.247.10%0.74%-6.34%210.97%
77
Outperform
$6.69B16.3130.10%0.47%1.50%-4.44%
77
Outperform
$38.60B35.5513.56%0.67%6.54%32.48%
76
Outperform
£82.23B24.8015.21%1.17%4.28%0.39%
73
Outperform
$37.69B33.6211.63%0.51%1.99%-41.08%
67
Neutral
$4.23B29.779.71%5.52%-25.56%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CRH
CRH plc
124.65
34.43
38.16%
CX
Cemex SAB
12.27
6.95
130.60%
EXP
Eagle Materials
220.95
-17.42
-7.31%
MLM
Martin Marietta Materials
638.11
127.86
25.06%
VMC
Vulcan Materials
299.13
44.99
17.70%
KNF
Knife River Corporation
77.46
-17.92
-18.79%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 13, 2025