Balfour Beatty (BBY) AI Stock Analysis

• Market Cap: £3.56B
• Dividend Yield: 1.8%
• Average Volume (3M): 1.30M
• Price to Earnings (P/E): 13.5
• Beta (1Y): 1.18
• Revenue Growth: 9.97%
• EPS Growth: -15.46%
• Country: UK
• Employees: 27,311
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.34
• Shares Outstanding: 488,979,740
• 10 Day Avg. Volume: 906,033
• 30 Day Avg. Volume: 1,301,837
• PEG Ratio: 0.24
• Price to Book (P/B): 3.10
• Price to Sales (P/S): 0.37
• P/FCF Ratio: 5.52
• 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: £846.67
• Price Target Upside: 13.49% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 0.5
• Revenue Forecast (FY): £11.13B

• Rating: 71 Outperform
• Price Target: 845.00 p ▲(13.27% Upside)
• Action: Reiterated Date: 03/12/26
• Date: Action: Reiterated 03/12/26

The score is driven primarily by very strong recent cash generation and steady revenue growth, supported by positive earnings-call indicators (record order book/pipeline and increased shareholder returns). Offsetting factors are structurally thin/compressing margins, higher leverage versus 2022, and mixed technical momentum (negative MACD) alongside execution risks highlighted in U.S. Civils and Infrastructure Investments.

Positive Factors

Record order book & pipeline

A GBP 19.5bn order book with a GBP 20bn pipeline provides durable revenue visibility and backlogs that smooth near-term demand cyclicality. This supports multi-quarter resource planning, predictable cash conversion from contracted work and a higher probability of sustaining revenue growth over 2–6 months.

Negative Factors

Thin operating margins

Very low gross and operating margins leave little buffer against input cost inflation, subcontractor disputes or project overruns. With project economics tight, any adverse execution or price pressure can quickly erode profitability and cash generation, increasing downside risk across the portfolio.

Balfour Beatty Business Overview & Revenue Model

Company Description

Balfour Beatty plc finances, designs, develops, builds, and maintains infrastructure in the United Kingdom, the United States, and internationally. It operates through three segments: Construction Services, Support Services, and Infrastructure Inv...

Read more

Balfour Beatty plc finances, designs, develops, builds, and maintains infrastructure in the United Kingdom, the United States, and internationally. It operates through three segments: Construction Services, Support Services, and Infrastructure Inv...

How the Company Makes Money

Balfour Beatty primarily generates revenue by contracting to design, build, and manage infrastructure and building projects for customers. A major revenue stream comes from construction and civil engineering contracts where the company is paid bas...

Read more

Balfour Beatty primarily generates revenue by contracting to design, build, and manage infrastructure and building projects for customers. A major revenue stream comes from construction and civil engineering contracts where the company is paid bas...

Balfour Beatty Financial Statement Overview

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.49B	8.23B	7.99B	7.63B	7.20B
Gross Profit	453.00M	417.00M	412.00M	421.00M	335.00M
EBITDA	276.00M	320.00M	344.00M	329.00M	174.00M
Net Income	263.00M	178.00M	197.00M	288.00M	140.00M
Balance Sheet
Total Assets	6.09B	5.63B	5.26B	5.12B	4.85B
Cash, Cash Equivalents and Short-Term Investments	1.86B	1.29B	1.41B	1.18B	1.03B
Total Debt	1.02B	1.11B	981.00M	738.00M	615.00M
Total Liabilities	4.94B	4.50B	4.06B	3.74B	3.47B
Stockholders Equity	1.14B	1.12B	1.20B	1.38B	1.37B
Cash Flow
Free Cash Flow	643.00M	237.00M	219.00M	137.00M	318.00M
Operating Cash Flow	692.00M	265.00M	285.00M	168.00M	353.00M
Investing Cash Flow	55.00M	46.00M	33.00M	146.00M	116.00M
Financing Cash Flow	-298.00M	-251.00M	-158.00M	-189.00M	-266.00M

Balfour Beatty Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 746.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BBY, the sentiment is Neutral. The current price of 746 is below the 20-day moving average (MA) of 746.55, above the 50-day MA of 744.50, and above the 200-day MA of 652.16, indicating a neutral trend. The MACD of 4.64 indicates Negative momentum. The RSI at 48.23 is Neutral, neither overbought nor oversold. The STOCH value of 57.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:BBY.

Balfour Beatty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
COST	78 Outperform	£489.80M	11.49	13.06%	1.88%	-12.98%	5.51%
MGNS	73 Outperform	£1.95B	12.50	24.53%	2.49%	6.93%	21.50%
GFRD	72 Outperform	£482.13M	7.10	27.48%	3.65%	5.78%	-6.80%
BBY	71 Outperform	£3.56B	13.49	16.34%	1.80%	9.97%	-15.46%
KIE	71 Outperform	£838.19M	9.81	11.69%	3.19%	4.40%	31.59%
HILS	70 Outperform	£1.66B	20.83	17.34%	2.34%	3.88%	5.10%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Balfour Beatty Corporate Events