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Breedon Group PLC (GB:BREE)
LSE:BREE

Breedon (BREE) AI Stock Analysis

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GB

Breedon

(LSE:BREE)

77Outperform
Breedon's solid financial performance, strategic growth initiatives, and fair valuation position it well in the construction materials industry. However, potential overbought technical indicators and increased debt levels require cautious monitoring. Strong corporate events, including strategic acquisitions, bolster growth prospects, particularly in expanding US operations.
Positive Factors
Financial Performance
The group beat consensus at the underlying EBIT level, generated good cash and reduced debt to a very acceptable level.
Growth Strategy
The Lionmark deal for US$238m creates a business of scale and shows that the group is back in growth mode.
Strategic Outlook
Confidence is improving and volumes get markedly less bad, with the UK government's latest infrastructure plans also seeming incrementally positive.
Negative Factors
Market Exposure
The group's low carbon footprint and healthy infrastructure outlook in the UK and Ireland remain underappreciated.
Market Sentiment
Management still seems to think that we are at or close to the bottom in terms of volumes now, with a recovery on the horizon.
Valuation Concerns
The current valuation fails to factor in the group's low carbon footprint, its US growth opportunity and a volume driven recovery.

Breedon (BREE) vs. S&P 500 (SPY)

Breedon Business Overview & Revenue Model

Company DescriptionBreedon Group plc, together with its subsidiaries, engages in the quarrying, manufacture, and sale of construction materials and building products in the United Kingdom and internationally. The company offers various aggregates, such as crushed rock, high polished stone value, sand and gravel, self-binding gravels, decorative aggregates, recycled aggregates, white limestone products, agricultural lime, granular mineral fillers, and welsh slates for use in the construction market. It also provides asphalt products for motorways, trunk roads, airport infrastructure, driveways, footpaths, farm roads, car parks, and recreational areas; and ready-mixed concrete, screeds, and mortar for various construction applications. In addition, the company offers concrete products, such as reconstructed stone walling, blocks, and other architectural masonry products; Portland cement; concrete roof tiles and ridge tiles; and clay bricks, as well as undertakes road surfacing and maintenance projects. Further, it provides traffic management services. The company was formerly known as Breedon Aggregates Limited and changed its name to Breedon Group plc in August 2016. The company was incorporated in 2007 and is based in Saint Helier, Jersey.
How the Company Makes MoneyBreedon Group makes money primarily through the sale of its construction materials, including aggregates, asphalt, cement, and ready-mixed concrete. These products are essential for a variety of construction projects, from residential and commercial buildings to major infrastructure developments. The company operates numerous quarries and production sites, ensuring a steady supply of raw materials and finished products. Additionally, Breedon generates revenue from its contracting services, which include road surfacing and maintenance, offering integrated solutions to clients. Strategic partnerships with construction firms and government contracts also contribute to its earnings, providing a stable and diverse revenue stream.

Breedon Financial Statement Overview

Summary
Income Statement
Balance Sheet
Cash Flow
Breakdown
Dec 2023Dec 2022Dec 2021Dec 2020Dec 2019
Income StatementTotal Revenue
1.49B1.40B1.23B928.70M929.60M
Gross Profit
1.22B486.20M428.40M297.90M342.40M
EBIT
143.10M148.00M127.40M61.60M108.60M
EBITDA
241.90M230.90M214.60M137.70M180.60M
Net Income Common Stockholders
105.50M112.50M78.50M33.60M77.90M
Balance SheetCash, Cash Equivalents and Short-Term Investments
126.90M101.70M83.90M31.70M23.80M
Total Assets
1.87B1.79B1.67B1.62B1.42B
Total Debt
296.80M299.40M296.40M350.00M314.10M
Net Debt
169.90M197.70M212.50M318.30M290.30M
Total Liabilities
762.10M742.00M719.70M730.90M581.50M
Stockholders Equity
1.11B1.04B949.60M888.30M839.00M
Cash FlowFree Cash Flow
86.90M61.20M117.20M130.30M80.20M
Operating Cash Flow
193.70M168.00M194.10M168.40M136.50M
Investing Cash Flow
-120.40M-112.90M-75.50M-177.80M-68.10M
Financing Cash Flow
-46.60M-38.00M-65.90M16.90M-81.10M

Breedon Technical Analysis

Technical Analysis Sentiment
Positive
Last Price438.20
Price Trends
50DMA
444.48
Negative
100DMA
436.89
Positive
200DMA
426.07
Positive
Market Momentum
MACD
-1.84
Positive
RSI
48.32
Neutral
STOCH
35.87
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BREE, the sentiment is Positive. The current price of 438.2 is above the 20-day moving average (MA) of 436.97, below the 50-day MA of 444.48, and above the 200-day MA of 426.07, indicating a neutral trend. The MACD of -1.84 indicates Positive momentum. The RSI at 48.32 is Neutral, neither overbought nor oversold. The STOCH value of 35.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:BREE.

Breedon Peers Comparison

Overall Rating
UnderperformOutperform
Sector (49)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
ÂŁ1.52B15.618.44%3.25%5.97%-9.81%
73
Outperform
ÂŁ394.69M22.558.09%1.61%-0.61%34.19%
49
Neutral
$1.93B-1.47-21.02%3.74%0.80%-29.57%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:BREE
Breedon
438.20
76.90
21.28%
GB:FORT
Forterra
187.40
22.37
13.56%
GB:IOF
Iofina plc
22.00
2.50
12.82%
GB:CRH
CRH plc
7,328.00
1,015.47
16.09%

Breedon Corporate Events

Regulatory Filings and Compliance
Breedon Group Announces Total Voting Rights
Neutral
Apr 30, 2025

Breedon Group PLC has announced its total voting rights in accordance with the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules. The company’s issued share capital consists of 346,298,542 ordinary shares, all of which have voting rights. This information is crucial for shareholders to determine their interest in the company and any changes to it.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon Group is well-positioned in the construction materials industry, demonstrating solid financial health and strategic growth initiatives. While financial performance and corporate events are strong, caution is advised due to increased debt levels and potential overbought technical indicators. The valuation is fair, supported by a healthy dividend yield.

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

Shareholder MeetingsBusiness Operations and Strategy
Breedon Group PLC Announces Successful AGM Resolutions
Positive
Apr 29, 2025

Breedon Group PLC announced the successful passage of all resolutions at its Annual General Meeting held on April 29, 2025. The resolutions, which included both ordinary and special resolutions, were approved by shareholders via a poll. This outcome reflects strong shareholder support and positions the company to continue its strategic initiatives, potentially impacting its operational efficiency and market competitiveness.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon Group is well-positioned in the construction materials industry, demonstrating solid financial health and strategic growth initiatives. While financial performance and corporate events are strong, caution is advised due to increased debt levels and potential overbought technical indicators. The valuation is fair, supported by a healthy dividend yield.

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

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Breedon Group Reports Revenue Growth Amidst Challenging Conditions
Positive
Apr 29, 2025

Breedon Group plc reported a 9% increase in revenue for Q1 2025, attributed to acquisitions and stable pricing, despite weather challenges impacting operations, particularly in the USA. The company continues to focus on strategic objectives, enhancing operational efficiencies, and expanding its US infrastructure exposure through acquisitions like Lionmark. Breedon remains well-positioned to benefit from improvements in construction market activity, with ongoing projects in cement and alternative fuels nearing completion.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon Group is well-positioned in the construction materials industry, with strong financial performance, strategic growth initiatives, and a fair valuation. The stock shows positive technical trends, but investors should be cautious of potential overbought conditions. The company’s recent acquisitions bolster its market position and enhance growth prospects, particularly in the US. Managing increased debt levels will be crucial moving forward.

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

Business Operations and Strategy
Breedon Group PLC Announces Change in Major Shareholder Voting Rights
Neutral
Apr 17, 2025

Breedon Group PLC has announced a notification of major holdings, indicating that GLG Partners LP has adjusted its voting rights in the company to a level of 5.028264%. This change in voting rights, resulting from financial instruments, reflects a strategic move by GLG Partners LP, potentially impacting Breedon’s shareholder structure and market perception.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon Group is well-positioned in the construction materials industry, with strong financial performance, strategic growth initiatives, and a fair valuation. The stock shows positive technical trends, but investors should be cautious of potential overbought conditions. The company’s recent acquisitions bolster its market position and enhance growth prospects, particularly in the US. Managing increased debt levels will be crucial moving forward.

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

Executive/Board ChangesBusiness Operations and Strategy
Breedon Group PLC Allots Shares to Executives Under Performance Plan
Neutral
Apr 15, 2025

Breedon Group PLC has announced the allotment of 494,854 ordinary shares to participants of its Performance Share Plan, following the vesting of awards made in 2022. This transaction reflects the company’s commitment to rewarding its executives, with shares being sold to cover tax liabilities and the remainder retained, impacting the shareholding of key executives and aligning their interests with the company’s performance.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon Group is well-positioned in the construction materials industry, with strong financial performance, strategic growth initiatives, and a fair valuation. The stock shows positive technical trends, but investors should be cautious of potential overbought conditions. The company’s recent acquisitions bolster its market position and enhance growth prospects, particularly in the US. Managing increased debt levels will be crucial moving forward.

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

Regulatory Filings and Compliance
Breedon Group PLC Announces Changes in Major Holdings
Neutral
Apr 15, 2025

Breedon Group PLC has announced a change in its major holdings, as BlackRock, Inc. has adjusted its voting rights in the company. The adjustment, which was notified on April 14, 2025, reflects BlackRock’s current position of 7.97% in voting rights, maintaining its previous level. This update is significant for stakeholders as it highlights BlackRock’s continued substantial interest in Breedon, potentially impacting future corporate decisions and shareholder dynamics.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon Group is well-positioned in the construction materials industry, with strong financial performance, strategic growth initiatives, and a fair valuation. The stock shows positive technical trends, but investors should be cautious of potential overbought conditions. The company’s recent acquisitions bolster its market position and enhance growth prospects, particularly in the US. Managing increased debt levels will be crucial moving forward.

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

Business Operations and Strategy
Breedon Group PLC Announces Change in Major Holdings
Neutral
Apr 15, 2025

Breedon Group PLC has announced a change in its major holdings, with Lansdowne Partners (UK) LLP acquiring a 4.98% voting rights stake in the company. This acquisition may influence Breedon’s strategic decisions and market positioning, potentially impacting stakeholders and the company’s future operations.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon Group is well-positioned in the construction materials industry, with strong financial performance, strategic growth initiatives, and a fair valuation. The stock shows positive technical trends, but investors should be cautious of potential overbought conditions. The company’s recent acquisitions bolster its market position and enhance growth prospects, particularly in the US. Managing increased debt levels will be crucial moving forward.

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

Business Operations and StrategyRegulatory Filings and Compliance
Breedon Group Announces Change in Voting Rights Structure
Neutral
Apr 9, 2025

Breedon Group PLC has announced a change in its voting rights structure following an acquisition or disposal by BlackRock, Inc., which now holds a 7.97% stake in the company. This adjustment in voting rights could influence Breedon’s decision-making processes and potentially impact its strategic direction, reflecting the dynamic nature of shareholder influence in the construction materials sector.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon Group is well-positioned in the construction materials industry, with strong financial performance, strategic growth initiatives, and a fair valuation. The stock shows positive technical trends, but investors should be cautious of potential overbought conditions. The company’s recent acquisitions bolster its market position and enhance growth prospects, particularly in the US. Managing increased debt levels will be crucial moving forward.

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

Executive/Board ChangesBusiness Operations and Strategy
Breedon Group Grants Performance Share Awards to Executives
Positive
Apr 8, 2025

Breedon Group PLC announced the granting of conditional awards under its Performance Share Plan to key executives, CEO Rob Wood and CFO James Brotherton, for a three-year performance period from 2025 to 2027. This move, part of their strategic incentive plan, aligns the interests of management with shareholders and underscores the company’s commitment to performance-driven growth.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon’s solid financial performance and strategic expansion through acquisitions position it well in the construction materials industry. While the technical outlook is positive, it warrants caution due to potential overbought conditions. The valuation appears fair, supported by a decent dividend yield. Continued growth and market share expansion, especially in the US, are significant positives.

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

Executive/Board ChangesBusiness Operations and Strategy
Breedon Group Announces Deferred Share Bonus Awards for Executives
Positive
Apr 8, 2025

Breedon Group PLC announced that its CEO, Rob Wood, and CFO, James Brotherton, have been granted conditional awards under the company’s Deferred Share Bonus Plan. These awards, linked to the deferral of one-third of their annual bonuses for the financial year ending December 2024, will vest on April 8, 2027, contingent upon continued employment. This move aligns with Breedon’s strategic compensation practices, potentially impacting stakeholder perceptions positively by demonstrating a commitment to long-term company performance and executive retention.

Spark’s Take on GB:BREE Stock

According to Spark, TipRanks’ AI Analyst, GB:BREE is a Outperform.

Breedon’s solid financial performance and strategic expansion through acquisitions position it well in the construction materials industry. While the technical outlook is positive, it warrants caution due to potential overbought conditions. The valuation appears fair, supported by a decent dividend yield. Continued growth and market share expansion, especially in the US, are significant positives.

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

Regulatory Filings and Compliance
Breedon Group Announces Total Voting Rights Update
Neutral
Mar 31, 2025

Breedon Group PLC announced that its issued share capital consists of 345,803,688 ordinary shares, all of which have voting rights. This information is crucial for shareholders to determine their notification requirements under the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules.

Business Operations and StrategyRegulatory Filings and Compliance
Breedon Group’s Major Holdings Shift as BlackRock Adjusts Stake
Neutral
Mar 26, 2025

Breedon Group PLC, a UK-based company, has announced a change in its major holdings due to BlackRock, Inc.’s acquisition or disposal of voting rights. As of March 25, 2025, BlackRock’s total voting rights in Breedon decreased from 9.76% to 8.08%, indicating a shift in stakeholder influence. This adjustment in holdings could impact Breedon’s market positioning and influence future strategic decisions.

Shareholder MeetingsFinancial DisclosuresRegulatory Filings and Compliance
Breedon Group Releases 2024 Annual Report and AGM Notice
Neutral
Mar 17, 2025

Breedon Group plc, a leading construction materials company, has released its 2024 Annual Report and Accounts along with the notice for its 2025 Annual General Meeting (AGM). The documents have been made available on the company’s website and submitted to the Financial Conduct Authority’s Electronic Submission Service. The AGM is scheduled to take place on April 29, 2025, at Pinnacle House, Breedon Quarry, Derby.

Delistings and Listing ChangesM&A Transactions
Breedon Group Expands with New Share Admission Following Acquisition
Positive
Mar 12, 2025

Breedon Group PLC has announced the application for admission of 2,146,402 new ordinary shares on the London Stock Exchange as part of its acquisition of Lionmark Construction Companies LLC. This move is expected to enhance Breedon’s market position by expanding its operational footprint and offering in the construction materials sector, potentially benefiting stakeholders through increased market share and operational capabilities.

M&A TransactionsBusiness Operations and Strategy
Breedon Group Expands US Operations with $238 Million Acquisition of Lionmark
Positive
Mar 5, 2025

Breedon Group plc has announced the acquisition of Lionmark Construction Companies LLC for $238 million, a move expected to significantly enhance its US operations. This strategic acquisition will more than double Breedon’s US revenue, diversify its product offerings into asphalt and surfacing, and leverage Lionmark’s established relationships in the road infrastructure market. The transaction promises immediate financial returns and aligns with Breedon’s strategy to expand its presence in the US construction materials market, while maintaining a strong balance sheet.

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Breedon Group Achieves Record Results and Expands US Presence
Positive
Mar 5, 2025

Breedon Group PLC reported record underlying results for 2024, surpassing expectations despite challenging market conditions. The successful integration of BMC and strategic cost controls contributed to a 6% revenue increase, driven by entry into the US market. The company expanded its operations with acquisitions in the US and Great Britain, enhancing its market position and operational efficiency. Breedon remains optimistic about future market recovery and continues to prioritize growth opportunities, particularly in the US, while maintaining a strong financial framework.

Regulatory Filings and Compliance
Breedon Group Announces Total Voting Rights Update
Neutral
Feb 28, 2025

Breedon Group PLC has announced its total voting rights, revealing an issued share capital of 343,653,508 ordinary shares, all of which carry voting rights. This disclosure aligns with the Financial Conduct Authority’s requirements, enabling shareholders to accurately calculate their interests and comply with regulatory obligations.

Business Operations and StrategyFinancial Disclosures
Breedon Group to Announce 2024 Annual Results with Live Presentation
Neutral
Feb 4, 2025

Breedon Group plc announced the release of its annual results for the year ended December 31, 2024, scheduled for March 5, 2025. The company will conduct an in-person earnings presentation in London, which will be webcast live, featuring insights from the CEO and CFO. This announcement highlights Breedon’s commitment to transparency and engagement with stakeholders, reflecting its strategic focus on sustainable value creation and growth within the heavyside construction materials market.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.