Hill & Smith Holdings (HILS) AI Stock Analysis

• Market Cap: £1.35B
• Dividend Yield: 3.87%
• Average Volume (3M): 119.07K
• Price to Earnings (P/E): 17.7
• Beta (1Y): 1.05
• Revenue Growth: 3.05%
• EPS Growth: 10.64%
• Country: UK
• Employees: 4,559
• Sector: Industrials
• Sector Strength: 85
• Industry: Engineering & Construction
• EPS (TTM): 0.60
• Shares Outstanding: 80,483,960
• 10 Day Avg. Volume: 119,161
• 30 Day Avg. Volume: 119,073
• PEG Ratio: 0.25
• Price to Book (P/B): 2.37
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 32.63
• 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: £2,280.00
• Price Target Upside: 35.71% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 73 Outperform
• Price Target: 2,016.00p ▲(20.00%Upside)

Hill & Smith Holdings scores a 73, driven primarily by strong financial performance and a solid corporate strategy. While technical indicators present a mixed picture, the company's stable valuation and positive corporate events underscore its potential for continued growth. The absence of earnings call data and the redistribution of its weight slightly moderates the overall score.

Positive Factors

Earnings

The AGM statement confirms the group is on track to meet consensus EBITA for FY25F, which is encouraging despite adverse FX conditions.

Financial Performance

Ongoing momentum in the group's margin expansion and a well-placed Balance Sheet support additional EPS growth through M&A.

Leadership

The appointment of Chris McLeish as the new CFO brings valuable experience from the UK construction market and the US market.

Negative Factors

Leadership Transition

The search to find a replacement CFO has commenced, which suggests proactive management in maintaining leadership stability.

Market Conditions

The company has not seen any evidence of delays or market softening in the US despite broader concerns.

Organic Revenue Growth

Organic revenue growth of 1% was held back by tough comparisons and adverse weather.

Hill & Smith Holdings Business Overview & Revenue Model

Company Description

Hill & Smith Holdings PLC is a leading international group specializing in the design, manufacturing, and supply of infrastructure products and galvanizing services. The company operates through three primary sectors: Infrastructure Products, Galvanizing Services, and Engineered Solutions. Hill & Smith provides a wide range of products including road barriers, lighting columns, and other essential infrastructure components, serving markets in the UK, USA, and other international regions.

How the Company Makes Money

Hill & Smith Holdings generates revenue primarily through its diverse portfolio of infrastructure products and galvanizing services. The Infrastructure Products sector contributes significantly to the company's income by offering safety barriers, bridges, and street lighting solutions for roads and other public spaces. The Galvanizing Services sector adds to the revenue by providing corrosion protection services essential for extending the lifespan of metal products, serving various sectors such as construction and agriculture. Additionally, the Engineered Solutions segment supports earnings through custom-engineered products tailored to specific customer needs, often involving complex engineering and manufacturing capabilities. The company benefits from long-term contracts, government infrastructure spending, and strategic partnerships that ensure a steady demand for its products and services.

Hill & Smith Holdings Financial Statement Overview

Summary

Hill & Smith Holdings demonstrates robust financial health with consistent revenue growth, strong profitability margins, and sound cash flow management. The company maintains a stable balance sheet with moderate leverage and a strong equity position, positioning it well for future growth.

Income Statement

Hill & Smith Holdings shows strong revenue growth with the most recent year increasing by 3% from the previous year. The company also maintains solid profitability margins with a gross profit margin of approximately 40% and a net profit margin of roughly 9%. The EBIT and EBITDA margins have improved to around 13.5% and 18.8% respectively, indicating efficient operations and cost control.

Balance Sheet

The company's balance sheet reflects a stable financial position with an improving equity base. The debt-to-equity ratio stands at 0.31, suggesting moderate leverage, while the return on equity is robust at approximately 16.1%. An equity ratio of around 59.7% indicates a strong equity position relative to total assets.

Cash Flow

Hill & Smith Holdings demonstrates healthy cash flow management with a significant increase in free cash flow by about 8% over the last year. The operating cash flow to net income ratio is strong at approximately 1.69, and the free cash flow to net income ratio stands at 1.41, indicating efficient conversion of earnings into cash.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
855.10M	829.80M	732.10M	705.00M	660.50M
	Gross Profit
341.80M	316.70M	270.50M	262.30M	244.60M
	EBIT
115.40M	103.80M	78.50M	57.00M	42.80M
	EBITDA
158.10M	142.00M	110.20M	82.10M	82.10M
	Net Income Common Stockholders
76.40M	68.80M	56.70M	34.20M	24.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
55.00M	34.40M	24.80M	18.80M	22.00M
	Total Assets
796.00M	715.00M	694.30M	673.30M	646.70M
	Total Debt
145.50M	142.80M	144.50M	161.80M	168.20M
	Net Debt
90.50M	108.40M	119.70M	143.00M	146.20M
	Total Liabilities
320.30M	290.50M	299.30M	333.70M	326.20M
	Stockholders Equity
475.70M	424.50M	395.00M	339.60M	320.50M
Cash Flow		Free Cash Flow
107.70M	99.70M	28.70M	46.50M	74.60M
	Operating Cash Flow
129.00M	129.20M	49.60M	65.70M	91.90M
	Investing Cash Flow
-69.00M	-77.10M	14.00M	-25.10M	-11.10M
	Financing Cash Flow
-43.50M	-41.10M	-58.80M	-36.40M	-92.90M

Hill & Smith Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1680.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:HILS, the sentiment is Negative. The current price of 1680 is below the 20-day moving average (MA) of 1817.74, below the 50-day MA of 1755.50, and below the 200-day MA of 1891.40, indicating a bearish trend. The MACD of -22.64 indicates Positive momentum. The RSI at 32.29 is Neutral, neither overbought nor oversold. The STOCH value of 17.97 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:HILS.

Hill & Smith Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KLR	79 Outperform	£1.06B	7.73	25.66%	4.35%	0.70%	60.51%
RNWH	78 Outperform	£649.88M	14.36	22.62%	3.25%	3.23%	2.00%
KIE	77 Outperform	£745.65M	17.50	10.20%	2.28%	8.04%	6.94%
MGNS	75 Outperform	£1.77B	13.41	21.67%	4.77%	10.41%	11.04%
BBY	74 Outperform	£2.48B	14.56	15.35%	3.50%	3.02%	-3.23%
HILS	73 Outperform	£1.35B	17.68	16.97%	3.87%	3.05%	10.64%
Sector *	66 Neutral	$4.47B	12.21	5.40%	3.65%	4.14%	-12.00%

Hill & Smith Holdings Corporate Events

Hill & Smith Director Joins Chemring Group Board

Hill & Smith PLC has announced that Pete Raby, a Non-Executive Director of the company, will join the Board of Chemring Group plc as a Non-Executive Director starting 1 September 2025. This move may influence the company’s strategic direction and stakeholder interests as Pete Raby will also be part of the Audit, Nomination, and Remuneration committees at Chemring Group.

The most recent analyst rating on (GB:HILS) stock is a Buy with a £2500.00 price target. To see the full list of analyst forecasts on Hill & Smith Holdings stock, see the GB:HILS Stock Forecast page.

Hill & Smith PLC Announces Share Capital Details

Hill & Smith PLC has announced that as of May 30, 2025, its issued share capital consists of 80,483,965 Ordinary Shares, each with a nominal value of 25 pence and voting rights. The company does not hold any shares as Treasury Shares, and this figure can be used by shareholders to determine their interest in the company’s share capital under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:HILS) stock is a Buy with a £2500.00 price target. To see the full list of analyst forecasts on Hill & Smith Holdings stock, see the GB:HILS Stock Forecast page.

Hill & Smith PLC Announces Successful AGM Resolutions

Hill & Smith PLC, a company involved in infrastructure products and galvanizing services, announced the successful passing of all resolutions at its Annual General Meeting held on May 22, 2025. The resolutions included the approval of the company’s annual report, directors’ remuneration report, and the declaration of a final dividend, among others. This outcome reflects strong shareholder support and positions the company for continued strategic initiatives and governance practices.

The most recent analyst rating on (GB:HILS) stock is a Buy with a £2350.00 price target. To see the full list of analyst forecasts on Hill & Smith Holdings stock, see the GB:HILS Stock Forecast page.

Hill & Smith PLC Reports Positive Start to 2025 with Strong Infrastructure Demand

Hill & Smith PLC reported a positive start to the year with trading in line with expectations, driven by strong demand for infrastructure solutions in the US and resilient performance in the UK. The company saw a 3% revenue increase on a constant currency basis and maintained a strong balance sheet, supporting growth opportunities. Despite tariff concerns, the impact has been minimal due to local sourcing, and the company remains confident in the US infrastructure growth outlook.

The most recent analyst rating on (GB:HILS) stock is a Buy with a £2350.00 price target. To see the full list of analyst forecasts on Hill & Smith Holdings stock, see the GB:HILS Stock Forecast page.

Hill & Smith Appoints New CFO to Drive Growth Strategy

Hill & Smith PLC has announced the appointment of Chris McLeish as the new Chief Financial Officer, effective 13 October 2025. McLeish, who brings over 30 years of international finance experience from his previous role at Ibstock PLC, is expected to contribute significantly to Hill & Smith’s growth strategy. The appointment is seen as a strategic move to bolster the company’s leadership team and drive its growth ambitions.

Hill & Smith PLC Releases 2024 Annual Report and Prepares for 2025 AGM

Hill & Smith PLC has released its 2024 Annual Report and announced its 2025 Annual General Meeting. The company highlights several risks, including potential reductions in US infrastructure spending, changes in the global economic outlook, and increased competitive pressures. Hill & Smith remains confident in its strategic planning and mitigation measures, which include maintaining a diverse portfolio and strong financial performance monitoring. The company is also addressing climate change risks and IT system vulnerabilities to ensure continued operational resilience.

Hill & Smith PLC Announces New Share Awards for Directors and PDMRs

Hill & Smith PLC has announced the granting of awards under its 2023 Long Term Incentive Plan and Deferred Bonus Plan to its Directors and PDMRs. The awards, which are based on a share price of £17.46, will vest according to performance metrics such as Total Shareholder Return, Underlying EPS Growth, and reduction in greenhouse gas emissions over a three-year period. This move is part of the company’s strategy to align management incentives with long-term performance and sustainability goals.

Hill & Smith PLC Announces Share Capital Update

Hill & Smith PLC has announced that as of March 31, 2025, its issued share capital consists of 80,479,203 Ordinary Shares, each with a nominal value of 25 pence and voting rights. The company does not hold any shares as Treasury Shares. This information is relevant for shareholders to determine their interest in the company’s share capital under the FCA’s Disclosure Guidance and Transparency Rules.

Hill & Smith’s Group President Executes Share Transaction

Hill & Smith Holdings announced the vesting and subsequent sale of the first tranche of a Buy-Out Award by Tim Tehan, the Group President and PDMR, involving the acquisition and sale of 21,724 ordinary shares. This transaction reflects internal financial activities and may influence stakeholder perceptions regarding executive compensation and shareholding strategies.

Hill & Smith PLC Appoints New Non-Executive Director

Hill & Smith PLC has appointed Gillian Tomlinson as a non-executive director, effective March 25, 2025. She will join the Nomination, Audit, and Remuneration Committees, replacing Leigh-Ann Russell. Tomlinson, currently Chief Data & Digital Officer at Weir Group PLC, brings extensive international experience and digital strategy expertise, which is expected to support Hill & Smith’s strategic plans. This appointment follows a thorough search process and aligns with the company’s efforts to strengthen its board with diverse skill sets.

Hill & Smith PLC Announces Change in Voting Rights

Hill & Smith PLC, a UK-based company, announced a change in voting rights due to a transaction involving Aberdeen Group plc. The voting rights held by abrdn Investments (Holdings) Limited and abrdn Investment Management Limited decreased below the 5% threshold, reflecting a shift in their investment management strategy. This change may impact the company’s shareholder dynamics and influence its market positioning.

Hill & Smith PLC Updates Director Share Purchase Details

Hill & Smith PLC has announced a correction to a previous statement regarding the purchase of shares by Carol Chesney, a Non-Executive Director. The update includes an amended purchase price and aggregate price for the acquisition of 1,054 ordinary shares. This transaction, conducted on the London Stock Exchange, reflects the company’s ongoing governance and transparency in reporting director dealings, potentially impacting stakeholder confidence.

Hill & Smith PLC Enhances Employee Incentive Plans with Share Purchase

Hill & Smith PLC announced that its Employee Benefit Trust purchased 50,000 ordinary shares to support its Long Term Incentive Plans and Executive Share Option Scheme. This transaction reflects the company’s commitment to rewarding its employees and aligning their interests with shareholders, potentially impacting employee motivation and retention positively.

Hill & Smith Director Increases Shareholding

Hill & Smith PLC announced that Non-Executive Director Farrokh Batliwala has acquired 2,000 ordinary shares in the company, bringing his total beneficial interest to 4,000 shares. This transaction, conducted on the London Stock Exchange, signifies a vote of confidence in the company’s prospects by a key member of its board, potentially influencing investor sentiment and market perception.