James Halstead (JHD) AI Stock Analysis

• Market Cap: £490.96M
• Dividend Yield: 5.91%
• Average Volume (3M): 355.65K
• Price to Earnings (P/E): 16.4
• Beta (1Y): 0.60
• Revenue Growth: -4.70%
• EPS Growth: -2.21%
• Country: UK
• Employees: 851
• Sector: Industrials
• Sector Strength: 72
• Industry: Construction
• EPS (TTM): 0.05
• Shares Outstanding: 416,411,440
• 10 Day Avg. Volume: 434,047
• 30 Day Avg. Volume: 355,651
• PEG Ratio: -6.30
• Price to Book (P/B): 3.67
• Price to Sales (P/S): 2.55
• P/FCF Ratio: 19.42
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.1
• Revenue Forecast (FY): £269.95M

• Rating: 70 Neutral
• Price Target: 128.00 p ▼(-5.54% Downside)
• Action: Reiterated Date: 12/19/25
• Date: Action: Reiterated 12/19/25

James Halstead's stock score is primarily driven by its stable financial performance and attractive valuation. However, technical indicators suggest bearish momentum, which could pose short-term risks. The lack of growth in revenue and free cash flow are areas that need attention to improve the overall outlook.

Positive Factors

Strong balance sheet with low leverage

Conservative leverage and a healthy equity ratio provide durable financial flexibility. This strengthens the firm's ability to fund working capital, support capital expenditure, maintain dividends and absorb demand shocks across cycles, reducing refinancing and solvency risk.

Sustained profitability and margins

Stable gross and net margins indicate persistent pricing power or cost control in manufacturing. Durable margin profiles support long-term cash generation, fund reinvestment in product ranges, and help the business retain returns even if top-line growth slows.

Solid operating cash conversion

Reasonable cash conversion and historically strong free cash flow relative to income underpin sustainable financing of dividends and capex. Reliable cash generation gives management optionality for reinvestment or returning capital over multiple cycles.

Negative Factors

Declining revenue growth

Negative revenue growth over recent periods signals shrinking top-line scale or weaker demand for core products. Persistent declines can erode operating leverage, pressure margins long-term, and limit the firm's ability to invest in product development or geographic expansion.

Free cash flow growth deterioration

An 11% drop in free cash flow growth reduces available internal funding for capex, innovation and shareholder returns. If the trend continues, it constrains strategic flexibility and may force greater reliance on retained earnings or slower reinvestment.

Exposure to construction and refurbishment cycles

Revenue is tied to cyclical new-build and refurbishment activity in commercial/public sectors. This structural exposure increases earnings volatility across economic cycles and can limit sustained growth during prolonged downturns in construction and capex spending.

James Halstead Business Overview & Revenue Model

Company Description

James Halstead plc manufactures and supplies flooring products for commercial and domestic uses in the United Kingdom, rest of Europe, Scandinavia, Australasia, Asia, and internationally. The company offers its products under the Polyflor, Palettone, Camaro, Polysafe, Recofloor, and Expona names. James Halstead plc was founded in 1914 and is based in Manchester, the United Kingdom.

How the Company Makes Money

James Halstead makes money mainly by manufacturing floorcovering products and selling them to customers at a margin above its production and operating costs. Its core revenue stream is product sales of commercial flooring (notably vinyl and rubber floorcoverings) across multiple brands and ranges, with demand driven by new build and refurbishment activity in commercial and public-sector environments (e.g., hospitals, schools, offices, retail sites). Sales are generated through a mix of channels that typically include distributors/wholesalers, contractors and installers serving construction and refurbishment projects, and direct or project-based specification sales where products are chosen to meet performance and compliance requirements (e.g., durability, hygiene, slip resistance). Revenue is earned per order (by volume/area of flooring supplied), while profitability is influenced by manufacturing utilization, input costs (raw materials, energy, logistics), pricing, product mix (premium vs. value ranges), and geographic mix of UK vs. export markets. Specific details on significant partnerships are null.

James Halstead Financial Statement Overview

Summary

James Halstead presents a stable financial position with strong profitability and a solid balance sheet. However, the decline in revenue growth and free cash flow growth are areas of concern that need to be addressed to ensure sustained financial health.

Income Statement

James Halstead's income statement shows a mixed performance. The company has maintained a healthy gross profit margin, but there has been a decline in revenue growth rate over the past year. The net profit margin remains stable, indicating effective cost management. However, the negative revenue growth rate of -2.44% in the most recent year is a concern, suggesting potential challenges in sales or market conditions.

Balance Sheet

The balance sheet of James Halstead is strong, with a low debt-to-equity ratio indicating conservative leverage. The return on equity is robust, reflecting efficient use of equity to generate profits. The equity ratio is healthy, suggesting a solid capital structure. Overall, the company demonstrates financial stability with manageable debt levels.

Cash Flow

The cash flow statement reveals some challenges, with a decline in free cash flow growth rate by -11.39%. However, the operating cash flow to net income ratio is reasonable, indicating that the company is generating sufficient cash from operations relative to its net income. The free cash flow to net income ratio is also strong, suggesting effective cash management despite the recent decline in free cash flow.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	261.97M	274.88M	303.56M	291.86M	266.36M
Gross Profit	116.57M	121.12M	115.46M	113.50M	111.64M
EBITDA	62.93M	63.63M	58.88M	59.16M	58.12M
Net Income	40.61M	41.52M	42.40M	40.33M	39.86M
Balance Sheet
Total Assets	240.25M	247.00M	245.51M	269.68M	234.49M
Cash, Cash Equivalents and Short-Term Investments	68.37M	74.28M	63.22M	52.14M	83.26M
Total Debt	4.89M	6.59M	7.48M	5.91M	6.38M
Total Liabilities	58.25M	65.72M	71.30M	96.42M	77.99M
Stockholders Equity	182.00M	181.28M	174.21M	173.26M	156.49M
Cash Flow
Free Cash Flow	34.38M	46.02M	46.84M	3.31M	53.10M
Operating Cash Flow	38.26M	49.33M	49.70M	6.56M	55.91M
Investing Cash Flow	-1.17M	-563.00K	-2.72M	-2.97M	-2.68M
Financing Cash Flow	-40.17M	-37.59M	-35.52M	-34.85M	-37.22M

James Halstead Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 135.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:JHD, the sentiment is Negative. The current price of 135.5 is above the 20-day moving average (MA) of 125.53, above the 50-day MA of 132.58, and below the 200-day MA of 138.69, indicating a bearish trend. The MACD of -4.66 indicates Positive momentum. The RSI at 25.51 is Positive, neither overbought nor oversold. The STOCH value of 20.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:JHD.

James Halstead Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NXR	74 Outperform	£265.35M	117.95	6.14%	3.48%	-3.93%	41.83%
ECEL	70 Neutral	£106.43M	13.87	7.28%	3.97%	5.51%	-33.75%
JHD	70 Neutral	£490.96M	16.44	22.71%	5.91%	-4.70%	-2.21%
ALU	66 Neutral	£88.54M	7.45	18.04%	4.63%	12.60%	6.64%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GEN	60 Neutral	£725.56M	18.00	7.59%	3.19%	5.88%	107.36%
TPK	49 Neutral	£1.17B	-7.63	-9.35%	2.12%	-4.34%	-220.12%

James Halstead Corporate Events

James Halstead Director Restructures Family Shareholdings via ISA Transfers

James Halstead plc has disclosed a series of transactions involving non-executive director Michael James Halstead and his closely associated persons, in line with Market Abuse Regulation reporting requirements. On 20 February 2026, a total of 52,000 ordinary shares were transferred from Halstead’s nominee account, with 19,250 shares moving into his personal ISA and additional tranches allocated to ISA accounts for Maria and Katherine Claire Halstead.

These dealings, all priced at £1.36 per share and executed on AIM, represent a reorganisation of existing holdings rather than a change in overall economic exposure to the company. The moves underscore continued insider alignment with the business while signalling routine personal tax and investment planning, with limited immediate implications for the company’s operations or broader shareholder base.

The most recent analyst rating on (GB:JHD) stock is a Hold with a £148.00 price target. To see the full list of analyst forecasts on James Halstead stock, see the GB:JHD Stock Forecast page.

James Halstead Corrects Price in Share Buyback and Cuts Share Count to 416.4m

James Halstead plc has bought back 375,000 of its 5p ordinary shares at a corrected weighted price of 136.89 pence per share and will cancel the repurchased stock rather than holding it in treasury. Following settlement and cancellation, the total number of ordinary shares in issue will fall to 416,411,436, setting the new base for shareholder voting rights and regulatory disclosure thresholds under the FCA’s rules.

The most recent analyst rating on (GB:JHD) stock is a Hold with a £146.00 price target. To see the full list of analyst forecasts on James Halstead stock, see the GB:JHD Stock Forecast page.

James Halstead Cancels 375,000 Shares After Buyback

James Halstead plc has bought back 375,000 of its ordinary 5p shares at a weighted price of 1.3689 pence per share and will cancel them rather than hold them in treasury. Following settlement and cancellation, the company’s share capital will comprise 416,411,436 ordinary shares in issue, with no shares held in treasury, thereby slightly reducing the number of voting shares in the market and adjusting the base for shareholders’ disclosure calculations under FCA transparency rules.

The most recent analyst rating on (GB:JHD) stock is a Hold with a £146.00 price target. To see the full list of analyst forecasts on James Halstead stock, see the GB:JHD Stock Forecast page.

James Halstead Warns of Modest First-Half Dip but Backs Second-Half Rebound

James Halstead has reported that sales for the half year to 31 December 2025 will show a slight decline versus the prior year, with challenging conditions in Central Europe and Asia Pacific weighing on overall revenue, though UK sales remain marginally ahead and trading in North America, the Middle East and South Africa continues to grow. A conservative approach to customer credit has dampened revenue and will result in a modest reduction in profitability for the period, but the board highlights rising cash balances, an ungeared balance sheet and ongoing investment in UK sites, alongside new and updated product ranges and management changes in APAC, as drivers expected to support improved revenue and profitability in the second half.

The most recent analyst rating on (GB:JHD) stock is a Hold with a £148.00 price target. To see the full list of analyst forecasts on James Halstead stock, see the GB:JHD Stock Forecast page.