James Latham (LTHM) AI Stock Analysis

• Market Cap: £208.85M
• Dividend Yield: 3.36%
• Average Volume (3M): 13.85K
• Price to Earnings (P/E): 11.6
• Beta (1Y): 0.36
• Revenue Growth: 0.03%
• EPS Growth: -19.94%
• Country: UK
• Employees: 565
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): 0.40
• Shares Outstanding: 20,160,000
• 10 Day Avg. Volume: 11,553
• 30 Day Avg. Volume: 13,854
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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): 72.52
• Revenue Forecast (FY): £28.50B

• Rating: 61 Neutral
• Price Target: 1,002.00p ▲(3.83% Upside)

James Latham's overall stock score is primarily influenced by its strong balance sheet and reasonable valuation. However, bearish technical indicators and challenges in profitability and cash flow generation weigh down the score. The absence of earnings call data and corporate events means these factors do not contribute to the score.

James Latham Business Overview & Revenue Model

Company Description

James Latham (LTHM) is one of the UK's leading distributors of timber and panel products, serving a diverse range of sectors including construction, furniture, and interior design. With a robust portfolio that includes hardwoods, softwoods, plywood, and engineered wood products, the company prides itself on offering high-quality materials and exceptional service. Established in 1757, James Latham has built a strong reputation in the industry, leveraging its extensive supply chain and network of locations to meet customer demands effectively.

How the Company Makes Money

James Latham generates revenue primarily through the wholesale distribution of timber and panel products. The company operates a multi-channel revenue model, selling directly to businesses in sectors such as construction, furniture manufacturing, and joinery. Key revenue streams include the sale of various wood products, including hardwoods, softwoods, and specialty panels. Additionally, the company benefits from partnerships with leading manufacturers, allowing it to offer exclusive products and competitive pricing. Factors contributing to its earnings include a strong market presence, a diverse product range, and the ability to meet custom orders, which enhances customer loyalty and repeat business.

James Latham Financial Statement Overview

Summary

James Latham has a stable financial position with a strong balance sheet and low leverage, reflected in a high balance sheet score. However, challenges in profitability and cash flow generation, as indicated by declining margins and cash flow metrics, lower the overall financial performance score.

Income Statement

James Latham has shown a mixed performance in its income statement. The company experienced a slight revenue growth in the latest year, but this was preceded by a decline. Margins have generally decreased over the years, with the gross profit margin dropping from 23.35% in 2022 to 16.76% in 2025. The net profit margin has also declined, indicating pressure on profitability. However, the company maintains a positive EBIT and EBITDA margin, reflecting operational efficiency.

Balance Sheet

The balance sheet of James Latham is strong, with a low debt-to-equity ratio of 0.054, indicating low financial leverage and a conservative capital structure. The return on equity has decreased over the years but remains positive, suggesting the company is generating returns for shareholders. The equity ratio is healthy, showing a solid equity base relative to total assets.

Cash Flow

Cash flow performance has been challenging, with a significant decline in free cash flow growth in the latest year. The operating cash flow to net income ratio has decreased, indicating less cash generation from operations relative to net income. The free cash flow to net income ratio also shows a downward trend, suggesting potential issues in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	366.61M	366.61M	366.51M	408.37M	385.37M	250.16M
Gross Profit	61.45M	61.45M	62.10M	78.50M	90.00M	43.62M
EBITDA	27.68M	30.11M	34.73M	48.94M	62.30M	22.84M
Net Income	18.15M	18.15M	22.66M	35.92M	45.64M	14.98M
Balance Sheet
Total Assets	275.45M	275.45M	269.70M	250.36M	224.81M	167.99M
Cash, Cash Equivalents and Short-Term Investments	69.12M	69.12M	75.88M	62.61M	37.03M	28.62M
Total Debt	12.02M	12.02M	8.67M	6.60M	5.00M	4.85M
Total Liabilities	54.97M	54.97M	54.47M	54.78M	60.84M	48.91M
Stockholders Equity	220.48M	220.48M	215.23M	195.57M	163.97M	119.08M
Cash Flow
Free Cash Flow	5.02M	3.56M	17.98M	33.83M	16.38M	16.18M
Operating Cash Flow	18.48M	17.02M	23.57M	37.13M	20.69M	18.14M
Investing Cash Flow	-13.24M	-9.80M	-1.97M	-3.23M	-6.50M	-1.96M
Financing Cash Flow	-17.61M	-17.61M	-8.33M	-8.32M	-5.79M	-4.51M

James Latham Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 965.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:LTHM, the sentiment is Positive. The current price of 965 is below the 20-day moving average (MA) of 1017.75, below the 50-day MA of 1052.60, and below the 200-day MA of 1074.24, indicating a neutral trend. The MACD of 0.52 indicates Negative momentum. The RSI at 55.60 is Neutral, neither overbought nor oversold. The STOCH value of 62.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:LTHM.

James Latham Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WYN	65 Neutral	£79.59M	21.26	2.74%	5.18%	-10.03%	-41.77%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
LTHM	61 Neutral	£208.85M	11.65	8.33%	3.36%	0.03%	-19.94%
MBH	61 Neutral	£79.26M	15.26	5.71%	4.90%	-0.29%	-33.41%
FORT	60 Neutral	£383.32M	24.43	7.03%	2.17%	15.99%	96.05%
IBST	57 Neutral	£535.97M	44.09	3.10%	2.48%	5.58%	66.49%
CRPR	52 Neutral	£28.66M	-5.44	-22.92%	―	-3.52%	-31.82%

James Latham Corporate Events

James Latham Announces Share Transfer by Director’s Spouse

James Latham plc announced a share transfer involving Fabian French, a Non-executive Director, whose spouse, Pippa French, transferred 200,000 ordinary shares to a Trust. This transaction results in Mr. French holding a beneficial interest in 170,052 shares, representing 0.84% of the company’s issued share capital. The transfer is in compliance with the EU Market Abuse Regulation and does not affect the company’s operations or market positioning.

The most recent analyst rating on (GB:LTHM) stock is a Buy with a £1260.00 price target. To see the full list of analyst forecasts on James Latham stock, see the GB:LTHM Stock Forecast page.

James Latham Shareholder Transfers Shares to Family

James Latham plc announced that Peter Latham, a significant shareholder, has transferred 200,000 ordinary shares to family members, reducing his beneficial interest to 1,016,289 shares, or 5.04% of the company’s issued share capital. This transfer may influence the company’s shareholder dynamics but does not involve any parties considered to be closely associated under market regulations.

The most recent analyst rating on (GB:LTHM) stock is a Buy with a £1260.00 price target. To see the full list of analyst forecasts on James Latham stock, see the GB:LTHM Stock Forecast page.

James Latham Clarifies PDMR Shareholding and Allocates New Shares

James Latham plc announced an amendment to a previous announcement regarding PDMR dealings, clarifying the correct shareholding for Andrew Wright. The company allocated 2,838 ordinary shares to certain PDMRs under its SIPS scheme, with shares priced at 1120p each. This allocation reflects the company’s ongoing commitment to its management team and may influence its market position by aligning management interests with shareholder value.

The most recent analyst rating on (GB:LTHM) stock is a Buy with a £1260.00 price target. To see the full list of analyst forecasts on James Latham stock, see the GB:LTHM Stock Forecast page.

James Latham Allocates Shares to Key Management

James Latham plc announced the allocation of 2,838 ordinary shares to certain persons discharging managerial responsibilities (PDMRs) under the company’s SIPS scheme. This allocation, priced at 1120p per share, reflects the company’s ongoing commitment to align management interests with shareholder value, potentially impacting the company’s governance and stakeholder relations.

The most recent analyst rating on (GB:LTHM) stock is a Buy with a £1260.00 price target. To see the full list of analyst forecasts on James Latham stock, see the GB:LTHM Stock Forecast page.

James Latham PLC Secures Planning for New National Distribution Centre

James Latham PLC has received planning consent to build a National Distribution Centre (NDC) in East Anglia, investing £6 million in land and £39 million in construction and fitting over two years. This strategic move aims to future-proof the supply chain, reduce reliance on third-party services, and improve market routes, ultimately enhancing product availability and operational efficiency.

The most recent analyst rating on (GB:LTHM) stock is a Hold with a £1204.00 price target. To see the full list of analyst forecasts on James Latham stock, see the GB:LTHM Stock Forecast page.

James Latham PLC Secures Approval for National Distribution Centre

James Latham PLC has received planning consent to construct a National Distribution Centre (NDC) in East Anglia, investing £6 million in land and £39 million in construction and fit-out over two years. This strategic move aims to future-proof the supply chain, reduce third-party reliance, and enhance product distribution, thereby supporting the company’s growth and operational efficiency.

The most recent analyst rating on (GB:LTHM) stock is a Hold with a £1204.00 price target. To see the full list of analyst forecasts on James Latham stock, see the GB:LTHM Stock Forecast page.

James Latham plc Successfully Passes All Resolutions at AGM

At the recent Annual General Meeting of James Latham plc, all proposed resolutions were successfully passed, reflecting strong shareholder support. Key resolutions included the adoption of the Directors’ Report and Accounts, re-election of directors, re-appointment of auditors, and approval of share allotment and purchase authorities, indicating a stable and confident outlook for the company’s governance and financial strategies.

The most recent analyst rating on (GB:LTHM) stock is a Hold with a £1182.00 price target. To see the full list of analyst forecasts on James Latham stock, see the GB:LTHM Stock Forecast page.

James Latham Reports Revenue Growth Amid Rising Timber Demand

James Latham plc reported a revenue increase to £133 million for the first four months of the financial year, driven by a 5.9% rise in volumes compared to the previous year. The demand for solid timber products has been a key factor in this growth, with margins and profits aligning with market expectations, reflecting improved customer confidence and order books.

The most recent analyst rating on (GB:LTHM) stock is a Buy with a £1238.00 price target. To see the full list of analyst forecasts on James Latham stock, see the GB:LTHM Stock Forecast page.

James Latham Issues Shares to Key Personnel Under SIPS Scheme

James Latham plc announced the issuance of 25p Ordinary shares under its SIPS scheme to key personnel, including the Chairman, Finance Director, and Executive Director. This move reflects the company’s strategy to align management interests with shareholder value, potentially strengthening its market position and stakeholder confidence.

James Latham Releases Annual Report and Schedules AGM

James Latham plc has announced the posting of its Annual Report for the year ending March 31, 2025, which includes the Notice of the 2025 Annual General Meeting. The AGM is scheduled for August 20, 2025, in Hemel Hempstead, Hertfordshire. This announcement underscores the company’s commitment to transparency and shareholder engagement, potentially impacting its market perception positively.