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RHI Magnesita NV (GB:RHIM)
LSE:RHIM

RHI Magnesita NV (RHIM) AI Stock Analysis

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GB

RHI Magnesita NV

(LSE:RHIM)

Rating:65Neutral
Price Target:
3,085.00p
▲(8.63%Upside)
RHI Magnesita NV's overall stock score is bolstered by solid financial performance and attractive valuation metrics. However, technical analysis indicates bearish trends, and global trade tensions pose significant risks. Strategic corporate events are a positive factor but offset by operational challenges and macroeconomic volatility.
Positive Factors
Financial Performance
The group continues to deliver resilient results that contain plenty of positives.
Valuation
The stock trades at meaningful discounts to the sector.
Negative Factors
Cost Structure
The group continues to operate plants at a lower capacity utilisation than 4Q24, and has introduced cost saving measures alongside the closure of the German Wetro plant.
Earnings Growth
The stock faces many headwinds, limiting earnings growth.
Operational Challenges
Sales volumes and pricing were lower yoy in 1Q25, reflecting the more challenging trading conditions.

RHI Magnesita NV (RHIM) vs. iShares MSCI United Kingdom ETF (EWC)

RHI Magnesita NV Business Overview & Revenue Model

Company DescriptionRHI Magnesita NV (RHIM) is a leading global supplier of high-grade refractory products, systems, and solutions. The company operates in the industrial sector, specifically focusing on providing refractory materials essential for high-temperature processes in industries such as steel, cement, non-ferrous metals, and glass. RHI Magnesita's core products include bricks, mixes, and functional products that are designed to withstand extreme conditions in industrial furnaces and kilns.
How the Company Makes MoneyRHI Magnesita NV generates revenue primarily through the sale of its refractory products and services. The company's key revenue streams include the direct sale of refractory materials such as bricks and mixes to industrial customers across various sectors. Additionally, RHI Magnesita provides technical support, installation, and maintenance services, enhancing its value proposition and creating additional income. The company benefits from long-term relationships and contracts with major industrial players, ensuring a stable and recurring revenue base. Furthermore, RHI Magnesita's global presence and extensive distribution network enable it to capitalize on growth opportunities in emerging markets, contributing to its earnings.

RHI Magnesita NV Financial Statement Overview

Summary
RHI Magnesita NV maintains a strong financial position with stable profitability and effective cash flow management. Despite a recent dip in revenue and EBIT margin, the company holds a balanced debt level and demonstrates effective equity utilization. Continued focus on operational efficiency could further enhance financial resilience.
Income Statement
72
Positive
RHI Magnesita NV demonstrates solid gross and net profit margins over recent years, with a notable gross profit margin of 24.32% and a net profit margin of 4.07% in the latest year. However, there is a slight decline in revenue by 2.37% from the previous year. The EBIT margin has fluctuated with the latest data showing a decline to 0%, indicating potential operational challenges. Nevertheless, the EBITDA margin remains healthy at 13.54%.
Balance Sheet
68
Positive
The company's balance sheet reflects a relatively stable debt-to-equity ratio of 1.51, which is manageable but indicates a moderate leverage level. The return on equity (ROE) is 11.81%, showcasing decent profitability relative to shareholder equity. The equity ratio stands at 26.27%, suggesting a balanced approach to financing through equity and liabilities.
Cash Flow
75
Positive
RHI Magnesita NV's cash flow generation capacity appears robust, with a free cash flow to net income ratio of 2.03 and an operating cash flow to net income ratio of 3.05, highlighting strong cash conversion. Free cash flow has been stable, with a slight decrease recently, but remains positive, indicating effective management of operating and capital expenditures.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
3.57B3.49B3.57B3.32B2.55B2.26B
Gross Profit
859.30M848.00M857.40M763.40M583.50M550.10M
EBIT
306.05M0.00306.80M343.60M360.90M211.90M
EBITDA
453.30M472.00M507.30M477.80M463.20M351.60M
Net Income Common Stockholders
185.60M142.00M164.60M155.70M243.10M24.80M
Balance SheetCash, Cash Equivalents and Short-Term Investments
527.70M577.00M708.00M495.50M559.10M587.20M
Total Assets
3.54B4.58B4.85B4.07B3.91B3.05B
Total Debt
1.15B1.82B2.00B1.67B1.59B1.16B
Net Debt
658.60M1.24B1.31B1.18B1.03B572.20M
Total Liabilities
2.65B3.20B3.49B3.03B3.09B2.39B
Stockholders Equity
800.50M1.20B1.20B1.00B785.90M646.10M
Cash FlowFree Cash Flow
311.90M288.00M320.20M77.10M-343.90M162.10M
Operating Cash Flow
496.40M433.00M499.70M233.80M-91.80M319.00M
Investing Cash Flow
-333.90M-154.00M-482.00M-199.70M-128.90M-137.90M
Financing Cash Flow
-312.00M-409.00M178.00M-83.90M197.70M-17.70M

RHI Magnesita NV Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2840.00
Price Trends
50DMA
2927.38
Negative
100DMA
3162.54
Negative
200DMA
3144.50
Negative
Market Momentum
MACD
-39.93
Positive
RSI
44.46
Neutral
STOCH
68.83
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:RHIM, the sentiment is Negative. The current price of 2840 is below the 20-day moving average (MA) of 2903.60, below the 50-day MA of 2927.38, and below the 200-day MA of 3144.50, indicating a bearish trend. The MACD of -39.93 indicates Positive momentum. The RSI at 44.46 is Neutral, neither overbought nor oversold. The STOCH value of 68.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:RHIM.

RHI Magnesita NV Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
£598.48M12.1014.06%5.70%-1.26%6.56%
GBSAG
74
Outperform
£207.06M17.5514.84%1.72%-2.36%118.64%
GBBOY
71
Outperform
£1.00B52.842.74%4.04%-5.66%-76.42%
GBXPP
67
Neutral
£241.99M-6.40%-21.84%10.56%
66
Neutral
$4.50B12.285.32%248.52%4.13%-12.36%
65
Neutral
£1.34B11.1411.86%5.33%-4.96%-13.52%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:RHIM
RHI Magnesita NV
2,840.00
-161.09
-5.37%
GB:XPP
XP Power
867.00
-679.00
-43.92%
GB:BOY
Bodycote
570.00
-126.05
-18.11%
GB:MGAM
Morgan Advanced Materials
214.00
-82.95
-27.93%
GB:SAG
Science
465.00
35.45
8.25%

RHI Magnesita NV Corporate Events

Regulatory Filings and Compliance
RHI Magnesita Updates Share Capital and Voting Rights
Neutral
Jun 2, 2025

RHI Magnesita N.V. announced that as of May 31, 2025, its issued share capital comprises 47,294,191 ordinary shares, with an additional 2,183,514 shares held in treasury. This update is significant for shareholders and those with notification obligations under the FCA’s Disclosure Guidance and Transparency Rules, as it affects the calculation of their interests in the company.

The most recent analyst rating on (GB:RHIM) stock is a Buy with a £4150.00 price target. To see the full list of analyst forecasts on RHI Magnesita NV stock, see the GB:RHIM Stock Forecast page.

Regulatory Filings and Compliance
RHI Magnesita Executive Exercises and Sells Share Options
Neutral
May 29, 2025

RHI Magnesita N.V. announced that a person discharging managerial responsibilities exercised share options over 6,017 ordinary shares, which were subsequently sold. The transaction was part of the company’s Long Term Incentive Plan, with shares transferred from the company’s treasury account. This move reflects the company’s adherence to its incentive plans and regulatory compliance, potentially impacting its stock liquidity and market perception.

The most recent analyst rating on (GB:RHIM) stock is a Buy with a £4150.00 price target. To see the full list of analyst forecasts on RHI Magnesita NV stock, see the GB:RHIM Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
RHI Magnesita Strengthens Board with New Appointment
Positive
May 23, 2025

RHI Magnesita announced the appointment of Jann Brown as a Non-Executive Director on its board, effective from May 22, 2025. This strategic move is expected to enhance the company’s governance and potentially strengthen its market position, reflecting its ongoing commitment to leadership and growth in the refractory industry.

The most recent analyst rating on (GB:RHIM) stock is a Buy with a £4150.00 price target. To see the full list of analyst forecasts on RHI Magnesita NV stock, see the GB:RHIM Stock Forecast page.

Shareholder MeetingsDividendsBusiness Operations and Strategy
RHI Magnesita Secures Shareholder Approval for Key Resolutions at AGM 2025
Positive
May 7, 2025

RHI Magnesita announced that all voting resolutions proposed at its Annual General Meeting on May 7, 2025, were passed by the required majority. Key resolutions included the adoption of the annual accounts, declaration of a final dividend, re-election of directors, and re-appointment of the external auditor. These decisions reflect strong shareholder support and are expected to reinforce the company’s strategic direction and operational stability.

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
RHI Magnesita Faces Challenges Amidst Global Trade Tensions in Q1 2025
Negative
May 7, 2025

RHI Magnesita’s Q1 2025 trading update reveals increased downside risks due to weak performance expectations and global trade tensions. The company faced challenging trading conditions with lower sales volumes and reduced margins, prompting cost-saving measures and a price increase program to restore profitability. The closure of the Wetro plant in Germany and the acquisition of Resco in North America are key strategic moves. Despite a rise in net debt, the company expects improved performance in the second half of the year, although macroeconomic volatility poses risks to achieving its full-year guidance.

Regulatory Filings and Compliance
RHI Magnesita Announces Total Voting Rights Update
Neutral
May 1, 2025

RHI Magnesita has announced its total voting rights as of April 30, 2025, with an issued share capital of 47,279,213 ordinary shares, excluding 2,198,492 shares held in treasury. This figure is crucial for shareholders and others with notification obligations to determine their interest in the company under the FCA’s Disclosure Guidance and Transparency Rules.

Executive/Board ChangesRegulatory Filings and Compliance
RHI Magnesita CEO Exercises Share Options, Concludes Tax-Related Share Sales
Neutral
Apr 7, 2025

RHI Magnesita N.V. announced that its CEO, Stefan Borgas, exercised share options under the company’s Long Term Incentive Plan, acquiring 58,755 ordinary shares. To cover the tax liabilities from this transaction, shares were sold on the London Stock Exchange, concluding the necessary sales. This announcement aligns with regulatory requirements and reflects the company’s commitment to transparency in managerial transactions.

Financial DisclosuresRegulatory Filings and Compliance
RHI Magnesita CEO Exercises Share Options and Sells Shares for Tax Liabilities
Neutral
Apr 3, 2025

RHI Magnesita N.V. announced that its CEO, Stefan Borgas, exercised share options over 58,755 ordinary shares as part of the company’s Long Term Incentive Plan. The shares, acquired in March 2022, are to be retained until March 2027, except for those sold to cover tax liabilities. Recent transactions involved the sale of shares on the London Stock Exchange to fund these tax obligations, with sales occurring on April 1 and April 2, 2025. This disclosure aligns with EU Market Abuse Regulation requirements, reflecting the company’s commitment to transparency in its financial dealings.

Executive/Board ChangesRegulatory Filings and Compliance
RHI Magnesita CEO Exercises Share Options, Sells Shares to Cover Taxes
Neutral
Apr 1, 2025

RHI Magnesita N.V. announced that its CEO, Stefan Borgas, exercised share options under the company’s Long Term Incentive Plan, acquiring 58,755 ordinary shares. To cover tax liabilities from this transaction, a portion of the shares was sold on the London Stock Exchange. This move is in compliance with the EU Market Abuse Regulation, reflecting transparency in managerial financial activities.

Regulatory Filings and Compliance
RHI Magnesita Announces Total Voting Rights Update
Neutral
Apr 1, 2025

RHI Magnesita N.V. announced its total voting rights as of March 31, 2025, with an issued share capital of 47,235,004 ordinary shares, excluding 2,242,701 shares held in treasury. This information is crucial for shareholders and stakeholders to determine their notification obligations under the FCA’s Disclosure Guidance and Transparency Rules.

Executive/Board ChangesRegulatory Filings and Compliance
RHI Magnesita CEO Exercises Share Options Under LTIP
Neutral
Mar 28, 2025

RHI Magnesita N.V. announced that its CEO, Stefan Borgas, exercised share options over 58,755 ordinary shares under the company’s Long Term Incentive Plan. The shares, vested on March 17, 2025, are subject to retention and clawback provisions, with some being sold to cover tax liabilities. This transaction reflects the company’s adherence to regulatory requirements and its commitment to transparent executive compensation practices.

Executive/Board ChangesShareholder Meetings
RHI Magnesita Updates AGM Notice with New Director Proposal
Neutral
Mar 27, 2025

RHI Magnesita has reissued its 2025 Annual General Meeting notice to include a proposal for the election of Franz-Ferdinand Buerstedde as a Non-Independent Non-Executive Director, nominated by Rhône Capital. This update aligns with the company’s governance practices and is now available for stakeholders on the company’s website and the National Storage Mechanism. The reissue of the AGM notice reflects RHI Magnesita’s commitment to transparent corporate governance and may influence its strategic direction by incorporating new leadership perspectives.

Executive/Board ChangesBusiness Operations and Strategy
RHI Magnesita Proposes New Board Member Backed by Rhône Capital
Positive
Mar 27, 2025

RHI Magnesita N.V. has proposed Franz-Ferdinand Buerstedde as a Non-Independent Non-Executive Director at its 2025 Annual General Meeting. Buerstedde, a Managing Director at Rhône Capital, brings extensive experience in investments across various sectors and holds significant board experience. His nomination is backed by Rhône Capital, which holds approximately 24% of RHI Magnesita’s capital. This strategic move is expected to enhance the company’s board with Buerstedde’s expertise, potentially impacting its operations and market positioning positively.

Shareholder Meetings
RHI Magnesita Announces Hybrid Format for 2025 AGM
Neutral
Mar 24, 2025

RHI Magnesita N.V. has announced the details of its 2025 Annual General Meeting (AGM), which will be conducted as a hybrid meeting, allowing shareholders to participate electronically and reducing the environmental impact of travel. This approach continues the company’s successful virtual meeting strategy since 2020, facilitating direct communication with the Board while maintaining cost efficiency and sustainability.

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.