Speedy Hire (SDY) AI Stock Analysis

• Market Cap: £138.30M
• Dividend Yield: 8.81%
• Average Volume (3M): 1.32M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.64
• Revenue Growth: -1.16%
• EPS Growth: -141.38%
• Country: UK
• Employees: 3,394
• Sector: Industrials
• Sector Strength: 84
• Industry: Rental & Leasing Services
• EPS (TTM): <0.01
• Shares Outstanding: 461,841,980
• 10 Day Avg. Volume: 1,871,251
• 30 Day Avg. Volume: 1,323,481
• 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: £33.00
• Price Target Upside: 11.86% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 56 Neutral
• Price Target: 33.00p ▲(11.86% Upside)

The overall score reflects significant financial challenges, particularly in profitability and cash flow, which are partially offset by strong technical momentum. The high dividend yield provides some valuation appeal, but the negative P/E ratio highlights profitability concerns. Strategic improvements in financial management are essential for future stability.

Speedy Hire Business Overview & Revenue Model

Company Description

Speedy Hire Plc, together with its subsidiaries, provides tools, equipment, and plant hire services to the construction, infrastructure, and industrial markets in the United Kingdom and Ireland. The company hires a range of tools and accessories, including access, lighting, lifting, rail, survey and safety, ATEX, plant, communications, and pipework and engineering equipment; compressors, generators, and pumps; and heating, ventilation, and cooling equipment. It also sells access, lifting, survey, rail, and personal protective and safety equipment; various tools and equipment; and cutting, grinding, and sanding equipment, as well as site supplies. In addition, the company offers rehire, partnered, fuel management, testing, inspection, certification, advisory/technical, powered access, out of hours, building information modelling, and aviation services, as well as customer service centers; and site and traffic management and other training services. It sells its products through a network of approximately 207 depots, as well as online. Speedy Hire Plc was incorporated in 1968 and is headquartered in Newton-le-Willows, the United Kingdom.

How the Company Makes Money

Speedy Hire generates revenue primarily through equipment rental fees, charging customers for the use of machinery and tools on a daily, weekly, or monthly basis. Additional revenue streams include the sale of consumables and accessories, maintenance services, and transportation fees for delivering equipment to job sites. The company has established significant partnerships with major construction and industrial firms, which contribute to a stable client base and recurring revenue. Furthermore, Speedy Hire leverages its extensive network of branches, enabling it to serve a diverse range of customers and maintain a competitive edge in the equipment rental market.

Speedy Hire Financial Statement Overview

Summary

Speedy Hire is facing financial challenges, particularly in profitability and cash flow management. Declining revenue, negative net income, high leverage, and declining free cash flow growth are concerning. Strategic improvements in operational efficiency and debt management are crucial for future stability.

Income Statement

Speedy Hire's income statement reveals a mixed performance. The company has experienced a decline in revenue over the past year, with a 0% growth rate in the latest period. Gross profit margins remain healthy at around 56%, but the net profit margin has turned negative, indicating profitability challenges. The EBIT and EBITDA margins have also decreased, reflecting operational inefficiencies.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 1.36, indicating significant leverage, which could pose financial stability risks. Return on equity has turned negative, highlighting profitability issues. However, the equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

Cash flow analysis indicates a decline in free cash flow growth, with a significant drop of nearly 19%. The operating cash flow to net income ratio is low, suggesting potential cash flow challenges. The free cash flow to net income ratio is relatively high, indicating some efficiency in converting income to cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	416.60M	416.60M	421.50M	440.60M	386.80M	332.30M
Gross Profit	236.10M	236.10M	230.00M	239.40M	221.10M	184.90M
EBITDA	70.80M	85.40M	85.50M	102.00M	98.90M	76.90M
Net Income	-1.10M	-1.10M	2.70M	1.20M	21.60M	9.50M
Balance Sheet
Total Assets	513.00M	513.00M	500.20M	476.40M	486.60M	439.90M
Cash, Cash Equivalents and Short-Term Investments	2.10M	2.10M	4.00M	1.10M	2.50M	11.70M
Total Debt	221.10M	221.10M	202.90M	179.60M	146.70M	110.70M
Total Liabilities	350.80M	350.80M	324.50M	291.80M	270.20M	220.70M
Stockholders Equity	162.20M	162.20M	175.70M	184.60M	216.40M	219.20M
Cash Flow
Free Cash Flow	15.50M	25.20M	41.70M	24.50M	-1.20M	42.70M
Operating Cash Flow	45.40M	33.40M	52.60M	88.30M	86.30M	90.30M
Investing Cash Flow	-41.40M	-4.60M	-24.20M	-51.30M	-80.80M	-20.60M
Financing Cash Flow	-29.50M	-29.50M	-25.40M	-38.00M	-15.90M	-81.30M

Speedy Hire Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 29.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SDY, the sentiment is Positive. The current price of 29.5 is above the 20-day moving average (MA) of 29.10, above the 50-day MA of 27.35, and above the 200-day MA of 24.12, indicating a bullish trend. The MACD of 0.77 indicates Positive momentum. The RSI at 56.99 is Neutral, neither overbought nor oversold. The STOCH value of 10.89 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:SDY.

Speedy Hire Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AHT	79 Outperform	£22.06B	19.20	20.65%	1.59%	-2.55%	-7.29%
ASY	75 Outperform	£215.57M	12.83	38.77%	5.03%	-3.56%	-5.13%
VP	70 Neutral	£232.82M	16.12	9.52%	6.67%	3.06%	―
Sector *	63 Neutral	$10.83B	16.63	8.34%	2.06%	2.20%	-16.67%
SDY	56 Neutral	£138.30M	―	-0.65%	8.81%	-1.16%	-141.38%

Speedy Hire Corporate Events

Speedy Hire Releases 2025 Annual Report and Announces AGM

Speedy Hire Plc has released its Annual Report and Accounts for the fiscal year ending March 31, 2025, and announced that its Annual General Meeting will take place on September 4, 2025, in London. The publication of these documents marks a significant step in maintaining transparency with shareholders and stakeholders, providing insights into the company’s financial performance and strategic direction.

The most recent analyst rating on (GB:SDY) stock is a Buy with a £70.00 price target. To see the full list of analyst forecasts on Speedy Hire stock, see the GB:SDY Stock Forecast page.

Speedy Hire Reports Resilient Performance Amidst Challenging Market Conditions

Speedy Hire reported a slight decrease in revenue to £416.6 million for the year ending March 31, 2025, amidst challenging market conditions and delays in government spending. Despite these challenges, the company remains committed to its Velocity strategy, focusing on growth opportunities and maintaining shareholder returns. The company has continued to invest in its hire fleet and digital capabilities, and has secured new multi-year contracts, positioning itself well for future growth. The refinancing of debt facilities and a promising pipeline of opportunities are expected to support the company’s growth ambitions.

The most recent analyst rating on (GB:SDY) stock is a Buy with a £70.00 price target. To see the full list of analyst forecasts on Speedy Hire stock, see the GB:SDY Stock Forecast page.