Severfield (GB:SFR)
LSE:SFR
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Severfield
(LSE:SFR)
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Rating:54Neutral
Price Target:
26.00 p
▲(1.17% Upside)
Action:ReiteratedDate:12/07/25
Severfield's overall stock score reflects a challenging financial environment with declining revenues and profitability. While technical indicators and corporate events provide some positive signals, the negative valuation metrics and liquidity concerns weigh heavily on the score. The high dividend yield and strategic alignment of managerial incentives offer some optimism for future improvements.
Positive Factors
Balance Sheet Health
Severfield's moderate debt-to-equity (0.43) and equity ratio (45.6%) provide structural financial flexibility. Manageable leverage supports funding working capital for project cycles, selective investment in fabrication capacity, and resilience through construction demand swings without immediate refinancing pressure.
Negative Factors
Revenue & Profit Trends
Sustained revenue declines compress scale and increase per-project overhead burdens. Lower volumes reduce utilisation of fabrication capacity and weaken negotiating leverage with suppliers, making margin recovery harder and extending the time needed to rebuild a stable, diversified project backlog.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance Sheet Health
Severfield's moderate debt-to-equity (0.43) and equity ratio (45.6%) provide structural financial flexibility. Manageable leverage supports funding working capital for project cycles, selective investment in fabrication capacity, and resilience through construction demand swings without immediate refinancing pressure.
Read all positive factors
Severfield (SFR) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£75.50M
Dividend Yield13.07%
Average Volume (3M)482.84K
Price to Earnings (P/E)―
Beta (1Y)1.15
Revenue Growth-19.13%
EPS Growth-581.31%
CountryUK
Employees1,900
SectorIndustrials
Sector Strength72
IndustryEngineering & Construction
Share Statistics
EPS (TTM)<0.01
Shares Outstanding296,181,980
10 Day Avg. Volume415,940
30 Day Avg. Volume482,842
Financial Highlights & Ratios
PEG Ratio0.02
Price to Book (P/B)0.33
Price to Sales (P/S)0.13
P/FCF Ratio-7.19
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£41.00Price Target Upside59.53% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)0.04
Revenue Forecast (FY)£482.48M
Severfield Business Overview & Revenue Model
Company Description
Severfield plc, a structural steelwork company, engages in the designing, manufacturing, fabrication, construction, and erection of steelwork activities in the United Kingdom, Republic of Ireland, Mainland Europe, and India. The company manufactur...
How the Company Makes Money
Severfield makes money primarily by delivering structural steelwork packages for construction and infrastructure projects under contract. Revenue is generated from project-based contracts that bundle some or all of the following: (1) design/engine...
Severfield Financial Statement Overview
Summary
Income Statement
45
Neutral
Balance Sheet
55
Neutral
Cash Flow
30
Negative
| Breakdown | TTM | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 | Mar 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 404.71M | 450.91M | 463.46M | 491.75M | 403.56M | 363.25M |
| Gross Profit | 197.81M | 219.53M | 97.46M | 73.84M | 51.56M | 63.14M |
| EBITDA | -24.68M | -877.00K | 41.07M | 40.39M | 34.44M | 31.13M |
| Net Income | -15.39M | -14.09M | 15.90M | 21.57M | 15.60M | 17.30M |
Balance Sheet | ||||||
| Total Assets | 379.68M | 400.90M | 378.41M | 369.67M | 375.48M | 342.50M |
| Cash, Cash Equivalents and Short-Term Investments | 31.96M | 15.52M | 13.80M | 11.34M | 0.00 | 24.98M |
| Total Debt | 73.41M | 79.26M | 42.48M | 22.35M | 26.49M | 31.86M |
| Total Liabilities | 203.49M | 217.94M | 157.66M | 151.95M | 171.52M | 151.57M |
| Stockholders Equity | 176.19M | 182.96M | 220.75M | 217.72M | 203.96M | 190.93M |
Cash Flow | ||||||
| Free Cash Flow | 8.33M | -8.35M | 33.81M | 41.33M | -12.13M | 18.03M |
| Operating Cash Flow | 14.70M | -522.00K | 45.14M | 47.80M | -6.74M | 24.65M |
| Investing Cash Flow | -2.49M | -7.04M | -37.45M | -14.69M | -5.54M | -26.45M |
| Financing Cash Flow | 16.70M | 12.69M | -8.63M | -17.80M | -16.68M | -17.56M |
Severfield Technical Analysis
Negative
25.70
Price Trends
28.27
Negative
28.49
Negative
30.29
Negative
Market Momentum
-1.05
Positive
44.67
Neutral
59.99
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SFR, the sentiment is Negative. The current price of 25.7 is below the 20-day moving average (MA) of 26.43, below the 50-day MA of 28.27, and below the 200-day MA of 30.29, indicating a bearish trend. The MACD of -1.05 indicates Positive momentum. The RSI at 44.67 is Neutral, neither overbought nor oversold. The STOCH value of 59.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:SFR.
Severfield Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | £504.15M | 11.49 | 13.06% | 1.88% | -12.98% | 5.51% | |
72 Outperform | £489.75M | 7.10 | 27.48% | 3.65% | 5.78% | -6.80% | |
70 Neutral | £46.18M | 10.36 | 11.64% | 7.35% | -25.56% | -42.49% | |
68 Neutral | £43.68M | 9.18 | 4.00% | 2.45% | 5.54% | 209.72% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
57 Neutral | £34.62M | 2,272.39 | 0.90% | 3.29% | -6.46% | -56.20% | |
54 Neutral | £75.50M | -3.98 | -8.57% | 13.07% | -19.13% | -581.31% |
* Industrials Sector Average
GB:SFR
Severfield
25.70
6.00
30.46%
GB:BILN
Billington Holdings
365.00
-40.57
-10.00%
GB:COST
Costain
189.60
92.91
96.10%
GB:GFRD
Galliford Try
498.50
189.71
61.44%
GB:SMJ
J Smart & Co (Contractors)
112.50
2.83
2.58%
GB:VANL
Van Elle Holdings
32.00
0.12
0.38%
Severfield Corporate Events
Business Operations and StrategyFinancial Disclosures
Severfield Holds FY26 Guidance but Strikes Cautious Tone on FY27 Amid Project Delays
Negative
Mar 31, 2026
Severfield expects underlying profit before tax of about £10.2m for FY26, in line with market expectations, while net debt of roughly £28m will be significantly better than consensus and leave around £39m of facility headroom. The U...
Business Operations and StrategyFinancial Disclosures
Severfield beats debt expectations but guides cautiously amid delayed projects
Neutral
Mar 31, 2026
Severfield plc, the market‑leading structural steel group, expects full‑year 2026 underlying profit before tax of about £10.2m, in line with market forecasts, and net debt of roughly £28m, significantly below consensus, leavi...
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and Compliance
Severfield Grants CEO Performance-Linked Share Award After Delayed Disclosure
Positive
Mar 11, 2026
Severfield has disclosed that CEO Paul McNerney received a conditional award of 1,843,972 ordinary shares under the company’s Performance Share Plan, following an administrative delay in notifying the market. The award, made on 7 January 202...
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and Compliance
Severfield names Andrew Page as new CFO to drive long-term growth
Positive
Feb 11, 2026
Severfield has appointed Andrew Page as Chief Financial Officer and Executive Director, effective 16 February 2026, following a board-led search to replace interim CFO Jan Bramall. Page brings extensive senior finance experience from construction ...
Business Operations and Strategy
Severfield Shuts Modular Solutions Unit to Refocus on Core Steel Operations
Neutral
Jan 29, 2026
Severfield plc has decided to discontinue its Modular Solutions business after a strategic review by new leadership concluded that the unit is sub-scale and non-core, following a period of more challenging trading for both the business and the wid...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
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.