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SIG PLC (GB:SHI)
LSE:SHI

SIG plc (SHI) AI Stock Analysis

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GB:SHI

SIG plc

(LSE:SHI)

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Neutral 47 (OpenAI - 5.2)
Rating:47Neutral
Price Target:
8.00 p
▼(-6.21% Downside)
Action:ReiteratedDate:03/06/26
The score is held down primarily by weak fundamentals—sharp revenue decline, ongoing net losses, and high/rising leverage—despite positive recent free cash flow. Technicals are broadly neutral with only modest improvement signs, and valuation is constrained by negative earnings and no dividend data.
Positive Factors
Positive free cash flow generation
Consistent positive free cash flow (≈£52.7m in 2025) is a durable strength: it funds working capital, service interest and supports selective reinvestment or deleveraging without relying on equity raises. This improves resilience through construction cycles and preserves optionality.
Negative Factors
Sharp revenue decline
A sustained ~32% revenue drop materially reduces scale benefits across branches and raises per-unit fixed costs. Lower volumes weaken purchasing leverage with suppliers and the branch footprint may be underutilized, making recovery of historical profitability harder without volume restoration.
Read all positive and negative factors
Positive Factors
Negative Factors
Positive free cash flow generation
Consistent positive free cash flow (≈£52.7m in 2025) is a durable strength: it funds working capital, service interest and supports selective reinvestment or deleveraging without relying on equity raises. This improves resilience through construction cycles and preserves optionality.
Read all positive factors

SIG plc (SHI) vs. iShares MSCI United Kingdom ETF (EWC)

SIG plc Business Overview & Revenue Model

Company Description
SIG plc engages in the distribution and merchanting of specialist insulation and building products for the construction and related markets in the United Kingdom, Germany, France, Benelux, Poland, Ireland, and Mainland Europe. It offers insulation...
How the Company Makes Money
SIG makes money mainly by distributing specialist construction materials and earning a gross margin on the spread between its purchase cost from manufacturers and its selling price to trade customers (e.g., roofing contractors and other profession...

SIG plc Financial Statement Overview

Summary
Operating performance is weak: revenue fell ~32% YoY in 2025 and the company has been loss-making since 2023 with net margin around -2.5% in 2025. Balance-sheet risk is elevated with debt-to-equity ~5.0x and deeply negative ROE, although free cash flow remained positive (~£52.7m in 2025) despite cooling momentum.
Income Statement
34
Negative
Balance Sheet
28
Negative
Cash Flow
56
Neutral
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.59B2.61B2.76B2.74B2.29B
Gross Profit625.00M640.00M699.60M706.30M597.40M
EBITDA105.00M78.90M87.20M138.50M83.10M
Net Income-64.10M-48.60M-43.40M15.50M-28.30M
Balance Sheet
Total Assets1.14B1.18B1.27B1.33B1.20B
Cash, Cash Equivalents and Short-Term Investments81.30M86.80M132.20M130.10M145.10M
Total Debt601.40M585.70M590.60M574.60M510.70M
Total Liabilities1.02B998.40M1.04B1.07B937.00M
Stockholders Equity120.50M179.80M228.50M267.80M264.70M
Cash Flow
Free Cash Flow52.70M58.80M98.60M73.90M-57.20M
Operating Cash Flow68.80M75.50M114.40M89.20M-38.60M
Investing Cash Flow-9.20M-16.60M-8.70M-42.00M-26.50M
Financing Cash Flow-72.40M-98.60M-103.00M-65.50M-17.60M

SIG plc Technical Analysis

Technical Analysis Sentiment
Negative
Last Price8.53
Price Trends
50DMA
9.26
Negative
100DMA
9.38
Negative
200DMA
10.37
Negative
Market Momentum
MACD
-0.20
Negative
RSI
46.25
Neutral
STOCH
43.53
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SHI, the sentiment is Negative. The current price of 8.53 is above the 20-day moving average (MA) of 8.42, below the 50-day MA of 9.26, and below the 200-day MA of 10.37, indicating a neutral trend. The MACD of -0.20 indicates Negative momentum. The RSI at 46.25 is Neutral, neither overbought nor oversold. The STOCH value of 43.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:SHI.

SIG plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
£1.66B13.328.38%3.99%5.75%5.86%
67
Neutral
£167.52M5.605.64%6.70%8.83%27.20%
64
Neutral
£191.94M0.647.92%6.53%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
62
Neutral
£29.51M83.04-5.14%3.61%0.10%-32.11%
50
Neutral
£34.76M-10.98-8.17%-0.25%-84.33%
47
Neutral
£99.03M-1.82-47.73%-2.08%-9.83%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:SHI
SIG plc
8.53
-2.37
-21.74%
GB:FLO
Flowtech Fluidpower
42.90
-6.10
-12.45%
GB:GFTU
Grafton
870.30
50.50
6.16%
GB:LTHP
James Latham
122.50
7.87
6.87%
GB:BRCK
Brickability Group PLC
52.00
-3.15
-5.72%
GB:LORD
Lords Group Trading PLC
17.75
-6.17
-25.79%

SIG plc Corporate Events

Regulatory Filings and Compliance
SIG CFO Exercises Share Awards and Sells Stake to Cover Tax
Neutral
Mar 23, 2026
SIG plc has disclosed that its chief financial officer, Ian Ashton, has exercised equity awards under the company’s Restricted Share Plan and Deferred Bonus Plan, acquiring a combined 1,535,975 ordinary shares at nil cost. A portion of these...
Financial DisclosuresRegulatory Filings and ComplianceShareholder Meetings
SIG plc Publishes 2026 AGM Notice and 2025 Annual Report
Neutral
Mar 23, 2026
SIG plc has published the notice of its 2026 Annual General Meeting, which will take place on 30 April 2026 at its SIG West London site in Poyle, Slough. The company has also issued its Annual Report and Accounts for the year ended 31 December 202...
Executive/Board ChangesRegulatory Filings and Compliance
SIG Grants Large Deferred Share Award to CFO Under 2018 Bonus Plan
Positive
Mar 12, 2026
SIG plc has granted a substantial deferred share award to its Chief Financial Officer, Ian Ashton, under the company’s 2018 Bonus Plan, reinforcing long-term equity-based incentives for senior management. Ashton received nil-cost options ove...
Executive/Board Changes
SIG grants long-term restricted share award to CFO
Positive
Mar 12, 2026
SIG plc has granted a substantial Restricted Share Award to its Chief Financial Officer, Ian Ashton, under its Long Term Incentive Plan, previously known as the Restricted Share Plan. The award covers 5,516,288 ordinary shares structured as nil-co...
Financial DisclosuresRegulatory Filings and ComplianceShareholder Meetings
SIG plc files 2025 Annual Report and strengthens regulatory disclosures
Neutral
Mar 4, 2026
SIG plc has published its 2025 Annual Report Accounts, making the document available on its investor website and scheduling physical distribution to shareholders around 23 March 2026 along with the notice of its 2026 Annual General Meeting. The r...
Business Operations and StrategyFinancial Disclosures
SIG lifts underlying profit on cost cuts despite flat sales and weak construction markets
Neutral
Mar 4, 2026
SIG reported full-year 2025 revenue of £2.59bn, broadly flat year on year, as like-for-like sales were held back by weak construction demand and pricing pressure across key European markets. The company’s specialist insulation, interior...
Other
SIG CEO and Chair Designate Pim Vervaat Increases Stake with 500,000-Share Purchase
Positive
Jan 15, 2026
SIG plc has disclosed that its Chief Executive Officer and Chair designate, Pim Vervaat, has increased his personal shareholding in the company. Vervaat purchased 500,000 ordinary shares on 14 January 2026 on the London Stock Exchange’s Main...
Business Operations and StrategyFinancial Disclosures
SIG lifts profit and cuts costs as construction slump delays recovery
Positive
Jan 13, 2026
SIG plc reported flat like-for-like sales at £2.6bn for 2025 but delivered a stronger operational performance, with underlying operating profit expected to rise to about £32m, supported by £39m of underlying operating expense reduct...
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.Date of analysis: Mar 06, 2026