Heijmans N.V. (HEIJM) AI Stock Analysis

• Market Cap: €2.28B
• Dividend Yield: 2.44%
• Average Volume (3M): 97.56K
• Price to Earnings (P/E): 14.3
• Beta (1Y): 1.43
• Revenue Growth: 11.67%
• EPS Growth: 36.03%
• Country: NL
• Employees: 5,650
• Sector: General
• Sector Strength: N/A
• Industry: Engineering & Construction
• EPS (TTM): 2.47
• Shares Outstanding: 27,478,006
• 10 Day Avg. Volume: 78,796
• 30 Day Avg. Volume: 97,561
• PEG Ratio: 0.33
• Price to Book (P/B): 3.39
• Price to Sales (P/S): 0.67
• P/FCF Ratio: 7.91
• 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: €100.00
• Price Target Upside: 41.54% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 5.98
• Revenue Forecast (FY): €3.11B

• Rating: 77 Outperform
• Price Target: €90.00 ▲(27.39% Upside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is driven primarily by strong financial performance (notably improving profitability and strong 2025 free cash flow) and supportive technical momentum with the price above key moving averages. The main offsets are a moderate valuation uplift (P/E ~16.8, ~2.1% yield) and balance-sheet/watch items, including the 2025 debt increase and historical cash flow volatility.

Positive Factors

Strong free cash flow

Sustained high free cash flow in 2025 and strong conversion (~0.84 FCF/NI) indicate durable internal funding for working capital, capex, and debt servicing. This strengthens project execution capacity, supports reinvestment and dividend flexibility, and reduces reliance on volatile external financing over months.

Scale and improving profitability

Meaningful top-line scaling and steady margin expansion vs 2020 reflect improved operational execution and pricing discipline. Larger recurring project flow and better margins enhance competitive positioning, allow spreading fixed costs, and create a more stable earnings base over the coming 2–6 months.

Stronger equity base / manageable leverage

A materially larger equity base and moderate leverage provide financial headroom to bid on bigger projects and absorb operational swings. The stronger balance sheet supports long-term contracting risk, reduces refinancing strain, and improves capacity to pursue development opportunities and public infrastructure work.

Negative Factors

Debt increase in 2025

A substantial step-up in absolute debt during 2025 raises refinancing and interest exposure if cash generation softens. While leverage remains manageable today, higher debt increases sensitivity to project delays or margin pressure and narrows the cushion to withstand multi-quarter EBITDA shocks.

Cash-flow volatility historically

Past swings in free cash flow driven by working-capital and project timing mean liquidity is cyclical. This structural variability can force reliance on credit lines during troughs, complicate large project funding and increase counterparty scrutiny, raising execution and rollover risk across months.

Margins still moderate

Although margins have improved, mid-single-digit net and low-single-digit EBIT margins leave limited buffer against cost inflation and project overruns. Modest structural profitability constrains free cash generation upside and limits reinvestment capacity relative to higher-margin peers over the medium term.

Heijmans N.V. Business Overview & Revenue Model

Company Description

Heijmans N.V. engages in the property development, construction and technical services, and infrastructure businesses in the Netherlands and internationally. The company focuses on the development of large and smaller-scale projects in urban and out-of-town areas, as well as acts as an initiator, developer, and seller of residential properties. It also engages in building homes; and the restoration, redevelopment, renovation, maintenance, and service of existing housing stock. In addition, the company designs, realizes, and maintains electro-technical and mechanical installations; and realizes large-scale and complex construction contracts in the customer and market segments of health care, government and semi-government organizations, commercial property, the high-tech clean industry, and datacenters, as well as provides management and maintenance services. Further, it focuses on the construction, enhancement, and maintenance of road infrastructure and public spaces, including related installations and on-site objects. The company was founded in 1923 and is headquartered in Rosmalen, the Netherlands.

How the Company Makes Money

Heijmans generates revenue primarily through its construction and engineering activities, which encompass residential and non-residential building projects, as well as infrastructure development. The company's revenue model includes contracting and project management for large-scale construction projects, often funded by government contracts or private investments. Key revenue streams include the construction of residential homes, commercial buildings, roads, bridges, and other infrastructure projects. Additionally, Heijmans engages in real estate development, allowing it to sell developed properties or lease them for ongoing cash flow. The company also benefits from significant partnerships with governmental bodies and private sector clients, which contribute to steady project pipeline and revenue stability. Factors such as the overall health of the construction market, investment in infrastructure, and government policies related to housing and urban development play crucial roles in influencing Heijmans' earnings.

Heijmans N.V. Financial Statement Overview

Summary

Fundamentals are strong overall: revenue scaled materially and margins improved versus 2020, with particularly strong recent cash generation (2025 operating cash flow €279M; free cash flow €235M). Key risks are uneven year-to-year growth, cash flow volatility earlier in the period, and a notable step-up in total debt in 2025.

Income Statement

Profitability and scale improved meaningfully over the period. Revenue rose from ~€1.75B (2020) to €2.77B (2025), with strong acceleration in 2023–2025 (2025 revenue growth: 3.541). Margins expanded steadily, with 2025 gross margin ~15.9% and net margin ~4.7% versus ~10.1% and ~2.3% in 2020, respectively, and EBIT margin reaching ~6.1% in 2025. The main weakness is that growth is not consistently high year-to-year (e.g., 2024 growth was modest at ~0.22), and margins remain moderate for the sector.

Balance Sheet

The balance sheet appears solid with a growing equity base (stockholders’ equity increased from ~€226M in 2020 to €548M in 2025) supporting larger operations (assets up to ~€1.67B in 2025). Leverage is generally manageable, with debt-to-equity at ~0.41 in 2025, though it has been somewhat volatile historically (ranging from ~0.25 to ~0.61 across years). Total debt increased in 2025 (€223M vs. €115M in 2024), which is a key watch item if profitability or cash generation were to soften.

Cash Flow

Cash generation is a standout strength. Operating cash flow and free cash flow are strong in the latest period (2025 operating cash flow €279M; free cash flow €235M), with free cash flow growth up sharply in 2025 (18.209) and generally healthy conversion of earnings into free cash flow (free cash flow to net income ~0.84 in 2025; ~0.88 in 2024). The key weakness is volatility earlier in the period (notably weaker 2023 free cash flow and negative free cash flow growth), indicating cash flow can swing with working capital and project timing.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.77B	2.58B	2.12B	1.81B	1.75B
Gross Profit	440.00M	338.40M	288.75M	239.85M	222.11M
EBITDA	227.00M	179.30M	135.30M	117.57M	89.62M
Net Income	130.00M	90.00M	59.73M	59.58M	50.30M
Balance Sheet
Total Assets	1.67B	1.37B	1.34B	1.10B	1.01B
Cash, Cash Equivalents and Short-Term Investments	190.00M	102.60M	37.10M	237.01M	209.57M
Total Debt	223.00M	115.20M	177.20M	86.15M	118.88M
Total Liabilities	1.12B	905.60M	952.00M	785.25M	744.17M
Stockholders Equity	548.00M	463.00M	383.66M	317.02M	267.58M
Cash Flow
Free Cash Flow	235.00M	218.80M	40.49M	86.31M	84.58M
Operating Cash Flow	279.00M	249.20M	84.50M	110.77M	110.16M
Investing Cash Flow	-110.00M	-59.10M	-313.93M	-17.68M	-33.75M
Financing Cash Flow	-85.00M	-125.10M	31.51M	-65.64M	-41.91M

Heijmans N.V. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 70.65
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NL:HEIJM, the sentiment is Positive. The current price of 70.65 is below the 20-day moving average (MA) of 82.87, below the 50-day MA of 74.79, and above the 200-day MA of 62.31, indicating a bullish trend. The MACD of 4.32 indicates Positive momentum. The RSI at 59.73 is Neutral, neither overbought nor oversold. The STOCH value of 26.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NL:HEIJM.

Heijmans N.V. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HEIJM	77 Outperform	€2.28B	14.29	25.34%	2.44%	11.67%	36.03%
VPK	75 Outperform	€5.01B	7.24	15.92%	4.27%	-3.32%	15.52%
BAMNB	74 Outperform	€2.45B	11.48	11.89%	2.69%	3.64%	-22.13%
ARCAD	66 Neutral	€2.62B	15.23	21.45%	2.85%	-2.02%	24.14%
AALB	62 Neutral	€3.63B	20.51	6.13%	4.08%	-4.31%	-50.34%
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
FUR	55 Neutral	€1.16B	-47.40	9.91%	8.99%	-7.57%	-51.86%