Update shared on 08 Nov 2025
Fair value Decreased 4.09%The analyst price target for Ibstock has been cut from £1.71 to £1.64 per share. This reflects a more cautious view on market conditions and reduced revenue growth expectations, according to analysts.
Analyst Commentary
Recent adjustments to Ibstock’s price targets and ratings reflect mixed sentiment among analysts regarding the company’s outlook in the current market environment.
Bullish Takeaways
- Bullish analysts note that Ibstock continues to maintain a Hold or Neutral rating, even in the face of industry headwinds. This indicates that a base level of confidence remains in the company’s underlying business and management.
- Some analysts believe the company’s valuation already reflects much of the anticipated near-term weakness. This could reduce downside risk if market conditions improve sooner than expected.
- It is noted that Ibstock’s continued focus on operational efficiency could help protect margins in a challenging market. This may position it for an eventual recovery in demand.
Bearish Takeaways
- Bearish analysts point to delays in new build planning changes, which are expected to postpone recovery in Ibstock’s end markets and limit short-term growth potential.
- There is concern that reduced revenue growth expectations could persist if market headwinds remain, which may weigh on share price performance.
- Cutbacks in price targets highlight ongoing uncertainty around both execution and the pace of sector recovery.
- Analysts are cautious about limited near-term catalysts that might re-rate the stock upward until broader construction demand stabilizes.
What's in the News
- Simon Bedford has been named Interim CFO of Ibstock, taking over after Chris McLeish's decision to leave the company effective 10 October 2025. Bedford previously served as Group Financial Controller and brings extensive experience from his prior roles at Rolls Royce plc. (Company announcement)
Valuation Changes
- Consensus Analyst Price Target has decreased from £1.71 to £1.64. This reflects a more conservative outlook on valuation.
- The Discount Rate has risen slightly from 8.65% to 9.07%, indicating higher perceived risk or uncertainty in future cash flows.
- Revenue Growth expectations have fallen modestly, now at 6.81% compared to the previous estimate of 6.96%.
- Net Profit Margin has edged down from 9.81% to 9.52%, suggesting slightly lower expected profitability.
- The Future P/E Ratio is marginally higher at 18.95x, up from 18.87x. This suggests the market is pricing in similar forward earnings expectations despite other pressures.
Disclaimer
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