NOT FOR DISTRIBUTION
Header cover image

Market Cap

UK£1.2b

Last Updated

2021/05/16 19:52 UTC

Data Sources

Company Financials +

Executive Summary

Hill & Smith Holdings PLC manufactures and supplies infrastructure products in the United Kingdom, rest of Europe, North America, the Middle East, Asia, and internationally. More Details


Snowflake Analysis

Excellent balance sheet average dividend payer.

Share Price & News

How has Hill & Smith Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HILS is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: HILS's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-3.9%

HILS

-3.0%

GB Metals and Mining

-1.2%

GB Market


1 Year Return

35.4%

HILS

72.3%

GB Metals and Mining

27.6%

GB Market

Return vs Industry: HILS underperformed the UK Metals and Mining industry which returned 72.3% over the past year.

Return vs Market: HILS exceeded the UK Market which returned 27.6% over the past year.


Shareholder returns

HILSIndustryMarket
7 Day-3.9%-3.0%-1.2%
30 Day2.4%3.7%0.6%
90 Day13.3%9.7%5.3%
1 Year36.3%35.4%81.2%72.3%33.1%27.6%
3 Year13.6%7.5%58.6%36.3%11.1%-1.6%
5 Year68.8%53.3%271.4%184.5%48.7%20.7%

Long-Term Price Volatility Vs. Market

How volatile is Hill & Smith Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Hill & Smith Holdings undervalued compared to its fair value and its price relative to the market?

50.22x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HILS (£15.16) is trading above our estimate of fair value (£13.35)

Significantly Below Fair Value: HILS is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HILS is poor value based on its PE Ratio (50.2x) compared to the UK Metals and Mining industry average (12x).

PE vs Market: HILS is poor value based on its PE Ratio (50.2x) compared to the UK market (25.7x).


Price to Earnings Growth Ratio

PEG Ratio: HILS is poor value based on its PEG Ratio (3.2x)


Price to Book Ratio

PB vs Industry: HILS is overvalued based on its PB Ratio (3.8x) compared to the GB Metals and Mining industry average (2.2x).


Future Growth

How is Hill & Smith Holdings forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

15.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HILS's forecast earnings growth (15.8% per year) is above the savings rate (0.9%).

Earnings vs Market: HILS's earnings (15.8% per year) are forecast to grow slower than the UK market (17.6% per year).

High Growth Earnings: HILS's earnings are forecast to grow, but not significantly.

Revenue vs Market: HILS's revenue (3.8% per year) is forecast to grow slower than the UK market (5.3% per year).

High Growth Revenue: HILS's revenue (3.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HILS's Return on Equity is forecast to be low in 3 years time (16.5%).


Past Performance

How has Hill & Smith Holdings performed over the past 5 years?

3.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HILS has high quality earnings.

Growing Profit Margin: HILS's current net profit margins (3.6%) are lower than last year (7%).


Past Earnings Growth Analysis

Earnings Trend: HILS's earnings have grown by 3.3% per year over the past 5 years.

Accelerating Growth: HILS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: HILS had negative earnings growth (-50.4%) over the past year, making it difficult to compare to the Metals and Mining industry average (20.4%).


Return on Equity

High ROE: HILS's Return on Equity (7.5%) is considered low.


Financial Health

How is Hill & Smith Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: HILS's short term assets (£242.3M) exceed its short term liabilities (£142.7M).

Long Term Liabilities: HILS's short term assets (£242.3M) exceed its long term liabilities (£183.5M).


Debt to Equity History and Analysis

Debt Level: HILS's debt to equity ratio (42.4%) is considered high.

Reducing Debt: HILS's debt to equity ratio has reduced from 51.6% to 42.4% over the past 5 years.

Debt Coverage: HILS's debt is well covered by operating cash flow (67.7%).

Interest Coverage: HILS's interest payments on its debt are well covered by EBIT (6.9x coverage).


Balance Sheet


Dividend

What is Hill & Smith Holdings's current dividend yield, its reliability and sustainability?

2.31%

Current Dividend Yield


Upcoming Dividend Payment

TodayMay 16 2021Ex Dividend DateJun 03 2021Dividend Pay DateJul 09 202136 days from Ex DividendBuy in the next 17 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: HILS's dividend (2.31%) is higher than the bottom 25% of dividend payers in the UK market (1.37%).

High Dividend: HILS's dividend (2.31%) is low compared to the top 25% of dividend payers in the UK market (4.09%).


Stability and Growth of Payments

Stable Dividend: HILS's dividend payments have been volatile in the past 10 years.

Growing Dividend: HILS's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (88.4%), HILS's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HILS's dividends in 3 years are forecast to be well covered by earnings (40.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.3yrs

Average management tenure


CEO

Paul Simmons

0.50

Tenure

UK£674,668

Compensation

Mr. Paul Simmons has been Director of Hill & Smith Holdings PLC since September 1, 2020 and serves as Chief Executive since November 12, 2020. He serves as Member of Executive board at Hill & Smith Holding...


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD950.69K) is below average for companies of similar size in the UK market ($USD1.37M).

Compensation vs Earnings: Insufficient data to compare Paul's compensation with company performance.


Leadership Team

Experienced Management: HILS's management team is seasoned and experienced (6.3 years average tenure).


Board Members

Experienced Board: HILS's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: HILS insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Hill & Smith Holdings PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hill & Smith Holdings PLC
  • Ticker: HILS
  • Exchange: LSE
  • Founded: 1824
  • Industry: Steel
  • Sector: Materials
  • Market Cap: UK£1.207b
  • Shares outstanding: 79.62m
  • Website: https://www.hsholdings.co.uk

Number of Employees


Location

  • Hill & Smith Holdings PLC
  • Westhaven House
  • Arleston Way
  • Solihull
  • West Midlands
  • B90 4LH
  • United Kingdom

Listings


Biography

Hill & Smith Holdings PLC manufactures and supplies infrastructure products in the United Kingdom, rest of Europe, North America, the Middle East, Asia, and internationally. It operates through Roads & Sec...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/16 19:52
End of Day Share Price2021/05/14 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.