Hill & Smith PLC

LSE:HILS Stock Report

Market Cap: UK£1.5b

Hill & Smith Valuation

Is HILS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HILS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
UK£17.98
Fair Value
4.8% overvalued intrinsic discount
8
Number of Analysts

Below Fair Value: HILS (£18.84) is trading above our estimate of fair value (£17.98)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HILS?

Key metric: As HILS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HILS. This is calculated by dividing HILS's market cap by their current earnings.
What is HILS's PE Ratio?
PE Ratio19.7x
EarningsUK£76.80m
Market CapUK£1.51b

Price to Earnings Ratio vs Peers

How does HILS's PE Ratio compare to its peers?

The above table shows the PE ratio for HILS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.3x
NLMK Novolipetsk Steel
0.8xn/aUS$4.1b
CGS Castings
9.4x-0.1%UK£113.9m
ECOR Ecora Resources
10x10.8%UK£161.5m
HOC Hochschild Mining
49.1x51.6%UK£1.2b
HILS Hill & Smith
19.7x11.0%UK£1.5b

Price-To-Earnings vs Peers: HILS is good value based on its Price-To-Earnings Ratio (19.7x) compared to the peer average (22.8x).

Price to Earnings Ratio vs Industry

How does HILS's PE Ratio compare vs other companies in the GB Metals and Mining Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
NLMK Novolipetsk Steel
0.8xn/aUS$4.08b
EVR EVRAZ
0.4xn/aUS$1.42b
MTL Metals Exploration
0.9xn/aUS$130.34m
TGR Tirupati Graphite
1.2xn/aUS$10.50m
No more companies available in this PE range
HILS 19.7xIndustry Avg. 9.3xNo. of Companies7PE0816243240+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HILS is expensive based on its Price-To-Earnings Ratio (19.7x) compared to the UK Metals and Mining industry average (9.3x).

Price to Earnings Ratio vs Fair Ratio

What is HILS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HILS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.7x
Fair PE Ratio14.5x

Price-To-Earnings vs Fair Ratio: HILS is expensive based on its Price-To-Earnings Ratio (19.7x) compared to the estimated Fair Price-To-Earnings Ratio (14.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HILS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£18.84
UK£24.22
+28.5%
6.4%UK£26.25UK£22.00n/a8
Jan ’26UK£18.68
UK£24.22
+29.7%
6.4%UK£26.25UK£22.00n/a8
Dec ’25UK£20.65
UK£24.22
+17.3%
6.4%UK£26.25UK£22.00n/a8
Nov ’25UK£20.60
UK£24.12
+17.1%
6.2%UK£26.25UK£22.00n/a8
Oct ’25UK£20.20
UK£23.98
+18.7%
6.8%UK£26.25UK£22.00n/a8
Sep ’25UK£21.45
UK£23.81
+11.0%
5.8%UK£26.00UK£22.00n/a7
Aug ’25UK£22.65
UK£23.41
+3.4%
4.3%UK£25.00UK£22.00n/a7
Jul ’25UK£19.38
UK£23.31
+20.3%
5.0%UK£25.00UK£21.40n/a7
Jun ’25UK£20.40
UK£23.29
+14.1%
5.0%UK£25.00UK£21.40n/a7
May ’25UK£18.92
UK£21.81
+15.3%
5.7%UK£23.20UK£19.40n/a7
Apr ’25UK£19.56
UK£21.81
+11.5%
5.7%UK£23.20UK£19.40n/a7
Mar ’25UK£18.34
UK£21.24
+15.8%
5.0%UK£22.80UK£19.40n/a7
Feb ’25UK£18.86
UK£21.24
+12.6%
5.0%UK£22.80UK£19.40n/a7
Jan ’25UK£19.08
UK£20.49
+7.4%
3.2%UK£21.00UK£19.10UK£18.686
Dec ’24UK£18.30
UK£20.49
+12.0%
3.2%UK£21.00UK£19.10UK£20.656
Nov ’24UK£16.72
UK£19.83
+18.6%
3.4%UK£20.80UK£19.00UK£20.606
Oct ’24UK£17.22
UK£19.26
+11.8%
5.2%UK£20.80UK£17.70UK£20.206
Sep ’24UK£17.92
UK£19.26
+7.5%
5.2%UK£20.80UK£17.70UK£21.456
Aug ’24UK£15.74
UK£17.03
+8.2%
5.7%UK£18.00UK£15.40UK£22.656
Jul ’24UK£15.02
UK£16.51
+9.9%
5.3%UK£18.00UK£15.40UK£19.385
Jun ’24UK£14.70
UK£16.31
+11.0%
3.5%UK£17.00UK£15.40UK£20.405
May ’24UK£13.76
UK£15.68
+14.0%
2.9%UK£16.10UK£14.90UK£18.925
Apr ’24UK£13.42
UK£15.48
+15.4%
2.9%UK£16.00UK£14.90UK£19.565
Mar ’24UK£13.94
UK£14.90
+6.9%
6.2%UK£16.00UK£13.00UK£18.346
Feb ’24UK£12.54
UK£14.67
+17.0%
6.4%UK£16.00UK£13.00UK£18.866
Jan ’24UK£11.72
UK£14.48
+23.6%
6.6%UK£16.00UK£13.00UK£19.086
Analyst Price Target
Consensus Narrative from 8 Analysts
UK£24.22
Fair Value
22.2% undervalued intrinsic discount
8
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/16 02:29
End of Day Share Price 2025/01/16 00:00
Earnings2024/06/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Hill & Smith PLC is covered by 18 analysts. 8 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Michael BloggArbuthnot Securities Limited
Kunal WaliaArden Partners Plc.
Robert ChantryBerenberg