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Kingspan Group plc (KGSPY)
OTHER OTC:KGSPY
US Market
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Kingspan Group (KGSPY) AI Stock Analysis

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KGSPY

Kingspan Group

(OTC:KGSPY)

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Outperform 70 (OpenAI - 5.2)
Rating:70Outperform
Price Target:
$103.00
▲(18.99% Upside)
Action:Reiterated
Date:08/07/26
The score is driven primarily by solid underlying financial performance and a strong, guidance-upgraded earnings call that points to improving margins and growth into FY26–FY27. Technicals are constructive with price above key moving averages, though near-term overbought signals add some risk. Valuation is the main constraint, with a higher P/E and low dividend yield limiting upside from multiple expansion.
Positive Factors
Upgraded earnings outlook
The upgraded outlook indicates broad operating momentum and gives greater visibility into near-term growth. Sustained revenue scale and expected profit expansion could support investment in capacity, innovation and market development.
Negative Factors
Top-line volatility
Exposure to construction activity makes revenue sensitive to regional housing and commercial cycles. Recent softness and uneven growth could delay volume recovery, reduce operating leverage and make sustained margin expansion less certain.
Read all positive and negative factors
Positive Factors
Negative Factors
Upgraded earnings outlook
The upgraded outlook indicates broad operating momentum and gives greater visibility into near-term growth. Sustained revenue scale and expected profit expansion could support investment in capacity, innovation and market development.
Read all positive factors

Kingspan Group (KGSPY) vs. SPDR S&P 500 ETF (SPY)

Kingspan Group Business Overview & Revenue Model

Company Description
Kingspan Group plc delivers a comprehensive range of insulation and building envelope solutions across diverse global markets, including the Republic of Ireland, the United Kingdom, continental Europe, the Americas, and other international regions...
How the Company Makes Money
Kingspan makes money primarily by manufacturing and selling building products to distributors, contractors, fabricators, and end customers involved in new construction and renovation. Its core revenue streams are product sales from: (1) insulated ...

Kingspan Group Earnings Call Summary

Earnings Call Date:Aug 07, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Feb 12, 2027
Earnings Call Sentiment Positive
The call conveyed robust operational momentum: group revenue and EBITDA growth, a material upgrade to full‑year trading profit guidance, strong Advances performance and improving margins, supported by healthy cash generation and a solid balance sheet. Headwinds include H1 volatility (notably a weak Q1), currency effects, some ongoing input‑cost uncertainty, a paused share buyback and the decision not to pursue an Advances IPO now. Overall the positives (upgrade, strong Advances growth, solid margins, regional expansion and liquidity) materially outweigh the manageable risks.
Positive Updates
Strong Revenue Growth
Group revenue just under EUR 4.9 billion, up 8% year‑on‑year (H1 2026 vs prior year). Underlying sales growth was ~6% (≈EUR 278 million) pre‑currency, with acquisitions contributing ~3% (≈EUR 125 million).
Negative Updates
Tough Q1 and Select Market Softness
Management acknowledged a difficult first quarter globally and sectorwide. The UK market was described as subdued in H1 with the residential segment particularly quiet, even though intake picked up into the period.
Read all updates
Q2-2026 Updates
Negative
Strong Revenue Growth
Group revenue just under EUR 4.9 billion, up 8% year‑on‑year (H1 2026 vs prior year). Underlying sales growth was ~6% (≈EUR 278 million) pre‑currency, with acquisitions contributing ~3% (≈EUR 125 million).
Read all positive updates
Company Guidance
Management upgraded full‑year trading profit guidance to €1.125bn (implying ~25% H2 trading profit growth and ~18% y/y if achieved) and expects group revenue to “solidly break through” €10bn for FY26, with a full‑year trading margin around 11% (H1 trading margin 10%, +20bps; H2 margin expected close to 12%). They reiterated momentum into 2027 with an organic trading profit target of ~€1.3bn, said Advances EBITDA for 2026 could be ~€400m (versus a prior c.€300m guide and a c.€600m medium‑term target), and stressed balance‑sheet headroom (net debt/EBITDA ~1.56x, undrawn €700m green RCF, total liquidity €1.3bn, M&A headroom c.€1bn while maintaining leverage <2x). Other numeric guidance: full‑year CapEx c.€360m (H1 CapEx ~€156m), H1 free cash flow €144m, H1 trading profit €487m (H1 revenue just under €4.9bn), interim dividend €0.271 (+3%), and expected full‑year EPS growth “close to mid‑teens.”

Kingspan Group Financial Statement Overview

Summary
Overall fundamentals are good: solid profitability (2025 gross margin ~29.1%, net margin ~7.3%; EBITDA margin ~13.2%) and a generally sound balance sheet with healthy ROE (~14.4%). Offsets include a mild 2025 revenue decline (-1.35%), a gradual uptick in leverage (debt-to-equity ~0.64), and softer cash conversion (operating cash flow ~33% of net income), despite positive free cash flow (~454M).
Income Statement
74
Positive
Balance Sheet
70
Positive
Cash Flow
62
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue9.60B9.20B8.61B8.09B8.34B6.50B
Gross Profit2.78B2.73B2.55B2.34B2.22B1.86B
EBITDA1.28B1.17B1.18B1.09B983.50M893.10M
Net Income686.91M644.71M665.50M640.30M598.00M554.10M
Balance Sheet
Total Assets10.90B9.82B9.82B8.00B7.68B6.39B
Cash, Cash Equivalents and Short-Term Investments593.95M584.45M1.01B938.70M649.30M641.40M
Total Debt2.68B2.69B2.82B2.14B2.39B1.56B
Total Liabilities5.85B5.09B5.23B4.05B4.29B3.43B
Stockholders Equity4.76B4.48B4.29B3.85B3.32B2.89B
Cash Flow
Free Cash Flow631.30M453.56M527.80M924.50M422.80M160.40M
Operating Cash Flow1.02B804.25M894.50M1.16B692.00M329.20M
Investing Cash Flow-490.65M-602.45M-1.11B-458.30M-1.30B-708.70M
Financing Cash Flow-547.68M-548.08M254.60M-416.30M630.80M-351.70M

Kingspan Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
$21.34B26.8714.79%0.71%14.25%9.40%
68
Neutral
$10.33B23.5023.40%0.52%10.37%4.62%
65
Neutral
$14.16B20.3541.06%1.31%1.90%-2.79%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
61
Neutral
$14.44B16.84-406.43%1.59%-0.56%15.03%
60
Neutral
$11.31B-17.58-17.10%2.15%-11.79%-310.77%
54
Neutral
$7.29B73.612.46%-9.38%-86.05%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
KGSPY
Kingspan Group
118.65
41.84
54.47%
BLDR
Builders Firstsource
67.72
-69.64
-50.70%
CSL
Carlisle Companies
356.53
-24.37
-6.40%
MAS
Masco
73.25
1.20
1.67%
OC
Owens Corning
143.13
-3.31
-2.26%
WMS
Advanced Drainage Systems
136.99
-6.45
-4.50%
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: Aug 07, 2026