tiprankstipranks
Heath (Samuel) & Sons PLC (GB:HSM)
LSE:HSM
UK Market
Want to see GB:HSM full AI Analyst Report?

Heath (Samuel) & Sons (HSM) AI Stock Analysis

4 Followers

Top Page

GB:HSM

Heath (Samuel) & Sons

(LSE:HSM)

Select Model
Select Model
Select Model
Neutral 56 (OpenAI - Gpt-5.6Sol)
Rating:56Neutral
Price Target:
252.00 p
▲(2.86% Upside)
Action:Reiterated
Date:08/24/26
The score is primarily constrained by deteriorating profitability and a sharp 2026 downturn, partially offset by a very low-leverage balance sheet and improved recent free cash flow. Technicals remain bearish (price below key moving averages with negative MACD), and valuation is a mixed signal with a high P/E despite an attractive dividend yield.
Positive Factors
Very Low Leverage
Minimal debt limits refinancing and interest-rate exposure, giving the company financial flexibility through cyclical construction-materials demand and reducing the risk that weaker earnings become a balance-sheet problem.
Negative Factors
Sharp Revenue Contraction
The abrupt 2026 revenue decline indicates significant exposure to weak end-market demand and creates operating deleverage risk. A smaller revenue base can constrain fixed-cost absorption and make recovery dependent on a sustained market improvement.
Read all positive and negative factors
Positive Factors
Negative Factors
Very Low Leverage
Minimal debt limits refinancing and interest-rate exposure, giving the company financial flexibility through cyclical construction-materials demand and reducing the risk that weaker earnings become a balance-sheet problem.
Read all positive factors

Heath (Samuel) & Sons (HSM) vs. iShares MSCI United Kingdom ETF (EWC)

Heath (Samuel) & Sons Business Overview & Revenue Model

Company Description
Established in Birmingham, UK, in 1820, Samuel Heath & Sons plc operates as a prominent manufacturer and marketer of a comprehensive array of products specifically designed for both the builders' hardware and bathroom sectors. The company's extens...

Heath (Samuel) & Sons Financial Statement Overview

Summary
Overall fundamentals are mixed: a conservative, low-debt balance sheet (Balance Sheet Score 78) and improved recent free cash flow (Cash Flow Score 62) support resilience, but operating performance has weakened materially (Income Statement Score 44) with sharp 2026 revenue decline and significant margin compression, driving ROE down to low single digits.
Income Statement
44
Neutral
Balance Sheet
78
Positive
Cash Flow
62
Positive
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue14.83M14.77M15.24M14.72M14.02M
Gross Profit6.58M6.84M6.94M6.77M7.04M
EBITDA1.47M1.93M1.58M1.70M2.57M
Net Income204.00K888.00K768.00K931.00K1.47M
Balance Sheet
Total Assets16.04M15.27M15.01M14.21M14.70M
Cash, Cash Equivalents and Short-Term Investments2.80M2.17M1.68M2.72M4.41M
Total Debt133.00K202.00K85.00K118.00K191.00K
Total Liabilities3.07M2.96M2.83M3.02M7.02M
Stockholders Equity12.97M12.30M12.18M11.19M7.68M
Cash Flow
Free Cash Flow1.30M800.00K-713.00K-1.29M1.05M
Operating Cash Flow1.38M1.58M137.00K233.00K1.80M
Investing Cash Flow-340.00K-670.00K-849.00K-1.45M-727.00K
Financing Cash Flow-408.00K-407.00K-376.00K-389.00K-360.00K

Heath (Samuel) & Sons Technical Analysis

Technical Analysis Sentiment
Negative
Last Price245.00
Price Trends
50DMA
260.28
Negative
100DMA
286.35
Negative
200DMA
308.21
Negative
Market Momentum
MACD
-3.46
Negative
RSI
42.42
Neutral
STOCH
50.00
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:HSM, the sentiment is Negative. The current price of 245 is above the 20-day moving average (MA) of 243.14, below the 50-day MA of 260.28, and below the 200-day MA of 308.21, indicating a neutral trend. The MACD of -3.46 indicates Negative momentum. The RSI at 42.42 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:HSM.

Heath (Samuel) & Sons Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
£123.19M22.325.51%5.28%10.68%-25.87%
65
Neutral
£184.66M14.1623.96%5.62%-5.92%156.82%
65
Neutral
£84.07M11.4418.04%4.72%-3.47%-21.11%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
56
Neutral
£6.21M30.631.60%5.33%0.39%-77.03%
55
Neutral
£8.72M-242.19-0.34%0.48%15.82%98.85%
54
Neutral
£269.95M867.650.15%3.83%6.87%-91.28%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:HSM
Heath (Samuel) & Sons
245.00
-84.29
-25.60%
GB:ALU
Alumasc
235.00
-71.86
-23.42%
GB:ECEL
Eurocell
125.00
0.70
0.56%
GB:NXR
Norcros
295.00
43.70
17.39%
GB:TON
Titon Holdings
77.50
-15.00
-16.22%
GB:SRAD
Stelrad Group Plc
144.00
-9.99
-6.49%

Heath (Samuel) & Sons Corporate Events

Business Operations and StrategyDividendsFinancial Disclosures
Heath (Samuel) & Sons profits hit by weak markets but balance sheet and dividend hold firm
Negative
Jul 28, 2026
Heath (Samuel) Sons reported flat annual revenue of £14.83m for the year to 31 March 2026, as weaker demand in both its US and UK markets, higher costs and a weaker US dollar compressed margins. Profit before tax fell sharply to £375,00...
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 24, 2026