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Harworth (HWG) AI Stock Analysis
Harworth
(LSE:HWG)
The score is held back primarily by weaker and less predictable financial performance, especially the sharp deterioration in 2025 cash flow and operating profitability. Technicals are supportive with a clear uptrend and positive momentum indicators, and the earnings call tone was constructive around the industrial/logistics and powered land strategy, but valuation is a notable headwind given the high P/E and modest yield.
Harworth (HWG) vs. iShares MSCI United Kingdom ETF (EWC)
- Market Cap
- GBP 604.21M
- Dividend Yield
- 0.98%
- Average Volume (3M)
- 3.63M
- Price to Earnings (P/E)
- -23.5
- Beta (1Y)
- 0.68
- Revenue Growth
- -34.57%
- EPS Growth
- -148.98%
- Country
- UK
- Employees
- 146
- Sector
- Real Estate
- Sector Strength
- 65
- Industry
- Real Estate - Development
Harworth Business Overview & Revenue Model
Company Description
Harworth Group plc specializes in land and property revitalization, with its operations concentrated across the North of England and the Midlands. The company's business model is structured around two main divisions: Income Generation and Capital Gro...
How the Company Makes Money
Harworth makes money primarily by creating value from land through a regeneration-led model: it acquires, holds, remediates, secures planning, services, and then sells or develops land and property. Key revenue streams typically include: (1) Land sal...
Harworth Earnings Call Summary
The call was predominantly positive, with strong operational momentum, record construction-ready land capacity, progress on pre-lets and powered land transactions, robust liquidity, a 10% interim dividend increase and a strategic shift toward higher-returning industrial, logistics and powered land opportunities. These positives were partly offset by a -3.7% total accounting return, a GBP 14.9 million portfolio value loss, residential market weakness, development-cost inflation, lower first-half property sales and higher net debt during the investment phase.
Q2-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Harworth said its substantially construction-ready land bank has the potential for gross development value estimated at GBP 600 million over the next three to five years, with 3.8 million sq ft substantially construction-ready and a further 9.6 million sq ft in the medium-term pipeline. The company intends to exit the residential sector entirely, reallocate capital to industrial and logistics and powered land, increase its 0.8 gigawatt U.K. powered land pipeline to 1.9 gigawatts, and manage its investment portfolio toward a medium-term stabilized value in the order of GBP 500 million to GBP 600 million, alongside a 100% Grade A target. It is targeting low double digit total accounting returns in the long term and low double-digit total accounting returns in the longer term, while targeted cost savings will be published as soon as possible; if surplus capital is identified after material asset sales and assessment of future accretive capital deployment opportunities, the board will consider returning some or all of this surplus capital to shareholders.
Harworth Financial Statement Overview
Summary
Balance sheet strength is a positive (manageable leverage and sizable equity), but operating results and cash generation have weakened materially. 2025 saw a sharp revenue decline, negative operating profit, and deeply negative operating/free cash flow, reducing earnings quality and financial flexibility despite the otherwise solid balance sheet.
Income Statement
58NeutralBalance Sheet
76PositiveCash Flow
34Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 124.57M | 130.72M | 181.59M | 72.43M | 166.69M | 109.88M |
| Gross Profit | 2.26M | 12.31M | 31.08M | 12.35M | 85.31M | 48.47M |
| EBITDA | 20.18M | 33.18M | 77.73M | 54.31M | 61.30M | 30.75M |
| Net Income | -25.62M | 9.47M | 57.24M | 37.96M | 27.84M | 93.99M |
Balance Sheet | ||||||
| Total Assets | 1.04B | 1.04B | 1.05B | 824.44M | 781.32M | 766.51M |
| Cash, Cash Equivalents and Short-Term Investments | 9.46M | 27.14M | 117.38M | 27.18M | 11.58M | 12.04M |
| Total Debt | 200.43M | 174.22M | 165.59M | 64.13M | 60.23M | 37.88M |
| Total Liabilities | 368.69M | 343.26M | 360.84M | 186.72M | 178.66M | 188.53M |
| Stockholders Equity | 670.81M | 698.98M | 691.66M | 637.72M | 602.66M | 577.98M |
Cash Flow | ||||||
| Free Cash Flow | -4.37M | -61.14M | -13.07M | 2.46M | 37.28M | 50.01M |
| Operating Cash Flow | 2.87M | -51.09M | 34.54M | 2.85M | 37.39M | 50.04M |
| Investing Cash Flow | -6.30M | -41.27M | -37.59M | 15.42M | -53.61M | 1.89M |
| Financing Cash Flow | 3.09M | 2.12M | 93.26M | -2.68M | 15.77M | -52.61M |
Harworth Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:HWG, the sentiment is Neutral. The current price of 186.00 is below the 20-day moving average (MA) of 188.17, above the 50-day MA of 182.48, and above the 200-day MA of 154.20, indicating a neutral trend. The MACD of 2.71 indicates Positive momentum. The RSI at 49.54 is Neutral, neither overbought nor oversold. The STOCH value of 37.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:HWG.
Harworth Peers Comparison
Overall Rating
GB:LMP78Outperform
GB:BLND73.5Outperform
GB:MTVW70Outperform
GB:SGRO70Outperform
GB:HWG59Neutral
GB:BOOT54Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| 78Outperform | GBP 4.50B | 14.15 | 6.29% | 6.81% | 17.12% | -23.84% | |
| 74Outperform | GBP 4.36B | 9.24 | 7.73% | 5.44% | 15.13% | 29.40% | |
| 70Outperform | GBP 343.11M | 16.86 | 5.05% | 5.97% | -0.42% | -13.35% | |
| 70Outperform | GBP 12.34B | 42.31 | 2.46% | 3.46% | 6.58% | -52.02% | |
| Sector * | 65Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% |
| 59Neutral | GBP 621.01M | -23.54 | -3.74% | 0.98% | -34.57% | -148.98% | |
| 54Neutral | GBP 202.84M | 17.10 | 2.93% | 5.21% | -40.97% | -53.09% |
* Real Estate Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| GB:HWG | Harworth Group plc | 186.00 | 24.95 | 15.49% | |
| GB:BOOT | Henry Boot | 151.00 | -63.96 | -29.75% | |
| GB:BLND | British Land Company plc | 425.00 | 68.45 | 19.20% | |
| GB:LMP | LondonMetric Property | 184.40 | 6.54 | 3.68% | |
| GB:MTVW | Mountview Estates | 8800.00 | -248.94 | -2.75% | |
| GB:SGRO | Segro Plc (Reit) | 912.20 | 244.14 | 36.54% |
Harworth Corporate Events
Harworth Moves Toward Delisting as BidCo Takeover Triggers Vesting of Share Options
NeutralHarworth has confirmed that Peel Pepper (UK) Limited’s increased best and final cash offer of 187 pence per share has become unconditional, with BidCo and its concert parties now controlling at least 75 per cent of the company’s voting ri...
Harworth Seeks LSE Admission for 4.7 Million Shares to Fund Employee Incentive Plans
PositiveHarworth Group plc has applied to the London Stock Exchange for the admission to trading of 4,700,000 new ordinary shares, which will be listed on the main market and rank pari passu with the company’s existing stock. The shares will be issued...
Harworth to Delist as BidCo Takes Control, Leaving Minority Investors Exposed
NegativeHarworth Group plc, a specialist in UK property regeneration and strategic land development, focuses on transforming complex sites into residential and commercial assets that generate long-term returns. Its portfolio and activities position the compa...
Harworth CIO Sells Shares to Peel Bidco Amid Takeover Offer
NeutralHarworth has disclosed that its chief investment officer, Jonathan Haigh, has agreed to sell a tranche of his shares to Peel Pepper (UK) Limited, the bidder pursuing an offer for the company. The disclosure, made under U.K. market rules for persons d...
Harworth Issues New Shares Following Employee Option Exercise
NeutralHarworth Group plc has issued 21,597 new ordinary shares of 10 pence each to satisfy employee options exercised under its Save As You Earn scheme. The new shares, admitted to trading on 13 October 2026 under the company’s existing block listing...
Harworth Seeks LSE Admission for 4.5 Million Shares to Fund Employee Incentive Plans
PositiveHarworth Group plc has applied to the London Stock Exchange for the admission to trading of 4,500,000 new ordinary shares of 10 pence each on its main market. The shares are intended to be issued periodically to satisfy employee options and awards un...
Harworth CFO Agrees Share Sale to Peel Bidco Under Takeover Offer
PositiveHarworth Group plc has disclosed that its Chief Financial Officer, Kitty Patmore, has agreed to sell a tranche of her Harworth shares to Peel Pepper (UK) Limited under the terms of Peel Bidco’s offer for the company. The transaction involves th...
Harworth CEO Sells Shares to Peel Bidco at Offer Price
NeutralHarworth Group has disclosed that its chief executive, Lynda Shillaw, has agreed to sell a portion of her shareholding to Peel Pepper (UK) Limited under the terms of Peel Bidco’s offer for the company. The transactions, conducted outside a trad...
Harworth Executives Tender Shares into Peel Bidco Offer
PositiveHarworth Group has disclosed that several senior executives, including chief executive Lynda Shillaw and other members of the leadership team, have agreed to sell portions of their shareholdings to Peel Pepper (UK) Limited under Peel Bidco’s of...
Peel Group Takes Control of Harworth With Complete Board Overhaul
NeutralHarworth Group has undergone a wholesale board reshuffle after Peel Pepper (UK) Limited, part of the Peel Group, declared its best and final offer for the company unconditional. All existing directors, including Chair Alastair Lyons and Chief Executi...
Harworth Board Rejects Increased Peel Bidco Offer as Undervaluing Growth Pipeline
NeutralHarworth has rejected an increased mandatory cash takeover offer from Peel Bidco, which raised its bid to 177.5 pence per share after crossing the 30% ownership threshold, arguing the proposal significantly undervalues the business versus its EPRA ND...
Harworth Board Urges Investors to Sit Tight as Peel Bidco Stake Triggers Mandatory Offer
NeutralHarworth Group has responded to Peel Bidco’s move to increase its stake in the company from 29.96% to 30.00%, a threshold that automatically converts Peel’s existing 177.5 pence per share voluntary bid into a mandatory offer under Rule 9...
Harworth Issues New Shares After Employee Option Exercise
NeutralHarworth Group plc has issued 31,422 new ordinary shares of 10 pence each following the exercise of options under its Save As You Earn employee scheme. The new shares, allotted under an existing block listing facility, were admitted to trading on 16...
Harworth Board Reviews Increased Peel Bidco Offer, Urges Shareholders to Hold Fire
NeutralHarworth Group plc has responded to Peel Pepper (UK) Limited’s increased cash offer for the company, after Peel Bidco raised its proposed consideration from 172.5 pence to 177.5 pence per share. The board said there has been no engagement with...
Harworth Targets £7.4m Cost Savings as It Rejects Peel Bidco Offer
PositiveHarworth Group plc has outlined a plan to create a simpler, lower-cost and higher-returning platform by aligning its operating model and cost base with a pure-play focus on powered land and industrial and logistics assets. The board believes this str...
Harworth Rejects Peel Bid as Deeply Undervaluing Data Centre and Logistics Pipeline
PositiveHarworth Group has formally rejected a 172.5p-per-share cash offer from Peel Pepper (UK) Limited, publishing a detailed response that labels the bid as fundamentally undervaluing the business. The board highlights that the offer represents a 19.7% di...
Harworth pivots to powered land and logistics amid residential valuation hit
NeutralHarworth has reported half-year results to 30 June 2026 showing a 3.7% negative total accounting return and a fall in EPRA NDV, as residential market headwinds weighed on valuations despite broadly stable industrial and logistics values. Statutory ne...
Harworth Rejects Peel’s Cash Bid as Undervaluing Regeneration Group
NeutralHarworth Group has rejected an unrecommended cash offer from Peel Pepper (UK) Limited, which valued the company at 172.5p per share, insisting the bid fundamentally undervalues its near and long-term prospects. The board is reviewing Peel’s new...
Harworth Expands Hyperscale Data Centre Land Pipeline with New Exclusivity Deal
PositiveHarworth Group has entered into an exclusivity agreement with a leading data centre provider for the sale of a powered land site capable of hosting a hyperscale data centre, following its earlier deal at Skelton Grange with Microsoft. The site has st...
Harworth expands hyperscale data centre pipeline with new powered land deal
PositiveHarworth has entered into an exclusivity agreement with a leading data centre provider for the sale of a second powered land site capable of hosting a hyperscale facility, building on its £106m Skelton Grange powered land transaction with Micros...
Harworth Executives Receive Shares Under 2019 Incentive Plan
PositiveHarworth Group has reported that senior executives, including its chief executive and chief financial officer, have acquired partnership shares and received matching shares under the company’s 2019 Share Incentive Plan. The ordinary shares, pri...
Harworth Senior Executives Receive Shares Under 2019 Incentive Plan
NeutralHarworth Group has reported transactions under its 2019 Share Incentive Plan, disclosing that eligible employees, including the chief executive, chief financial officer and other senior managers, acquired Partnership Shares funded from gross salary....
Harworth Board Rejects Peel Pepper’s Unsolicited Takeover Bid
NeutralHarworth Group plc has firmly rejected an unsolicited cash offer of 172.5p per share from Peel Pepper (UK) Limited, stating that the bid significantly undervalues the business and its near- and long-term prospects. The board criticised the timing of...
Harworth Board Reviews Unsolicited Takeover Offer from Peel-Owned Bidder
NeutralHarworth Group plc has confirmed that it received an unsolicited firm offer from Peel Pepper (UK) Limited, an entity indirectly owned by Peel Holdings Group. The board stated it had no prior substantive engagement with Peel Pepper or Peel regarding a...
Harworth Advances Second Hyperscale Data Centre Deal as It Accelerates Pivot to Powered Land
PositiveHarworth Group has identified a second hyperscale data centre site in its powered land portfolio and is in advanced negotiations with multiple parties for a sale, with potential value gains exceeding its £106.6m 2024 transaction with Microsoft....
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: Sep 11, 2026