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SIG plc
(LSE:SHI)
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Rating:48Neutral
Price Target:
9.50 p
▲(9.20% Upside)
Action:Reiterated
Date:08/06/26
The score is held back primarily by weak financial performance—sharp revenue contraction, ongoing losses, and elevated/rising leverage—despite positive (but slowing) free cash flow. Technicals provide only a modest offset with improving short-term momentum but an unrecovered longer-term trend. Valuation remains constrained by negative earnings and lack of dividend data.
Positive Factors
Positive Cash Generation
Positive operating and free cash flow through 2025 provides internally generated funding for working capital and branch operations. The approximately £52.7m 2025 free-cash-flow contribution offers a cushion against weaker trading, although its recent decline means durability still requires monitoring.
Negative Factors
Sharp Revenue Contraction
The sharp 2025 revenue contraction signals a substantial reset in customer demand or transaction volumes across the group’s construction-related markets. A smaller revenue base reduces operating leverage and makes it harder for fixed branch, logistics, and administration costs to be absorbed.
Read all positive and negative factors
Positive Factors
Negative Factors
Positive Cash Generation
Positive operating and free cash flow through 2025 provides internally generated funding for working capital and branch operations. The approximately £52.7m 2025 free-cash-flow contribution offers a cushion against weaker trading, although its recent decline means durability still requires monitoring.
Read all positive factors
SIG plc (SHI) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£104.48M
Dividend Yield3.17%
Average Volume (3M)1.52M
Price to Earnings (P/E)―
Beta (1Y)1.08
Revenue Growth-0.75%
EPS Growth25.17%
CountryUK
Employees6,500
SectorIndustrials
Sector Strength72
IndustryIndustrial - Distribution
Share Statistics
EPS (TTM)-0.04
Shares Outstanding1,181,557,000
10 Day Avg. Volume2,725,107
30 Day Avg. Volume1,520,465
Financial Highlights & Ratios
PEG Ratio-0.06
Price to Book (P/B)0.97
Price to Sales (P/S)0.05
P/FCF Ratio2.22
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£9.40Price Target Upside8.05% Upside
Rating ConsensusHold
Number of Analyst Covering4
EPS Forecast (FY)-0.03
Revenue Forecast (FY)£2.59B
SIG plc Business Overview & Revenue Model
Company Description
SIG plc, originally known as Sheffield Insulations Limited and founded in 1957, is headquartered in Sheffield, United Kingdom. The company functions as a prominent distributor and merchant, supplying specialized insulation and construction materia...
How the Company Makes Money
SIG primarily makes money by purchasing building-product materials from manufacturers and reselling them to professional customers (e.g., installers, contractors, and other trade buyers) through its branch network, earning a gross margin on each s...
SIG plc Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
28
Negative
Cash Flow
56
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.58B | 2.59B | 2.61B | 2.76B | 2.74B | 2.29B |
| Gross Profit | 619.40M | 625.00M | 640.00M | 699.60M | 706.30M | 597.40M |
| EBITDA | 105.00M | 105.00M | 78.90M | 87.20M | 138.50M | 83.10M |
| Net Income | -51.10M | -64.10M | -48.60M | -43.40M | 15.50M | -28.30M |
Balance Sheet | ||||||
| Total Assets | 1.21B | 1.14B | 1.18B | 1.27B | 1.33B | 1.20B |
| Cash, Cash Equivalents and Short-Term Investments | 64.20M | 81.30M | 86.80M | 132.20M | 130.10M | 145.10M |
| Total Debt | 596.40M | 601.40M | 585.70M | 590.60M | 574.60M | 510.70M |
| Total Liabilities | 1.11B | 1.02B | 998.40M | 1.04B | 1.07B | 937.00M |
| Stockholders Equity | 99.90M | 120.50M | 179.80M | 228.50M | 267.80M | 264.70M |
Cash Flow | ||||||
| Free Cash Flow | 50.80M | 52.70M | 58.80M | 98.60M | 73.90M | -57.20M |
| Operating Cash Flow | 64.50M | 68.80M | 75.50M | 114.40M | 89.20M | -38.60M |
| Investing Cash Flow | -9.30M | -9.20M | -16.60M | -8.70M | -42.00M | -26.50M |
| Financing Cash Flow | -74.60M | -72.40M | -98.60M | -103.00M | -65.50M | -17.60M |
SIG plc Technical Analysis
Negative
8.70
Price Trends
9.28
Negative
8.82
Positive
8.84
Positive
Market Momentum
-0.05
Negative
47.74
Neutral
42.33
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SHI, the sentiment is Negative. The current price of 8.7 is below the 20-day moving average (MA) of 9.06, below the 50-day MA of 9.28, and below the 200-day MA of 8.84, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 47.74 is Neutral, neither overbought nor oversold. The STOCH value of 42.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:SHI.
SIG plc Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | £206.86M | 1.33 | 8.13% | 6.53% | ― | ― | |
70 Outperform | £1.84B | 14.56 | 7.94% | 3.84% | 8.57% | 0.74% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
53 Neutral | £126.72M | 95.61 | 0.71% | 8.95% | 1.30% | -79.90% | |
51 Neutral | £50.73M | -14.56 | -5.87% | 2.02% | 20.26% | 89.85% | |
49 Neutral | £20.37M | -2.01 | -26.48% | 4.24% | 3.98% | -322.92% | |
48 Neutral | £104.48M | -2.03 | -46.37% | 3.17% | -0.75% | 25.17% |
* Industrials Sector Average
GB:SHI
SIG plc
9.00
0.00
0.00%
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GB:BRCK
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GB:LORD
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SIG plc Corporate Events
Regulatory Filings and Compliance
SIG CFO completes planned share purchase, boosting stake in building materials group
Positive
Oct 22, 2026
SIG plc disclosed that its Chief Financial Officer, Simon Kesterton, has purchased 65,000 ordinary shares in the company at a price of GBP 0.09390 per share, bringing the total value of this tranche to GBP 6,103.50. Following the transaction on 22...
Business Operations and StrategyExecutive/Board Changes
SIG bolsters board with seasoned audit chair Martin Towers
Positive
Oct 21, 2026
SIG plc has strengthened its governance structure with the appointment of Martin Towers as an independent non-executive director and incoming chair of the Audit Risk Committee, effective early 2027. Towers, a chartered accountant and former FTSE ...
Regulatory Filings and Compliance
SIG CFO Simon Kesterton Boosts Stake with 200,000-Share Purchase
Positive
Oct 14, 2026
SIG plc has disclosed that its Chief Financial Officer, Simon Kesterton, has increased his personal stake in the company by purchasing 200,000 ordinary shares between 9 October and 13 October 2026 on the London Stock Exchange. The transactions, co...
Business Operations and StrategyExecutive/Board Changes
SIG sets 2027 CEO handover as Vision 2030 targets take centre stage
Positive
Oct 9, 2026
SIG plc has announced a planned leadership transition in which current Chief Financial Officer Simon Kesterton will become Chief Executive Officer on 1 May 2027, while incumbent CEO Pim Vervaat will move to the role of non-executive chair on the s...
Regulatory Filings and Compliance
SIG CFO Increases Stake with 400,000-Share Purchase
Positive
Oct 5, 2026
SIG plc has disclosed that its Chief Financial Officer, Simon Kesterton, has increased his stake in the company by purchasing 400,000 ordinary shares on 2 October 2026 on the London Stock Exchange Main Market. Following the transaction, his benefi...
Business Operations and StrategyFinancial Disclosures
SIG steadies earnings in weak construction market as it accelerates Vision 2030 turnaround
Negative
Aug 4, 2026
SIG plc reported marginally lower first-half revenue of £1.29bn, as like-for-like sales fell 1.5% amid weak construction markets and poor first-quarter weather, with gross margin slipping to 23.9% and underlying operating profit declining to ...
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.