# Hill & Smith Holdings PLC (HILS.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Industrials / Construction & Engineering. Price 2940p, market value 2.3 billionp.

## Valuation
- **P/E (trailing): 33.0×** (5-yr avg 2454.4×, 3-yr avg 2109.2×). Hill & Smith Holdings PLC trades at 33.0× trailing earnings, well below its own five-year average of 2454.4×: cheap by its own standards. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 19.1×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 2.25**. A PEG of 2.25 means the P/E is high relative to expected earnings growth; the price already assumes a lot.
- **Price / sales: 1.3×**. Each dollar of revenue is priced at 1.3×.
- **Price / book: 5.1×**. The shares trade at 5.1× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 6.8×**. Enterprise value is 6.8× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 9.4%** (5-yr avg 0.1%). Free cash flow equals 9.4% of the market value, above its five-year average of 0.1%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 3.0%**. The inverse of the P/E: 3.0% of the price is earned each year.

## Profitability
- **Gross margin: 40.3%**. Hill & Smith Holdings PLC keeps 40.3% of revenue after the direct cost of what it sells.
- **Operating margin: 14.8%**. 14.8% of revenue is left after running the business.
- **Net margin: 9.5%**. 9.5% of each dollar of sales reaches the bottom line.
- **Return on equity: 17.4%**. 17.4% on shareholders' equity is solid.
- **Return on invested capital: 35.8%**. Return on all capital, debt included, is 35.8%: comfortably above what that capital costs.
- **Return on assets: 20.9%**. Each dollar of assets produces 20.9% of profit.

## Growth
- **Revenue growth (1 yr): 1.6%** (3-yr 5.9%/yr, 5-yr 5.6%/yr). Revenue grew 1.6% over the last year, against 5.6% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 8.5%** (3-yr 13.4%/yr, 5-yr 27.7%/yr). Earnings per share rose 8.5%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 55.3%/yr**. Free cash flow has compounded at 55.3% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.26**. Debt is 0.26 times equity: a conservative balance sheet.
- **Net debt / EBITDA: 0.1×**. It would take 0.1 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 12.7×**. Operating profit covers interest 12.7× over, a safe margin.
- **Current ratio: 1.85** (quick 1.31). Current assets cover the next year's liabilities 1.85 times.
- **Altman Z-score: 7.65**. A Z-score of 7.65 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 8/9**. 8 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 1.83%** (1p per share, trailing). Hill & Smith Holdings PLC yields 1.83%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 48%** (34% of free cash flow). 48% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 5**. 5 straight years of increases.
- **Dividend growth (5 yr): 40.6%/yr** (1-yr 13.5%). The dividend has compounded at 40.6% a year over five years, doubling roughly every 2 years at that pace.
- **Shareholder yield: 2.8%**. Dividends plus net buybacks return 2.8% of the market value a year.

## Price and momentum
- **Total return (1 yr): 36.9%** (YTD 36.9%, 3-mo 5.4%). The shares are up 36.9% over twelve months including dividends.
- **From 52-week high: -8.7%** (47.4% above the low). Trading 9% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 50**. An RSI of 50 is neutral.
- **Beta (1 yr): 0.84** (volatility 25%). Beta of 0.84 against the FTSE All-Share: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=HILS.L · Page: https://foliofundamentals.com/stocks/hils.l

Not investment advice.