tiprankstipranks
Severfield (GB:SFR)
LSE:SFR

Severfield (SFR) AI Stock Analysis

Compare
30 Followers

Top Page

GBSeverfield
(LSE:SFR)
59Neutral
Severfield's overall stock score is primarily influenced by a stable financial position, despite weaknesses in profitability and revenue growth. The technical analysis indicates a bearish trend, with the stock's high P/E ratio suggesting overvaluation. Corporate events highlight market challenges but also strategic efforts to capitalize on future opportunities, balancing short-term headwinds with long-term growth potential.
Positive Factors
Joint Venture
There is a potentially valuable India joint venture that is 'in for nothing'.
Order Book
The Indian JV order book is at a record level, +19% yoy, and +9% since July, and is made up of 77% commercial work.
Negative Factors
Market Conditions
End market conditions are tougher-than-expected, with tighter-than-expected pricing and project delays/cancellations.

Severfield (SFR) vs. S&P 500 (SPY)

Severfield Business Overview & Revenue Model

Company DescriptionSeverfield (SFR) is a leading structural steelwork company based in the United Kingdom. The company operates across various sectors, including commercial, industrial, and infrastructure, providing steel fabrication services and products. Severfield specializes in designing, manufacturing, and installing steel structures for diverse projects, ranging from iconic buildings to complex bridges and industrial facilities.
How the Company Makes MoneySeverfield makes money primarily through the design, fabrication, and erection of structural steelwork for a wide array of applications. The company secures revenue by undertaking contracts for large-scale construction projects in sectors such as commercial buildings, transport infrastructure, industrial facilities, and stadia. Key revenue streams include long-term partnerships with construction firms, project-specific contracts, and maintenance services. Severfield's earnings are significantly influenced by its ability to secure major projects and its efficiency in delivering high-quality steel solutions on time and within budget.

Severfield Financial Statement Overview

Summary
Income Statement
Balance Sheet
Cash Flow
Breakdown
Mar 2024Mar 2023Mar 2022Mar 2021Mar 2020
Income StatementTotal Revenue
463.46M491.75M403.56M363.25M327.36M
Gross Profit
97.46M73.84M51.56M63.14M60.07M
EBIT
26.41M29.47M21.83M22.39M25.56M
EBITDA
41.07M38.55M33.09M31.13M31.16M
Net Income Common Stockholders
15.90M21.57M15.60M17.30M20.41M
Balance SheetCash, Cash Equivalents and Short-Term Investments
13.80M11.34M0.0024.98M44.34M
Total Assets
378.41M369.67M375.48M342.50M335.39M
Total Debt
42.48M22.35M26.49M31.86M39.36M
Net Debt
28.68M11.01M26.49M6.88M-4.98M
Total Liabilities
157.66M151.95M171.52M151.57M151.71M
Stockholders Equity
220.75M217.72M203.96M190.93M183.68M
Cash FlowFree Cash Flow
33.81M41.33M-12.13M18.03M14.92M
Operating Cash Flow
45.14M47.80M-6.74M24.65M21.38M
Investing Cash Flow
-37.45M-14.69M-5.54M-26.45M-19.59M
Financing Cash Flow
-8.63M-17.80M-16.68M-17.56M17.56M

Severfield Technical Analysis

Technical Analysis Sentiment
Negative
Last Price24.20
Price Trends
50DMA
45.99
Negative
100DMA
57.29
Negative
200DMA
66.12
Negative
Market Momentum
MACD
-6.91
Positive
RSI
18.38
Positive
STOCH
7.69
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SFR, the sentiment is Negative. The current price of 24.2 is below the 20-day moving average (MA) of 42.23, below the 50-day MA of 45.99, and below the 200-day MA of 66.12, indicating a bearish trend. The MACD of -6.91 indicates Positive momentum. The RSI at 18.38 is Positive, neither overbought nor oversold. The STOCH value of 7.69 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:SFR.

Severfield Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
CRCRH
82
Outperform
£65.96B19.4416.07%1.81%1.78%15.53%
77
Outperform
£374.33M9.4835.97%4.06%27.20%318.27%
GBKIE
69
Neutral
£617.51M14.609.87%3.58%15.51%4.30%
62
Neutral
$8.11B13.341.17%3.02%4.16%-15.14%
GBSFR
59
Neutral
£70.51M22.431.55%15.42%6.00%-84.54%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:SFR
Severfield
24.20
-23.60
-49.37%
GB:KIE
Kier Group plc
140.00
5.09
3.77%
GB:GFRD
Galliford Try
370.00
130.01
54.17%
CRH
CRH plc
93.77
12.78
15.79%

Severfield Corporate Events

Stock Buyback
Severfield Cancels £10 Million Share Buyback Programme
Neutral
Mar 3, 2025

Severfield plc has announced the cancellation of its £10 million share buyback programme, which was initially launched in April 2024. By the end of February 2025, the company had repurchased and cancelled over 13 million ordinary shares at a cost of approximately £9.26 million. The current issued share capital stands at 296,181,987 ordinary shares, which shareholders can use to determine their voting rights under the Financial Conduct Authority’s rules.

Business Operations and StrategyFinancial Disclosures
Severfield Faces Market Challenges but Eyes Future Growth Opportunities
Negative
Mar 3, 2025

Severfield plc reports challenging market conditions in the UK and Europe, with tight pricing and project delays impacting its financial outlook for FY25 and FY26. Despite efforts to mitigate these effects through cost reductions and new project awards, the company expects lower profits and continues to face deferred client decision-making. However, Severfield remains optimistic about future opportunities in sectors like data centers and green energy, which are expected to drive long-term growth and shareholder returns.

Business Operations and StrategyFinancial Disclosures
Severfield Faces Market Challenges but Eyes Future Opportunities
Negative
Mar 3, 2025

Severfield plc, a leading structural steel group, reports challenging market conditions in the UK and Europe, with project delays and cancellations affecting its order book and financial performance for FY25. Despite efforts to mitigate these impacts through cost reductions and new project awards, the company expects its underlying profit before tax to be lower than anticipated. Looking ahead, Severfield has secured large projects for FY27 and sees opportunities in sectors like data centers and green energy, which provide confidence in future shareholder returns and unchanged medium-term growth targets.

Stock Buyback
Severfield Executes Share Buy-Back and Adjusts Voting Rights
Neutral
Jan 30, 2025

Severfield plc has executed a share buy-back of 200,000 ordinary shares at an average price of 48.25 pence, as part of a program authorized at their 2023 Annual General Meeting. The purchased shares will be canceled, impacting the total voting rights, which stands at 296,181,987 as of 29 January 2025.

Stock BuybackRegulatory Filings and Compliance
Severfield Executes Share Buy-back, Adjusts Voting Rights
Neutral
Jan 27, 2025

Severfield, a company engaged in the steel construction industry, has executed a share buy-back program by purchasing 50,000 ordinary shares at an average price of 47.70 pence each on the London Stock Exchange. The purchased shares are intended to be canceled, which affects the total voting rights in the company, now standing at 296,381,987, providing a new denominator for shareholder interest notifications as per FCA rules.

Stock BuybackBusiness Operations and Strategy
Severfield Announces Share Buyback and Voting Rights Update
Positive
Jan 22, 2025

Severfield plc has repurchased 50,000 of its own ordinary shares at a price of 49 pence each on the London Stock Exchange, as part of a share buy-back program authorized by shareholders. The company plans to cancel these shares, which will adjust its total voting rights to 296,431,987, a figure that shareholders can use for regulatory notification purposes. This move is a strategic financial decision likely aimed at optimizing capital structure and enhancing shareholder value.

Severfield Initiates Share Buy-Back to Enhance Shareholder Value
Jan 15, 2025

Severfield plc has announced the purchase of 165,000 ordinary shares, as part of its share buy-back program, at an average price of 47.00 pence per share on the London Stock Exchange. This transaction, authorized at the 2023 AGM, aims to cancel the shares to potentially improve shareholder value. The total number of voting rights in the company now stands at 296,481,987, allowing shareholders to evaluate their interests as per financial regulations.

Severfield PLC Announces Share Buy-Back and Voting Rights Update
Jan 14, 2025

Severfield PLC announced a transaction in its own shares, as authorized at the 2023 Annual General Meeting and previously announced in April 2024. The company purchased 100,000 ordinary shares at the London Stock Exchange at a consistent price of 46.82 pence per share, with plans to cancel these shares. This move affects the total number of voting rights within the company, which stands at 296,646,987 as of January 13, 2025, and may impact shareholder notifications regarding interests in the company.

Severfield Executes Share Buy-Back to Optimize Capital Structure
Jan 13, 2025

Severfield plc has undertaken a share buy-back program, as authorized by its shareholders at the 2023 Annual General Meeting. On January 10, 2025, the company purchased 150,000 ordinary shares on the London Stock Exchange, with prices ranging from 48.00 to 48.50 pence per share. The purchased shares will be canceled, and the current total voting rights in the company amount to 296,746,987. This transaction is part of Severfield’s strategy to manage its capital structure and could impact shareholder interests.

Severfield Executes Share Buy-Back, Cancelling 100,000 Shares
Jan 9, 2025

Severfield PLC has executed a share buy-back transaction, purchasing 100,000 of its ordinary shares at an average price of 50.10 pence per share on the London Stock Exchange. This transaction, part of a previously announced program, results in the cancellation of the purchased shares, which will adjust the total number of voting rights and could impact shareholder interests as per regulatory guidelines.

Severfield Executes Share Buy-Back to Optimize Capital Structure
Dec 20, 2024

Severfield plc has executed a share buy-back program, purchasing 200,000 ordinary shares at a consistent price of 52 pence each on the London Stock Exchange. The company plans to cancel these shares, which impacts the total voting rights, now standing at 296,996,987. This transaction aligns with its strategy to manage capital effectively, potentially enhancing shareholder value and influencing ownership structure.

Severfield Completes Share Buy-back Transaction
Dec 19, 2024

Severfield plc announced the purchase of 250,000 ordinary shares at a price of 53.60 pence each on the London Stock Exchange as part of its ongoing share buy-back program. The company plans to cancel these shares, impacting the total voting rights, which stand at 297,196,987 as of December 18, 2024.

Severfield PLC Announces Major Change in Shareholder Structure
Dec 17, 2024

Severfield PLC has announced a significant change in its shareholder structure, with Aberforth Partners LLP acquiring 5.20% of voting rights via Nortrust Nominees Ltd. This acquisition reflects a strategic move in the company’s investor base, potentially impacting its governance and market perception.

Severfield Announces Share Buy-Back Execution
Dec 16, 2024

Severfield plc has executed a share buy-back program, purchasing 200,000 ordinary shares on the London Stock Exchange at a consistent price of 54.40 pence per share. This move is part of a strategic initiative to manage the company’s capital structure, potentially enhancing shareholder value and reflecting confidence in the company’s financial position and future prospects.

Severfield Executes Significant Share Buy-Back
Dec 16, 2024

Severfield PLC has executed a share buy-back program as authorized by shareholders at the 2023 Annual General Meeting, purchasing 200,000 ordinary shares at a fixed price of 54.40 pence per share on the London Stock Exchange. The company plans to cancel these purchased shares, impacting the total voting rights, which now stand at 297,632,579. This move is part of Severfield’s ongoing strategies to enhance shareholder value, and it may influence shareholders’ calculations regarding their interests in the company.

Severfield Executes Share Buy-Back, Alters Voting Rights
Dec 11, 2024

Severfield plc has executed a share buy-back, purchasing 121,254 of its own ordinary shares as per the authority granted at its 2023 Annual General Meeting. These shares were acquired through Panmure Liberum Limited on the London Stock Exchange at an average price of 50.70 pence per share, with plans to cancel them. This transaction impacts the company’s total voting rights, now amounting to 297,832,579, which shareholders can use for calculations regarding their interest in the company under FCA regulations.

Severfield PLC Sees Change in Major Shareholder Voting Rights
Dec 10, 2024

Severfield PLC, a UK-based company, recently experienced a change in voting rights involving Ameriprise Financial, Inc., a US-based financial services company headquartered in Minneapolis. Ameriprise Financial’s voting rights in Severfield decreased from 5.037% to 3.83%, as reported on December 9, 2024. This adjustment in holdings reflects a disposal of voting rights by Ameriprise, potentially impacting Severfield’s shareholder dynamics and market perception.

Severfield Executes 150,000 Share Buyback Program
Dec 6, 2024

Severfield PLC has repurchased 150,000 of its own ordinary shares at a price of 49 pence each on the London Stock Exchange. This move, as part of a share buy-back program, aims to cancel the purchased shares, potentially enhancing shareholder value by reducing the total number of shares outstanding. As of December 5th, the total voting rights in Severfield stand at 298,089,142.

Severfield PLC Executes Share Buy-Back Program
Dec 5, 2024

Severfield PLC has repurchased 200,000 of its own shares on the London Stock Exchange, with prices ranging between 48.10 and 48.50 pence per share. This move is part of a broader share buy-back program, and the company plans to cancel the acquired shares, impacting the total voting rights for shareholders. Investors might find this share buy-back an intriguing opportunity to reassess their holdings in Severfield.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.