CRH

Understanding CRH Stocks Before Investing is Key

CRH logged a -1.9% change during today's morning session, and is now trading at a price of $80.39 per share.

CRH returned gains of 69.4% last year, with its stock price reaching a high of $88.0 and a low of $47.14. Over the same period, the stock outperformed the S&P 500 index by 43.3%. More recently, the company's 50-day average price was $82.09. CRH plc, together with its subsidiaries, provides building materials solutions in Ireland and internationally. Based in Dublin, Ireland, the Large-Cap Industrials company has 78,500 full time employees. CRH has offered a 2.1% dividend yield over the last 12 months.

Growing Revenues With No Capital Eexpenditures:

2018 2019 2020 2021 2022 2023
Revenue (M) $27,449 $28,132 $25,888 $29,206 $32,723 $34,949
Net Margins 11% 6% 4% 9% 12% 9%
Net Income (M) $2,884 $1,717 $1,122 $2,630 $3,862 $3,178
Earnings Per Share $344.7 $2.13 $1.42 $3.32 $5.11 $4.33
EPS Growth n/a -99.38% -33.33% 133.8% 53.92% -15.26%
Free Cash Flow (M) $2,246 $3,881 $3,938 $2,425 $2,277 $3,200
Total Debt (M) $9,959 $9,211 $10,958 $9,938 $11,033 $13,401
Current Ratio 1.29 1.34 2.01 1.85 1.84 1.69

a Lower P/B Ratio Than Its Sector Average but Its Shares Are Expensive:

CRH has a trailing twelve month P/E ratio of 18.1, compared to an average of 22.19 for the Industrials sector. Based on its EPS guidance of $5.95, the company has a forward P/E ratio of 13.8. The -44.0% compound average growth rate of CRH's historical and projected earnings per share yields a PEG ratio of -0.41. This indicates that its shares are overvalued.In contrast, the market is likely undervaluing CRH in terms of its equity because its P/B ratio is 2.76 while the sector average is 4.06. The company's shares are currently trading 52.3% below their Graham number.

There's an Analyst Consensus of Some Upside Potential for CRH:

The 18 analysts following CRH have set target prices ranging from $75.0 to $113.0 per share, for an average of $98.31 with a buy rating. The company is trading -18.2% away from its average target price, indicating that there is an analyst consensus of some upside potential.

The largest shareholder is Vanguard Group Inc, whose 4% stake in the company is worth $2,152,551,805.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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