1.10%
2.30%
4.60%
10.46%
40.13%
84.91%
75.03%

Company Description

Balfour Beatty plc finances, designs, develops, builds, and maintains infrastructure in the United Kingdom, the United States, and internationally.It operates through three segments: Construction Services, Support Services, and Infrastructure Investments.The Construction Services segment provides civil engineering, building, ground engineering, mechanical and electrical, refurbishment, fit-out, and rail engineering services.


The Support Services segment designs, upgrades, manages, and maintains water, gas, and electricity networks, as well as rail and highways.The Infrastructure Investments segment is involved in the acquisition, operation, and disposal of infrastructure assets, such as roads, hospitals, student accommodation, military housing, offshore transmission networks, waste and biomass, and other concessions.This segment also develops and finances public and private infrastructure projects.


The company serves government departments and agencies, regulated utilities, and private sector organizations.Balfour Beatty plc was founded in 1909 and is based in London, the United Kingdom.

Market Data

Last Price 465.24
Change Percentage 1.10%
Open 467.8
Previous Close 460.2
Market Cap ( Millions) 2362
Volume 127487
Year High 472.8
Year Low 315.8
M A 50 447.09
M A 200 414.5

Financial Ratios

FCF Yield 10.11%
Dividend Yield 2.62%
ROE 19.46%
Debt / Equity 79.85%
Net Debt / EBIDTA -130.26%
Price To Book 2.06
Price Earnings Ratio 10.43
Price To FCF 9.89
Price To sales 0.28
EV / EBITDA 7.13

News

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> Construction

Expected Growth : 5 %

What the company do ?

Balfour Beatty plc's construction segment provides infrastructure investments, construction, and engineering services for transportation, buildings, and utilities in the UK and US.

Why we expect these perspectives ?

Balfour Beatty's 5% growth in Construction is driven by increasing infrastructure spending, urbanization, and government initiatives. Strong demand for transportation, energy, and social infrastructure projects, coupled with the company's strategic focus on digitalization, sustainability, and operational efficiency, contribute to its growth momentum.

Segment nΒ°2 -> Support

Expected Growth : 6 %

What the company do ?

Balfour Beatty plc provides support through various initiatives, including apprenticeships, training programs, and community investment, to develop skills and promote social value.

Why we expect these perspectives ?

Balfour Beatty plc's support is driven by increasing infrastructure spending, urbanization, and government initiatives. The company's diversified portfolio, strong order book, and strategic partnerships also contribute to growth. Additionally, investments in digital transformation and sustainability efforts enhance operational efficiency and attract environmentally conscious clients, further supporting the 6% growth level.

Segment nΒ°3 -> Infrastructure Investments

Expected Growth : 8 %

What the company do ?

Balfour Beatty plc's infrastructure investments involve developing, financing, and operating critical infrastructure projects, such as transportation, energy, and social infrastructure, to generate long-term returns.

Why we expect these perspectives ?

Balfour Beatty's 8% growth in Infrastructure Investments is driven by increasing government spending on transportation and energy projects, rising demand for sustainable infrastructure, and strategic acquisitions. Additionally, the company's focus on digitalization, innovation, and operational efficiency has improved project delivery and enhanced margins.

Balfour Beatty Plc Products

Product Range What is it ?
Construction Services Balfour Beatty provides construction services for infrastructure, buildings, and complex projects, including highways, rail, airports, and commercial developments.
Support Services Balfour Beatty offers support services, including facilities management, maintenance, and repair services for buildings, infrastructure, and public spaces.
Infrastructure Investments Balfour Beatty invests in and operates infrastructure assets, such as roads, bridges, and public-private partnerships.
Professional Services Balfour Beatty provides professional services, including project management, engineering, and consultancy services for infrastructure and construction projects.

Balfour Beatty plc's Porter Forces

The threat of substitutes for Balfour Beatty plc is medium due to the availability of alternative construction services and products.

The bargaining power of customers for Balfour Beatty plc is low due to the company's strong brand reputation and long-term contracts.

The bargaining power of suppliers for Balfour Beatty plc is medium due to the company's dependence on a few large suppliers for materials and equipment.

The threat of new entrants for Balfour Beatty plc is low due to the high barriers to entry in the construction industry, including regulatory hurdles and capital requirements.

The intensity of rivalry for Balfour Beatty plc is high due to the competitive nature of the construction industry, with many established players competing for contracts and market share.

Capital Structure

Value
Debt Weight 42.51%
Debt Cost 5.40%
Equity Weight 57.49%
Equity Cost 7.95%
WACC 6.86%
Leverage 73.96%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
WBD.MI Webuild S.p.A. operates in construction businesses worldwide. The company designs and builds works and infrastructure for the mobility, hydroelectric energy, water, green buildings, and tunnelling sectors. It also undertakes the …
ACS.MC ACS, Actividades de ConstrucciΓ³n y Servicios, S.A. provides construction and related services in Spain and internationally. The company undertakes construction activities related to development of highways, railways, maritime, airport works, …
BDX.WA Budimex SA operates as an infrastructure and services company in Poland and internationally. It operates through Construction Business, Development Activities and Property Management, and Service Activities segments. The company is …
ARCAD.AS Arcadis NV operates as a design and consultancy firm for natural and built assets worldwide. The company operates through four segments: Europe & Middle East, The Americas, Asia Pacific, and …
HOT.DE HOCHTIEF Aktiengesellschaft engages in the construction business worldwide. The company operates through HOCHTIEF Americas, HOCHTIEF Asia Pacific, HOCHTIEF Europe, and Abertis Investment divisions. The HOCHTIEF Americas division provides building and …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
4.65$
Current Price
4.65$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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