Heidelberg Materials (HLBZF) and Its Competitors Critical Analysis

Heidelberg Materials (OTCMKTS:HLBZF) is one of 74 publicly-traded companies in the “Construction Materials” industry, but how does it compare to its competitors? We will compare Heidelberg Materials to similar businesses based on the strength of its institutional ownership, valuation, profitability, earnings, analyst recommendations, dividends and risk.

Valuation & Earnings

This table compares Heidelberg Materials and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Heidelberg Materials	N/A	N/A	76.48
Heidelberg Materials Competitors	$6.81 billion	$651.37 million	28.25

Heidelberg Materials’ competitors have higher revenue and earnings than Heidelberg Materials. Heidelberg Materials is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Heidelberg Materials and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Heidelberg Materials	N/A	N/A	N/A
Heidelberg Materials Competitors	4.62%	7.99%	4.99%

Dividends

Heidelberg Materials pays an annual dividend of $0.60 per share and has a dividend yield of 0.3%. Heidelberg Materials pays out 24.8% of its earnings in the form of a dividend. As a group, “Construction Materials” companies pay a dividend yield of 180.8% and pay out 31.6% of their earnings in the form of a dividend.

Analyst Recommendations

This is a summary of current ratings and target prices for Heidelberg Materials and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Heidelberg Materials	0	1	4	0	2.80
Heidelberg Materials Competitors	407	2059	2841	83	2.48

As a group, “Construction Materials” companies have a potential upside of 415.15%. Given Heidelberg Materials’ competitors higher probable upside, analysts plainly believe Heidelberg Materials has less favorable growth aspects than its competitors.

Institutional and Insider Ownership

33.9% of Heidelberg Materials shares are owned by institutional investors. Comparatively, 46.5% of shares of all “Construction Materials” companies are owned by institutional investors. 10.0% of shares of all “Construction Materials” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Heidelberg Materials competitors beat Heidelberg Materials on 9 of the 13 factors compared.

About Heidelberg Materials

Heidelberg Materials AG, together with its subsidiaries, produces and distributes cement, aggregates, ready-mixed concrete, and asphalt worldwide. It provides cement products; natural stone aggregates, including sand and gravel; crushed aggregates comprising stone chippings and crushed stones; and ready-mixed concrete for use in the construction of tunnels or bridges, office buildings, or schools, as well as to produce precast concrete parts, such as stairs, ceiling elements, or structural components. The company offers asphalt; and trades in cement, clinker, secondary cementitious materials, solid, alternative fuels, other building materials, and additives. The company was formerly known as HeidelbergCement AG and changed its name to Heidelberg Materials AG in May 2023. Heidelberg Materials AG was founded in 1873 and is headquartered in Heidelberg, Germany.