Holcim (HOLN.SW)
Materials · SIX · Europe
Fundamentals
Valuation and ratings
Holcim trades at CHF75.52, which is 61% above the CHF29.66 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.
Our moat model scores it 58 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 105.9 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Holcim
Holcim AG, together with its subsidiaries, provides building materials and solutions in Europe, Latin America, and Asia, Middle East, and Africa. It provides foundation, flooring, walling and roofing products, including cement, clinker, and other cementitious materials; ready-mix concrete; aggregates, such as crushed stone, gravel, and sand; and precast, concrete products, asphalts, mortars, roofing systems, insulation systems, tile adhesives, facade solutions, and contracting and services. The company also provides digital services through HOLCIM+ platform and digital concrete services. Its products are used in infrastructure projects, such as tunnels, railways and train stations, airports and ports, and bridges; housing projects, including individual and collective housing; commercial projects comprising offices, retail, and public buildings; and industrial projects consisting of renewable energy, oil and gas, and mining. The company sells its products under the ECOPact, ECOPlanet, Aggneo, Hydromedia, ZinCo Holcim, Elevate, Airium, PRB Group, Cantillana, Flachdach Technologie, Izolbet, Disensa, Tector, DYNAMax, Agilia, Ductal, Artevia, Humes, Tensolite, Compaktuna, and other service brands. The company was formerly known as LafargeHolcim Ltd and changed its name to Holcim AG in May 2021. Holcim AG was founded in 1833 and is headquartered in Zug, Switzerland.
HOLN.SW passes 2 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Holcim (HOLN.SW) undervalued?
Against our discounted cash flow estimate of CHF29.66, HOLN.SW at CHF75.52 is 61% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is HOLN.SW's P/E ratio?
HOLN.SW trades at 105.9 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.