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SIG

SHI.L
21
Industrial - Distribution · Industrials
Exchange
London Stock Exchange
Winston Score
21
Winston is worried
Weak fundamentals across most pillars.
Data as of Aug 23, 2026 · filings through Jun 30, 2026
How the score breaks down
Quality
Weak
Growth
Weak
Cash Flow
Weak
Stability
Weak
Valuation
Data not available

Winston Score History

The full picture

SIG plc is a British company that distributes building materials to construction workers, contractors, and builders across Europe. Its main products include insulation, roofing materials, and specialist interior products like drylining and ceilings. SIG does not manufacture these products itself — it buys them from suppliers and sells them on, acting as a middleman in the construction supply chain.

The company makes money by selling these materials at a markup, earning a gross margin of around 24%. SIG operates mainly in the UK, France, Germany, and Poland, making it a mid-sized European distributor. Its competitive position relies on its branch network and specialist product knowledge, but with an operating margin of just 0.3%, there is very little room for error. The key risk facing SIG is its sensitivity to construction activity — when building slows down due to rising interest rates or weak economic conditions, demand for its products falls quickly and its thin margins can turn into losses.

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

-0.9% YoY

YoY Growth Rate

Revenue declining

EPS Growth

+37.2% YoY

YoY Growth Rate

EPS growth accelerating

Insider Activity

49.2%ownership

Flat

Insider ownership roughly steady over the past year

Cash Position

Cash flow positive

£65M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Revenue declining

SIG's revenue is actually shrinking. In a growth stock, that removes the core investment thesis. The low Winston Score here may be warranted — unless there's a turnaround story.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

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Quality

Profit per sale
Gross Margin
23.9%
Thin — 23.9% gross margin
Profit after running costs
Operating Margin
0.8%
Thin — 0.8% operating margin
Return on the money invested
ROCE
5.4%
Weak — 5.4% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

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Growth

Sales growth
Sales YoY
-0.8%
Shrinking sales (-0.8% YoY)
Profit growth
EPS YoY
N/A
Data not available
How steady the profit is
EPS Consistency
4/8 quarters
Earnings inconsistent quarter-to-quarter

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Cash Flow

Profit that turns into cash
Cash Conversion
N/A
Data not available
Spare cash per sale
FCF Margin
2.0%
Thin free cash flow (2.0%)

FCF margin between 0% and 10%. Some cash from sales, but not a lot.

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Stability

What it owes vs what it owns
Debt / Equity
3.45
Heavy debt load (3.45)
Covers its interest
Interest Cover
0.45x
Dangerous — barely covers interest (0.4x)

Interest coverage below 1. Their profits don't cover the interest bill.

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Valuation

Price vs profit
P/E Ratio (TTM)
N/M
no trend
Negative earnings — P/E not meaningful
Cheaper or dearer next year
P/E vs Forward
N/A
not available
Data not available

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Dividends

Not applicable for this business.
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