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HEAD.L

STRONG SELLREMOVE

Headlam Group plc · Consumer Cyclical · United Kingdom · $45M · Avg Vol: $241K/d

7
StockRank
Q
22
V
40
M
21
P/E (TTM)
ROE
-43.1%
D/E
1.1x
Dividend %
AI CONVICTION THESIS

Headlam Group is a UK-based floorcoverings distributor suffering from severe cyclical downturns in the UK housing and home improvement markets. It lacks the high ROIC and asset-light characteristics required by our Terry Smith lens, and the quant model's strong sell signal reflects deteriorating operational momentum with no clear macro tailwind to rescue it.

COMPANY DESCRIPTION

Headlam Group plc is the UK's leading distributor of floorcoverings, supplying an extensive range of carpets, residential vinyl, wood, and laminate flooring to independent retailers and trade contractors. The company operates a highly efficient, nationwide distribution network that enables next-day delivery across its vast product portfolio. Its competitive moat is established through its scale, deep supplier relationships, and unmatched logistics capabilities in the UK flooring market.

FINANCIAL SUMMARY (USD)

Year20212022202320242025CAGR
Revenue880.0M870.6M697.2M661.4M-9.1%
EPS0.530.13-0.41-1.35-76.1%
Shares85.6M85.6M85.6M85.6M0.0%
Debt9.2M50.4M124.8M82.6M166.7M106.6%
Equity298.1M292.3M253.3M145.9M-21.2%
Op CF14.5M16.6M10.1M-59.9M-16.5%
Inv CF-16.0M-17.8M67.2M22.0M
Fin CF-77.2M25.6M-89.8M59.9M
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PRICE (1Y)-58.6%
0.260.360.450.550.64May 13Jun 4Jun 24
SMA 50SMA 200
Close
$0.26
RSI (14)
13.1
52W High
$1.21
From 52W High
0.2%

SCORE BREAKDOWN

Quality
22
ROIC
-37.2%1.6
ROE
-43.1%2.7
GP/Assets
39.6%69.6
Op. Margin
-4.9%8.6
FCF/Assets
0.0%28.5
Piotroski
414.1
Int. Cover
-9.4x4.5
D/E Ratio
1.14x22.8
Current Ratio
1.15x28.5
Value
40
P/E (TTM)
N/A
EV/EBITDA
-3.6x25.0
P/FCF
145.0x7.7
P/B
0.1x98.7
P/S
0.0x99.6
Div Yield
N/A
Momentum
21
52W High %
22%1.1
RS 6M
-65%13.3
SMA 50/200
0.76x5.0
EPS Rev 4W
+311.1%100.0
EPS Rev 12W
N/A
EPS Improve
+112%71.7
Q Growth
N/A

FUNDAMENTALS

Market Cap
$45M
P/E (Forward)
2.1x
Gross Margin
28.8%

SECTOR PEERS

Closest peers in Consumer Cyclical, ranked by industry match, size, and score similarity. Cross-listings of HEAD.L are excluded.

TickerCompanyMkt CapStockRankSignal
HEAD.LHeadlam Group plc(you)$45M7STRONG SELL
VCP.LVictoria PLC$71M43HOLD
LIKE.LLikewise Group Plc$100M50HOLD
ULTP.LUltimate Products Plc$51M83STRONG BUY
CHH.LChurchill China plc$50M92STRONG BUY
SDG.LSanderson Design Group plc$69M96STRONG BUY
TMO.LTime Out Group plc$52M7STRONG SELL
CFX.LColefax Group PLC$97M99STRONG BUY
SYM.LSymphony Environmental Technologies plc$28M14STRONG SELL
AURR.LAurrigo International plc$84M15STRONG SELL

Peer medians: ROE 6.6% · P/E 14.5x · Gross margin 42.0%

Headlam Group plc (HEAD.L) — Stock Score Summary

Headlam Group plc (HEAD.L) has a MoatMap StockRank of 7/100 based on Quality (22/100), Value (40/100), and Momentum (21/100) factor scores. The current signal is STRONG SELL. Headlam Group is a UK-based floorcoverings distributor suffering from severe cyclical downturns in the UK housing and home improvement markets. It lacks the high ROIC and asset-light characteristics required by our Terry Smith lens, and the quant model's strong sell signal reflects deteriorating operational momentum with no clear macro tailwind to rescue it.

Headlam Group plc is the UK's leading distributor of floorcoverings, supplying an extensive range of carpets, residential vinyl, wood, and laminate flooring to independent retailers and trade contractors. The company operates a highly efficient, nationwide distribution network that enables next-day delivery across its vast product portfolio. Its competitive moat is established through its scale, deep supplier relationships, and unmatched logistics capabilities in the UK flooring market.

Key Financial Metrics

Price$0.26
Market Cap$45M
P/E (Forward)2.08
Price/Book0.15
Return on Equity-43.1%
Return on Invested Capital-37.2%
Debt/Equity114.27
Gross Margin28.8%
Operating Margin-4.9%
Revenue Growth-5.7%
Free Cash Flow$308K

Headlam Group plc operates in the Furnishings, Fixtures & Appliances industry, part of the Consumer Cyclical sector (United Kingdom).

Frequently Asked Questions

What is Headlam Group plc’s (HEAD.L) StockRank?
MoatMap’s StockRank for Headlam Group plc (HEAD.L) is 7/100, with a Strong Sell signal. It is a composite of Quality (22), Value (40), and Momentum (21) factor ranks across MoatMap’s 20,000+ stock universe.
Does Headlam Group plc have an economic moat?
Headlam Group plc (HEAD.L) has a Quality factor score of 22/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is Headlam Group plc a buy, hold, or sell?
MoatMap’s current signal for Headlam Group plc (HEAD.L) is Strong Sell, based on a StockRank of 7/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is Headlam Group plc in?
Headlam Group plc (HEAD.L) operates in the Consumer Cyclical sector, specifically the Furnishings, Fixtures & Appliances industry (United Kingdom).