CRH Stock Risk & Deep Value Analysis
CRH PLC
Basic Materials • Building Materials
DVR Score
out of 10
What You Need to Know About CRH Stock
We analyzed CRH PLC using our deep value framework. Sign in to see our full verdict and DVR Score.
We ran CRH through our deep value framework — analyzing financial health, distress signals, competitive moat, and risk factors. Our risk assessment: Moderate. Here's what we found.
CRH Risk Analysis & Red Flags
What Could Go Wrong
The cyclical nature of the construction industry poses the biggest risk. A significant and prolonged global economic downturn, particularly impacting public infrastructure spending or residential construction, could severely depress demand for CRH's core products, potentially reducing FY2027 revenue by 10-15% from current guidance if project awards significantly slow.
Risk Matrix
Overall
Moderate
Financial
Low
Market
Medium
Competitive
Low
Execution
Low
Regulatory
Low
Red Flags
- ⚠
No material red flags identified in the provided real-time intelligence for CRH PLC.
Upcoming Risk Events
- 📅
Q2 2026 Earnings Miss (expected July 2026): A significant revenue or EPS miss, especially if accompanied by a downgrade in full-year guidance, could lead to a stock price correction of 5-10%.
- 📅
Rising Interest Rates Impact (ongoing through 2026-2027): Sustained higher interest rates could dampen construction demand, particularly residential and commercial, potentially impacting CRH's project pipeline and backlog by Q4 2026, slowing organic revenue growth to low single digits.
When to Reconsider
- 🚪
Exit if CRH reports two consecutive quarters of negative organic revenue growth in its Americas Materials Solutions segment (currently growing +18.4% YoY in Q1 2026).
- 🚪
Sell if the company's full-year net income guidance is reduced by more than 10% from the current $3.9B-$4.1B range.
- 🚪
Exit if general economic indicators show a significant contraction in global construction starts, with a 3-month lagging indicator showing a consistent decline of 5%+ YoY for new projects.
Unlock CRH Risk Analysis & Red Flags
Create a free account to see the full analysis
What Does CRH PLC (CRH) Do?
Market Cap
$75.11B
Sector
Basic Materials
Industry
Building Materials
Employees
79,800
CRH plc, together with its subsidiaries, provides building materials solutions in Ireland, the United States, the United Kingdom, rest of Europe, and internationally. It operates through three segments: Americas Materials Solutions, Americas Building Solutions, and International Solutions. The company offers building materials for the construction and maintenance of public infrastructure, and commercial and residential buildings, as well as construction and renovation of public infrastructure, critical networks, commercial and residential buildings, and outdoor living spaces; paving and construction services; and produces and sells aggregates, cement, readymixed concrete and mortars, and asphalt. It also manufactures, supplies, and delivers value-added solutions for the built environment in communities in North America; and provides building and infrastructure solutions for complex critical utility infrastructure, such as water, energy, transportation, and telecommunications projects, and outdoor living solutions for private and public spaces. In addition, the company produces and supplies precast and pre-stressed concrete products comprising floor and wall elements, beams and vaults, pipes, and manholes; and concrete and polymer-based products, such as underground vaults, drainage systems, enclosures, and modular precast structures for applications in water, energy, telecommunications, and railroad markets. Further, it provides crushed stone, sand, and gravel; a range of engineered steel and polymer-based anchoring, fixing, and connecting solutions for various new-build construction applications; concrete masonry, hardscape, and related products, including pavers, blocks and curbs, retaining walls and slabs; and fencing and railing systems, composite decking, lawn and garden products and packaged concrete mixes. CRH plc was founded in 1936 and is based in Dublin, Ireland.
Visit CRH PLC WebsiteInvestment Thesis
If CRH continues to leverage its dominant position in essential building materials, particularly through strategic infrastructure projects in North America, while maintaining operational efficiency and disciplined capital allocation (e.g., through small-to-medium acquisitions that bolster regional leadership), then it can achieve consistent mid-single-digit revenue growth and stable high-single-digit EPS growth, sustaining its dividend and providing predictable returns. This thesis focuses on stable growth and dividend income, as 10x growth is not a realistic expectation.
Is CRH Stock Undervalued?
Unlock the full AI analysis for CRH
Get the complete DVR score, risk analysis, and more
Unlock the full report
Create a free account to see the DVR score, risk flags, and AI analysis.
CRH Price Targets & Strategy
12-Month Target
$138.50
Bull Case
$155.00
Bear Case
$95.00
Valuation Basis
Based on 23x forward P/E applied to estimated FY2026 EPS of $6.02 (midpoint of $3.9B-$4.1B net income / ~667.1M shares = $6.02/share).
Entry Strategy
Consider dollar-cost averaging on dips towards $105-$108, which represents a potential support zone following recent trading activity.
Exit Strategy
Consider profit-taking at $135-$145; set a stop-loss order if the price consistently breaks below $98, potentially signaling a shift in market sentiment or economic outlook.
Portfolio Allocation
2-4% for a moderate-risk portfolio, given its stable nature and dividend income potential rather than explosive growth.
Price Targets & Strategy
Sign up free to unlock price targets and entry/exit strategies
Is CRH Financially Healthy?
Valuation
P/E Ratio
20.46
Forward P/E
19.50
EV/EBITDA
13.20
PEG Ratio
1.76
Price/Book
3.54
Price/Sales
2.27
Profitability
Gross Margin
36.09%
Operating Margin
14.20%
Net Margin
9.65%
Return on Equity
15.84%
Revenue Growth
6.33%
EPS
$5.43
Balance Sheet
Current Ratio
1.37
Quick Ratio
0.88
Debt/Equity
0.66
Total Debt
$22.47B
Cash & Equivalents
$10.30B
Cash Flow
Operating Cash Flow
$4.99B
Free Cash Flow
-$1.29B
EBITDA
$7.90B
Other
Beta (Volatility)
1.33
Dividend Yield
1.47%
Does CRH Have a Competitive Moat?
Sign in to unlockMoat Rating
🛡️ Narrow
Moat Trend
Stable
Moat Sources
4 Identified
CRH's moat is durable due to the high capital intensity and logistical complexities of the building materials industry, which create significant barriers to entry. Its established network of quarries, production facilities, and distribution centers provides cost advantages and efficient scale that would be difficult for new entrants or smaller competitors to replicate within a decade.
Moat Erosion Risks
- •Technological disruption in materials science (e.g., radically cheaper or superior substitute materials) could render some of CRH's core products obsolete, eroding pricing power and market share.
- •Increased consolidation among customers (large construction firms) could lead to greater bargaining power, pressuring CRH's margins and reducing its ability to pass on cost increases.
CRH Competitive Moat Analysis
Sign up to see competitive advantages
CRH Market Intelligence
Sentiment & Insider Activity
Social Sentiment
Neutral. As a large-cap industrial, CRH typically sees less retail social media buzz; sentiment is likely tied to broader market and infrastructure outlooks.
Institutional Sentiment
Neutral to Positive. Analyst coverage is 'good' with target prices indicating modest upside (mean target around $142.66-$142.75). No recent upgrades/downgrades specified, but positive Q1 performance is supportive.
Insider Activity (Form 4)
One open-market sale by Padraig O’Riordain for 1,492 shares ($155,921) on 2026-05-15. This is a small transaction by a non-executive and not indicative of broad insider sentiment.
Options Flow
Normal options activity. No specific unusual options flow data was provided in the research to indicate significant institutional positioning.
Earnings Intelligence
Next Earnings
Estimated July 2026 (for Q2 2026)
Surprise Probability
Medium. CRH delivered an EPS beat in Q1 2026 (-$0.20 vs consensus -$0.2268), indicating strong operational execution, but the cyclical nature of its business can introduce variability.
Historical Earnings Pattern
For a mature industrial company like CRH, earnings beats typically result in modest single-digit percentage gains (2-5%), while misses can lead to similar single-digit declines, unless guidance provides a significant surprise.
Key Metrics to Watch
Competitive Position
Top Competitor
VMC
Market Share Trend
Stable to Gaining. CRH, particularly in North America, is consolidating its market position through organic growth and strategic acquisitions, as evidenced by the strong Q1 2026 performance of its Americas Materials Solutions unit.
Valuation vs Peers
CRH generally trades at a slight premium or in line with peers on P/E and EV/EBITDA, reflecting its global scale, diversified operations, and strong market positions.
Competitive Advantages
- •Geographic and Product Diversification
- •Efficient Scale and Cost Advantages
- •Integrated Supply Chain and Distribution Network
- •Strong Brand and Reputation for Quality
Market Intelligence
Sign up free to unlock sentiment, earnings intel, and peer analysis
What Could Drive CRH Stock Higher?
Near-Term (0-6 months)
- •Q2 2026 Earnings Report (expected July 2026): Strong performance in Americas Materials Solutions, particularly aggregates and asphalt, could drive sentiment if revenue growth remains near Q1 levels or guidance is raised.
- •Infrastructure Bill Project Awards (ongoing through 2026): Significant contract wins for large-scale infrastructure projects in the US, particularly in road and bridge construction, could provide near-term revenue visibility.
Medium-Term (6-18 months)
- •Strategic M&A Integration (mid-2027): Successful integration of recently acquired assets in high-growth urban or specific materials segments, contributing an additional $500M+ in annualized revenue and enhancing regional market dominance.
- •Sustainability Product Innovation (late 2027): Launch of new lower-carbon cement or asphalt products that gain significant traction, capturing 5%+ market share in specific green construction niches, generating a 100-200bps margin premium.
Long-Term (18+ months)
- •Expanded Green Building Mandates (2028-2029): If government mandates for sustainable building materials become widespread globally, CRH's existing and future low-carbon product portfolio could capture substantial market share, boosting net income by 10-15% annually.
- •Global Infrastructure Renaissance (2029+): Sustained multi-decade global investment cycles in infrastructure, driven by urbanization and climate resilience, could enable CRH to grow revenues at mid-single digits consistently, reaching $50B+ annually with stable margins.
Catalysts & Growth Drivers
Sign up free to see growth catalysts
What's the Bull Case for CRH?
- ✓
Watch quarterly organic revenue growth in Americas Materials Solutions – a sustained deceleration below 5% YoY would indicate weakening core business strength.
- ✓
Monitor free cash flow generation – a consistent decline or negative FCF could signal capital misallocation or deteriorating operational efficiency.
- ✓
Track infrastructure spending pipeline updates in key markets, specifically for new project commencements. Any significant delay in major federal infrastructure program deployment could signal a slowdown.
Bull Case Analysis
Sign up free to see the bull case
Competing with CRH
See how CRH PLC compares to related companies
| Company | Market Cap | DVR Score | P/E | Revenue | Profit Margin | Rev Growth | |
|---|---|---|---|---|---|---|---|
CRH PLC CRH | $75.1B | 0.5 | 20.5 | $38.6B | 9.7% | 6.3% | |
Air Products and Chemicals Inc APD | $65.8B | 1.2 | -197.5 | $12.0B | -2.7% | 1.4% | Compare → |
Freeport-McMoRan Inc FCX | $88.3B | 0.6 | 40.1 | $24.9B | 7.8% | -28.0% | Compare → |
Newmont Corporation NEM | $130.0B | 1.0 | 17.4 | $22.7B | 31.7% | 21.0% | Compare → |
📊 Explore More Stock Analysis
Get comprehensive Deep Value Reports for thousands of stocks. Research risk, financial health, and investment potential with our AI-powered analysis.
How CRH PLC Makes Money
CRH PLC is a global diversified building materials group. It manufactures and supplies a broad range of materials and products for the construction industry, including aggregates (crushed rock, sand, gravel), asphalt, cement, concrete, and building products. The company primarily serves infrastructure projects (roads, bridges), commercial construction (office buildings, retail), and residential construction (housing). CRH typically operates through a decentralized structure, managing a vast network of quarries, plants, and distribution centers to serve local markets efficiently, providing essential inputs for physical development across the Americas and Europe.
Read Full Business Model BreakdownFAQ
What is the DVR Score for CRH PLC (CRH)?
As of June 15, 2026, CRH PLC has a DVR Score of 0.5 out of 10, placing it in the "Distressed" category. This score is generated by our AI-powered deep value analysis framework that evaluates growth potential, financial health, competitive moat, and risk factors.
What is the market capitalization of CRH PLC?
CRH PLC's market capitalization is approximately $75.1B. The company operates in the Basic Materials sector within the Building Materials industry.
What ticker symbol does CRH PLC use?
CRH is the ticker symbol for CRH PLC. The company trades on the NYQ.
What is the risk level for CRH stock?
Our analysis rates CRH PLC's overall risk as Moderate. This assessment considers execution risk, market risk, financial risk, competitive risk, and regulatory risk. For a full breakdown, see the risk analysis section above.
What is the P/E ratio of CRH?
CRH PLC currently has a price-to-earnings (P/E) ratio of 20.5. This is in line with broader market averages.
Does CRH PLC pay a dividend?
Yes, CRH PLC pays a dividend with a current yield of approximately 1.47%.
Is CRH PLC's revenue growing?
CRH PLC has reported revenue growth of 6.3%. The company is growing at a moderate pace.
Is CRH stock profitable?
CRH PLC has a profit margin of 9.7%. The company is profitable but margins are modest.
How often is the CRH DVR analysis updated?
Our AI-powered analysis of CRH PLC is refreshed regularly to incorporate the latest financial data, market conditions, and news. The most recent update was on June 15, 2026.
Important Disclaimer – Not Financial Advice
Deep Value Reports is an independent research platform for educational and informational purposes only. We are not financial advisors, investment advisors, or licensed professionals. The analysis, scores, and information provided on this page for CRH (CRH PLC) should not be construed as personalized investment advice, a recommendation to buy or sell any security, or an offer to provide investment advisory services.
All investments involve risk, including the potential loss of principal. Past performance does not guarantee future results. Always conduct your own research, consider your financial situation, and consult with a qualified financial advisor before making any investment decisions.