
219.00 USD (+27.9%)
5 analysts
What does it do?
Simpson Manufacturing designs and manufactures structural connectors, anchors, and fastening products for construction, selling primarily to distributors and retailers in North America and Europe.
Key points
from its scores- ✓Very solid balance sheet8.5
- ✓High-quality business7.6
- ✕Poor share-price trend3.2
- ✕Little or no dividend3.7
- ✕Unfavourable risk and backdrop4.8
AI analysis
bottom line, main risk, context and newsFundamentals are solid and the balance sheet is clean, but weak momentum (26th percentile in 52 weeks) suggests waiting for a better entry.
Simpson Manufacturing shows solid financial health (net debt/EBITDA of -0.01, liquidity of 3.29) and a strong moat (ROIC of 22.97%, operating margin of 24.41%), with earnings growth of 25.10% supporting its valuation, although its dividend yield is low (0.70%).
The main risk is the sensitivity of the business to residential and non-residential construction activity in the U.S., which could weaken if the rise in long-term rates (10-year at 5.28%) cools housing demand.
Context and risks
No recent relevant news and no material exposure to current macro factors: the company operates in the wood products and fastening sector, with a clean balance sheet and an operating margin of 24.41%, so interest rates and commodities do not significantly affect its business.
Is Simpson Manufacturing stock cheap or expensive?
at the analysis dateOn P/E and EV / EBITDA, it trades in line with the Basic Materials median (within 15%).
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| P/E | 18.7 | 19.2 | −2% |
| EV / EBITDA | 12.1 | 10.0 | +21% |
| Price / book | 3.3 | 2.3 | +46% |
| Price / sales | 2.9 | 2.2 | +32% |
Sector: median of the 141 Basic Materials companies analysed. In bold, the multiples used for the comparison.
Valuation score: 6.3 out of 10 (median for Basic Materials: 5.8).
Average analyst target: 219.00 USD, +27.9% versus the price.
Classic formulas with standard assumptions (6.1% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Basic Materials medianValuation
- P/E
- 18.7
- Forward P/E
- 17.6
- EV / EBITDA
- 12.1
- Price / book
- 3.3
- Price / sales
- 2.9
- PEG
- 3.80
- Market cap
- 7.0B USD
- Enterprise value
- 7.0B USD
Profitability
- ROE
- 18.7%
- ROA
- 9.8%
- ROIC (approx.)
- 23.0%
- Gross margin
- 45.8%
- Operating margin
- 24.4%
- Net margin
- 15.6%
- Free cash flow
- 446.4M USD
- FCF yield
- 6.4%
- Cash conversion
- 77%
Solvency
- Total debt
- 446.5M USD
- Net debt
- −4.0M USD
- Cash
- 450.5M USD
- EBITDA
- 579.3M USD
- Net debt / EBITDA
- −0.01
- Debt / equity
- 21.08
- Current ratio
- 3.29
- Quick ratio
- 1.99
Growth
- Revenue growth
- +6.3%
- Earnings growth
- +25.1%
- EPS (TTM)
- 9.15 USD
- EPS (forward)
- 9.71 USD
Dividend
- Dividend yield
- 0.7%
- Payout
- 12.8%
Risk and market
- Beta
- 1.32
- Analyst consensus
- none (5)
- Target price
- 219.00 USD
- 52-week range
- 156.32 – 213.49
Recent news
All SSD news →Compare it with its sector
All 141 in Basic Materials →Frequently asked questions about Simpson Manufacturing
Is Simpson Manufacturing stock cheap or expensive?
On P/E and EV / EBITDA, it trades in line with the Basic Materials median (within 15%). Valuation score: 6.3 out of 10 (median for Basic Materials: 5.8). Average analyst target: 219.00 USD, +27.9% versus the price. This is not investment advice.
What score does Simpson Manufacturing get on MeridIAn Screener?
It scores 6.3 out of 10, rank 768 of 2,130 (better than 63% of the companies analysed). Its strongest category is Financial health (8.5) and its weakest, Momentum (3.2). Analysis of 08/10/2026.
What is Simpson Manufacturing's P/E ratio?
Its P/E is 18.7: the share price equals 18.7 times earnings per share over the last 12 months. The Basic Materials median is 19.2. Based on the earnings analysts expect, the forward P/E is 17.6.
How much is Simpson Manufacturing worth on the stock market?
Its market capitalisation is 7.0B USD and its enterprise value, debt included, is 7.0B USD.
How much debt does Simpson Manufacturing have?
It has more cash than debt: net cash of 4.0M USD.
Does Simpson Manufacturing pay a dividend?
Yes: its dividend yield is 0.70% and it pays out 13% of its earnings.
How has Simpson Manufacturing stock performed over the last year?
It has risen 3.7% over the last year, excluding dividends. Over the last 52 weeks it has traded between 156.32 and 213.49 USD. Past performance does not guarantee future results.
What do analysts think of Simpson Manufacturing?
5 analysts cover it; their average recommendation is “none” and their average target is 219.00 USD (+27.9% versus the price). It is an estimate, not market data.
