Galliford Try Holdings PLC (LSE:GFRD) has won fresh backing from Panmure Liberum, which has reiterated its buy rating and lifted earnings forecasts after the builder posted better-than-expected results.
The broker upgraded its 2026 and 2027 earnings per share estimates by 5% and 11% respectively, citing progress on margins and the £10m share buyback.
It now sees full-year 2030 earnings per share of at least 53p, three times higher than FY23.
Panmure highlights Galliford’s £4.1bn order book, up 8% year-on-year, as “high quality and low risk,” with 90% of 2026 revenues already secured.
Much of this work is in government-backed infrastructure, including water, defence and custodial projects, which are less cyclical than private-sector contracts.
The broker sees a “clear path” to management’s 4% margin target by 2030, driven by volume growth, operational improvements and a tilt towards higher-margin work.
It values Galliford’s cash pile and public-private partnership portfolio at 218p per share, implying the market is undervaluing the core trading business.
Maintaining its target price of 580p, Panmure argues Galliford is well-positioned in key growth markets and offers good value on 12.9x current-year forecast earnings.
The shares were up 1.4% at 489p.