| Snowflake Score | |
|---|---|
| Valuation | 1/6 |
| Future Growth | 3/6 |
| Past Performance | 5/6 |
| Financial Health | 5/6 |
| Dividends | 3/6 |
GRG Stock Overview
Greggs plc operates as a bakery food-on-the-go retailer in the United Kingdom.
Rewards
PE ratio (31.3x) is below the Hospitality industry average (47.7x)
Risk Analysis
No risks detected for GRG from our risk checks.
Greggs Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | UK£26.28 |
| 52 Week High | UK£34.43 |
| 52 Week Low | UK£19.83 |
| Beta | 1.1 |
| 1 Month Change | -16.78% |
| 3 Month Change | -13.50% |
| 1 Year Change | 27.82% |
| 3 Year Change | 67.71% |
| 5 Year Change | 172.47% |
| Change since IPO | 6,503.02% |
Recent News & Updates
Returns On Capital At Greggs (LON:GRG) Paint A Concerning Picture
What are the early trends we should look for to identify a stock that could multiply in value over the long term...
Is There Now An Opportunity In Greggs plc (LON:GRG)?
Greggs plc ( LON:GRG ), is not the largest company out there, but it led the LSE gainers with a relatively large price...
Shareholder Returns
| GRG | GB Hospitality | GB Market | |
|---|---|---|---|
| 7D | -3.1% | -2.7% | -1.3% |
| 1Y | 27.8% | 0.9% | 7.8% |
Return vs Industry: GRG exceeded the UK Hospitality industry which returned 2.5% over the past year.
Return vs Market: GRG exceeded the UK Market which returned 8.7% over the past year.
Price Volatility
| GRG volatility | |
|---|---|
| GRG Average Weekly Movement | 4.5% |
| Hospitality Industry Average Movement | 5.4% |
| Market Average Movement | 5.0% |
| 10% most volatile stocks in GB Market | 10.8% |
| 10% least volatile stocks in GB Market | 2.5% |
Stable Share Price: GRG is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: GRG's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1939 | 21,538 | Roger Whiteside | https://corporate.greggs.co.uk |
Greggs plc operates as a bakery food-on-the-go retailer in the United Kingdom. It offers a range of fresh and frozen bakery products, sandwiches, and drinks. The company sells its products through its shops in travel, leisure, and work-centered catchments; and franchised shops operated by partners in travel and other convenience locations.
Greggs Fundamentals Summary
| GRG fundamental statistics | |
|---|---|
| Market Cap | UK£2.67b |
| Earnings (TTM) | UK£85.20m |
| Revenue (TTM) | UK£1.06b |
31.3x
P/E Ratio2.5x
P/S RatioIs GRG overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| GRG income statement (TTM) | |
|---|---|
| Revenue | UK£1.06b |
| Cost of Revenue | UK£373.70m |
| Gross Profit | UK£683.20m |
| Expenses | UK£598.00m |
| Earnings | UK£85.20m |
Last Reported Earnings
Jul 03, 2021
Next Earnings Date
Mar 08, 2022
| Earnings per share (EPS) | 0.84 |
| Gross Margin | 64.64% |
| Net Profit Margin | 8.06% |
| Debt/Equity Ratio | 0% |
How did GRG perform over the long term?
See historical performance and comparisonDividends
1.1%
Current Dividend Yield18%
Payout RatioValuation
Is Greggs undervalued compared to its fair value and its price relative to the market?
31.31x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: GRG (£26.28) is trading above our estimate of fair value (£8.08)
Significantly Below Fair Value: GRG is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: GRG is good value based on its PE Ratio (31.3x) compared to the UK Hospitality industry average (47.7x).
PE vs Market: GRG is poor value based on its PE Ratio (31.3x) compared to the UK market (19.1x).
Price to Earnings Growth Ratio
PEG Ratio: GRG is poor value based on its PEG Ratio (4.3x)
Price to Book Ratio
PB vs Industry: GRG is overvalued based on its PB Ratio (6.9x) compared to the GB Hospitality industry average (2.2x).
Future Growth
How is Greggs forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
7.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GRG's forecast earnings growth (7.2% per year) is above the savings rate (0.9%).
Earnings vs Market: GRG's earnings (7.2% per year) are forecast to grow slower than the UK market (12.1% per year).
High Growth Earnings: GRG's earnings are forecast to grow, but not significantly.
Revenue vs Market: GRG's revenue (10.2% per year) is forecast to grow faster than the UK market (4.9% per year).
High Growth Revenue: GRG's revenue (10.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GRG's Return on Equity is forecast to be high in 3 years time (24.6%)
Past Performance
How has Greggs performed over the past 5 years?
-9.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GRG has high quality earnings.
Growing Profit Margin: GRG's current net profit margins (8.1%) are higher than last year (0.4%).
Past Earnings Growth Analysis
Earnings Trend: GRG's earnings have declined by 9.8% per year over the past 5 years.
Accelerating Growth: GRG's earnings growth over the past year (2352.3%) exceeds its 5-year average (-9.8% per year).
Earnings vs Industry: GRG earnings growth over the past year (2352.3%) exceeded the Hospitality industry 24.8%.
Return on Equity
High ROE: GRG's Return on Equity (22.1%) is considered high.
Financial Health
How is Greggs's financial position?
Financial Position Analysis
Short Term Liabilities: GRG's short term assets (£179.4M) exceed its short term liabilities (£169.3M).
Long Term Liabilities: GRG's short term assets (£179.4M) do not cover its long term liabilities (£253.3M).
Debt to Equity History and Analysis
Debt Level: GRG is debt free.
Reducing Debt: GRG had no debt 5 years ago.
Debt Coverage: GRG has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: GRG has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Dividend
What is Greggs's current dividend yield, its reliability and sustainability?
1.14%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GRG's dividend (1.14%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.37%).
High Dividend: GRG's dividend (1.14%) is low compared to the top 25% of dividend payers in the UK market (4.04%).
Stability and Growth of Payments
Stable Dividend: GRG's dividend payments have been volatile in the past 10 years.
Growing Dividend: GRG's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (17.8%), GRG's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: GRG's dividends in 3 years are forecast to be covered by earnings (52.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
10.5yrs
Average management tenure
CEO
Roger Whiteside (63 yo)
8.92yrs
Tenure
UK£645,075
Compensation
Mr. Roger Whiteside, OBE, has been the Chief Executive of Greggs plc since February 4, 2013. Mr. Whiteside served as the Chief Executive Officer of Punch Taverns plc from August 2011 to February 1, 2013. H...
CEO Compensation Analysis
Compensation vs Market: Roger's total compensation ($USD874.67K) is below average for companies of similar size in the UK market ($USD1.83M).
Compensation vs Earnings: Roger's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: GRG's management team is seasoned and experienced (10.5 years average tenure).
Board Members
Experienced Board: GRG's board of directors are considered experienced (8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Greggs plc's employee growth, exchange listings and data sources
Key Information
- Name: Greggs plc
- Ticker: GRG
- Exchange: LSE
- Founded: 1939
- Industry: Restaurants
- Sector: Consumer Services
- Implied Market Cap: UK£2.668b
- Shares outstanding: 101.52m
- Website: https://corporate.greggs.co.uk
Number of Employees
Location
- Greggs plc
- Greggs House
- Quorum Business Park
- Newcastle upon Tyne
- Tyne and Wear
- NE12 8BU
- United Kingdom
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/21 21:17 |
| End of Day Share Price | 2022/01/21 00:00 |
| Earnings | 2021/07/03 |
| Annual Earnings | 2021/01/02 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.