Market Cap
UK£1.8b
Last Updated
2020/11/29 19:29 UTC
Data Sources
Company Financials +
Executive Summary
Greggs plc operates as a bakery food-on-the-go retailer in the United Kingdom. More Details
Rewards
Risk Analysis
Snowflake Analysis
High growth potential and overvalued.
Similar Companies
Share Price & News
How has Greggs's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GRG is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: GRG's weekly volatility (8%) has been stable over the past year.
Market Performance
7 Day Return
0.7%
GRG
5.1%
GB Hospitality
-0.4%
GB Market
1 Year Return
-16.5%
GRG
-21.0%
GB Hospitality
-10.0%
GB Market
Return vs Industry: GRG exceeded the UK Hospitality industry which returned -21% over the past year.
Return vs Market: GRG underperformed the UK Market which returned -10% over the past year.
Shareholder returns
| GRG | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.7% | 5.1% | -0.4% |
| 30 Day | 35.0% | 28.7% | 13.6% |
| 90 Day | 22.7% | 20.8% | 6.4% |
| 1 Year | -16.5%-16.5% | -18.7%-21.0% | -6.4%-10.0% |
| 3 Year | 39.2%30.6% | -3.3%-11.9% | 1.6%-10.9% |
| 5 Year | 51.2%33.9% | 16.9%-3.0% | 27.5%-1.5% |
Long-Term Price Volatility Vs. Market
How volatile is Greggs's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Why Greggs plc (LON:GRG) Could Be Worth Watching3 weeks ago | Simply Wall St
Did Greggs plc (LON:GRG) Insiders Buy Up More Shares?1 month ago | Simply Wall St
What Do The Returns On Capital At Greggs (LON:GRG) Tell Us?Valuation
Is Greggs undervalued compared to its fair value and its price relative to the market?
10.1%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GRG (£17.38) is trading below our estimate of fair value (£19.33)
Significantly Below Fair Value: GRG is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: GRG is poor value based on its PE Ratio (438.1x) compared to the GB Hospitality industry average (30.5x).
PE vs Market: GRG is poor value based on its PE Ratio (438.1x) compared to the UK market (21.2x).
Price to Earnings Growth Ratio
PEG Ratio: GRG is poor value based on its PEG Ratio (3.5x)
Price to Book Ratio
PB vs Industry: GRG is overvalued based on its PB Ratio (6.2x) compared to the GB Hospitality industry average (1.6x).
Next Steps
Future Growth
How is Greggs forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
123.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GRG's forecast earnings growth (123.8% per year) is above the savings rate (1.2%).
Earnings vs Market: GRG's earnings (123.8% per year) are forecast to grow faster than the UK market (27.2% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: GRG's revenue (15.1% per year) is forecast to grow faster than the UK market (6.8% per year).
High Growth Revenue: GRG's revenue (15.1% 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 (20.4%)
Next Steps
Past Performance
How has Greggs performed over the past 5 years?
0.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GRG has a large one-off loss of £2.6M impacting its June 27 2020 financial results.
Growing Profit Margin: GRG's current net profit margins (0.4%) are lower than last year (6.9%).
Past Earnings Growth Analysis
Earnings Trend: GRG's earnings have grown by 0.9% per year over the past 5 years.
Accelerating Growth: GRG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: GRG had negative earnings growth (-94.7%) over the past year, making it difficult to compare to the Hospitality industry average (-13.1%).
Return on Equity
High ROE: GRG's Return on Equity (1.4%) is considered low.
Next Steps
Financial Health
How is Greggs's financial position?
Financial Position Analysis
Short Term Liabilities: GRG's short term assets (£172.1M) do not cover its short term liabilities (£280.8M).
Long Term Liabilities: GRG's short term assets (£172.1M) do not cover its long term liabilities (£246.5M).
Debt to Equity History and Analysis
Debt Level: GRG's debt to equity ratio (52.9%) is considered high.
Reducing Debt: Insufficient data to determine if GRG's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: GRG's debt is well covered by operating cash flow (42.9%).
Interest Coverage: GRG's interest payments on its debt are not well covered by EBIT (2.6x coverage).
Balance Sheet
Next Steps
Dividend
What is Greggs's current dividend yield, its reliability and sustainability?
1.18%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate GRG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate GRG's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if GRG's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if GRG's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: GRG is not paying a notable dividend for the UK market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of GRG's dividend in 3 years as they are not forecast to pay a notable one for the UK market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
9.3yrs
Average management tenure
CEO
Roger Whiteside (62 yo)
7.67yrs
Tenure
UK£2,530,080
Compensation
Mr. Roger Whiteside, OBE, has been the Chief Executive Officer 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,...
CEO Compensation Analysis
Compensation vs Market: Roger's total compensation ($USD3.37M) is above average for companies of similar size in the UK market ($USD1.80M).
Compensation vs Earnings: Roger's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 7.67yrs | UK£2.53m | 0.16% £ 2.8m | |
| Finance Director & Executive Director | 14.67yrs | UK£1.20m | 0.093% £ 1.6m | |
| General Counsel & Company Secretary | 10.42yrs | no data | no data | |
| Head of Retail | 8.08yrs | no data | no data | |
| Head of People | no data | no data | no data | |
| Retail & People Director | no data | no data | no data |
9.3yrs
Average Tenure
57yo
Average Age
Experienced Management: GRG's management team is seasoned and experienced (9.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 7.67yrs | UK£2.53m | 0.16% £ 2.8m | |
| Finance Director & Executive Director | 14.67yrs | UK£1.20m | 0.093% £ 1.6m | |
| Independent Chairman | 7.5yrs | UK£183.93k | 0.012% £ 203.4k | |
| Independent Non-Executive Director | 6.67yrs | UK£47.99k | 0.00099% £ 17.4k | |
| Senior Independent Director | 6.5yrs | UK£56.41k | 0.00099% £ 17.4k | |
| Independent Non-Executive Director | 6.83yrs | UK£47.99k | 0.0011% £ 19.2k | |
| Independent Non-Executive Director | 1.42yrs | UK£34.40k | 0.00056% £ 9.8k |
6.8yrs
Average Tenure
61yo
Average Age
Experienced Board: GRG's board of directors are considered experienced (6.8 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 company bio, employee growth, exchange listings and data sources
Key Information
- Name: Greggs plc
- Ticker: GRG
- Exchange: LSE
- Founded: 1939
- Industry: Restaurants
- Sector: Consumer Services
- Market Cap: UK£1.758b
- Shares outstanding: 101.13m
- 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
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| GRG | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| GGGS.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jan 1992 |
| GRGL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| 41G1 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jan 1992 |
Biography
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 shop...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/11/29 19:29 |
| End of Day Share Price | 2020/11/27 00:00 |
| Earnings | 2020/06/27 |
| Annual Earnings | 2019/12/28 |
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.