Greggs (GRG)

Sector:

Food Pharmacy Retail

Index:

FTSE 250

2,742.00p
   
  • Change Today:
    -62.00p
  • 52 Week High: 3,190.00p
  • 52 Week Low: 2,394.00p
  • Currency: UK Pounds
  • Shares Issued: 102.26m
  • Volume: 354,824
  • Market Cap: £2,803.85m
  • RiskGrade: 191

Numis starts Greggs at 'hold', says growth is 'baked in'

By Michele Maatouk

Date: Wednesday 24 Jan 2024

LONDON (ShareCast) - (Sharecast News) - Numis initiated coverage of Greggs on Wednesday with a 'hold' rating and 2,560p price target as it said growth was "baked in".
Greggs is "the undisputed UK food-to-go specialist", it said, with a share of around 8% of a "highly fragmented" market.

Numis said the company's track record is impressive, reporting 10-year CAGR store growth of 3.4%, revenue of 7.5% and pre-tax profit of 11.3%.

It noted that in 2021, management set out to double revenue from £1.2bn to £2.4bn by 2026 and has already achieved half of this.

"However, over the next three years an increasing amount of this growth will originate from franchisees, delivery and loyalty, all dilutive to gross margin and in most instances to EBIT margin too meaning we forecast profit before tax CAGR of circa 10%," it said.

"The shares are trading at 20x FY24E price-to-earnings rate, in line with five-year average and therefore we initiate with a hold."

The broker said it prefers Domino's, which has a clearer growth trajectory, is less capital intensive and trades at an 8% discount to Greggs.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Greggs Market Data

Currency UK Pounds
Share Price 2,742.00p
Change Today -62.00p
% Change -2.21 %
52 Week High 3,190.00p
52 Week Low 2,394.00p
Volume 354,824
Shares Issued 102.26m
Market Cap £2,803.85m
RiskGrade 191

Greggs Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
96.98% below the market average96.98% below the market average96.98% below the market average96.98% below the market average96.98% below the market average
81.82% below the sector average81.82% below the sector average81.82% below the sector average81.82% below the sector average81.82% below the sector average
Price Trend
51.59% above the market average51.59% above the market average51.59% above the market average51.59% above the market average51.59% above the market average
45.45% above the sector average45.45% above the sector average45.45% above the sector average45.45% above the sector average45.45% above the sector average
Income
63.59% below the market average63.59% below the market average63.59% below the market average63.59% below the market average63.59% below the market average
77.78% below the sector average77.78% below the sector average77.78% below the sector average77.78% below the sector average77.78% below the sector average
Growth
23.30% above the market average23.30% above the market average23.30% above the market average23.30% above the market average23.30% above the market average
33.33% above the sector average33.33% above the sector average33.33% above the sector average33.33% above the sector average33.33% above the sector average

What The Brokers Say

Strong Buy 5
Buy 4
Neutral 3
Sell 0
Strong Sell 0
Total 12
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Greggs Dividends

  Latest Previous
  Interim Final
Ex-Div 05-Sep-24 25-Apr-24
Paid 04-Oct-24 24-May-24
Amount 19.00p 46.00p

Trades for 31-Oct-2024

Time Volume / Share Price
17:33 6,417 @ 2,799.53p
17:33 5,567 @ 2,799.53p
17:33 24,702 @ 2,764.37p
17:33 776 @ 2,799.53p
16:35 759 @ 2,742.00p

Greggs Key Personnel

CFO Richard Hutton
CEO Roisin Currie
Chair Matthew Davies

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