# Greggs plc (GRG.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Consumer Defensive / Food & Staples Retailing. Price 1800p, market value 1.8 billionp.

## Valuation
- **P/E (trailing): 14.0×** (5-yr avg 2009.0×, 3-yr avg 1712.4×). Greggs plc trades at 14.0× trailing earnings, well below its own five-year average of 2009.0×: cheap by its own standards. The Consumer Defensive median in the September 2026 study was 20.1×. Forward P/E is 13.8×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 0.4×**. Each dollar of revenue is priced at 0.4×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 2.9×**. The shares trade at 2.9× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 3.6×**. Enterprise value is 3.6× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 8.3%** (5-yr avg 0.0%). Free cash flow equals 8.3% of the market value, above its five-year average of 0.0%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 7.2%**. The inverse of the P/E: 7.2% of the price is earned each year.

## Profitability
- **Gross margin: 61.6%**. Greggs plc keeps 61.6% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 9.4%**. 9.4% of revenue is left after running the business.
- **Net margin: 5.7%**. 5.7% of each dollar of sales reaches the bottom line.
- **Return on equity: 19.5%**. 19.5% on shareholders' equity is solid.
- **Return on invested capital: 28.4%**. Return on all capital, debt included, is 28.4%: comfortably above what that capital costs.
- **Return on assets: 18.6%**. Each dollar of assets produces 18.6% of profit.

## Growth
- **Revenue growth (1 yr): 6.8%** (3-yr 12.5%/yr, 5-yr 21.5%/yr). Revenue grew 6.8% over the last year, against 21.5% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -20.7%** (3-yr 0.3%/yr). Earnings per share fell 20.7%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): -21.0%/yr**. Free cash flow has compounded at -21.0% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 0.76**. Debt is 0.76 times equity, moderate leverage.
- **Net debt / EBITDA: 0.6×**. It would take 0.6 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 16.7×**. Operating profit covers interest 16.7× over, a safe margin.
- **Current ratio: 0.56** (quick 0.40). Current liabilities exceed current assets, so the company depends on ongoing cash generation or refinancing to pay the next year's bills.
- **Altman Z-score: 3.63**. A Z-score of 3.63 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 4/9**. 4 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 3.70%** (1p per share, trailing). Greggs plc yields 3.70%, an income-level yield.
- **Payout ratio: 58%** (116% of free cash flow). 58% of earnings goes out as dividends, leaving room to keep raising it.
- **Shareholder yield: 3.6%**. Dividends plus net buybacks return 3.6% of the market value a year.

## Analyst view
- **Analyst consensus: hold** (15 analysts). 15 analysts cover Greggs plc; the consensus is hold, with an average price target of 1790p (-1% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 13.9%** (YTD 10.9%, 3-mo 11.6%). The shares are up 13.9% over twelve months including dividends.
- **From 52-week high: -12.0%** (27.9% above the low). Trading 12% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 56**. An RSI of 56 is neutral.
- **Beta (1 yr): 0.89** (volatility 36%). Beta of 0.89 against the FTSE All-Share: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=GRG.L · Page: https://foliofundamentals.com/stocks/grg.l

Not investment advice.