# The Gym Group plc (GYM.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Consumer Cyclical / Hotels, Restaurants & Leisure. Price 194p, market value 335 millionp.

## Valuation
- **P/E (trailing): 48.4×** (5-yr avg 5002.1×, 3-yr avg 5002.1×). The Gym Group plc trades at 48.4× trailing earnings, well below its own five-year average of 5002.1×: cheap by its own standards. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 34.4×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.51**. A PEG of 0.51 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 0.7×**. Each dollar of revenue is priced at 0.7×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 2.4×**. The shares trade at 2.4× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 4.6×**. Enterprise value is 4.6× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 35.7%** (5-yr avg 0.2%). Free cash flow equals 35.7% of the market value, above its five-year average of 0.2%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 2.1%**. The inverse of the P/E: 2.1% of the price is earned each year.

## Profitability
- **Gross margin: 85.5%**. The Gym Group plc keeps 85.5% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 11.2%**. 11.2% of revenue is left after running the business.
- **Net margin: 3.0%**. 3.0% of each dollar of sales reaches the bottom line.
- **Return on equity: 5.2%**. 5.2% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 9.6%**. Return on all capital, debt included, is 9.6%.
- **Return on assets: 1.9%**. Each dollar of assets produces 1.9% of profit.

## Growth
- **Revenue growth (1 yr): 8.2%** (3-yr 12.3%/yr, 5-yr 24.9%/yr). Revenue grew 8.2% over the last year, against 24.9% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 67.2%**. Earnings per share rose 67.2%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 43.1%/yr**. Free cash flow has compounded at 43.1% a year over three years.

## Financial health
- **Debt to equity: 2.89**. Debt is 2.89 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 2.5×**. It would take 2.5 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 1.3×**. Operating profit covers interest only 1.3×: fragile.
- **Current ratio: 0.15** (quick 0.15). 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: 1.16**. A Z-score of 1.16 is in the distress zone, a signal to examine the balance sheet closely.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend: none**. The Gym Group plc does not currently pay a dividend, but it returned 2.0% of its market value through buybacks over the last year.

## Analyst view
- **Analyst consensus: strong_buy** (9 analysts). 9 analysts cover The Gym Group plc; the consensus is strong_buy, with an average price target of 253p (+31% 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): 41.2%** (YTD 36.2%, 3-mo -1.9%). The shares are up 41.2% over twelve months including dividends.
- **From 52-week high: -12.0%** (47.5% 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): 49**. An RSI of 49 is neutral.
- **Beta (1 yr): 0.52** (volatility 28%). Beta of 0.52 against the FTSE All-Share: the shares move much less than the market.

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

Not investment advice.