# THG Plc (THG.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Consumer Cyclical / Specialty Retail. Price 33p, market value 527 millionp.

## Valuation
- **P/E (trailing): n/a** (negative earnings). THG Plc reported negative earnings over the last twelve months, so the P/E is not meaningful; use price-to-sales, EV/EBITDA and free-cash-flow yield instead.
- **Price / sales: 0.2×**. Each dollar of revenue is priced at 0.2×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 1.2×**. The shares trade at 1.2× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 92.4×**. Enterprise value is 92.4× operating earnings before depreciation, the multiple that ignores how the company is financed; above 20× is demanding.
- **Free-cash-flow yield: 5.9%** (5-yr avg -0.1%). Free cash flow equals 5.9% of the market value, above its five-year average of -0.1%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.

## Profitability
- **Gross margin: 38.1%**. THG Plc keeps 38.1% of revenue after the direct cost of what it sells.
- **Operating margin: -2.0%**. Operating margin is negative: the business loses money before interest and tax.
- **Net margin: 3.2%**. 3.2% of each dollar of sales reaches the bottom line.
- **Return on equity: 12.7%**. 12.7% on shareholders' equity is solid.
- **Return on invested capital: -7.8%**. Return on all capital, debt included, is -7.8%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: -17.0%**. Each dollar of assets produces -17.0% of profit.

## Growth
- **Revenue growth (1 yr): -1.9%** (3-yr -8.5%/yr, 5-yr 1.3%/yr). Revenue fell 1.9% over the last year, against 1.3% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 116.3%**. Earnings per share rose 116.3%, faster than revenue, so margins expanded or the share count shrank.

## Financial health
- **Debt to equity: 1.32**. Debt is 1.32 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 38.6×**. It would take 38.6 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Interest coverage: -0.5×**. Operating profit covers interest only -0.5×: fragile.
- **Current ratio: 0.92** (quick 0.49). 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: 1.61**. A Z-score of 1.61 is in the distress zone, a signal to examine the balance sheet closely.
- **Piotroski F-score: 3/9**. 3 of 9 checks pass: weak or deteriorating financials.

## Dividends
- **Dividend: none**. THG Plc does not currently pay a dividend, but it returned -21.8% of its market value through buybacks over the last year.

## Price and momentum
- **Total return (1 yr): 20.2%** (YTD -27.2%, 3-mo 5.2%). The shares are up 20.2% over twelve months including dividends.
- **From 52-week high: -36.8%** (26.7% above the low). Trading 37% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 51**. An RSI of 51 is neutral.
- **Beta (1 yr): 0.85** (volatility 48%). Beta of 0.85 against the FTSE All-Share: the shares move roughly with the market.

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

Not investment advice.