Deliveroo plc
Deliveroo plc Fundamental Analysis
Deliveroo plc (DROOF) shows weak financial fundamentals with a PE ratio of -144.99, profit margin of -0.84%, and ROE of -4.42%. The company generates $2.2B in annual revenue with weak year-over-year growth of 2.06%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 23.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze DROOF's fundamental strength across five key dimensions:
Efficiency Score
WeakDROOF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentDROOF trades at attractive valuation levels.
Growth Score
WeakDROOF faces weak or negative growth trends.
Financial Health Score
ExcellentDROOF maintains a strong and stable balance sheet.
Profitability Score
WeakDROOF struggles to sustain strong margins.
Key Financial Metrics
Is DROOF Expensive or Cheap?
P/E Ratio
DROOF trades at -144.99 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, DROOF's PEG of 0.69 indicates potential undervaluation.
Price to Book
The market values Deliveroo plc at 7.14 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 27.50 times EBITDA. This signals the market has high growth expectations.
How Well Does DROOF Make Money?
Net Profit Margin
For every $100 in sales, Deliveroo plc keeps $-0.84 as profit after all expenses.
Operating Margin
Core operations generate -1.29 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-4.42 in profit for every $100 of shareholder equity.
ROA
Deliveroo plc generates $-1.88 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Deliveroo plc generates limited operating cash flow of $194.89M, signaling weaker underlying cash strength.
Free Cash Flow
Deliveroo plc produces free cash flow of $148.31M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.10 in free cash annually.
FCF Yield
DROOF converts 5.33% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-144.99
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.69
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.14
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.28
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.47
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.04
vs 25 benchmark
ROA
Return on assets percentage
-0.02
vs 25 benchmark
ROCE
Return on capital employed
-0.07
vs 25 benchmark
How DROOF Stacks Against Its Sector Peers
| Metric | DROOF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -144.99 | 24.85 | Better (Cheaper) |
| ROE | -4.42% | 1165.00% | Weak |
| Net Margin | -0.84% | 752.00% | Weak |
| Debt/Equity | 0.11 | 0.76 | Strong (Low Leverage) |
| Current Ratio | 1.47 | 9.23 | Neutral |
| ROA | -1.88% | 1280.00% | Weak |
DROOF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Deliveroo plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
202.00%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
101.03%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
184.12%
Industry Style: Cyclical, Growth, Discretionary
High Growth