Greencore Group plc
Greencore Group plc Fundamental Analysis
Greencore Group plc (GNCGF) shows weak financial fundamentals with a PE ratio of 22.85, profit margin of 2.96%, and ROE of 12.19%. The company generates $1.9B in annual revenue with weak year-over-year growth of -5.57%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 28.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze GNCGF's fundamental strength across five key dimensions:
Efficiency Score
WeakGNCGF struggles to generate sufficient returns from assets.
Valuation Score
ModerateGNCGF shows balanced valuation metrics.
Growth Score
ModerateGNCGF shows steady but slowing expansion.
Financial Health Score
ModerateGNCGF shows balanced financial health with some risks.
Profitability Score
WeakGNCGF struggles to sustain strong margins.
Key Financial Metrics
Is GNCGF Expensive or Cheap?
P/E Ratio
GNCGF trades at 22.85 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, GNCGF's PEG of 3.70 indicates potential overvaluation.
Price to Book
The market values Greencore Group plc at 2.67 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.46 times EBITDA. This is generally considered low.
How Well Does GNCGF Make Money?
Net Profit Margin
For every $100 in sales, Greencore Group plc keeps $2.96 as profit after all expenses.
Operating Margin
Core operations generate 5.19 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $12.19 in profit for every $100 of shareholder equity.
ROA
Greencore Group plc generates $4.52 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Greencore Group plc generates limited operating cash flow of $164.80M, signaling weaker underlying cash strength.
Free Cash Flow
Greencore Group plc produces free cash flow of $122.30M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.28 in free cash annually.
FCF Yield
GNCGF converts 9.38% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
22.85
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.70
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.67
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.67
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.42
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.68
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.12
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How GNCGF Stacks Against Its Sector Peers
| Metric | GNCGF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 22.85 | 23.25 | Neutral |
| ROE | 12.19% | 1240.00% | Weak |
| Net Margin | 2.96% | -9728.00% (disorted) | Weak |
| Debt/Equity | 0.42 | 0.77 | Strong (Low Leverage) |
| Current Ratio | 0.68 | 2.54 | Weak Liquidity |
| ROA | 4.52% | -203388.00% (disorted) | Weak |
GNCGF outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Greencore Group plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
44.57%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
23.42%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
49.44%
Industry Style: Defensive, Dividend, Low Volatility
High Growth