tiprankstipranks
Advertisement
Advertisement

Moonpig: Strong Trading Momentum and Capital Returns Undervalued at 11x Forward Earnings, Supporting Buy Rating

Moonpig: Strong Trading Momentum and Capital Returns Undervalued at 11x Forward Earnings, Supporting Buy Rating

Moonpig Group Plc, the Consumer Cyclical sector company, was revisited by a Wall Street analyst today. Analyst Andrew Wade from Jefferies maintained a Buy rating on the stock and has a p315.00 price target.

Meet Samuel – Your Personal Investing Prophet

Andrew Wade has given his Buy rating due to a combination of factors including Moonpig’s stronger‑than‑expected trading performance and confirmation that management still anticipates mid‑single‑digit growth in adjusted EBITDA, with earnings per share now tracking toward the top of the company’s guidance range. He also notes that the flagship Moonpig brand continues to post healthy high‑single‑digit revenue gains, even as growth moderates slightly in the second half, while the Greetz segment remains in positive territory and the Experiences division has moved ahead of prior expectations.

Wade further highlights the company’s shareholder‑friendly capital allocation, pointing to the existing buyback and the newly announced, larger £65m repurchase program planned for FY27, which follows the £60m initiative in FY26. In his view, the current valuation of roughly 11 times forward earnings does not fully capture Moonpig’s growth profile or business quality, supporting his stance that the shares remain attractive on a risk‑reward basis and warrant a Buy recommendation.

Wade covers the Consumer Cyclical sector, focusing on stocks such as Greggs plc, Pets at Home, and THG. According to TipRanks, Wade has an average return of 2.8% and a 50.22% success rate on recommended stocks.

Disclaimer & DisclosureReport an Issue

1