Analyst Andrew Wade from Jefferies maintained a Buy rating on Greggs plc and keeping the price target at p2,500.00.
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Andrew Wade has given his Buy rating due to a combination of factors including Greggs plc’s strategic pricing decisions and its strong competitive positioning. Despite inflationary pressures, Greggs has managed to maintain stable prices on key products like sandwiches and hot items since July, which indicates effective cost management and pricing strategy. This stability contrasts with the company’s selective price increases on a few products, which were minimal and targeted, suggesting a careful approach to pricing that supports customer retention and sales growth.
Furthermore, Greggs has demonstrated a higher inflation rate in its sandwich prices compared to the market average, yet it continues to offer competitive pricing. This indicates that Greggs is successfully navigating inflationary challenges while maintaining its market position. The company’s ability to achieve a year-over-year price increase that contributes positively to like-for-like growth further supports the Buy rating, as it reflects robust financial performance and potential for continued growth.
In another report released on October 18, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a p1,868.00 price target.