Guzman y Gomez Ltd. (GYG) AI Stock Analysis

• Market Cap: AU$2.84B
• Dividend Yield: N/A
• Average Volume (3M): 262.75K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.81
• Revenue Growth: 26.77%
• EPS Growth: 51.19%
• Country: AU
• Employees: N/A
• Sector: Consumer Cyclical
• Sector Strength: 69
• Industry: Restaurants
• EPS (TTM): 0.07
• Shares Outstanding: 102,860,550
• 10 Day Avg. Volume: 271,723
• 30 Day Avg. Volume: 262,755
• PEG Ratio: 0.00
• Price to Book (P/B): 61.11
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 512.87
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$30.58
• Price Target Upside: 10.76% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 55 Neutral
• Price Target: AU$29.00 ▲(5.03%Upside)

Guzman y Gomez Ltd. scores moderately due to strong revenue growth and improving cash flows but is weighed down by negative earnings and weak technical indicators. The absence of earnings call data and challenging valuation metrics also impact the score.

Guzman y Gomez Ltd. Business Overview & Revenue Model

Company Description

Guzman y Gomez Limited owns, operates, and franchises quick service restaurants in Australia, Singapore, Japan, and the United States. Its restaurants offer Mexican-inspired food in various formats, including drive thru and strips, as well as delivery and catering services. Guzman y Gomez Limited was founded in 2005 and is headquartered in Surry Hills, Australia.

How the Company Makes Money

Guzman y Gomez Ltd. (GYG) generates revenue primarily through the sale of its food and beverage products at its restaurant locations. The company's key revenue streams include in-store dining, takeaway, and delivery services, which are facilitated through partnerships with delivery platforms like UberEats, DoorDash, and Menulog. Additionally, GYG may earn income through franchising opportunities, allowing franchisees to operate their own locations under the GYG brand, while contributing to the company's overall revenue through franchise fees and royalties. The company's focus on quality ingredients and efficient service models supports its profitability and market expansion.

Guzman y Gomez Ltd. Financial Statement Overview

Summary

Guzman y Gomez Ltd. exhibits strong revenue growth and improving cash flows. However, profitability challenges persist due to negative EBIT and net income. The balance sheet is stable, with a solid equity position and manageable leverage, but operational improvements are needed to enhance net margins and return on equity.

Income Statement

Guzman y Gomez Ltd. has demonstrated a strong revenue growth with a 40.8% increase YOY. However, the company has faced challenges with profitability as indicated by a negative EBIT and net income. Gross profit margin remains robust at 76%, but the net profit margin is negative, indicating operational challenges.

Balance Sheet

The balance sheet shows a solid equity position with a high equity ratio of 53.5%. The company's debt-to-equity ratio stands at 0.68, reflecting manageable leverage. Despite a significant increase in stockholders' equity, there are potential risks due to the negative net income affecting return on equity.

Cash Flow

The company has shown positive trends in cash flow, with a turnaround in free cash flow from negative to positive. Operating cash flow is strong relative to net income, indicating efficient cash generation. However, high capital expenditures may continue to pressure free cash flow.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	305.38M	364.76M	259.04M	171.79M	119.53M
Gross Profit	224.62M	277.18M	188.62M	126.89M	84.67M
EBITDA	32.29M	33.29M	34.21M	27.08M	18.33M
Net Income	-5.11M	-13.75M	-2.27M	3.90M	3.99M
Balance Sheet
Total Assets	330.51M	661.80M	324.51M	248.43M	210.38M
Cash, Cash Equivalents and Short-Term Investments	13.62M	294.48M	36.50M	54.43M	62.09M
Total Debt	211.07M	239.50M	184.72M	129.93M	115.94M
Total Liabilities	256.53M	307.82M	236.54M	167.33M	144.06M
Stockholders Equity	73.98M	353.98M	87.97M	81.10M	66.32M
Cash Flow
Free Cash Flow	-9.84M	9.31M	-11.53M	-6.76M	7.90M
Operating Cash Flow	31.57M	42.87M	31.13M	19.64M	23.07M
Investing Cash Flow	-41.76M	-311.82M	-48.40M	-31.70M	-17.56M
Financing Cash Flow	-20.60M	254.93M	-651.00K	4.39M	32.22M

Guzman y Gomez Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 27.61
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:GYG, the sentiment is Negative. The current price of 27.61 is below the 20-day moving average (MA) of 28.03, below the 50-day MA of 29.56, and below the 200-day MA of 35.42, indicating a bearish trend. The MACD of -0.58 indicates Negative momentum. The RSI at 43.36 is Neutral, neither overbought nor oversold. The STOCH value of 34.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:GYG.

Guzman y Gomez Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$16.95B	10.84	-7.26%	3.63%	1.71%	-25.14%
GYG	55 Neutral	AU$2.84B	―	-1.13%	―	26.77%	51.19%
CLLFF	―	$683.52M	95.18	2.40%	4.21%	―	―
DPZUF	―	$1.13B	103.84	2.09%	5.80%	―	―
RFGPF	―	$83.97M	16.90	4.31%	―	―	―
AX1	72 Outperform	AU$910.49M	13.27	14.35%	6.58%	6.29%	-12.42%
36S	―	€1.52M	―		―	―	―

Guzman y Gomez Ltd. Corporate Events

Guzman y Gomez Ltd. Seeks ASX Quotation for New Securities

Guzman y Gomez Ltd. has announced the application for the quotation of 175,634 ordinary fully paid securities on the Australian Securities Exchange (ASX) with the issuer code GYG. This move is part of their strategic financial operations, potentially enhancing their market presence and providing additional liquidity options for stakeholders.

The most recent analyst rating on (AU:GYG) stock is a Hold with a A$31.00 price target. To see the full list of analyst forecasts on Guzman y Gomez Ltd. stock, see the AU:GYG Stock Forecast page.

Guzman y Gomez Ltd. Announces Quotation of New Securities on ASX

Guzman y Gomez Ltd. has announced the quotation of new securities on the Australian Securities Exchange (ASX), with a total of 17,000 ordinary fully paid securities to be quoted. This move is part of the company’s strategy to enhance its market presence and provide additional value to its stakeholders.

The most recent analyst rating on (AU:GYG) stock is a Hold with a A$31.00 price target. To see the full list of analyst forecasts on Guzman y Gomez Ltd. stock, see the AU:GYG Stock Forecast page.

Guzman y Gomez Ltd. Announces Cessation of Securities

Guzman y Gomez Ltd. announced the cessation of certain securities, including 6,000 options that expired without exercise and 112,750 options that lapsed due to unmet conditions. This announcement may impact the company’s financial structure, reflecting a strategic decision to manage its capital and potentially influence investor perceptions.

The most recent analyst rating on (AU:GYG) stock is a Hold with a A$31.00 price target. To see the full list of analyst forecasts on Guzman y Gomez Ltd. stock, see the AU:GYG Stock Forecast page.

Guzman y Gomez Ltd. Sees Increase in Substantial Holder’s Voting Power

Guzman y Gomez Ltd. has experienced a change in the interests of a substantial holder, Pinnacle Investment Management Group Limited, which now holds a 12.42% voting power in the company, up from 11.41%. This increase in voting power reflects a strategic shift in the company’s shareholder structure, potentially impacting its governance and decision-making processes.

The most recent analyst rating on (AU:GYG) stock is a Hold with a A$31.00 price target. To see the full list of analyst forecasts on Guzman y Gomez Ltd. stock, see the AU:GYG Stock Forecast page.

Guzman y Gomez Unveils Strategic Plans at Macquarie Conference

Guzman y Gomez Limited announced its presentation at the 2025 Macquarie Australia Conference, highlighting its strategic initiatives and future growth plans. This announcement is significant for stakeholders as it underscores the company’s commitment to expanding its market presence and enhancing its competitive positioning in the fast-casual dining industry.

Mitsubishi UFJ Financial Group Ceases Substantial Holding in Guzman Y Gomez

Mitsubishi UFJ Financial Group, Inc. has ceased to be a substantial holder in Guzman Y Gomez Ltd. This change in substantial holding involves various transactions, including purchases and sales of securities by entities controlled by First Sentier Investors Holdings Pty Ltd and Morgan Stanley, affecting the voting securities of the company.